Last week saw Leeds Building Society launch an investment bond which offers returns of up to nine per cent.

The bond itself will see 40 per cent of its total value held in a Leeds savings account while the remaining 60 per cent will be invested in Norwich Union's portfolio, acting as a lump sum investment bond.

The minimum investment for Leeds' 40 per cent of the bond is £100 and £5,000 is required for investment in the Norwich Union portfolio.

In order to achieve returns of nine per cent, investors will need to place in excess of £50,000 in the Leeds' deposit account.

Commenting on the product, Trevor Garside, head of financial services at Leeds, highlighted its benefits.

This product is ideal for customers looking for opportunities to benefit from stock market based investment returns whilst retaining guarantees of capital return, combined with the opportunity to earn up to nine per cent until 1st August 2007, he said.

Mr Garside also explained that as the bond is designed to track the Retail Price Index, it offers consumers the peace of mind that they will see a guaranteed minimum return.

Leeds has been operating for around 125 years and offers a range of products, which include credit cards, insurance policies, UK savings accounts and tax free savings.