About security investments


  • Also known as ‘negotiable certificates of deposit’ or ‘bills of exchange’ accepted or endorsed by Australian banks
  • Considered to be ‘discount securities’ because they are sold at a discount to their face value
  • Difference between the purchase price (amount invested) and the face value (amount at maturity) represents the interest earned
  • Provides flexibility, competitive returns and the ability to manage interest rate risk
  • Minimum investment amount of $100,000
  • Terms from 30 to 185 days
  • No account-keeping fees (where applicable, standard government fees apply)
  • The face value of the investment is paid on maturity


  • Competitive returns – receive rates available in the short-term money market
  • Consistent returns – once purchased, interest rate is fixed until maturity
  • Flexibility – a fixed interest rate facility can extend the guaranteed rate for up to two years, with interest paid quarterly (forward sale) or at maturity (compound forward sale)
  • Security – the accepting or endorsing bank has an ‘obligation to pay’ upon maturity. We will hold the securities for safe custody free of charge
  • Manage risk – enhance returns and manage risk by attaching Flexi Bill Solutions to your investment

Fixed rate security investments

  • Suitable if you want to invest for a longer term than is generally available in the securities or bank bill market
  • Minimum investment amount of $100,000
  • Choice of two types of fixed rate investments –  forward sales and compound forward sales (see below)

Forward sales

  • Security investments rolled over quarterly at the same interest rate negotiated on the initial investment date
  • Interest is paid on each rollover
  • Terms from four months to five years

Compound forward sales

  • Similar to forward sales, but interest is paid at maturity
  • Terms from four months to two years 

Related products

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Important information

This advice has been prepared without considering your objectives, financial situation or needs. Before acting on this advice, please consider its appropriateness to your circumstances.

Commonwealth Bank of Australia issues all products mentioned on this webpage. View our Financial Services Guide. If you have a complaint, call the Bank’s dispute resolution team on 13 2221.