Bradford & Bingley launched a new bond this week aimed at giving canny investors the best of both worlds.
The Guaranteed Combi Bond combines a competitive rate with the high growth potential of the stock market while protecting the customer's initial investment.
Head of savings at Bradford & Bingley, Steve Potter, said: "This is an excellent opportunity for those who not only want a great interest rate but also want to benefit from the growth potential of the stock market - without any of the risks.
"Investors simply cannot lose. The rewards on offer are also greater than those with conventional savings bonds."
The bond splits the initial investment between the fixed rate bond, which pays seven per cent interest and a five-year guaranteed equity bond, which pays 110 per cent of the growth of the FTSE 100 index.
Bradford & Bingley has promised customers that the initial investment cannot be lost.
Customers can invest as little as £1,000 or as much as £250,000.To read more about Savings, click here.
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