First Active bond locks in best sector

First Active has introduced a fourth secure investment bond that tracks different market sectors. The Secure Sector Bond Series 4 tracks the banking, healthcare, media, technology and utilities sectors of the European stock markets. Investors enter the bond for a maximum of 51/2 years and original capital is protected. The minimum investment is £1,000 (€1,270). The bond uses a "lock-the-best" feature, which works by "locking-in" the performance of the best sector at six-monthly intervals following an initial investment period of 18 months. The selection process continues over the investment term until all five sectors have been eliminated. The final return on the investment is the average of the locked-in values, with investor returns varying between 55 per cent and 85 per cent of that average, depending on the length of the investment term.