HSBC Bank Malta plc has launched a medium term note, the MTN Australian Bank Bill Swap Rate (BBSW) (AUD) II.

This five year investment offers 100 per cent capital protection as long as it is held until maturity

This five year investment, denominated in Australian dollars, offers 100 per cent capital protection as long as the investment is held until maturity. It is aimed at investors seeking higher potential returns.

Leveraging the expertise of the HSBC Group, the new note has been created to benefit from the performance of the three-month bank bill swap rate. It offers a minimum yearly return of 4.5 per cent and a maximum yearly return of six per cent.

At the end of each year, customers are paid the BBSW rate as noted on fixing date. If the bank bill swap rate is below 4.5 per cent per annum, customers will receive a minimum payment of 4.5 per cent per annum. If the bank bill swap rate is above 4.5 per cent per annum, customers will receive the bank bill swap rate, subject to a maximum of six per cent per annum. On maturity date – April 17, 2017 – customers will receive their final coupon payment and 100 per cent of the initial invested capital.

Investors can obtain a full description of the product and apply at branches until April 5. Information is available at www.hsbc.com.mt or on 2380 2380.