National Savings offers bond with 120% of FTSE 100 growth
Wednesday, 07 Mar 2007 14:36
National Savings and Investments (NS&I) has released a new guaranteed equity bond offering 120% of any FTSE100 growth.
On sale for just six weeks, the NS&I guaranteed equity bond can be opened online, by phone or by post.
People can incest in the bond from March 14th 2007, - it will offer a return equal to 120% of any growth in the FTSE 100 index over the five-year term of the Bond, without any risk to investors' capital.
You can investment anywhere between £1,000 and £1 million per person in the bond.
NS&I guaranteed equity bond key features
A five-year investment
Minimum investment of £1,000, maximum of £1 million (£2 million for joint investments), maximum online investment £99,999 per person
A gross return linked to any growth in the FTSE 100 index over the term
A competitive 120% participation rate
The start and end FTSE 100 index levels allow for five days initial averaging and six months final daily averaging
No cap, giving unlimited growth potential
100% guarantee that all of a customer's original capital investment will be returned at the end of the five-year term, regardless of the performance of the index, backed by HM Treasury
Any returns from a GEB not held within a SIPP will be subject to income tax in 2012-13 so must be declared to the Inland Revenue
Investors do not receive dividends from this Guaranteed Equity Bond.
No access to the funds invested once the term has started except in death.