View more on these topics

Norwich & Peterborough enter into Union

Norwich and Peterborough Building Society has unveiled the third issue of the portfolio bonus bond.

The bond combines a lump sum investment bond with an instant access savings account. It aims to provide investors with long-term capital growth and the option of income, plus easy access to part of their investment.

At least 80 per cent of the investment must go into Norwich Union&#39s portfolio bond. It gives investors access to up to six funds from a range of 23. These include with-profits, global equity, equity ethical, corporate bond and property funds. There is also a guaranteed fund for more cautious investors, which guarantees the return of the original capital after five years.

The rest of the investment goes into Norwich & Peterborough&#39s portfolio bonus account which pays interest of 8 per cent gross in the first year, including a 3 per cent bonus. Investors have instant access to this part of the bond and any withdrawals they make are penalty-free.

The bond could suit investors who are willing to tie up most of their money over the medium to long term but who need some of their investment to fall back on if they need money in an emergency. It is flexible enough to suit a range of risk profiles, from those who are looking for a capital guarantee to investors who want the excitement of Japan and South East Asia.

However, investors should be aware that the bond is not a capital protected product, even though it offers the option of a guaranteed fund.

Recommended

Henderson Electric and General Investment Trust down

Henderson Electric and General Investment Trust saw its net asset value per share fall by 20.3 per cent in the year ended May 2001. The fall compares to a 6.8 per cent fall on the FTSE All-Share Index over the same period. Blaming the results on the slowdown in the US economy, trust chairman Lindsay […]

Field is thwarted In comeback bid

Former welfare reform minister minister Frank Field has been blocked bythe Govern-ment in his efforts to rejoin the powerful work and pensionsselect committee, which he once chaired. Field, Labour MP for Birk-enhead since 1979, was fired as minister in1998. He is known for his outspoken views which often attack the Government. The committee will now […]

Schroders goes north

Stevens says: “They offer a managed volatility approach which may be just as well at this time. I hope this does not restrict performance too much.”Hooper says that the strategy seems to have been well thought out and researched.Moving on to the disadvantages of the fund, Darlington says: “This is a new fund in a […]

Marsden brings in three-year fix

Marsden Building Society is getting fixed with the introduction of the three-year fixed rate mortgage.Fixed until July 31, 2001, the mortgage has a rate of 5.95 per cent for loans up to a maximum of 80 per cent. After the fixed rate period the mortgage reverts to the Marsdens standard variable rate. The mortgage is […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com