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Return to Savings HomeGuaranteed Equity Bond 41

A guaranteed return

If you are looking for a secure capital investment with potential to earn more of a return than an everyday savings account, our Guaranteed Equity Bond Issue 41 (GEB) could be just the answer.

Our new GEB is a fixed-term deposit bond over six years that works out the return depending on the performance of the FTSE 100, while your deposit stays secure.

 
How does it work?

The way it works is simple. You invest in the GEB for a period of six years and we calculate the return on the bond according to the performance of the FTSE 100 Index. You can choose to save any amount between £1,000 and £500,000 in one lump sum.

Whatever happens at the end of the fixed term, you get back your original investment plus a guaranteed minimum return. Your money is not directly invested in the stock-market but it is linked to the performance of the FTSE 100 Index.

Whatever the performance of the Index, we guarantee to give you a minimum return of 10% gross¹/1.60% AER² at the end of the fixed term. You should be aware that the effects of inflation could reduce this value.

How is my return worked out on the GEB?

As we’ve already said, you’re guaranteed to earn a minimum return of 10% gross¹/ 1.60% AER²  on your GEB. However, you could earn more depending on the performance of the FTSE 100 Index.
Here’s how:

• We will take Index readings during the GEB Fixed Term
• These give the Start (Index Level 1) and Final (Index Level 2) readings for your GEB
• Index Level 1 will be the closing value of the FTSE 100 on 9 July 2012^
• Index Level 2 will be the closing value of the FTSE 100 on 2 July 2018^

The change between Index Level 1 and Index Level 2 will be calculated to define the gross rate of return payable on your GEB

• If Index Level 2 minus Index Level 1 is less than 0, the minimum return of 10% gross¹/1.60% AER² will be paid
• If Index Level 2 minus Index Level 1 is 0 or greater, a return of 30% gross¹/4.47% AER2 will be paid.

^If any of these dates is not a valid date the next valid date will be used as established under the Matching Agreement.

The GEB is a medium term investment of six years.  Before opening a GEB you should be sure that you will be able to leave your deposit untouched for the fixed term.  However, we do understand that you may need to withdraw some of your money during the fixed term.  Withdrawals are subject to a withdrawal fee.  This will be calculated and advised to you at the time your request is made and will be deducted from your capital, meaning you could get back less than you invested.

Bank of Ireland UK does not offer any advice or personal recommendations on whether the GEB is a suitable investment for a particular investor. We will give you information on the features of the product and the generic benefits and you can then decide for yourself or seek professional advice on whether the product is right for you.

For full details on this product or to apply please contact your nearest Bank of Ireland UK branch.

Before you apply please view the product summary box.

Download the full product brochure here

The use of the word ‘guarantee’ in this letter refers to our ordinary contractual liability to repay the capital invested by you by way of deposit.  You have the same rights in this respect as any of our other account holders.

¹The Gross interest rate represents the fixed rate payable before deduction of income tax at the prevailing basic rate.
²AER stands for Annual Equivalent Rate and illustrates what the interest would be if the interest was paid and compounded each year. As every advertisement for a savings product, which quotes an interest rate, will contain an AER, you will be able to compare more easily what return you can expect over time.
 

Bank of Ireland UK deposit accounts and, in particular, our guaranteed equity products (that is, where the return is linked to the performance of stock-market indexes) are deposit products as defined under the Financial Services and Markets Act 2000.

Bank of Ireland UK is covered by Financial Services Compensation scheme (FSCS). The FSCS can pay compensation to depositors if Bank of Ireland UK is unable to meet its financial obligations. Most depositors - including some individuals and small businesses - are covered by the scheme. For further information (including the amounts covered and eligibility to claim) please contact your local branch, refer to the FSCS website at www.fscs.org.uk or call 0800 6781 100).

The Guaranteed Equity Bond issue 41 is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ("FTSE") or by the London Stock Exchange Plc (the "Exchange") or by The Financial Times Limited ("FT") (together the “Licensor Parties”)and none of the Licensor Parties make any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE 100 Index (the “Index") and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. None of the Licensor Parties shall be liable (whether in negligence or otherwise) to any person for any error in the Index and none of the Licensor Parties shall be under any obligation to advise any person of any error therein."

“FTSE®”, "FT-SE®”, “Footsie®” , “FTSE4Good®” and “techMARK®” are trade marks of the Exchange and the FT and are used by FTSE under licence. “All-World®”, “All-Share®” and “All-Small®” are trade marks of FTSE.