Genesis Energy Bond, 2029

Genesis Energy is a Crown-majority-owned generator and retailer with hydro, wind and thermal generation plus a large customer book. Its retail bonds tend to be shorter-dated than its peers, which suits investors who are wary of locking in a fixed rate for eight or ten years.

The shorter term means less price sensitivity to interest rate moves and a nearer-term return of capital, at the cost of a slightly lower yield than the long end of the retail curve.

Interest is paid quarterly. Parcels trade from $5,000 on the NZX Debt Market through a sharebroker.

Genesis Energy Bond, 2029 is bought and sold through a New Zealand sharebroker rather than direct from the issuer. You pay the prevailing market price plus brokerage, which is why the yield to maturity above differs from the 6.20% coupon.

Held to November 2029, you receive the scheduled interest and face value at maturity, assuming the issuer meets its obligations. Sold earlier, you receive whatever the market pays that day — higher if interest rates have fallen, lower if they have risen. Listed does not guarantee liquid, so the prudent assumption is that you hold to maturity.

This bond ranks as senior unsecured. Ranking determines where you stand relative to other creditors if the issuer runs into trouble, and it matters more than the headline rate.