NS&I Guaranteed Equity Bond offers FTSE-linked growth

www.moneynews.co.uk > Banking > NS&I Guaranteed Equity Bond offers FTSE-linked growth

NS&I Guaranteed Equity Bond offers FTSE-linked growth

Tue 30th Jun 2009

A new Guaranteed Equity Bond from National Savings and Investments (NS&I) has been introduced to customers and offers them the chance to tie up their finances with the FTSE 100.

Available form today, the bond offers a return of up to 40 per cent according to the behaviour of the index.

For example, if a customer invests £10,000 over five years and the average index end level is 20 per cent higher than the start level, they would earn £2,000 upon the account's maturity.

However, it is highlighting that the account is not eligible for dividends, as NS&I does not invest the money in equities.

The FTSE 100 index was set up in the 80s and includes companies such as Tesco, Unilever, Prudential, Thomas Cook, Aviva and BP.

It ended last week down by 2.5 per cent and has dropped by 4.4 per cent since the start of the year.

Click here for more banking news

Related News : Banking
	Young people 'should be taught to save'
	Families 'should plan for their children's future
	Switching bank accounts 'not as easy as banks portray'
	Brits facing finance difficulties 'should talk to their bank'
	Brits 'should utilise Isa allowances'
	Brits advised on investment options
	Children 'should be given bank accounts at 16'
	Falling inflation 'could help Brits save'
	Money worries 'are mounting for many'
	Contactless payment 'is secure and convenient'