Barclays Wealth has launched a FTSE 100 lock-in investment offering a potential 60% return.
The six year UK Accumulator offers 100% of the rise in the index up to a maximum return of 60%, with gains locked-in for every 15% rise in the FTSE during the term. In addition, the investment becomes 100% capital protected as soon as the first lock-in level of 115% level is reached.
However, capital is at risk if the first lock-in level of 115% is never reached and the index falls by more than 50% from its starting level and remains below this level at maturity.
Barclays Wealth manager Lisa Chaudhuri says the plan allows investors to receive attractive returns while reducing the downside risk.
"UK Accumulator locks-in gains for given rises in the FTSE 100 while keeping investors exposed to further potential upside, giving them more certainty and less timing risk than available though other investments," she says.
"The fact Accumulator becomes 100% capital protected if the first lock-in level is achieved is an additional bonus which should appeal to cautious investors keen to minimise the risk to their capital."
UK Accumulator is open for investment until 29 January 2010 set at a minimum of £3,600. It is available as an ISA, SSAS or SIPP with commission available at 3%.
Tapered annual allowance headache
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Acquisition completed earlier this month.
Changes to take place by next year
Launched 18 November