Borrowing to invest in shares or managed funds can be risky. If the shares or managed funds fall in value, investors may have to repay the loan from their own funds.
One way of managing this risk is to use a loan that offers the benefit of loan principal protection.
Typically, with these types of loans, your clients will have the benefit of knowing that even if the underlying investments fall in value, while they have to pay interest on the loan, they won't have to repay a set percentage of the loan (often 100%) from their own funds at maturity. This may be particularly beneficial where markets have become volatile or have fallen in value during the course of the loan.
Leveraged investing with borrowed funds can increase your clients' gains and losses. Leverage enables your clients to borrow funds to invest more than they otherwise could and potentially enhance their profits while taking loan costs into account. Find out more about Macquarie's range of leveraged investment solutions below. To compare all funds, download our total investment solutions summary.
Are your clients company executives and wholesale investors who want to make the most of their share and option positions? Or are they overseas investors wishing to migrate to Australia? Macquarie Specialist Investments has developed a suite of additional investment solutions tailored to your clients' needs.
Macquarie Significant Investor Visa Platform A single gateway to SIV complying investmentsThe Macquarie Significant Investor Visa Platform provides investors wishing to migrate to Australia with a single entry point to complying investments.The Macquarie SIV Notes Fund and Macquarie Australian Emerging Companies Fund have been established by Macquarie Asset Management (MAM) to comply with the SIV requirements. MAM is Australia’s largest fund manager1 and has a history of managing SIV investments since 2013.