Nationwide launches protected equity bond

Nationwide Building Society has launched a new six-year protected equity bond, designed to return a customer's original investment.

The bond also promises a return linked to the performance of three of the world's leading stock market indices - the FTSE 100, EuroSTOXX and S&P 500.

Customers can receive 100 per cent of any growth up to a maximum return of 55 per cent gross on the original investment, subject to final year averaging.

Robin Bailey, Nationwide's divisional director for savings and investments, said the protected equity bond could be the ideal option for customers who are thinking about investing in the stock markets.

He said the product can mitigate some of the risk, reassuring those who are anxious about the risks of investing directly in company shares or investment funds.

"We've specifically designed it to protect the customer from any overall falls in the stock market at maturity," he explained.

Meanwhile, Nationwide has also introduced new one and three-year combination savings bonds. 

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2010-08-31 12:34:04 © Moneyextra.com