What are interest rate securities?
An Interest Rate Security (IRS) is a security that pays a floating or fixed rate of return. This can be in the form of interest or dividends. The issuer of the IRS promises to pay the holder a specified rate of interest during the life of the security and then repay the face value at the maturity date.
Why invest in IRSs?
Investors may choose to invest in IRSs to gain exposure to a steady and reliable income stream.
What sort of IRSs are traded on the ASX?
A number of IRSs are traded on the ASX including:
- Bonds
- Floating-rate notes
- Convertible notes
Interest Rate Security trading at CMC Markets Stockbroking
We trade in interest rate securities both over the phone and online. Our web site includes market information showing prices for all interest rate securities issued by a company.
Want to learn more about IRSs?
To learn more about IRSs, we suggest you read the ASX’s Bonds & Hybrids guide.
