Investment Interest Rates and Options
Earn a rate on maturity of 9.5% p.a.* on five-year investments of R5 000 or more.
Fedgroup Secured Investment is a high-return, low-risk, investment solution. Choose between a fixed or variable rate,
and our growth or income options, to grow your money and achieve your investment goals.
*Rate on maturity if the interest is reinvested over a five-year period at a nominal rate of 7.8% p.a.
Investing for growth
Earn a higher rate by reinvesting your interest each month for maximum capital growth. Simply invest a lump sum of R5 000 or more. Your capital is secure for the full five-year term. At the end of this term, you can choose to withdraw your investment, or reinvest with us.
Investing for income
Simply invest a lump sum of R5 000 or more and withdraw the interest each month. Your capital is secure for the full term. You can regularly withdraw all the interest, or just a portion of it. This is a great option if you'd like a monthly income, as a retirement income solution, or if you want to save while still having some flexibility.
Growth
Minimum fixed deposit for the growth investment option:
R5 000
Minimum term:
5 years
Interest rate:
9.5% p.a.*
Interest earned monthly in advance and reinvested.
Capital withdrawal:
Not permitted during the initial 5 years but free thereafter.
Income
Minimum Investment on the monthly income investment option:
R5 000
Minimum term:
5 years
Interest rate:
7.8% p.a.
Earned monthly in advance. Interest can either be paid out or reinvested.
Capital withdrawal:
Not permitted during the initial 5 years but free thereafter.
| FEATURE | GROWTH OPTION | INCOME OPTION |
|---|---|---|
| Minimum lump sum investment | R 5 000 | R 5 000 |
| Maximum investment | Not applicable | Not applicable |
| Term | Fixed for 5 years | Fixed for 5 years |
| Rate | Fixed for the term | Fixed for the term |
| Interest earned monthly in advance | Reinvested | Paid out |
| Capital withdrawal or redemption | Not permitted during the term but free thereafter | Not permitted during the term but free thereafter |
| FIXED RATE | ||
|---|---|---|
| Nominal Rate | 7.8% | 7.8% |
| 1-Year Effective Rate | 8.08% | Varies based on income payout |
| 5-Year Rate on maturity | 9.50%* | Varies based on income payout |
*Rate on maturity if the interest is reinvested over a five-year period at a nominal rate of 7.8% p.a.
| VARIABLE RATE | ||
|---|---|---|
| Nominal Rate | 8.1%* | 8.1% |
| 1-Year Effective Rate | 8.41%* | Varies based on income payout |
| 5-Year Rate on maturity | 9.95%* | Varies based on income payout |
*The variable rate is based on Fedgroup's prime rate and aligned to the prime lending rate published by the SARB. When that rate rises or falls, Fedgroup's prime rate can change, which is what causes the variability in the rate of the investment.
Please confirm the interest rates at the time of investment.