The sixth tranche of Woolwich's popular Capital Plus Plan will be launched this week - providing just the right sort of investment for the cautious saver.
The Plan is designed to be held for six years, after which the investor regains the full initial deposit plus a return of either 25 per cent or half the rise in the FTSE 100 share index over that six-year period - whichever is higher.
Investors can thus benefit from positive stock market performance, but without the risk of stock trading - the full initial deposit is guaranteed provided the investment is held for the full six-year term.
"The Capital Plus Plan provides cautious investors with the reassurance of a product designed to give them back their original investment at the end of the six year term, and also the opportunity for returns on their investment without the risk of a direct stock market exposure," explained Colin Dickie, spokesperson for Woolwich Plan Managers.
The sixth issue of the Capital Plus Plan is also eligible for ISA investment of up to £7,000 in the 2005/6 tax year.
Mr Dickie added: "The return of 25 per cent is equivalent to an annual compound rate of 3.8 per cent rate; outside of an ISA, investors would need to earn 4.7 per cent or 6.3 per cent respectively for basic rate and higher rate tax payers, which make an ISA investment in this plan highly competitive."Click here to find out more about investments.
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