Either 8% pa or 2.5 x FTSE growth at end of term, plus full capital protection…
If capital protection is a top priority, yet you still want to achieve high growth returns this new plan from IDAD could be an interesting option.
The Callable Deposit Plan is different from most other plans as the Deposit Taker (Goldman Sachs) can choose to ‘call’ or end the plan early on any quarterly anniversary date from year two onwards. If they do decide to end the plan then it will pay a return of 2% x the number of quarters the plan has been running plus the return of capital.
If the deposit taker decides to let the plan run for the full 7 year term then at maturity it will pay an attractive 2.5 x any FTSE growth over the period, plus a return of capital. As with other deposits your capital is also eligible for FSCS protection but if the Index is lower at this point, you will only get your initial capital back.
Although this plan has an uncertain end date, by offering some of the highest deposit returns available on the market no matter how the FTSE performs, or a very competitive potential return if it runs the full term, it could provide a very attractive alternative when comparing with other deposit based options.
Reduced arrangement fee: For investments of £100,000 or more into this plan, processed through Fair Investment Company, your arrangement fee will be reduced to 2% of your original investment.
2% per quarter (8% pa) – if the Deposit Taker ends the plan early
2.5 x FTSE 100 Index growth – if the plan runs for the full term
Deposit Taker: Goldman Sachs International Bank
Capital Protected Product
Eligible for the Financial Services Compensation Scheme up to £85,000 for an individual or up to £170,000 for a joint deposit account
Available for Cash ISA, ISA Transfer and Direct Investments. Also available to businesses, charities, trusts and SIPP and SSAS pension schemes
Investment term: Maximum 7 Years
Arrangement fee applies
Minimum single investment: £10,000
Maximum ISA investment: £20,000
No Maximum for ISA transfers and non-ISA investments
ISA Transfer applications: 13 March 2019
Direct & ISA applications by cheque: 20 March 2019
Direct & ISA applications by bank transfer: 27 March 2019