The Bonus Bonds Scheme
Bonus Bonds commenced in 1970. When you buy a Bonus Bond you invest in a unique managed investment scheme. Any money invested in the scheme is pooled and invested in fixed interest assets and cash and cash equivalents. Instead of earning interest or receiving returns, each eligible Bonus Bond gives the holder the chance to win a share of thousands of cash prizes each month.
The scheme's investment objectives are to:
- generate returns that allow for prizes to be distributed,
- ensure the unit price of each Bonus Bond stays at $1 (this includes maintaining a sufficient level of reserves), and
- ensure the scheme has sufficient liquidity.
The types of investments, your chances of winning a prize and the fees and expenses paid from the scheme are described in the product disclosure statement.
There is a risk that you may lose some or all of the money you invest.