Davys Global Index Bond

I just received an email from Davys on this, and have some similiar deposits abroad. It is a 5 year fixed fund, based on a number of indexes, offering capital protection on the original deposit. The main difference is the commission/charges it attaches, my other ones do not have this.

https://www.davy.ie/content/pubarticles/GlobalIndex.pdf

I have two questions:

(a) does anyone know of any other irish based funds which are similiar to this, fixed term, index based, capital protection of original sun ?

(b) has anyone invested in a deposit like this with Davys (or Bank of Scotland) before, and if so, how have they found the level of service etc with Davys ?

thanks

there are a few products like this in the market but this would appear to have the lowest fees by some way. A 2% upfront fee seems to be the only fee other firms have the upfront fee and annual fees of up to 1.75%!

this is a really simple product giving equity exposure and doing it cheaply without gimmicks

bank of scotland only look to be providing the wrapper so i doubt they have much real involvement,

AJM said:

there are a few products like this in the market but this would appear to have the lowest fees by some way. A 2% upfront fee seems to be the only fee other firms have the upfront fee and annual fees of up to 1.75%!

this is a really simple product giving equity exposure and doing it cheaply without gimmicks

bank of scotland only look to be providing the wrapper so i doubt they have much real involvement,

Click to expand...

Not sure where you get the 2% from. There seems to be information missing. Davys say they take 0.5% per annum 'commission', which would be 2.5% over 5 years? Bank of Scotland are also in on the deal, so presumably they also get something (not stated). Also, not clear who is supplying the option that gives the returns - presumably they also get a cut?

Be careful. If in doubt, opt out

There is a discussion of another trackerhere

On thisthread, I make the point that with the stockmarkets so low, this is a crazy time to be buying tracker bonds

Brendan