Barclays Wealth reissues Regular Income Bond with new stepped return structure

Barclays Wealth has reissued its popular Regular Income Bond with a new return structure for investors looking for a regular return.
As with previous issues, this FTSE 100-linked product offers both annual and monthly incomes. However, this issue features a new stepped return structure where investors earn an escalating return for each year the plan is held. The annual payout will consist of: 4.5% for the first year; 4.9% for the second year; 5.3% for the third year; 5.7% for the fourth year; 6.1% for the fifth year; and 6.5% for the sixth and final year.
The monthly option will pay 0.363% per month for the first year; 0.396% for the second; 0.429% for the third; 0.463% for the fourth; 0.496% for the fifth; and 0.529% for the sixth and final year.
In both options, investors’ capital is at risk if at any time during the term the FTSE falls by 50% and remains lower than its starting level at maturity. If this does occur, capital will be lost on a 1:1 basis.
Full details of this product can be found at http://www.barclayswealthprotectedinvestments.com
Commenting, Lisa Chaudhuri, vice president, Barclays Wealth, says: “As we enter a period of potential volatility following a major change in the political landscape of the UK and the ongoing crisis in Europe, the prospect of a predictable, fixed income is very attractive for investors. Our new RIB features a new payout structure to give investors a larger income each year – and so helping to preserve or increase the real value of the income against potential increases in inflation.  Investors also benefit from knowing that capital is repaid at maturity unless the FTSE suffer a significant fall over the term of the investment.”