Norwich Capital Protected Plan 2

Investment stability in uncertain times

There are very few certainties, and over recent months the stock market has seen some pretty ‘stormy waters'.

Turbulent times aren't unusual, and rise and falls in share values are an essential part of how financial markets work. In uncertain times like these, it's natural to seek safer havens for your money and to invest with financially strong and stable companies.

So, it's not surprising that so many people turn to Norwich Union.

Designed for cautious investors, the Norwich Capital Protected Plan 2 is a fixed term Plan that is available for a 3 year or 6 year term and aims to provide growth linked to the future increase in the FTSE 100 Index, while offering protection on the original investment - as long as the Plan is held until maturity.

How the Plan works

• Invest a minimum lump sum of £1,000 before 10th November 2008.
• On 17th November (investment start date) your money is pooled with other investors' money and is invested in Medium Term Notes from another financially strong provider. Medium Term Notes are a type of corporate bond, which is a loan to a company. At a set time, the company pays back the loan and provides a return linked to the FTSE 100 index. The company we've selected is financially strong. However there is a possibility that the company could default or become insolvent. If so you could lose some or all of your investment.
• For every 1% the FTSE 100 Index grows, your investment grows at 2 times that rate, up to a maximum of 27% for the 3 year Plan and 72% for the 6 year Plan. The value of the Index can fall as well as rise. Inflation will reduce the future buying power of your money.
• If the FTSE 100 Index falls over the term of the Plan, your original investment is protected. Should you cancel your Plan before the end of its full term, you may get back less than you invested.
• Although no direct charges are taken from your investment, there is an initial management charge of 4.37%. This is built into the pricing of the Plan and has no effect on your investment.
• Smoothing period - when the Plan is approaching its maturity date, to lessen the impact of any sudden falls in the FTSE 100 Index, an average value of the index over the last 6 months of the 3 year Plan and over the last 12 months of the 6 year Plan is used.
• Return at maturity and cashing in early are both taxable as Capital Gain. Tax rules may change.
• One week after the end of the term of the Plan, a payment of the original amount invested, plus any growth is paid directly into your bank account.
• You might get back less than if you invested directly in the shares that make up the FTSE 100 Index. This is because:
• There is a cap on the investment return, which provides a maximum of 27% growth on top of your original investment for the 3 year Plan and 72% growth on top of your original investment for the 6 year Plan. This means that if the Index rises by more than these respective amounts, your returns may be lower than those from investing directly in the shares underlying the Index.
• If you held shares directly you would be paid an income (dividends).
• Averaging of the Index in the last 6 months of the 3 year Plan and the last 12 months of the 6 year Plan means that if the Index rises, your returns may be lower than those from investing directly in the shares underlying the Index, where averaging would not apply.

Key benefits of the Plan

100% capital protection	Return of at least your original investment - whether the FTSE 100 Index rises or falls. For this to apply you must remain invested for the full term of the Plan. If you cash in your investment before the end of the term you may get back less than you originally invested. In the unlikely circumstances that the Notes provider would default or become insolvent, your investment would be at risk and you might not get your money back.
2 times any rise in the FTSE 100 Index	You'll benefit from 2 times any rise in the FTSE 100 Index at the end of the term of the Plan to a maximum growth of 27% for the 3 year Plan and 72% for the 6 year Plan.
3.25% early investment interest (EII)	If you invest before 27th October you will receive an ‘EII' of 3.25% per annum (paid net of 20% tax) until 17th November 2008*.
Tax efficient	The 6 year Plan allows investment into a stocks & shares ISA. As the investment limit is £7,200 for the current tax year, you can take advantage of this great offer while keeping any returns from the taxman! Tax rules can change.

*Payment will be made by direct credit to your nominated bank account. Cancellations prior to investment date will not receive ‘EII'. ISA transfers will receive EII.

Limited offer!

The opportunity to invest in this Norwich Union Plan is limited and is only available until the 10th November 2008. - so don't miss out!

Key Dates are:

Offer period	1st September 2008 - 10th November 2008
Deadline for ISA transfers (6 Year Plan only)	27th October 2008
Early Investment Interest	3.25% gross per annum (paid net of 20% tax) paid until 17th November 2008 if you invest before 27th October 2008. ISA transfers will receive EII.
Investment Start Date	17th November 2008
Investment End Date	3 Year Plan	17th November 2011
	6 Year Plan	17th November 2014

How to invest

The 3 year Plan is available for direct investments only. It is not eligible for ISA investments.

• a stocks & shares ISA
• an ISA transfer
• direct investment, outside an ISA

You can invest in the Norwich Capital Protected Plan 2 in any combination of these three ways, depending on your circumstances. You'll receive a separate Plan for each way you invest.

Medium Term Notes

Medium Term Notes are a type of corporate bond, which is a loan to a company. At a set time, the company pays back the loan and provides a return linked to the FTSE 100 Index.

Default risk

This Plan invests in Medium Term Notes which are designed to pay the growth and return of your initial investment. However, if the provider of the Notes defaults or becomes insolvent, you may lose some or all of your money. We choose a financially strong Notes provider to reduce the likelihood of this happening.

Return

The return on investment is the gain or profit made on the investment, it is in addition to the return of the original capital invested. If the FTSE 100 Index falls over the term of the Plan, you will only receive your initial investment back.

Cashing in

You should commit for the full term of the Plan (3 years or 6 years). The Plan can be surrendered during the term, but the surrender value may be less than the amount you originally invested. If you cancel your investment within 14 days of receiving your cancellation notice, you will get back your initial investment.

If you, or your legal representatives in the event of your death, transfer or cash in your investment before the Plan ends, you may get back less than you paid in. Alternatively, your legal representatives can maintain the Plan in their name or in the name of a beneficiary of your estate until the Plan matures.

There is a restricted market for the Medium Term Notes in which this Plan invests. It may, therefore, be difficult to cash in your investment, or to get information about the value of your Plan if you want to cash in early.

Charges

Although no direct charges are taken from your investment, there is an initial management charge of 4.37%. This is built into the pricing of the plan and has no effect on your investment.

If you are unsure whether or not this product is suitable for you, please seek financial advice from an independent financial adviser before making any investment decisions.

For further information please refer to the Key Features document and Terms and Conditions. For copies of these documents, please write to us at: Norwich Union Investment Funds Limited, PO Box 530, York, YO90 1UU.

To take advantage of this limited offer, contact us today.

Norwich Union Investment Funds
PO Box 530, York, YO90 1UU
Tel: 0800 051 2003* Fax: 01904 654620

* Calls to this number may be recorded or monitored for training purposes. Calls are free from a BT landline. Costs may vary from mobiles and other networks.
Lines are open Monday to Friday 8:30am - 5:30pm