Popular growth plan: potential 6.3% per annum, even if the market stays flat…
With everything that has happened to the FTSE in the last 18 months or so, investing in a plan that offers 6.3% annual growth even if the FTSE only rises a little, whilst returning your capital in full unless the Index falls by more than 35%, might be considered a timely option.
Kick out plans are popular in all types of markets conditions, and this plan from MB Structured Investments offers 6.3% for each year invested (not compounded), provided the value of the FTSE 100 Index at the end of each year from year 2 onwards, is higher than its value at the start of the plan. For example, if this happens at the end of year 2, you would receive 12.6% growth, 18.9% at the end of year 3, 25.2% at the end of year 4, and so on. You would also receive a full return of your original investment.
Should the FTSE be lower at the end of every year for the full five year term, no growth return is achieved, and your capital is returned unless the FTSE has fallen by more than 35%. If it has, your initial investment is reduced by 1% for each 1% fall, so your capital is at risk.
If you’re looking for opportunities in these challenging market conditions, the combination of high growth potential and a return of capital even if the market falls up to 35%, could be compelling.
Potential Return: 6.3% for each year invested (not compounded), if the FTSE rises by any amount
Potential to mature early (kick out) each year from year 2 onwards
Capital At Risk Product – 65% 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 7 Years
Arrangement fee applies
Minimum single investment: £5,000
Maximum ISA investment: £20,000
No maximum for ISA transfers and non-ISA investments
ISA Transfer Applications: 1 October 2021
Direct & ISA Applications: 15 October 2021
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.
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.