Higher coupons, paid for with credit risk
Companies raise debt by issuing bonds. The additional yield over sovereign issues is compensation for the possibility that the issuer does not pay.
What a corporate bond is
A corporate bond is a debt instrument issued by a company. It carries a coupon paid at stated intervals and a maturity date on which the face value is scheduled to be repaid.
Issues may be secured against specific assets or unsecured, and rank differently in the event of default. Credit rating agencies assign ratings that summarise their view of the issuer's ability to meet these obligations — a ratings opinion, not a guarantee.
A higher coupon almost always signals higher assessed risk. We assess the issuer before the yield.
Coupon, maturity and credit rating
Coupon / Interest
Periodic interest on face value; may be fixed or floating, paid monthly to annually.
Maturity
The scheduled repayment date, with some issues callable earlier by the issuer.
Credit Rating
An agency opinion on repayment capacity, subject to upgrade or downgrade over time.
Security & Seniority
Whether the bond is secured against assets and where it ranks on repayment.
Liquidity
Secondary-market depth varies widely; exiting early may involve a price concession.
Taxation
Interest and capital gains are taxable as per prevailing rules.
Why investors consider them
- Higher coupon income than comparable sovereign issues
- A defined payment schedule useful for income planning
- A wide range of tenures and rating bands to choose from
- Diversification away from equity market volatility
What can go wrong
- Credit risk: delayed or missed interest or principal payments
- Downgrade risk: a rating cut can reduce market value sharply
- Interest-rate risk: prices fall when yields rise
- Liquidity risk: limited buyers when you need to exit
- Concentration risk: too much exposure to one issuer or sector
Indicative corporate bond options
Populated with verified issue information at the time of your enquiry.
| Issuer | Instrument | Coupon / Payout | Maturity | Indicative Yield | Credit Rating | Minimum Investment |
|---|---|---|---|---|---|---|
| Live bond yields and availability are not published on this page. Please contact our advisory team for current opportunities and suitability. | ||||||
Yields, ratings and availability are subject to change. Please contact our team for current opportunities and eligibility.
Explore Bond Investment Opportunities
Speak with our advisory team to understand available opportunities and suitability.
Important: Corporate bonds carry credit, downgrade, interest-rate and liquidity risk, and are not risk-free. Credit ratings are opinions and can change. Yields and availability are indicative and subject to change; please read the offer document before investing.
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