View more on these topics

Friends launch high yield bond


Friends Provident is launching a high yield bond with an anticipated income of 8.8 per cent a year.


The bond is available as a maxi Isa allowing investments up to £7,000 in the tax year ending to April and as a mini Isa allowing a maximum investment of £3,000.


The bond has a minimum single contribution of £1,000 and allows additional investments of £500.


Investors may receive regular income payable quarterly at the end of January, April, July and October or it can be rolled back into the fund.


The fund has an initial four per cent charge and an annual management charge of one per cent.


It invests across a range of fixed instrument investments including gilts, non-UK Government bonds and corporate bonds.


Friends Provident managing director retail operations Tony Barnes says: “With the interest rates offered by the majority of bank and building society deposit accounts at such low levels, the search for alternative forms of income generating investments becomes increasingly important.


“The new high income bond Isa has the potential for paying much higher levels of income than a traditional deposit and will pay this free of tax.”

Recommended

TMO launches discount cashback mortgage

Packager The Mortgage Operation is launching a discount and cashback mortgage for first time buyers.Funded by Bristol & West, the mortgage has a 2 per cent discount until January 1 2003. This takes its interest rate down to 5.49 per cent.TMO says the £500 cashback makes the mortgage ideal for first time buyers. They can […]

2,000 job cuts as CGU and NU merge

CGU and Norwich Union have agreed a £19bn merger, creating the UK&#39s biggest insurance group and costing 2,000 job losses in Scotland.The move will form a company powerful enough to take on the world&#39s biggest insurers including Axa and Allianz and will result in cost savings of at least £250m a year.CGU shareholders will hold […]

Fleming ad boost to S&P Isas

Fleming Asset Management is splashing out £3m on an advertising campaign as it bids to boost sales of its Save & Prosper Isa funds.The fund manager says it is launching the ISA season marketing offensive to promote its Save & Prosper Premier Equity Growth Fund and Its Save & Prosper Japan Growth Fund.It says the […]

Birmingham Midshires – The HeartBeat Account (inserted 21/2/2000)

Type: Fixed-rate interest account tied to Bank of England base rate.Minimum-maximum investment: £1,000-£500,000.Interest rates: £1,000-£4,999 – 1% below base rate, £5,000-£9,999 – 0.5% below base rate, £10,000-£24,999 – 0.25% below base rate, £25,000-£49,9999 – equal to base rate, £50,000+ – 0.25% above base rate.Term: None.Offer period: Until further notice.Withdrawal penalties: 30 days&#39 notice.Tel: 0845 602 […]

Budget summary – March 2016

This week’s Budget looked as if it would be a difficult one for the Chancellor, with disappointing economic numbers and the need to avoid ruffling feathers ahead of June’s in/out referendum. Nevertheless, Mr Osborne did spring a few surprises, including some tax reductions. So how does this budget affect you? If you are – or […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment