Protected Loans

Enjoy the ups and avoid the downs.

A St.George Margin Lending Protected Loan allows you to enjoy the benefits when stock markets rise, without the risk of capital loss on your shares. You borrow money to buy a portfolio of shares and we protect their value.

You receive the capital gains, dividends and franking credits on the protected shares. However, if the securities fall in value, your portfolio is protected from any loss. As long as you hold the shares, you will continue to receive any associated benefits. The stock price protection remains valid as long as you do not default on interest payments or terminate your loan early.

If you want to maximise your wealth accumulation and limit your market risk, a protected loan is a smart way to invest.

At a glance

• No equity required, subject to conditions we'll lend up to 100%
• Minimum loan of $40,000
• Straightforward application process
• Choose your portfolio from over 70 securities (Protected Loans Acceptable Securities List)
• Choose your own stockbroker to purchase the underlying securities
• You receive all dividends, franking credits and capital gains
• Value of your securities protected at an agreed price
• No margin calls (subject to meeting all terms and conditions)
• Option to retain shares at loan term completion
• Interest-only loan
• You can pay interest monthly or annually in advance
• Competitive 1 year (fixed in advance) rate
• One monthly statement
• The Federal Government controls Division 247 of the Income Tax Assessment Act (1997) which outlines the rules in relation to the deductibility of the interest on protected loans. A copy of the legislation is available on request from us or from the ATO website.