Lehman launches enhanced returns plan 2

Lehman Brothers has launched the second version of its Enhanced Returns Plan. The plan, which is open from 16th January to 29th February, is linked to the performance of the FTSE 100 index and offers three return options within the three-year and the two five-year plans. The three-year offers a potential fixed return of 22%. One of the five-year plans offers a potential fixed return of 47% while the other offers 2.25 times the growth of the FTSE 100 index, subject to a maximum return of 55% after the index is averaged in the final year.

"In a period of uncertainty over equity markets and interest rates, investors are looking to protect their capital but benefit from potential rises in the equity markets over a longer time frame,” says Paul Adams, head of UK Structured Retail Products at Lehman Brothers.

Returns from both the three and five-year fixed return plans are fixed, provided the FTSE 100 index is the same or higher than its initial level at the 14 March start date. The three products offer 100% capital protection if held