Commonwealth Bank launches capital protected ASX200 investment

15 February 2011: Commonwealth Bank (the Bank) has today launched a new capital protected investment, Capital Series Cornerstone – the 25th issue of the long standing Capital Series suite of investment solutions.

Capital Series Cornerstone gives investors exposure to the S&P/ ASX 200 Index on the Australian Securities Exchange with 100% capital protection1 at maturity. 

Strategy 1 offers investors 5% p.a. guaranteed income (from Year 1.5) plus the potential of up to 45% capital growth over the 5.5 year investment term. This strategy is considered a fixed income alternative.

Strategy 2 offers investors a maximum potential capital growth of 82.5%, if held to maturity.

Capital Series Cornerstone has been rated "STRONG" by rating agency, Standard & Poor’s, stating the investment should meet its objectives over the investment term. 

Moghseen Jadwat, Head of Business Development at Commonwealth Bank, said: “The lessons learned from the global financial crisis is that investment risk is real, and an investor’s wealth can be wiped out in a short time by volatile market movements.

“Furthermore, index investments are becoming increasingly popular for investors who may find stock picking difficult. Capital Series Cornerstone is attractive for investors who are looking for a low risk investment with access to blue chips stocks and peace of mind knowing their investment is capital protected,” Mr Jadwat said.

Capital Series Cornerstone is open from Tuesday 15 February until Monday 11 April 2011 and is available to investors, companies, trusts and Self Managed Super Funds. Commonwealth Bank also offers a lending package for individuals.


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For further information please contact:
Nichole Willson
P: 02 9117 7051


  • Important information
    1Capital protection will only apply at the maturity date and is subject to risks, limitations and conditions.  Please refer to the PDS for more information.

    Capital Series Cornerstone is issued by the 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). Generally the higher the potential return for an investment, the higher the corresponding volatility or risk and the greater the chance of substantial fluctuations in returns over time. The Underlying Portfolio itself has no actual performance history, however the Reference Assets in the Underlying Portfolio have performance history.

    A Product Disclosure Statement is available and should be considered before making any investment decision about this product.  This article has been prepared without taking account of the objectives, financial situation or needs of any particular individual. Any individual should, before acting on the information in this article, consider the appropriateness of the information, having regard to the individual's objectives, financial situation and needs and, if necessary, seek appropriate professional advice. We believe that the information in this article is correct and any opinions, conclusions or recommendations are reasonably held or made, based on the information available at the time of its compilation, but no warranty is made as to accuracy, reliability or completeness. To the extent permitted by law, the Commonwealth Bank Group does not accept liability to any person for loss or damage arising from the use of this article. No inducement has been or will be received by the author in regard to this article.

    Commonwealth Bank of Australia has instructed Standard & Poor's Information Services (Australia) Pty Ltd (ABN 17 096 167 556) ("Standard & Poor's to rate Capital Series Cornerstone and will pay a fee customary for this type of service to Standard & Poor's.

    This document has been furnished to you solely for your information in your capacity as a financial adviser and may not be reproduced or redistributed to any other person.