NAB Equity Builder features

Here's what you get

  • A principal and interest investment loan for managed investments

  • A flexible loan term from 3 – 10 years

  • Monthly repayments with early pay off possible

  • A variable interest rate and no ongoing fees

  • 2% special rate discount for the life of the loan


  1. The loan is for investment or business purposes only

  2. You need to be 18+ and a permanent Australian resident

  3. You need to understand there are risks involved when investing in the share market

What is NAB Equity Builder?

NAB’s Equity Builder is a principal and interest (P&I) investment loan not offered by any other bank. It offers a simple way to borrow for investment in financial assets, without using your property as security. Instead, we use the shares and investments you acquire through the NAB Equity Builder as security. This means you won’t have to worry about borrowing against your house.

Find out how borrowing to invest in managed investments could help you achieve your financial goals. 

What can I use the NAB Equity Builder for?

NAB Equity Builder lets you borrow money to acquire financial assets such as:

  • managed funds
  • exchange traded funds (ETFs)
  • listed investment companies (LICs)
  • separately managed accounts (SMAs).


  • It's another way to build wealth.
  • It amplifies your investing potential and your exposure to domestic and international opportunities.
  • The minimum loan amount is $20k and can be increased at anytime.
  • It enables a disciplined savings approach for investment goals – no margin calls, just regular P&I repayments.
  • There's a broad choice of 950+ diversified investments.
  • You own an investment portfolio of financial assets that can grow in value over time.
  • Once you’ve paid off your loan, you have a number of options. Keep your asset as an additional income stream, reinvest, or sell all or part of your investment.


  • Investing in the share market (domestic and international) comes with risks and many factors can cause market volatility.
  • Using leverage can magnify both gains and losses.
  • If you miss a monthly repayment, your investments may be sold. This may have capital gains tax (CGT) implications.
  • If the interest rate increases, your P&I repayments may be greater than what you originally budgeted for.
  • If one of your chosen investments is removed from the Approved Investment List, opens in new window, you may need to switch to another investment. The sale of an existing investment may have capital gains tax (CGT) consequences.

Investors who borrow should be comfortable with the risk they’re taking. It’s important to understand that gearing magnifies both the potential for gains and losses in assets, which can both increase and decrease in value.


10.00 %

Standard variable rate

8.00 %

Special rate


The special rate is a 2% discount off the standard variable rate. The discount will apply for the life of the loan or until varied or withdrawn by NAB.

How to get started


Do your research before deciding what investments are right for you.

Read our NAB Equity Builder Product Brochure (PDF, 366KB), opens in new window and our NAB Equity Builder Facility Terms (PDF, 659KB), opens in new window

If in doubt about your wealth strategy, speak to your financial adviser.


Complete the online application form. Have your financials ready and it’ll take 15-20 minutes.

Choose investments

See if your chosen investments are on NAB’s Approved Investment List, opens in new window.

Once you’ve decided on the investments, send in the Loan Request & Investment Instruction form (PDF, 245KB), opens in new window and we’ll purchase the investments on your behalf.

Monitor investment portfolio

Regularly review the performance of your investments to see if your wealth strategy is on track to reach your goals.

Get started with your new NAB Equity Builder Loan

Still have questions?

  • It’s an investment loan where each payment reduces the principal (the amount you initially borrowed) as well as covering the interest. Once you pay off the loan in full, the assets are 100% yours.

  • NAB Equity Builder is just like a home loan, but for financial assets instead of property.

    Once approved, you can choose from over 950+ approved investments. You can opt to:

    • acquire investments all at once
    • wait for the right opportunity
    • break it up into a number of smaller investments over time.

    When you (or your adviser) have decided on your investments, we’ll purchase the investments on your behalf. As it’s a principal and interest loan, all you need to do is meet the monthly repayments over a set period of time. Once your loan is paid in full, the financial assets are all yours.

  • Traditional margin loans also allow you to borrow to invest for any business or investment purpose, with the shares held as the loan security.

    As share prices can fluctuate, there’s a risk that the shares might fall in value. If the value of your investments falls to a point where your loan exceeds the maximum loan value ratio (LVR), you’ll receive a margin call. This could involve:

    • making a lump sum payment
    • selling part of your investment
    • providing extra security (e.g. security over other shares).

    If you do not take one of the required actions, the lender can sell your shares to meet the margin call.

    With NAB Equity Builder, the loan is set up as principal and interest. This means you have a disciplined repayment plan built in. It’s a lending solution with no margin calls, making things easier on both your budget and your peace of mind. This loan type allows you to stick to your plan, without short term market volatility impacting on your long term investment goals.

  • More specifically, should you borrow to invest in managed investments? If you’re comfortable with borrowing money to invest in financial assets, then NAB Equity Builder could allow you to contribute a larger amount on day one. If your investments perform well the effect of compound returns is much stronger, which could lead to better investment results in the long term.

    However, investors who borrow should be comfortable with the risk they’re taking. It’s important to understand that gearing magnifies both the potential for gains and losses in assets, which can both increase and decrease in value. Even with the repayment of your principal over the loan term, losses will be magnified in the event of a market downturn, or asset devaluations.

More information on NAB Equity Builder

Terms and Conditions

The information provided on this web page is intended to be of a general nature only. Any advice on this page has been prepared without taking into account your objectives, financial situation or needs. Before acting on any advice on this page, National Australia Bank Limited (ABN 12 004 044 937 AFSL 230686) (NAB) recommends you consider whether it is appropriate for your objectives, financial situation and needs. NAB recommends that you seek independent advice before acting on any information on this web page. The taxation information contained on this website is of a general nature. The tax consequences of investing will depend on your particular circumstances. We recommend that you seek professional tax advice before applying for a NAB Equity Builder facility.

Just like with any investment decision you make, you need to consider the risks. It’s important to know that investing in the share market (domestically and overseas) carries risk and requires a long term focus, as many variables can cause short term fluctuations; both down and up. Borrowing to invest can be an effective wealth building strategy, but gearing does introduce another level of risk. It magnifies the impact on your equity of increases and decreases in your portfolio. Also interest rates can rise over time, which increases the cost of implementing the strategy.

©2020 National Australia Bank Limited ABN 12 004 044 937 AFSL and Australian Credit Licence

This web page is not a substitute for reading the NAB Equity Builder Facility Terms and Product Brochure. NAB is the issuer of NAB Equity Builder and recommends you consider the Facility Terms before making any decisions. The Target Market Determination for this product is available at