High growth even if the FTSE stays the same, and more opportunities to mature early…
With most kick out investments offering the opportunity to mature every year, the Semi-Annual Kick Out feature in this new plan from Walker Crips might be interesting for many investors seeking a plan with more opportunities to mature early.
From year 2 onwards the plan will return 3.5% for each six-month period invested, equivalent to 7% pa, provided the value of the FTSE 100 Index at the end of the period, is at or above its value at the start of the plan. That’s a potential return of 14% after 2 years, 17.5% after 2.5 years, 21% after 3 years, and so on, even if the FTSE ends the same. If the plan kicks out, you also receive a full return of your original investment.
Should the FTSE be lower at the end of every six-month period for the full seven year term, no growth return will be achieved, and your original investment is returned unless the Index has fallen by more than 35%. If it has, your initial capital is reduced by 1% for each 1% fall, so your capital is at risk.
By offering a competitive return even if the market stays the same or only rises a little, and twice as many kick out opportunities as most standard kick out plans, we expect this plan to be popular with a wide range of investors.
Potential Return: 3.5% per six month period invested, equivalent to 7% per annum
Opportunity to mature early every six months 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: £10,000
Maximum ISA investment: £20,000
No maximum for ISA transfers and non-ISA investments
ISA Transfer Applications: 17 September 2021
Direct & ISA Applications: 8 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.