Medibank float provides reward:Hockey

Treasurer Joe Hockey says investors in the Medibank Private float have been rewarded a 10 per cent benefit.

Shares in the privatised health insurer started trading on the ASX on Tuesday, opening at $2.22 compared to a list price of $2 for retail investors.

They were later trading at $2.20.

Mr Hockey said 400,000 Australians have become direct shareholders in Medibank Private, while millions more would have invested through their superannuation.

"They received on the list price, a 10 per cent benefit for backing Medibank Private," Mr Hockey told parliament.

"That is a reward for their enterprise investing in the public offer."