Scottish Life International has launched a second version of its three-year Income & Growth bond. Th...
Scottish Life International has launched a second version of its three-year Income & Growth bond.
The bond follows the same pattern as the original, with an income choice, 10.55%, paid annually for three years, or a growth option, consisting of a 33.1% fixed gross growth. The payment is conditional on the performance of the Eurostoxx 50 Index. The downside risk to returns is if the index falls by more than 27% from its initial level during this time.
This will be measured at the close of trade on 9 June 2000. Unless this happens, investors will receive the full 133.1% of their initial capital on maturity or 100% for those who chose the yearly income option.