About BlueChip20

How Westpac BlueChip20 works

You make a minimum initial investment of just $2,500. This is matched with an interest-only investment loan of the same (or similar) amount. These funds are then used to purchase a market weighted portfolio of Australia's top 20 companies, as determined by the S&P ASX Top 20 Index.

Build it up a month at a time
Every month you invest a minimum of $250, debited directly from your nominated bank account. An equal or similar loan amount is added each month from your margin loan, this total will then be invested into your Westpac BlueChip20 account and used to buy more shares in the portfolio. This is called regular gearing.

The Westpac BlueChip20 Advantage

• Save on brokerage costs

Buying shares in 20 different companies every month directly can be a costly exercise. For example, if brokerage is $20 per trade, this would equate to $400 to purchase 20 different stocks.

Westpac BlueChip20 charges a maximum brokerage fee on any contribution of just 0.05% (plus GST). For example, if you have $5,000 to invest, the brokerage cost would be no more than $2.50 (plus GST). If you invested $500 per month, brokerage would be at most $0.25 (plus GST).

• Dividends may cover interest costs

As you build up the value of your share portfolio, any dividends will be reinvested in your portfolio. When your portfolio is geared at 50%, you double the amount you can invest and effectively double the dividends. This may offset the interest on your loan (which may also be tax deductible for you).

• 24/7 online access

With 24 hours a day, 7 days a week online access you can review your portfolio and detailed tax and profit reports at any time.

Westpac BlueChip20 Features

  • Start with as little as $2,500 to buy Australia's top 20 blue chip shares
  • Regular monthly contributions start at $250
  • Brokerage as little as 25 cents per month
  • 24/7 on-line access to your investment portfolio