FIIG's DirectBonds Service

FIIG’s DirectBonds Service gives your clients direct access to high yield and investment grade bonds.

At FIIG, we are committed to ensuring bonds are accessible for more investors.  Historically, corporate bonds were restricted to $500,000 parcels.  Now, hundreds of bonds, including high yielding and investment grade bonds are accessible to your clients with FIIG's DirectBonds Service.

Our DirectBonds Service offers over 400 bonds, from well-known names such as Qantas and Commonwealth Bank through to smaller companies such as G8 Education and StockCo. It also offers a mix of fixed, floating and inflation-linked bonds. Your clients can choose from sample portfolios or hand select the bonds to suit their individual investment needs.

The benefits of DirectBonds Service

Fixed Income Expertise

A Relationship Manager who will help you set up your clients portfolio, provide investing ideas and portfolio reviews

400+ Corporate Bonds

Access to over 400 bonds, including fixed, floating and inflation linked bonds

Multiple Currency Bonds

Access Australian dollar and foreign currency bonds

Research & Insights

Company and market research from our experts

Portfolio Access - 24/7

Portfolio reporting, analysis and 24/7 access via the secure MyFIIG online portal

Custodial Service

Safe keeping of your clients bonds, account administration, transaction settlements and reporting

With the DirectBonds Service your clients can buy and sell bonds in parcels from $10,000 with a minimum portfolio balance of $250,000.

The role of Corporate Bonds on a balanced portfolio

Diversifying your clients investments across different asset classes and markets is an important way to protect their wealth from the impact of market changes, interest rates, currency fluctuations and inflation.

Custodial Service

When your clients buy bonds in the over-the-counter (OTC) market, they are required to hold them in the safe keeping of a licensed custodian until they mature or your clients decide to sell them. CHESS, a company owned by the ASX, is one example of a custodial service provider for financial products such as shares, warrants and units in trusts. However, CHESS does not cater for OTC bonds. Licensed custodial service providers, such as FIIG, hold an electronic record of an investor’s beneficial ownership of a bond. They also provide a range of services including account administration, transaction settlements and reporting. . Find out more about FIIG’s Custodial Service.

How to buy and sell corporate bonds

Frequently asked questions

Companies or governments issues bonds as a way of raising funds. They borrow funds from investors in the form of bonds, making it a form of debt. When you purchase a bond, the issuer is legally obliged to pay you regular interest and at the bond’s maturity, pay back the face value of the bond to you.

Bonds are issued by many companies – from well known companies such as BHP, Qantas and Commonwealth Bank to smaller companies such as G8 Education and Praeco.

Over 300 bonds are available via FIIG’s DirectBonds Service. Wholesale qualified investors can also invest in foreign currency denominated bonds, including USD, GBP and Euro bonds.

When you purchase a bond, the issuer is legally obliged to pay you regular interest (referred to as coupons) and at the bond’s maturity, the face value of the bond (which is the price the bond was issued at – usually $100) must be paid back to you.

There are two main differences between corporate bonds and term deposits. Firstly, term deposits are only issued by banks and other financial institutions , whilst corporate bonds are issued by a more diverse range of companies across different sectors including retail, technology, transport and infrastructure. Secondly, term deposits must be held until they mature, whilst corporate bonds can be bought and sold when it suits you any time prior to maturity.

When you purchase shares in a company, you become a part owner of that company and there’s no certainty of income via dividends. With corporate bonds, you lend money to the company that issues the bond and it is legally required to pay you regular interest and repay the face value of the bond when the bond matures. This means that investing in a company’s bond is a lower risk than owning its equity or shares.

Another major difference between shares and bonds is that shares are generally traded on an open exchange such as the ASX, whereas the majority of corporate bonds are traded on the Over the Counter market.

For more information on our DirectBonds Service

Custodial services factsheet PDF download

Find out more about our DirectBonds Service

Get the brochure

Talk to an expert

Jacqueline OConnor - Head of Short Term Money Markets d.bruce John Sheridan - Head of Private Clients NSW/ACT Kieran Quaine - ‎Head of Managed Income Portfolio Services (MIPS) Leigh Winton - Head of Portfolio Strategy

Phone  Call us on 1300 752 663

...with offices based in Sydney, Brisbane, Melbourne and Perth