September 2003

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MORE TH>N launches Guaranteed FTSE Bond giving investors the chance to benefit the FTSE 100

- Full capital guarantee
- 80% of any average growth of the FTSE 100 Index over 5.5 years
- Also available as an ISA or TOISA

MORE TH>N, the direct financial services arm of Royal & SunAlliance, has today launched a new Guaranteed FTSE Bond giving investors the chance to benefit from growth in the FTSE 100 index with absolutely no risk to their capital – guaranteed. Furthermore, savers who invest before 4 November 2003 will also benefit from “early bird” interest of 3.75% pa gross / AER on their money until it is invested in the Bond

The Bond, which is a building society account, is provided for MORE TH>N by Newcastle Building Society, which has considerable experience in this area. The Bond is available in a tax efficient format as either a Mini Cash ISA or a TESSA only ISA and is also available as a direct investment Bond.

The Guaranteed FTSE Bond (Issue 2), accepts investments from £1,000 up to a maximum of £500,000 and is open from 10 September until 4 November 2003 only, by calling FREE on 0800 300 881 to apply. The commencement date of the Bond is 11 November 2003 and the maturity date is 3 April 2009.

Commenting on the launch, Graham Hollebon, Head of Personal Financial Products at MORE TH>N, said: “With interest rates at such low levels, investors are looking for different ways to get the most from their money. Many are naturally wary of investing directly in the stockmarket if they have had their fingers burnt in recent years, so will be seeking lower risk options. Some so called ‘guaranteed’ products in the market come with strings attached which can mean that capital is only protected as long as the FTSE or another index doesn’t fall below a certain level. We don’t believe that this is fair and the Guaranteed FTSE Bond is clear and straightforward – savers’ capital is 100% guaranteed. Regardless of what happens to the FTSE 100 index over the term of the bond people will get all of their money back plus a return of 80% of any average growth in the index.” More / …
MORE TH>N launches guaranteed FTSE bond … 2

Graham went onto say “We are delighted to be working with the Newcastle Building Society. They have an excellent track record in developing innovative and good value products with first class customer service.”

Key features of the Guaranteed FTSE Bond include:
- Early bird interest of 3.75% p.a. Gross / AER
- Unlimited growth potential – should the FTSE 100 Index rise during the term, investors will receive 80% of the average growth
- Guaranteed return of capital at the end of the term
- Minimum investment is £1,000 – maximum investment is £500,000
- Available as a Direct Investment Bond, a mini cash ISA and a TESSA only ISA (TOISA)
- No initial charges or management fees.

Robert Hollinshead, Chief Executive of the Newcastle Building Society, commented: “The stockmarket has the potential to provide better returns than straight forward savings accounts over the longer term. However, with equities, there is always the downside risk of losing your investment capital. We believe that this latest Guaranteed FTSE Bond offers investors an excellent solution, by striking the right balance between full capital protection and a very healthy return of 80% of any average growth in the FTSE 100 Index”

For further information about the Guaranteed FTSE Bond contact 0800 300 881 or log on to www.morethan.com/money.

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