The opportunity for up to 11.4% growth per year, for up to 10 years…
This plan offers high growth potential if the market stays flat, goes up, or even goes down slightly, whilst also offering some capital protection even if the market falls up to 30%.
For more defensive investors who do not think the market will rise in the medium term, Option 1 offers 9.25% per year provided the Index has not fallen by up to 17.5% at the end of the term, whilst Option 2 offers 10.2% provided the Index is the same or above its value at the start of the plan. For those looking for higher growth returns, Option 3 offers 11.4% for each year invested provided the Index has risen by at least 5%. All three options are measured each year from year 2 onwards.
For this plan Mariana are using the FTSE CSDI as the underlying Index, a variation of the FTSE 100 Index which tracks the performance of the share prices of the 100 largest UK companies taking into account a fixed dividend each year, rather than each company’s variable income.
If the value of the Index is below the required level at the end of each year for the full ten year term, then no investment growth will be paid, and the return of your initial capital is conditional on the Index not falling by more than 30% at the end of the term. If it does, your capital will be reduced by 1% for each 1% fall, so you could lose some or all of your initial investment.
By combining high growth potential, three investment options, and some capital protection against a falling market, this plan offers a balance of risk versus reward that could appeal to wide range of investors.
Important Information: This is a structured investment plan which is not capital protected and is not covered by the Financial Services Compensation Scheme (FSCS) for default alone. There is a risk of losing some or all of your initial investment due to the performance of the underlying investment. There is also a risk that the company backing the plan known as the Counterparty may be unable to repay your initial investment and any returns stated.
Potential Return: 11.4% for each year invested (not compounded), if the FTSE CSDI rises 5% or more
Alternative Options: 10.2% pa if the FTSE CSDI is at or above its starting level, or 9.25% pa if the FTSE CSDI falls up to 17.5% over the full term
Maturity: potential to mature (kick out) each year from year 2 onwards
Capital At Risk Product – 70% barrier
Available for Stocks & Shares ISA, ISA Transfer and Direct Investments. Also available to businesses, charities, trusts and SIPP and SSAS pension schemes
Investment term: Maximum 10 Years
Arrangement fee applies
Minimum single investment: £10,000
Maximum ISA investment: £20,000
No maximum for ISA transfers and non-ISA investments
Plan is available to existing customers only
ISA Transfer Applications: 29 November 2023
Direct & ISA Applications: 15 December 2023
Reduced arrangement fee: For investments of £100,000 or more into this plan, processed through Fair Investment Company, your arrangement fee will be reduced to 2% of your original investment.