Protected Equity Bond summary
The Protected Equity Bond is a deposit based plan which offers returns linked to the performance of some of the world’s leading stock market indices. The Protected Equity Bond does not invest directly in company shares or investment funds and so protects you from any negative growth in the stock markets.
The Protected Equity Bond we currently have on offer is the Legal & General Stock Market Linked Savings Bond 2 (The Plan).
Investment growth
Minimum return:
Designed to provide you with a minimum 11% gross (1.75% AER*) at the end of 6 years when your original investment is held for the full term with no withdrawals.
Plus potential growth:
Or if the selected stock market indices do well, you could get much more than that, receiving 100% of any growth, subject to final year averaging, up to a maximum 50% of your original investment.
Who looks after my money?
Although this is a Legal & General product, during the fixed term, your funds are held by Nationwide as the deposit taker. This means that from the investment start date all the way through to maturity we will be helping to look after your money. Before the start date and after the fixed term, Legal & General put your money in a client bank account separate from their own money.
For full details of where your money is held before and after the six year fixed term please refer to the Key Features Document.
Key information:
- Designed to provide a minimum 11% gross return on original investment if held to maturity
- Combine with the tax efficient advantages of an ISA
- Deposit account with the potential for stock market linked growth
- Invest from £3,000
- Six year term
- No withdrawals from deposit plan
- View the full account details
Limited availability
Key dates:
- Offer available: 1 March 2010 to 1 May 2010 via branch, post and internet. Limited availability - may close early.
- Important dates
2009/2010 ISA application deadline: 10am on 5 April 2010.
ISA transfer application deadline: 16 April 2010.
2010/2011 ISA application deadline: 1 May 2010.
Any applications received after these dates cannot be accepted. - Investment start date: 20 May 2010
- Maturity date: 20 May 2016
Further investment details
How the investment works:
See what could happen to your investment with our Investment Calculator
Find out how the return is calculated
Three ways to invest
You can use your ISA allowance, transfer in existing ISAs, or open a deposit plan. Find out more about the investment options»
Find out more about our partnership with Legal & General
* AER stands for Annual Equivalent Rate which illustrates what the interest rate would be if interest was paid and compounded once each year. This allows you to compare the minimum and maximum potential returns with other savings products.