Bigger returns or lower risk?

Friday 19th July 2024

Stability, safety nets & research mean investors can have both – General Finance.

These are little-known figures: 1.6 million New Zealand households held term deposits at the end of November last year* – 49 per cent more than the start of 2022 – with the average deposit nearly $89,000.

That is a rare bright spot in an otherwise static economic environment, says Brent King, managing director of NZ-listed financial services group General Capital, the owner of General Finance. Those lucky or careful enough to have some spare cash are investing for their future, he says, many with institutions like General Finance – a licensed non-bank deposit taker offering higher secured term deposit rates than the banks are offering.

For instance, a 12-month term deposit of $100,000 with General Finance at a 7.5 per cent interest will deliver a pre-tax yield of $7500. In comparison, the best interest rate on offer from the ‘big four’ banks, as of writing, is 6 per cent, yielding $5900-$6136 pre-tax on $100,000. The higher figure is a result of re-investing returns so the amount compounds quarterly.

https://www.nzherald.co.nz/sponsored-stories/bigger-returns-or-lower-risk/7HE2IQBDSNEB5BH6QN7JGBKV2U/

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