The Treasury has announced an issuance of the 62+ bond issue for elderly persons. The initial bond issue will amount to €65 million and may be increased by an additional maximum amount of €35 million in the event of oversubscription.
This bond is going to be issued on similar terms and conditions to previous issuances of the 62+ Savings Bond issues held in the past four years and shall include the following main features:
- rate of interest of 3% per annum fixed for five (5) years until the maturity of the bond in 2026;
- every eligible individual can apply in his or her sole name for a minimum amount of €500 up to a maximum of €10,000;
- interest is paid semi-annually in arrears on the 15th April and 15th October in every year during the term of the Bond;
- the bond is not negotiable and cannot be transfered onto another individual; and
- early repayment of principal is subject to a penalty equivalent to three months interest.
All individuals born during the year 1959 or before will be eligible to participate in this Savings Bond and shall be classified in two categories as follows:
- New applicants
- Existing holders of the 62+ Savings Bond issues
The existing holders of previous 62+ Savings Bond issues will be receiving an application form by mail, whereas new applicants can visit one of our investment centres by appointment to complete a new application form. Preference will be given to new applicants.
MeDirect Bank (Malta) plc is currently accepting applications for these bonds.
Before making your investment decision, you are requested to read the Prospectus of the new Bonds.
Our Wealth Support team will be happy to assist you with any queries you may have about this bond issue. Contact us on +356 2557 4400 or send an email to customerservice@medirect.com.mt.
The information set forth in this article is only for informative purposes and should not be construed as an offer to sell or solicitation of an offer to subscribe for or purchase any investment. The information provided is subject to change without notice and does not constitute investment advice or any guarantee of returns. Please consider the terms and conditions governing the relevant investment prior to making any investment decision. Investors should note that at worst they may lose all of their invested principal in the event of default, insolvency and/or bankruptcy of the relevant issue. The financial instruments discussed may not be suitable for all investors and investors must make their own informed decisions and seek their own advice regarding the appropriateness of investing in financial instruments or implementing strategies discussed herein.
MeDirect Bank (Malta) plc has based this document on information obtained from sources it believes to be reliable but which have not been independently verified. MeDirect Bank (Malta) plc does not therefore provide any guarantees, representations or warranties. The value of any investment or income may go up as well as down and past performance is no guarantee of any future performance. When an investment is denominated in a currency other than your local or reporting currency, changes in exchange rates may have an adverse effect on your investment.
MeDirect Bank (Malta) plc, company registration number C34125, is licensed by the Malta Financial Services Authority under the Banking Act (Cap. 371) and the Investment Services Act (Cap. 370). This material shall not be reproduced in any way, whether in whole or in part. Any unauthorised disclosure, use or dissemination, either in whole or in part, of the material contained within is strictly prohibited.
