Please note: To access all documentation you need to be registered prior to downloading files. Simply REGISTER HERE to receive your username & password.

Not a member yet? - Register NOW

Capital Series Australia II

Capital Series Australia II
Cash Rebate 1.50%
Closing Date CLOSED
Minimum Investment $10,000
Maturity Date 27 Oct 2014
Research Lonsec   Recommended

Back by popular demand, Capital Series Australia II is the latest investment opportunity from Commonwealth Bank.

Capital Series
Australia II aims to generate capital growth over the medium term and gives your clients exposure to the performance of our local share market, with the benefit of capital protection1.

The concept of Capital Series
Australia II is:

  PDS (Part 1 of 2) – General Terms and Conditions
  PDS (Part 2 of 2) – Offer specifics, application form and Supplementary PDS
  Chinese Flyer
A 5.5 year investment in Strategy 1 and/or Strategy 2 is made
Returns are linked to the performance of the S&P/ASX 200 Index, an index made up of 200 of the largest listed Australian companies by market capitalisation
At maturity the investment is capital protected (two different levels exist) plus an investor will receive any capital growth.

Key features

Capital growth potential

Strategy 1 - Up to a maximum of 80% above the Initial Reference Level
Strategy 2
 - Unlimited to any increase above the Initial Reference Level

Capital protection1

The two Strategies offer different levels of capital protection at maturity:
Strategy 1
 - 100%
Strategy 2 - 80%

Investment term 5 years
Participation Rate 100%
Coupons Nil
Borrow to invest

Fund your Capital Series Australia II investment with the:

>  Capital Investment Loan2
>  Interest in Advance
Minimum investment A$10,000 per Strategy
At maturity You have the choice to receive the final value of your investment in either:
(a) Physical delivery of a parcel of the SPDR S&P/ASX 200 Fund3; or
(b) A cash payment4
Offer closes 3 Apr 2009, 12 noon (Sydney time)

Generally, Capital Series Australia II may be suitable for individuals, companies, trusts and SMSFs who:
Feel comfortable knowing their initial investment is protected up to the protection level at maturity
Believe a five and a half year investment over the S&P/ASX 200 Index will generate capital growth
Are looking to diversify their investment portfolio in one simple transaction across an index comprising 200 of the largest Australian listed companies
Seek any possible benefits of borrowing to invest2

Borrow to invest#

Indicative interest rates as at 30 March 2009 for the Capital Investment Loan and Interest in Advance Loan are as follows:


7.40% p.a.

Fixed monthly

8.60% p.a.

Fixed yearly in advance

8.30% p.a.


8.50% p.a.

# The Capital Investment Loan and Interest in Advance Loan are not available to superannuation funds.

Capital Protection will only apply at the Maturity Date and is subject to risks, limitations and conditions. Please refer to the PDS for more information.

2 The Capital Investment Loan or Interest in Advance Loans are not available to SMSF.

3 At the commencement of Capital Series Australia II, the Delivery Asset is one unit in the SPDR S&P/ASX 200 Fund. At maturity, you will receive Delivery Assets to the value of the Maturity Value. Refer to the Capital Series Australia II PDS for information about the Delivery Asset, Maturity Value and the circumstances where the Delivery Asset may be substituted for another security.

4 By using the Delivery Asset Sale Service outlined in the PDS.

Important Information
Capital Series Australia II is issued by Commonwealth Bank of Australia ABN 48 123 123 124 (Commonwealth Bank) administered by its wholly owned but non-guaranteed subsidiary Commonwealth Securities Limited ABN 60 067 254 399 (CommSec). A Product Disclosure Statement (PDS) for Capital Series Australia II, dated 23 February 2009, is available above and should be considered before making any decision about this product.

Investments in Capital Series are not deposits with Commonwealth Bank. They are contracts entered into between Investors and Commonwealth Bank on the terms set out in the Terms of Sale as contained in the PDS. Capitalised terms in this document have equal meaning to the capitalised terms in the PDS. Potential investors should refer to the PDS for risks and costs involved with an investment in Capital Series Australia II.

The information in this document should not be taken as a recommendation to invest in Capital Series Australia II. As the information has been prepared without considering your objectives, financial situation or needs, you should, before acting on the information in this document, consider its appropriateness to your circumstances. Past performance is not a reliable indicator of future performance.

Applications for finance (the “Capital Investment Loan” and “Interest in Advance Loan”) are subject to the Bank’s normal credit approval.

Commonwealth Bank believe that the information herein is correct and any opinions, conclusions or recommendations contained in this document are reasonably held or made as at the time of its compilation, but make no warranty as to the accuracy, reliability or completeness of that information. Except to the extent that any liability under any law cannot be excluded, no liability for any loss or damage which may be suffered by any person, directly or indirectly, through relying upon any information or statement in this document is accepted by the Commonwealth Bank or CommSec or any of their directors, employees or agents, whether that loss or damage is caused by any fault or negligence on their part or otherwise. Potential investors should consult their professional tax adviser about the tax implications of this product with regard to their own particular circumstances.

Simply download an Investment Brochure/PDS above. It’s that easy!

return to previous page