Santander RPI Linked Bond

alanq

Matures 1st August 2018

Pays the higher of:

• 105% of the growth in the Retail Prices Index (RPI); or
• 17% gross/ 2.65% AER.

Minimum Balance - £500 up to a maximum of £2 million
Access - No additional deposits, withdrawals or account closures are permitted
Term - Matures 1st August 2018
Available until 4th July or sooner if sold out.

I see no mention of the FSCS guarantee. Need to confirm that this is a savings product and not something more complex that is not covered.

http://www.santander.co.uk/csgs/Satellite?appID=abbey.internet.Abbeycom&c=Page&canal=CABBEYCOM&cid=1237899884484&empr=Abbeycom&leng=en_GB&pagename=Abbeycom%2FPage%2FWC_ACOM_ViewSelector

sorcerer

2.83% gross per year, no thanks :-), to make this worth my time I would want at least 30%

sorcerer

RPI could be very low over the next 6 years if we are about to go into a recession.

Sceptic001

sorcerer wrote: »

RPI could be very low over the next 6 years if we are about to go into a recession.

Or it could be very high if the government decides to inflate its way out of the current crisis (or if quantitative easing has any effect on the real economy). Even so, I wouldn't tie in for six years with no early exit option.