Capital Protected Investments
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Capital Protected Investment
Are you an investor looking to protect your money in a low-risk scheme? If so, Capital Protected Investment is the best way to safeguard your capital. Investors frequently select investment schemes that provide capital protection.
It ensures that an investment’s original value is maintained even if market conditions change unfavourably.
Capital-protected investment solutions are intended to maximise client returns while reducing risk exposure. It offers profit potential while also protecting your capital investment.
Our expert financial advisors recommend these services when clients want to protect their assets, while also planning to grow their wealth through a long-term investment strategy.
Who Qualifies For This Investment?
- Must be a resident of Ireland
- A minimum €20,000 is required to invest
- You won’t be able to top up your investment
- Depending on your appetite for risk, you can opt for varying levels of capital protection
- Provides greater flexibility in terms of configuring the investment to suit your needs and maintaining full control
A capital-protected investment, also known as a tracker bond or structured deposit, is an investment that assures the return of 100% of your capital or a percentage of it, such as 90%, after a specified period, such as five years.
Primarily, these bonds secure your capital by requiring a deposit, with the remainder used to track an index. You will receive a premium if the index your bond is tracking increases or meets the criteria set at the outset.
However, if it declines, you will be reimbursed the original guaranteed sum. Capital-protected investments are appropriate for investors who do not want to risk any of their capital and are looking for an investment that has the potential to outperform deposit rates. Capital Protected Investments are available from a variety of sources and are generally only available to investors for a limited time.
For more information about investing in a capital-protected fund, please call us today.
Benefits Of Capital Protected Investment
- Capital-protected investments (CPIs) protect investors’ initial capital.
- It offers high flexibility.
- Capital protection can range from 100% to 90%, 80%, or less, depending on the investor’s risk tolerance.
- CPIs are not free. A principal-protected note (PPN), for example, may charge a 4% upfront fee.
- It necessitates long-term investment.
Get in touch with us
If you would like assistance in starting a Capital Protected Investment Plan or comparing providers to find the one that best suits your needs, please schedule a call with one of our highly qualified financial advisors.