What is a NSW Waratah Annuity Bond?

NSW Waratah Annuity Bonds (Waratah Annuity Bonds) are closed to new investment.

Waratah Annuity Bonds are an annuity-style investment delivering monthly payments which are indexed quarterly to changes in the Consumer Price Index. The base monthly payment is set at $1 for every $100 invested with adjustments in line with rises in the Consumer Price Index. Interest is paid on the bonds by way of additional payments added to the 100 payments required to return the principal sum invested to you. Because the principal investment is repaid over the term of the bond (each monthly payment includes a component of principal repayment) and not at maturity like a traditional bond, monthly payments will be higher than you may be used to receiving from other income-type investments.

Features of  Waratah Annuity Bonds include:

  1. A fixed number of annuity payments for each series.
  2. Each annuity payment represents repayment of principal, before adjustment for rises in the Consumer Price Index. Interest earnings (calculated on the principal balance outstanding) are paid by way of additional payments over and above the 100 payments it would normally take to repay your principal investment.
  3. The payment of interest and the repayment of principal is guaranteed by the NSW Government.

Information for Existing Investors

When will I receive my interest and principal payments?

Annuity payments will be made each month for the term of the NSW Waratah Annuity Bonds investment. Each Annuity payment comprises a component of principal and interest. The Registry will send you a quarterly calculation advice which will set out the next three annuity payment dates and the amount of principal and interest that will be deposited into your nominated account on these annuity payment dates.

How will my monthly payment arrive?

Your monthly payment will be forwarded by direct credit into a nominated Australian dollar account maintained with an Australian bank.

Can I sell my Waratah Annuity Bonds before the maturity date?

Although the intention is that you invest until maturity, we do understand that personal circumstances can change. If you need to sell your Waratah Annuity Bonds before the maturity date we will offer to buy them back.

If you wish to sell your bonds before maturity, please contact the Registry.

Can I transfer my Waratah Annuity Bonds to another person?

Yes, you may transfer your Waratah Annuity Bonds to another person, provided they are Australian tax residents 18 years of age or over. Please contact the Registry for more details.

What happens on maturity?

On maturity, the final payment of principal and remaining interest is paid automatically to your nominated account.

Are there fees, charges or stamp duty?

No up-front or ongoing fees are payable to TCorp by investors in Waratah Annuity Bonds.

No Australian stamp duty is payable on the issue of Waratah Annuity Bonds or any transfer of Waratah Annuity Bonds to another party.

What should I do if my details change?

You must advise the Registry immediately of any change in details that may affect your Waratah Annuity Bond investment. The Registry will amend its records upon satisfactory evidence substantiating the change.

You must advise the Registry in writing of a change of address or account details for your annuity payments, see Change of Details Form. To ensure your annuity payments are directed to your new account and/or notifications directed to your new address, the completed form must be received by the Registry not less than eight calendar days prior to the next annuity payment date.

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