Cheshire Building Society has launched a new issue of its Portfolio Reserve investment product with a guaranteed fixed rate of up to 10% gross/AER for 12 months.
The society has said that the new Portfolio Reserve combines the security of a fixed rate savings account from the Cheshire with the potential for long-term investment growth from a Norwich Union portfolio bond. Investors can place up to 30% of their total investment in the Cheshire’s 10% gross/AER fixed rate reserve account. There is also the option of interest paid monthly at a rate of 9.57% gross for added flexibility.
The remaining funds, a minimum of 70%, must be invested in a portfolio bond from Norwich Union. The overall minimum investment is GBP6,000 divided between a minimum of GBP5,000 in portfolio and GBP1,000 in the fixed rate account from the Cheshire. The overall maximum investment is GBP700,000.
The Cheshire’s new fixed rate reserve account is available only in conjunction with a portfolio bond from Norwich Union following an interview with a Cheshire Building Society financial consultant, the company added.
Frank Harrington, head of partnerships at Cheshire Building Society, said: Portfolio Reserve is an investment package tailored to individual needs. The ability to combine a guaranteed 10% gross/AER return from the Cheshire with portfolio’s potential for high long-term growth across a wide choice of funds with different levels of investment risk, allows investors to choose a comfortable overall balance between risk and reward.