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Switzer Daily
27 May 2021
With big
bank term deposit rates down to a paltry 0.40%, self-funded retirees are
increasingly turning to riskier investment options to generate income. Others
are drawing down on their capital, but this is not a strategy that can be
employed indefinitely. And with the Reserve Bank maintaining that the cash rate
is not going up until 2024 at the earliest, there is little relief in sight.
So here are some
investment options that can generate a 5% income return. They are not riskless,
because any investment promising a return over the “government guaranteed” rate
of a term deposit involves risk. Further, the higher the promised return,