KB Kookmin Bank said on Tuesday it launched the KB Star Index-Linked Deposit 26-2, which guarantees principal if held to maturity while allowing customers to seek additional returns depending on changes in the underlying asset.

The KB Star Index-Linked Deposit 26-2 on sale is a one-year product that uses the KOSPI200 index as its underlying asset. It consists of an upside-seeking type (minimum rate guaranteed), an upside knock-out type (minimum rate guaranteed) and an upside knock-out type (high-return seeking).

The upside-seeking type (minimum rate guaranteed) sets the maturity rate based on the underlying asset’s rise. As of Feb. 25, it offers a minimum annual rate of 2.92 percent and a maximum of 3.10 percent.

The upside knock-out type (minimum rate guaranteed) offers a maturity rate on the same basis, ranging from a minimum annual rate of 2.92 percent to a maximum of 3.57 percent.

The upside knock-out type (high-return seeking) offers a maturity rate on the same basis, ranging from a minimum annual rate of 2.00 percent to a maximum of 14.0 percent. For the upside knock-out type (minimum rate guaranteed), the maturity rate is fixed at the minimum rate if the underlying asset rises more than 25 percent during the observation period. For the upside knock-out type (high-return seeking), the maturity rate is fixed at the minimum rate if the underlying asset rises more than 20 percent during the observation period.

The subscription period runs through March 9, and customers can sign up via KB Star Banking or at branches. The subscription limit is 50 billion won for each return structure, for a total of 150 billion won.

A KB Kookmin Bank official said the product was designed to pursue both principal protection at maturity and return opportunities, reflecting the needs of customers with diverse investment preferences. The official added the bank will continue to launch various products to contribute to customers’ stable asset building.