Benefit from FTSE 100 growth tax free and capital guaranteed

Leeds Building Society has launched a new product offering customers the security of a 100% capital guarantee, combined with the potential to benefit from any growth in the FTSE 100 index, tax free.

The Guaranteed Capital Account now has an increased headline rate of a guaranteed minimum return of 25% of the capital invested, plus a bonus of 1% for investments made before Thursday 5th July 2007, 0.50% bonus for investments before Tuesday 24th July 2007 and a 0.25% bonus for investments made before Saturday 11th August 2007.

There is also a 100% capital guarantee and the account has been designed with a 6-year term, allowing the investment longer to grow and mitigate the effects of any short-term stock market fluctuations. The return will also be tax-free if the initial investment is part of an investor’s tax-free allowance, or is transferred from an existing ISA or TOISA account.

Trevor Garside, Head of Financial Services said "The FTSE 100 index showed an average annual growth rate of 11.46% between 2003 and 2006 and 5.36%1 already this year. Many customers would like to benefit from stock market growth and this product makes that possible, combining the potential FTSE returns with capital guarantees and a guaranteed minimum return of 25%.

"The combination of a guaranteed return, early investment bonus, potential growth of the stock market and tax free returns make this product attractive, with a place in any investment portfolio. Our specialist Financial Planning Managers are fully qualified to discuss the best investment options for each individual customer’s needs and are available in every branch nationally, or in our call centre, which is based in Leeds."