The Term Advantage Fund (TAF) is specifically designed to operate in a similar way to a traditional Term Deposit. It has been structured as a Portfolio Investment Entity (PIE) which means it will provide a tax benefit for 30% and 33% tax payers^.
^ please refer to the current registered prospectus for further information about PIE implications for an investment in TAF
Term Advantage Fund features
The Term Advantage Fund is a Managed Fund where a number of investors pool money into one fund. Key features include:
- Minimum investment only $1000
- 3, 6 and 12 month terms
- No maintenance fee
- Funds deposited with Rabobank
- Funds managed by AMP Capital
- Interest paid on April 1st or on investment maturity
- Tax paid on April 1st or on investment maturity
Term Advantage Fund interest rates
* Returns paid at maturity and/or annually. Investments with terms covering 31 March will pay income earned up to that date, minus applicable tax, into your RaboDirect On Call Account. Your 'accrued income' figure will then be reset to zero, and the income subsequently earned from 1 April up to the date of maturity will be paid, again minus applicable tax, into your RaboDirect On Call Account on the maturity date. Investments with terms which don't cover 31 March will pay the accrued returns, minus the applicable tax, on maturity into your RaboDirect On Call Account
Features in detail
Pay tax annually or on investment maturity†
The tax benefits of our Term Advantage Fund mean that you pay tax annually, or on investment maturity. This is unlike traditional deposit products where tax is paid monthly when interest is earned.
Tax is automatically deducted from your account at the end of the tax year or during the year when your investment matures
Instant access to Term Deposits
If you're interested in traditional Term Deposits we've made it ultra simple to invest.
At RaboDirect our Term Deposits are created in real time for you. So there's no going into branches, filling out paperwork, picking up the phone or sending off instructions.
† Whichever occurs first. Deposits whose terms cover 31 March will pay income earned up to that date, minus applicable tax, into your RaboDirect Personal Savings Account. Your 'accrued income' figure will then be reset to zero, and the income subsequently earned from 1 April up to the date of maturity will be paid, again minus applicable tax, into your RaboDirect Personal Savings Account on the maturity date.
Apply in 3 easy steps
Complete our online form
You'll need your IRD number, bank account details and driver's licence.
Print and sign the form
You'll also need to include your supporting documents.
Freepost your documents
Remember, no stamp required!
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