Legal & General launches second savings product linked to RPI

Wednesday, 11 January 2012 04:43

Following on from the success of its first savings product linked to the retail prices index (RPI), Legal & General has announced the launch of another.

The company said its Inflation Protected Deposit Bond 2 (IPDB 2) will be available until March 2nd 2012 and is designed to help customers protect their capital from inflation.

It is a five-year, fixed-term structured deposit bond that will provide a minimum return of 16 per cent when it matures, or 100 per cent of RPI growth if this is greater.

The minimum deposit is £500 and bonds are available as a deposit plan, as new cash Isas or as cash Isa transfers.

Legal & General's James Harrington commented: "We think that our new inflation protected bond will appeal to savers who are concerned that low interest rates combined with continued high inflation will reduce the real value of their savings."

Established in 1836, Legal & General has been responsible for investing £370 billion worldwide on behalf of its customers.

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