I have been tempted by a new product offered by an Aviva rep which is a bond paying 8% net per annum providing the footsie index is equal to or above the level on the "strike date" of 7 August 2009. In a year's time the bond will mature if it beats the index but if the index then is below this year's figue, it will carry on for a second year and yield 16% providing the index rises. If at the end of year 3, the maximum term, the rate is above this year's figure, I will get 24%. So if I weret o invest £30K, I could get £2500 in year 1, £5000 in Year 3 or £7500 in Year 3

The downside of this is that, if the rate in Year 3 is below this year's figure, I won't get all my money back but if it is 50% below this year's index, I will lose more than 50% of my capital. Is this a safe investment or highly risky?

Many thanks, Chris Fry