FAQs
FAQs about the Macquarie Investment Multiplier
- How much can I borrow?
- How much equity do I need to provide?
- What's the minimum loan amount?
- What's the loan term?
- How do the restricted managed funds work?
- My Macquarie Investment Multiplier is approved. What happens now?
- What happens if the value of my portfolio falls?
- How do I start an Instalment Gearing plan through my Macquarie Investment Multiplier?
- When do I receive statements?
How much can I borrow?
Macquarie will lend you up to 75% of the market value of over 1,400 managed funds on the Macquarie Investment Multiplier Approved List (pdf 224Kb). The exact amount of finance available to you is generally based on the managed funds and cash you provide as initial collateral, and your capacity to service interest and principal payments on the loan.
How much equity do I need to provide?
The amount of equity you need to contribute depends on the amount you wish to borrow.
What's the minimum loan amount?
The minimum loan amount you need to qualify for is $20,000. However, if you choose to progressively build your portfolio, you can start an Instalment Gearing plan for an initial loan amount of just $2,000.
What's the loan term?
The loan term for the Macquarie Investment Multiplier is 5 years. After 5 years, you may apply to have your facility extended.
How do the restricted managed funds work?
With a Macquarie Investment Multiplier, you can invest in your choice of more than 1,400 managed fund investments across various asset classes. However, your investment into international managed funds, smaller companies and listed property managed funds is restricted to a maximum of 30% of your portfolio. If your investment into these asset classes exceeds 30% of your total portfolio, Macquarie may require you to re-allocate your portfolio to within these limits prior to making further investments or redemptions.
My Macquarie Investment Multiplier is approved. What happens now?
Once your loan is approved, you need to pledge existing managed funds or deposit cash as the initial security for your loan (unless you elected to use third party security in Section 12 of the Application for Finance). These forms are available to download from Forms.
Once we receive your initial security, we will activate your loan and you can begin investing immediately. Find out more about managing your investment.
What happens if the value of my portfolio falls?
If the market value of your portfolio falls, your current loan balance will stay the same but the value of your equity will fall. With a traditional margin loan, this would mean that you may have to pay an immediate and sometimes substantial payment to satisfy a margin call. However, with a Macquarie Investment Multiplier, you can progressively reduce your gearing level in times of market volatility through a Principal Repayment Plan.
To find out more about the Principal Repayment Plan, download the Macquarie Investment Multiplier brochure (pdf 2Mb) or read more about managing your investment.
How do I start an Instalment Gearing plan through my Macquarie Investment Multiplier?
You can start Instalment Gearing through your Macquarie Investment Multiplier at any time during the loan term. Find out how to apply for Macquarie Instalment Gearing here.
When do I receive a statement?
You will receive loan statements twice a year for record keeping purposes. You will also have access to view your loan details 24/7 via our secure client service website, GearUp.
The Macquarie Investment Multiplier and Macquarie Instalment Gearing are offered by Macquarie Bank Limited ABN 46 008 583 542 (Macquarie). Full terms and conditions are set out in the relevant loan contracts. Fees, charges and government taxes are payable.