Legal & General launch 6 year Growth Deposit Bond.
30 November 2011
Legal & General has launched the latest in its long running series of structured deposit bonds. The 6 Year Growth Deposit Bond 11 opens for investment on Monday 28 November and closes on Friday 20 January 2012. The series commenced in May 2010.
Legal & General's Head of Business Development, James Harrington said, "The continuation of this series, which is well on its way to its second year of new launches, is a testament to the continued demand for this style of Structured Deposit Bond, which at the end of the six year term offers a fixed minimum return and aims to return an investor's initial capital."
The 6 Year Growth Deposit Bond 11 offers an investor the return of their original investment at the end of the fixed six year term plus a minimum return of 9.25% at maturity (1.48% AER) or 100% of any capital growth in the FTSE 100 Index (subject to averaging), up to a maximum of 50% of the original investment, which ever is greater. The end of the fixed six year term is on
8 February 2018. If investors take out some or all of their money before the end of the fixed term they may get back less than they originally invested.
The minimum investment is £500 and the Bond is available as a deposit plan (for individuals, pension trustees, charities and corporate applications), new cash ISA applications (up to a maximum of £5,340) and for cash ISA transfers for which there is no maximum. The last date for ISA transfers is 6 January 2012 to allow time for completion of the transfer before the offer close date. The closing date for all other applications is 20 January 2012.
Commission is 3% of the sum invested. Full details for this product are available on the
Legal & General dedicated adviser website www.landgstructuredproducts.com.
Advisers can also contact Adviser Direct on 0845 273 0008 (Lines are open from 9am to 5pm Monday to Friday. We may record and monitor calls. Call charges will vary). Or e-mail firstname.lastname@example.org
Notes to editors
Notes to Editors:
The information contained in this press release is intended solely for journalists and should not be relied upon by private investors or any other persons to make financial decisions.
1. The contract start date is 8 February 2012 and the end of the fixed term is 8 February 2018. The maturity payment date is 12 February 2018.
2. This plan is not suitable for customers who may need to access their money before the end of the six year term or who may be seeking a definite return.
3. The growth of the FTSE 100 Index will be measured using the initial level of the Index at close of business on 8 February 2012 and the average level of the Index in the last 12 months of the investment, commencing 8 February 2017 to 8 February 2018.
4. The average level is based on the closing level of the Index on the 8th of each month during the averaging period (13 observations).
5. The 6 Year Growth Deposit Bond 11 is designed to return the original investment at the end of the fixed term. If investors take out some or all of their money before the end of the fixed term, they may get back less than they originally invested.
6. Taxation - as this is a deposit investment any growth received is treated as interest. The cash ISA (and an ISA transfer) is a tax free investment. Any growth received through the deposit plan will be paid net of UK income tax at the basic rate (currently 20%). Non tax payers can reclaim this tax. Higher and additional rate tax payers will have further tax to pay. SIPP, SSAS, charity or company applicants can be paid without the deduction of income tax but only where sufficient documentary evidence is provided.
7. The Deposit taker is The Royal Bank of Scotland Plc (RBS).
8. The return on the original investment and any applicable returns is dependent on RBS paying this money to us. This might not happen if RBS default or become insolvent and unable to repay us this money. If they don't repay us, the investor could lose some or all of their original investment. RBS is a member of the Financial Services Compensation Scheme, which covers the first £85,000 each customer holds with each bank or building society.
9. This investment does not invest directly into the companies that make up the FTSE 100 Index and so no dividend income is received.
The Legal & General Group, established in 1836, is one of the UK's leading financial services companies. As at 30 June 2011, we were responsible for investing £370 billion worldwide on behalf of investors, policyholders and shareholders. We also had over seven million customers in the UK for our life assurance, pensions, investments and general insurance plans.
For more information please contact:
PR Manager Savings
t: +44 (0) 1737 375365
m: +44 (0) 7802 503917
About Legal & General
Legal & General (Portfolio Management Services) Limited.
One Coleman Street
London EC2R 5AA.
Registered in England 2457525.