Guaranteed deposits provide, on the one hand, the benefits of classical deposits, where the deposited funds and the set interest income are fully guaranteed, and, on the other, the possibility to receive a bonus according to developments on the financial market. In practice, the bank, upon the maturity of the deposit, pays out the principal and its valuation in the amount of at least the guaranteed interest income. The bonus is paid out on top, depending on the valuation of the underlying asset. A significant benefit is that the bonus reflects only the positive valuation of the underlying asset; therefore, you do not bear the risk if its value falls! This structured deposit thus bears no market risk for you. The deposit is insured by law.
