Abbey National launches offshore capital guaranteed savings account
Abbey International has launched an Offshore Capital Guaranteed Savings and Growth account aimed at UK expatriates.
The product places 50% of an investor's money into a fixed-term deposit account offering an income of 12% after two years, while the return on the other half of the investment is linked to the performance of the FTSE 100.
Investors will receive 100% of the capital back, plus any return of the stock market which is capped at 40% providing the investment is held until both elements mature. The cash element of the investment will mature on 17 November 2008, while the equity element will mature on 24 November 2010.
Jane Matthews, head of marketing and business development at Abbey International, said partial withdrawals were not permitted and warned if the investment was withdrawn before maturity, the return may not be as high as the original investment.
Investments can be made until 3 November. The account requires a minimum deposit of £20,000 and any cash held in the account until the investment term begins on 17 November will receive interest at 0.2% above Bank of England base rate, currently set at 4.5%. This will be accredited to the investors account at the beginning of the investment.
Matthews said this was just one of many products Abbey had launched in recent months.
In April, it launched three capital guaranteed structured deposit accounts. This included a Japanese equity, UK equity and residential bond
She added: "Demand for these products is growing as they combine the security of a traditional savings account with the growth potential of the stock market."
Abbey launches Capital Guaranteed Savings and Growth account
50% of the product invests in a cash deposit
Other half linked to FTSE 100
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Regtech or fintech
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