A flood of government money is due in New Zealand with the maturity of the Nov. 15 government bonds, of which there are some $7.6 billion in the market out of a total on issue of $8.78 billion.
The AA+ rated bonds were issued in 1999 and paid a coupon of 6%.
Not all the money may flow back into government debt, with yields near record lows and better returns in prospect from corporate issues and even equities.
The 10-year government bond recently traded at a yield of 4.21%, the lowest in at least two decades.
New Zealand Post Group, the state-owned postal service, sold $150 million of bonds under its medium-term note programme, paying annual interest of 5.225%.
Kiwi Income Property Trust, the biggest listed property investor, has a dividend yield of 9.09% based on its payments over the past 12 months.