Principal protection: is it worth it?

When interest rates eventually trend up, banks will probably make use of the improved yield to start selling principal-protected and guaranteed instruments, whereby the initial investment sum invested is protected or guaranteed.

The instruments are aimed at conservative investors who want a promise they will get all money invested back. With low risk comes low returns. All things being equal, guaranteed instruments yield below investments where there is risk of capital loss, or not getting all your money back.

via Business feed http://www.scmp.com/business/money/spending/article/1125652/principal-protection-it-worth-it