Yield and security combined!
Step‑up Bonds are ideal if you’re looking for a safe, flexible investment with a good return.
- Competitive and guaranteed step‑up rates over a ten-year period.
- Bonds redeemable annually, in full or in part, according to their issue date. This allows you to take advantage a better rate structure for Step-up Bonds being sold on the anniversary date, or meet cash needs.
- Choice of regular or compound interest.
- Regular interest paid annually (minimum purchase of $100) or monthly (minimum purchase of $10 000).
|Issue date:||Issued daily.|
|Type of interest:||Simple or compound.|
|Payment of interest:||Simple interest bonds: annually (or monthly for an amount of $10 000 or more, at the participant’s option).
Compound interest bonds: annual capitalization on the purchase anniversary date.
|Interest rate:||Step-up interest rates over a ten-year period shown at their annual nominal value.|
|Purchase amount:||Any amount greater than or equal to $100 (or $10 000 for monthly payment of interest).|
|Limit on amount held:||Maximum amount held of $1 000 000 for general or limited partnerships and private right or public right legal persons acting on their own behalf, except in the case of a transfer resulting from a succession.|
|Authorized purchasers:||Persons or groups of persons or of properties, domiciled in Québec and subject to the rules of Québec law (individuals, partnerships or limited partnerships, legal persons, successions of persons, foundations and personal or public trusts).|
|Redemption:||Total or partial on each purchase anniversary date.Minimum amount of $100 or balance of the product.
A redemption request can be submitted, at the latest, on the anniversary of the date of purchase or the following business day if the anniversary date is not a business day.
Redemption requests can be submitted to take advantage a better rate structure for Step-up Bonds being sold on the anniversary date, or meet cash needs.
|Eligible accounts:||Investment Savings Account, tax‑free savings account (TFSA), registered retirement savings plan (RRSP), registered retirement income fund (RRIF), locked‑in retirement account (LIRA) and life income fund (LIF).Can also be entered in the account of a trustee or of an agent of a trustee for the benefit of a participant in a self‑directed plan or fund.|
|Assignment and transfer:||May be assigned and transferred to an authorized purchaser prior to maturity if the bonds are held in an Investment Savings Account (minimum amount of $100).May be neither assigned nor transferred where the bonds are held in a Québec retirement savings plan or fund, other than in the cases stipulated in the legislation.|
|Hypothec:||Allowed in favour of financial institutions if the bonds are held in an Investment Savings Account (minimum amount of $1 000).|
|In the absence of instructions from the client, the capital and interest (including any bonus) are automatically reinvested in Flexi‑Plus Savings units.|