Regulation 8 Amendment of the Individual Savings Account Regulations 1998

For regulation 7(15) substitute—

“(15)

The condition specified in this paragraph is that, judged at the date on which the qualifying investments in question become held in the account (and having regard to the contractual terms and conditions then in existence) the account investor will not be entitled to a secured minimum return at any time falling within the following 5 years.The account investor is entitled to a secured minimum return if—

(a)

the contract under which the investments were acquired, or any other transaction entered into by the account investor or any other person, or

(b)

the nature of the underlying subject matter of the investments,

have the effect that the account investor is not exposed, or not exposed to any significant extent, to the risk of loss from fluctuations in the value of the investments exceeding 5% of the capital consideration paid or payable for the acquisition of those investments.”.