Millennium promotes mutual fund investment

Millennium SuperDuet combines a high-interest rate term deposit with participation units in a mutual fund within the framework of one investment product. The product was specifically designed for people who seek above-standard yield as compared with regular term deposits. The Bank intends to use this product structure to solicit interest in mutual funds on part of customers, who had not used this investment opportunity before.
 
The Bank, having introduced in March the investment product, combining participation units in mutual funds with a term deposit, recorded significant increase of funds acquisition in Millennium mutual funds. With a view to improving this savings product to make sure that it better meets the expectations of Customers, while implementing the new product edition the Bank conducted i.a. surveys in its branches, asking Customers what they liked most about the product and what they thought should be improved.
Based on the expectations of Customers a new product was developed, its key benefits being:

• Very attractive interest rate - even 7%;
• Choice of investment terms (3,6,12 months)
• Choice of deposit/fund mix structures
• Minimum total investment amount - only PLN 2 000.

The minimum total amount of investment in Millennium SuperDuet is PLN 2,000. The Customer can choose one of two investment options:

• 50% of funds - term deposit + 50% of funds - selected Millennium TFI mutual fund,
• 25% of funds - term deposit + 75% of funds - selected Millennium TFI mutual fund

available funds: Millennium FIO Shares, Millennium FIO Balanced and Millennium FIO Stable Growth.
 
The interest rate on the Millennium SuperDuet deposit depends on the investment term and the share of the Millennium mutual fund:

Deposit term	Option I: 50% of funds are invested in a mutual fund	Option II: 75% of funds are invested in a mutual fund
3 months	6,00%	7,00%
6 months	5,75%	6,50%
12 months	5,25%	6,00%

Millennium SuperDuet on the one hand permits investing savings as a term deposit and generating a predefined fixed income, at the same time giving the opportunity to capture above-average gains with the part invested in a mutual fund. These gains depend on the increase in value of the fund's participation units. The guaranteed interest on the deposit part reduces the overall risk of the deposit as compared with a situation where the Customer invests the entire amount in one of the mutual funds.
 
An additional advantage is that there are no handling charges on the payments for purchase of participation units done within the framework of Millennium SuperDuet.