Abbey is set to launch two guaranteed investment products linked to the FTSE 100.
Issue 16 of the firm’s Guaranteed Growth Plan and the third issue of its Guaranteed Capital Plus product, set to launch on 25 June, will both be available for three and a half or six years.
The Growth Plan offers a guaranteed minimum return of 5% over three and a half years, or 50% of the FTSE capped at 35%.
For the six-year plan, Abbey offers a guaranteed minimum return of 20%, or 50% participation in the FTSE 100, capped at 60%.
The Guaranteed Capital Plus product offers 18% return if the FTSE 100 has increased over three and a half years, or a guaranteed minimum return of 2% over the period if the FTSE has decreased or stayed the same.
Over six years, it offers a return of 40% if the FTSE has increased, or a minimum of 2% if the index has decreased or stayed the same.
Reza Attar-Zadeh, director of savings and investments at Abbey, says: “Given the volatility of the stock market, many investors are deciding to take a cautious attitude to risk.
“Abbey’s Guaranteed Capital Plus gives investors an exposure to the superior returns available from linking to equity markets without putting their capital at risk.
“[The] Guaranteed Growth Plan gives investors exposure to equity markets without putting their capital at risk. It also ensures them a guaranteed minimum return, regardless of the stock market performance.”
Both products are available from 25 June until 9 September, with a minimum investment of £1,500.
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