Get in and out easily
Fixed income securities like government bonds, Exchange Traded Bonds (XTBs) and Exchange Traded Funds (ETFs) can be bought and sold on the market like an ordinary share if you want to free up your funds.
Generate a regular income stream
Make your money work for you by investing in fixed income securities, government bonds, and more.
Get in and out easily
Diversify your portfolio
Fixed income securities could help you diversify your portfolio by exposing you to cash-type investments.
Access another income stream
Fixed income securities provide investors with regular income compared to ordinary shares, providing them with the opportunity to profit from interest rate movements.
Market-leading research
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The low-down on fixed income securities
Fixed income securities are debt investments that pay a fixed or floating rate of return. Here’s how it works:
- Investors lend money to the issuer of the security. In return, the issuer pays investors interest and promises to repay the issue price at a specific time.
- Fixed income securities are traded in the same way as regular shares and are listed on the ASX.
- Exchange Traded Bonds (XTBs) are securities backed by an underlying bond. Coupon and principal payments from the bond usually flow through to the investor.
- Fixed income ETFs provide exposure to a professionally managed portfolio of investment grade bonds and aim to track a particular bond or index. Learn more about ETFs.
- Australian government bonds can generally make fixed interest payments (known as coupons), biannual or quarterly and return the face value (or face value plus CPI adjustment for indexed bonds) at the maturity date.
New to CommSec? Get up to 30 trades, brokerage-free
Terms and conditions apply.
When you fund your CDIA with $5,000. Limited time offer.
Sophisticated investor?
Explore more investment options
CommSec has partnered with CommBank Investor Sales to provide unlisted or over the counter (OTC) bond investments to Sophisticated and Wholesale clients with investible assets greater than AUD $10m available to invest in $500,000 minimum parcels.
To be eligible, you must register your Sophisticated Investor status with CommSec through the provision of a Certified Accountants certificate. Please speak to your CommSec One relationship manager for further details.
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Our rates and fees
Opening a CommSec account is free and there are no ongoing account-keeping fees2.
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Trade amount |
Cost1 |
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Up to $1,000 (inclusive) |
$5 |
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Over $1,000 up to $3,000 (inclusive) |
$10 |
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Over $3,000 up to $10,000 (inclusive) |
$19.95 |
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Over $10,000 up to $25,000 (inclusive) |
$29.95 |
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Over $25,000 |
0.12% |
Fund managers and issuers charge a fee for their professional management of ETFs and XTBs. You can find the Management Expense Ratio in the relevant Product Disclosure Statement (PDS).
Signing up is easy
Here’s what you need to get started.
Already a CommSec customer?
Opening an Australian Shares Account is simple. Log into CommSec below and follow the prompts.
What you’ll need to sign up:
- Your CommSec credentials, such as your client ID and password
- Your CDIA details
- Your Tax File Number (optional)3
Not a CommSec customer?
Joining CommSec is free. To get started, you’ll need to open a CDIA and CommSec Share Trading Account.
What you’ll need to sign up:
- Your personal and contact details
- Your tax residency details
- A valid photo ID
- Your Tax File Number (optional)3
Your questions, answered
Find the answers to your questions about investing with CommSec.
Like anything, investing comes with some risks that, when managed, can be mitigated. These risks, such as the decrease in an asset’s value, market fluctuations and liquidity risk (the inability to sell an asset quickly) are all manageable by using investment strategies like diversification. Some key risks of investing in fixed income securities include:
- Liquidity: The ability to sell some fixed income securities quickly may be lower than the other ASX listed securities, such as equities.
- Interest rate risk: For certain fixed income securities that pay a fixed return, there is a possibility that the rate of interest you receive might not align with the market rate at the time. Changes in interest rates and the accrual of interest since the last coupon payment may also impact the price of your fixed income investment.
- Credit risk: The risk that the issuer may not be able to repay the promised return or the principal amount at the maturity date. This is partially reflected by the different rates of interest paid.
This is not an exhaustive list of risks, and potential investors should refer to the relevant offer document before deciding if this product is right for you. Learn more about the risks of investing.
When investing in XTBs, ensure you:
- Select how often to receive income: Coupon frequency varies with each XTB
- Choose your level of income: Choose an XTB to suit your income requirements and risk appetite
- Control how long you wish to invest: Different XTBs also have different maturities
Help when it matters
Find the support you need, when you need it.
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Send us your question Fill in our online form and hear from one of our experts within two business days |
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Call us 13 15 19 for calls within Australia |
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Reach out to us on X Tag @CommSec in your question on X |
1 Cost is based on trades placed online via the CommSec website, mobile app or other CommSec platforms, be CHESS Participant Sponsored with CommSec and settle through a Commonwealth Direct Investment Account (CDIA). Trades linked to a settlement account from another financial institution and trades placed over the phone incur additional fees. See our Rates and Fees for more information.
2 This figure is not inclusive of CommSec’s other rates and fees, including brokerage fees. See our Rates and Fees for more information.
3 You don’t have to provide your TFN to open the account, but if you don’t CommBank and CommSec are legally required to deduct tax from any interest earned on the account above a certain threshold.
The Commonwealth Direct Investment Account (CDIA) is issued by Commonwealth Bank of Australia. ABN 48 123 123 124 AFSL 234945. This product is administered by Commonwealth Securities Limited ABN 60 067 254 399 AFSL 238814 (CommSec), a wholly owned but non-guaranteed subsidiary of the Commonwealth Bank of Australia. The target market for the CDIA can be found within the product’s Target Market Determination, available at commbank.com.au/tmd.
You can view the product Terms and Conditions, Product Disclosure Statement, Best Execution Statement, Financial Services Guide and should consider them before making any decision about these products and services. Investing carries risk.
CommSec accepts no responsibility for any connectivity delays, errors or disruptions caused by your phone service provider that may affect the performance of the CommSec mobile applications. CommSec accepts no responsibility for any fees that your phone service provider charges, such as fees for SMS, data services, or any other fees that your phone service provider may charge. Mobile Terms of Service apply.
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