Article image
Article image
Article image
Article image
Article image
Article image

Trend to short-term investments

PA Wellington The general manager of A.A. Finance. Mr R. W. Hill, has expressed concern at the trend of investees towards shorter-term investments. In a statement accompanying A.A.'s announcement of a new top rate of 18 per cent per annum for unsecured deposits over three to five years. Mr Hill said the trend was limiting the company’s ability to service borrowers' demands for fiveyear loans. Consequently, he said, the company had decided to offer attractive rates in the

three-to-five-year period, believing that if investors are offered an appropriate return they will have the confidence to place their funds for these periods. Mr Hill said a feature of the prospectus was the reintroduction of unsecured deposits. The company had not been able to accept these in a number of past issues because the amount available had been fully subscribed, he said. However, after a further injection of share capital last month the company could again offer invester’s these premium rates.

This article text was automatically generated and may include errors. View the full page to see article in its original form.
Permanent link to this item

https://paperspast.natlib.govt.nz/newspapers/CHP19820316.2.118.20

Bibliographic details

Press, 16 March 1982, Page 37

Word Count
163

Trend to short-term investments Press, 16 March 1982, Page 37

Trend to short-term investments Press, 16 March 1982, Page 37