The euro-denominated account offers protected exposure to the Euro Stoxx 50 Index, with full capital protection available on maturity. The minimum investment is €50,000.
Barclays announced the new product this week, when it also unveiled its latest sterling-denominated deposit account which offers four-year protected access to the FTSE 100, with a minimum investment of £50,000.
Both products are designed for use within offshore bonds and UK onshore life insurance wrappers, and are available now through 29 June.
Money back guarantee
According to BarCap, the new Euro Deposit Account offers investors exposure to the rise in the Euro Stoxx 50 over the course of the four-year term, capped at 22.5%, with the assurance that if markets fail to grow during the period, they may receive their investment amount back in full at the end.
Barclays Capital director David Macdonald said that in spite of the euro’s current weakness, low interest rates in “Euroland” meant that investors enjoyed “the potential of attractive returns”.
Likewise, its Four Year Protected Sterling Deposit Account returns the capital invested on maturity in full, no matter how the FTSE 100 Index has performed, plus 1.5 times the rise in the FTSE 100 Index over the course of the term, capped at 25%.
As it has in the past, Barclays Capital said it is able to create similar accounts denominated in other key currencies where demand is sufficient.
Access to both products is available through most offshore life bond providers, details of which may be found at the Barclays website – along with brochures and fact sheets – at www.BarclaysOffshoreSolutions.com. Interested advisers also may [email protected], or call +44(0)773 9225.
Product |
Four Year Protected Sterling Deposit Account |
Four Year Protected Euro Deposit account |
| Offer period | 4 May – 29 June | 4 May – 29 June |
| Investment date | 30 June, 2010 | 30 June, 2010 |
| Maturity date | 30 June, 2014 | 30 June, 2014 |
| Repayment date |
5 July, 2014 (two business days after the maturity date) |
5 July, 2014 (two business days after the maturity date) |
| Investment index | FTSE 100 index | Dow Jones Euro Stoxx 50 Index |
| Minimum investment | £50,000 | €50,000 |
| Repayment amount on maturity |
Capital invested, plus a return based on the index’s performance, capped at 25% |
Capital invested, plus a return based on the index’s performance, capped at 22.5% |
| Participation | 150% | 100% |
| Investment return cap | 25% | 22.5% |
