The bond offers a minimum return of 13.5% at maturity or an upside potential of 100% of any capital growth in the FTSE 100 Index subject to averaging up to a maximum of 50% of their original investment, whichever is greater.
It is available to investors as a deposit plan, new cash ISA applications and cash ISA transfers. The minimum investment is £500 and commission is 3% of the sum invested.
It aims to return the investors’ original capital at the end of the six-year fixed term of 31 August 2017.
The offer period runs from today until Friday 12 August 2011 and the contract start date is 31 August 2011.
James Harrington, head of business development at Legal & General, said expected inflationary rises could make the product attractive to consumers.
“With the consumer prices index likely to remain at or above its current level for some time yet we are experiencing continued demand for these deposit bonds which help savers ensure their savings keep pace with inflation.
We are also seeing growth in the use of our structured products as part of the portfolio planning process as more and more advisers and their clients experience the quality of our products.”
