Apr 7 2006
Nationwide is offering investors a new equity bond with a minimum return of all capital and at least ten per cent growth.
The Guaranteed Equity Bond (GEB), available from April 10th, is a five year bond linked to three worldwide indices - the FTSE 100, Nikkei 225 and DJ EuroSTOXX.
The bond guarantees to return the original investment plus ten per cent growth or up to 50 per cent of any growth in the value of the indices (whichever is greater).
For customers who invest early, the building society is also offering a bonus ranging from 0.4 per cent if you sign up between 10th and 22nd April or 0.2 per cent if you invest between 8th and 20th May.
Nationwide says the bond is ideal for people who may want to take the first step towards becoming an investor.
"It [the Guaranteed Equity Bond] enables them to benefit from potential stock market index growth based on the performance of some of the world's top companies which are listed on the stock markets of the UK, Europe and Japan," said Clive Parkinson, managing director of Nationwide Investments.
He added: "But without taking any risks with their original capital and providing the opportunity to receive even greater returns."
