View Full Version : IAGFB Bond

20-10-2016, 08:17 PM
Anybody holding. Daughter has sold house and sizeable sum to invest 6mths. At 5.15% and current price on NZDX about par seems a reasonable choice. Havn't been following IAGFB so not up with any goss. Would appreciate any feedback.

20-10-2016, 09:15 PM
No feedback as such, but I do hold. I bought them when they were IAGFA with a return a couple of % higher. As rates fell they decided to pay out on them and issue the FB bonds. I'm happy enough to have them in my bond holdings.

05-11-2016, 09:17 PM
they are fixed rate 5.15 until 2022 at which point they not only become repayable solely at the decision of the Issuer every quarter but also revert to a 2.6% margin over the 90 day bill rate. They they last for another 14 years or so. and then they might become equity .
Thats my understanding of these hybrid notes (I wouldnt call them a bond quite frankly)

07-11-2016, 08:15 PM
You're right, bond was probably not describing them correctly, but I didn't want to create another section on my spreadsheet :-)

08-11-2016, 08:13 AM
interestingly on the 1st November the IAGFA's have been called in for redemption.

08-11-2016, 11:36 AM
interestingly on the 1st November the IAGFA's have been called in for redemption.

This was signalled some time ago. The IAGFB's replace them, at a lower interest rate. of course! Holders of the A's received an offer to (partially) replace them with the B's.

08-11-2016, 08:22 PM
Which is what I did. Holders of the A's were able to transfer into the B's and received a payment at the old interest rate up to the old notes call date so as to not disadvantage them from pulling out of the A's early to get into the B's (phew).