For Immediate Release: Monday 7 August 2000

"THE ALTERNATIVE WAY TO HIGH INCOME"
Free guide to saving in corporate bond funds

Bond funds have long been recognised for their potential to return a higher income than bank or building society deposit accounts. Income-seeking investors may find it helpful to look at the latest free factsheet produced by The Association of Unit Trusts and Investment Funds (AUTIF).

‘The alternative way to high income’ explains the benefits of bond funds over other income investments, whilst taking care to point out the possible risks involved. The factsheet also suggests a number of checks that investors can make on a fund, to ensure it meets their needs.

Anne McMeehan, Director of Communications at AUTIF, commented:

"Investing in a corporate bond fund means that the capital value may go down as well as up - but over time, a well managed fund should provide not only a higher income than a deposit account but capital growth as well. If you had invested £1,000 into an average Corporate Bond fund ten years ago, your investment, including both income and capital growth, would have more than doubled to £2,192".

Readers can call the Unit Trust Information Service on +44 (0)20 8207 1361 (manned 24 hours a day) for a free copy. The factsheet, along with AUTIF’s range of consumer literature, can also be viewed on the AUTIF website.

A list of bond funds can be found under the UK Corporate Bond, UK Other Bond and Global Bond sectors of The Directory, which is also produced by AUTIF and lists all 1,800 investment funds by sector.

For further information please contact:

Anne McMeehan, Director of Communications, AUTIF - +44 (0)20 7831 0898
Clare Arber, PR Manager, AUTIF - +44 (0)20 7831 0898