Wealth management service provider Barclays Private Clients, has launched the second edition of its House Price Index (HPI) Tracker Bond into the Gulf Cooperation Council (GCC), giving investors the chance to share in United Kingdom (UK) real estate gains without having to own property. The minimum investment in the bond is £10,000 ($15,231) and the maximum is £1 million.
“Investors can opt to either cash in their investment with an inflated return or buy that property in the future and manage it through Barclays' existing property management service,” said Barclays Head of Premier and Personal Banking Middle East and East Mediterranean, Robert Clark.
The second HPI Tracker Bond is a combination of high interest savings plus an index-linked account that tracks the Halifax House Price Index. This bond is split into two separate accounts. Half the investment is placed in a High Interest Cash Deposit Account earning a fixed rate of nine per cent over 12 months. The remaining half is invested in an Index Linked Account, which tracks the Halifax House Price Index. Investors will benefit from 80 percent of any growth in the Index after five years, and regardless of the property market's performance, investors will get their original investment back in full.
“Both accounts start from September 9, 2002. The High Interest Cash Deposit account runs for 12 months with interest and the cash repaid on September 9, 2003 and there are no restrictions or penalties for early withdrawals from this account,” said Clark.
Customers who invest before the start date will receive a rate applicable to one tier above the rate investors would normally receive on a Barclays one month fixed deposit account calculated on a daily basis until the bond begins. — (menareport.com)
© 2002 Mena Report (www.menareport.com)
