Infrastructure Bonds: A missing market For retail investors?
This is the sixth in a series of reports prepared by the Australian Centre for Financial Studies for National Australia Bank aimed at explaining the potential role of corporate bonds in retail investor portfolios and promoting growth of the corporate bond market.
Australian debt securities and corporate bonds.
Many retail and sophisticated investors have direct or indirect equity investments in infrastructure companies, however, investment in and access to infrastructure debt is limited.
As part of NAB’s commitment to the development of the Australian Corporate Bond market, we are pleased to join with the Australian Centre for Financial Studies (ACFS) to launch their new report “Infrastructure Bonds: A Missing Market for Retail Investors?”
This report, the sixth in a series on the Corporate Bond market, focusses on the potential for growth of and access to a market in bonds linked to infrastructure provision. The report finds that whilst explosive growth in retail infrastructure bonds should not be expected, retail and sophisticated investors should be aware of the characteristics of such securities and the appropriate role for them in their portfolios. This paper serves to provide education about this asset class.
To find out more download the full report:
Explore previous reports from the ACFS:
- Australian Debt Securities and Corporate Bonds: Improving access to the Corporate Bond Market for retail investors – June 2015 (PDF, 462KB) The fifth in a series on the Corporate Bond market, begins by assessing where the market is currently at, the key factors affecting the growth of the market, and the regulatory and other impediments to connecting investors and issuers.
- Australian Debt Securities and Corporate Bonds: Trends and prospects – February 2014 This fourth report investigates recent developments in the Australian Corporate Bond market, places the Australian market in an international context and speculates on what the future holds for the asset class.
- Australian Debt Securities and Corporate Bonds: How to add Australian Debt Securities and Corporate Bonds to a portfolio – October 2013 The third report covers the important topic of accessing the fixed income market and the various methods investors can use to access debt securities and corporate bonds.
- Australian Debt Securities and Corporate Bonds: What’s the risk important consideration for Investors – July 2013
The second report in the series outlined the importance of understanding the different types of corporate bonds, the nature of risks involved and what levels of return is appropriate. Why do companies issue corporate bonds and how do the risks differ from company shares?
- Australian Corporate Bonds – The missing asset class for retail investors – January 2013
The first report in the series examined the importance of corporate bonds as an asset class for investors, and discussed the reasons they should be considered as part of a diversified investment portfolio.
About the Author
Steve leads a global group of professionals that support the specialised funding needs of the NAB Group and its clients. This includes all forms of syndicated loan, bond and securitisation origination; specialists in all types of infrastructure, project finance and specialist leasing; creation and distribution of investor product suitable for domestic and offshore clients.
Steve’s banking career spans over 32 years in both Australia and offshore. Steve has had a variety of roles in debt capital markets, interest rate, commodity and credit derivatives, and multi-asset structured products.
Steve is a Fellow of the Corporate Treasurers Association, the Finance and Securities Institute of Australia and the Australian Institute of Company Directors. He is active on a number of external boards including the Global Steering Committee of the United Nations Environment Programme (UNEP) – Finance Initiative, Impacting Investing Australia (IIA), Infrastructure Partners Australia (IPA) and the Advisory Board of the Australian Centre & Financial Studies (ACFS).
