Questions raised over Abbey bond

In its analysis of the structured product, which is part of a range of bonds issued at the end of October, researchers said the Guaranteed Residential Guaranteed Property Bond was not competitive and rated it as “not endorsed”. The report also said: “It is questionable whether, if you consider we are close to the peak in the property cycle, that in comparison to stockmarkets, this bond will provide the potential for a great deal of growth over a term as short as five years.” However, it recommended the seven-and-a-half year version as a better alternative. It suggested that while m...