23/10/2024
Taking a look at a host of structured products that are on offer this month from some of the active providers in the sector, it is clear to see a broad range of different structures to choose from based on specific objectives and risk appetites.
Always refer to the investment literature for full terms and conditions. All returns subject to counterpart continued solvency.
Arcus Partners – 6Y UK Growth Deposit Plan (RBC28)
A 6-year deposit plan from Royal Bank of Canada offering potential for a 42.45% interest payment provided at the end of the term the FTSE 100 closes at or above the initial level recorded. Should the FTSE be below the initial level after six years, capital will still be returned in full.
hop investing – UK Annual Step Down to 80 Kick Out Plan
A maximum 7-year capital at risk autocall, backed by Canadian Imperial Bank of Commerce, features the potential to mature on any of the plan’s annual observation dates from year two onwards. Early maturity will be triggered provided the FTSE 100 Index closes at a level equal to or higher than a reducing reference level, starting at a 5% hurdle which steps down during the term and to 80% of the initial index level on the final observation. Should early maturity occur, 6.65% is returned for each year the plan is in force along with invested capital. If no early maturity is triggered and at the end of the term the FTSE is no more than 35% lower, invested capital will be returned, otherwise an equivalent loss will occur.
iDAD – Citi UK & Japan Protected Defensive Kick Out Plan
A 7-year capital protected plan backed by Citigroup features potential to mature on the fourth or subsequent anniversary where both the FTSE 100 and Nikkei 225 indices are at or above a pre-defined reference level (which reduces to 90%), returning 8.50% gain for each year held. If no early maturity occurs original capital will be returned in full.
Mariana – 10:10 Plan November 2024 – Option 1
A maximum 10-year capital at risk autocall with Natixis as counterparty with potential to mature on the second or subsequent anniversary where the FTSE CSDI is at or above a reducing reference level, starting at 102.5% of the initial index level and falling 2.5% each year to 82.5% on the final observation. Investors will be rewarded 7.45% for each year the plan is in force should positive maturity be triggered. If no early maturity occurs after 10 years because the CSDI is below the initial level, capital will be returned in full, unless the index is 30% or lower whereby an equivalent loss will be recorded.
MB Structured Investments – Europe 5Y Annual 100 Kick Out Plan (Y2 65)
A maximum 5-year capital at risk autocall, backed by Barclays, features the potential to mature early on the second or subsequent anniversary where the Euro Stoxx 50 Index is at or above the initial level. 9.55% will be returned for each year the plan is held unless no positive maturity is triggered and at the end of the term the FTSE is no more than 35% lower when an equivalent loss will occur.
Walker Crips – UK Annual Kick-out Plan (CT118)
A maximum 6-year autocall plan from Citigroup features potential to mature on the second or subsequent anniversary provided the FTSE 100 Index is equal to or higher than the initial level recorded. 8% will be returned for each year the plan is held, if however no positive maturity is triggered and at the end of the term the index is no more than 35% lower, invested capital will be retuned, otherwise an equivalent loss will occur.
The plans above demonstrate just some of the typical investments offered by the popular providers in the sector, many of which offer a spectrum of structured products catering to different risk profiles. To see the currently available plans they have on offer, please visit our current products page here.
Structured investments put capital at risk.
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We review the UK's retail structured investment sector, providing pertinent support for Professional Advisers and relevant research tools.
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