Šiaulių bankas successfully distributed a fixed-term deposit with addtional interest
In early October 2016 Šiaulių Bankas completed distribution of its first structural financial instrument being a fixed-term deposit with additional interest associated with the financial assets, shares of oil companies. The new banking product within a month attracted great interest of customers.
“Having small standard term deposit interest rates, the demand for alternative saving products is growing in the market, so we have offered our customers the solution that allows you, saving in the traditional way, to get the opportunity to earn additionally from investments in the oil sector. The proposal caused interest of our customers: within a month more than one thousand customers placed this deposit,” says Daiva Šorienė, Deputy Chief Executive Officer, Head of Business Development Division of Šiaulių bankas.
By placing a time deposit with additional interest, the customers, at the end of the deposit, will not only receive the fixed annual interest, but will also have the opportunity to earn additional interest, which depends on value changes of the financial assets being such known oil companies as Statoil, Neste and Shell. According to D. Šorienė, the oil sector has been chosen in view of the fact that fossil fuel for a long time will remain the main source of energy, so the investments into it can yield significant returns.
After successful distribution of the new deposit, on 7 October the contracts of fixed-term deposit with additional interest rate entered into force for all the clients, after having set the associated financial asset's original values. They will be used as the basis to calculate the property value change till 4 October 2019, predetermining the future term deposit yields.
To get acquainted with the set values of the financial assets the deposit is linked to, click here.
Currently, Šiaulių Bankas offers 7 types of deposits. Bank group deposit portfolio during the second quarter of this year increased by 2 percent, and by the end of June it was 1.45 billion euros. In the deposit market Šiaulių Bankas is the fourth among the banks operating in Lithuania.