According to a press release on Yahoo! Finance, “Bank of the West Introduces Market Linked CDs (MLCDs).” When you compare equity linked CDs with other investments, the main benefit is that you have the protection of FDIC insurance along with participation in the markets. Bank of the West’s Market Linked CD is tied to a basket of stocks and offers interest rates that are linked to either fixed income, commodity, equity, or foreign exchange markets. The company is excited to be able to offer its customers the potential for appreciation that the stock market affords.
As long as investors keep their equity linked CDs until the maturity date, FDIC Insurance covers the entire principal invested so you are protected from a volatile market. Maturity dates range depending on the individual investment contract and minimum investments begin at $1,000. Equity linked CDs are the easiest way to protect your investment while still having the potential for stock market returns. Individual investors, corporations, and institutional investors will all have the opportunity to purchase this product from Bank of the West. Compare the benefits with other equity linked CDs like the Wise Indexed CD before making any purchases.
