Cater Allen Guaranteed Step-Up Income Plan

Cater Allen Private Bank, part of the Santander Group, has launched a new structured product that guarantees a minimum overall return on the plan equivalent to 6.75 per cent as well as offering the potential of an annual FTSE 100 related bonus, increasing the income to a potential maximum return of up to 36 per cent.

The six year term, ‘Guaranteed Step-Up Income Plan', is designed to provide a return of your capital at maturity, together with a guaranteed Minimum Income Payment that increases by a fixed amount every year to accommodate any potential future rise in interest rates.

In addition, a bonus income payment will be paid each year if the level of the FTSE 100 Index on the annual ‘Income Observation Date' is the same as or above the Initial Index Level.

Fernando Gasca, Head of Structured Products at Cater Allen Private Bank, said: "We have added this new product to our current product portfolio to help fulfil different investor's requirements. We are giving investors the opportunity to receive a regular return on their investment for those individuals who are looking for a guaranteed return, while at the same time offering the potential of an even greater return if the FTSE rises during the term of the product. This will give our customers the security of knowing they are guaranteed a return while at the same time the flexibility of being able to benefit from a strong UK market."