Abbey Guaranteed Investment Plan launched

A new Abbey Guaranteed Investment Plan (GIP) has been launched which promises investors their original capital guaranteed back after just five and a half years.

The new Abbey Guaranteed Investment Plan gives investors 65 per cent of any growth of the Abbey Multi Manager Growth Fund as well as the money back guarantee.

Abbey says its plan means that investors could capitalise on the returns of an actively managed multi manager investment fund while enjoying the security of total capital protection at maturity.

The Abbey Guaranteed Investment Plan is available as an ISA or as a Direct Share Investment Plan, and offers tax-efficient returns for most investors, even those outside of an ISA wrapper.

Pak Chan, Abbey's head of investments marketing, said: "Unlike the majority of capital guaranteed plans on the market, Abbey's GIP is exposed to a managed investment fund, not an index like the FTSE, and protects investors' original capital.

"This means that the returns include dividend reinvestment as well as any capital growth.

"Most experts agree that dividends make up an important component of any equity growth. So plans that simply track the FTSE or any other index rather than providing dividend re-investment, miss out on this."

The Abbey Guaranteed Investment Plan requires a minimum investment of £1,500 and is available on limited offer only.