Jubilee Financial Products has launched its second inflation income plan, a five-year product designed to deliver an attractive quarterly income that adjusts each year to reflect the annual inflation rate.
The quarterly income of the Inflation Income Plan 2 is calculated as the annual Inflation Rate measured by the UK Retail Prices Index (RPI), plus 1.25%, divided by 4. The payments are fixed for 12 months and will be adjusted each May for the latest March to March rise in the RPI.
Jakob Bronebakk, says: “The positive response we received from investors to the first issue of this Plan confirmed there was a need for a product that offered an income linked to inflation. The recently announced inflation figures support our long held view that rising prices will become an increasing concern for investors and our belief that they should address it within their portfolios.”
The Plan is a capital-at-risk product, with capital potentially reduced at maturity if the FTSE 100 Index falls by 50% or more at the close of any trading day during the Investment Term.