⌟ Investment Bonds
Investment bonds are an investment generally offered by Friendly Societies or Life Offices and are suitable for short, medium and long-term savings. They offer a number of portfolio alternatives including capital guaranteed, diversified and sector specific options.
Returns on an investment bond are taxed in the hands of the bond issuer (Friendly Society or Life Office) and the earnings are reported net of this tax and fees. The maximum rate of tax is currently 30%, however, tax concessions such as dividend imputation credits can further reduce the amount of tax payable by the Friendly Society.