Norwich Union offers investors a broad base

06 July 2004
Norwich Union is offering cautious investors a new run of its Guaranteed Fund.

Available from August 9th, the fund has been created to give capital growth by investing in a diverse range of assets. It also allows a certain degree of certainty as it guarantees that on the fifth anniversary of the fund its value will be at least equal to the original payment into the fund.

The fund will run for five years and invests consumer's money in shares, bonds, property and cash. The minimum investment is £5,000.

Neil Davies, head of investment product development at Norwich Union, said: "The Guaranteed Fund has been popular with [financial advisors] because it offers exposure to a wide spread of assets, which gives the prospect of growth with a reasonable level of risk. Investors like it because it also guarantees their original capital on the fifth anniversary.

"The fund is actively managed and that means the fund manager can move into equities when stock markets are improving, and out of equities if they are falling."