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tempo structured products


Good Afternoon

If you didn’t get a chance to view the emails we sent regarding the Tempo product suite, we’d like to bring them to your attention again now.

There are now just 2 weeks left in the offer period for the Long Kick-Out Plan and Long Growth & Kick-Out Plan, and 3 weeks for the Long Income Plan, with early investment (in case of early closure) always recommended.

More and more articles in the press are focusing on the expectations that we are now in an ‘(everything?) lower and slower for (much!) longer’ environment, and that investors need to diversify their portfolios in the hunt for viable returns with attractive risk / return profiles. The following link opens an article by the team at ASI: https://www.investmentweek.co.uk/opinion/4021727/asset-management-low-growth-world?utm_medium=email&utm_content=&utm_campaign=IW.SP_16.Daily_RL.EU.A.U&utm_source=IW.DCM.Editors_Updates&utm_term=INVESTMENT%20BRIDGE&utm_medium=email&utm_term=2000%20to%204999&utm_term=INVESTMENT%20BRIDGE

Structured products offer investors the USPs of being designed to generate positive returns without requiring markets to rise, with many products being designed to generate positive returns even if markets fall, with a defined level of protection … and the benefits of legally binding contractual obligations on the issuing banks to deliver precisely what they stated at the outset, if they are solvent (which is the ‘counterparty risk’ of a structured product).

Particularly in the current environment, we think structured products offer investors exceptional, value-adding options to include in diversified and balanced portfolios.

Please do contact us if you would like to discuss the Tempo plans in more detail.

Email 1 of 4:

Tempo unveils Issue 16 of its product suite

Once again, we are splitting details of a product suite launch from a provider into separate emails, because the new launch from Tempo, unveiled today, continues to deserve special attention.

Before we tell you more about the Tempo plans, however, some general points regarding structured products…

What the Financial Times had to say about the current investment environment …

Why consider structured products at this time …  

Obviously, many investors are currently thinking carefully about their portfolio construction options at this time, in what is obviously a more challenging economic and investment environment and outlook.

As we’ve said before, the global bond market is clearly signalling that we could be in an ‘(everything?) lower and slower for (much!) longer’ environment (low inflation, low rates, low economic growth and low returns).

Within this environment, understandably, many investors may currently feel like they are ‘caught between rocks and hard places’, in the search for viable future returns with attractive risk / return profiles.

A recent Financial Times article (FT 22.09.20: ‘Investors wonder if the 60 / 40 portfolio has a future’) summed up many pertinent points:


We will also include some further comments and press articles in the separate email which we send (Email 4 of 4), regarding the specific challenges for investors seeking income.

As per the points that the FT article explains regarding investors looking further afield for viable investment solutions, structured products are really coming into their own, with innovative and compelling propositions for investors to consider including in their portfolios.

The USPs of structured products (including their ability to generate positive returns without requiring stock markets to rise, with defined levels of protection if stock markets fall, all based on legally binding contracts) are significant and important, particularly at this time.

And the comprehensive and granular facts about UK retail structured products’ performance evidences their virtues and merits, and the efficacy of including them in diversified and balanced portfolios.

Tempo: Standing apart from other plan managers, for all the right reasons …

Tempo’s product suite really stands out within the sector, for many reasons, which we briefly explain below.

And Tranche 16 of the Tempo product suite continues to offer exceptional terms, including a new step-down option for its Long Kick-Out Plan.

Deliberately defensive products …

Tempo’s focus is on ‘deliberately defensive’ products, which are designed to increase the likelihood of positive returns being generated, and to decrease the likelihood of capital losses being experienced.

Sounds eminently sensible to us … especially at this time …. hopefully to you too!

What does this mean in practice?

Tempo’s end of term barrier levels for the Long Kick-Out Plan and Long Growth & Kick-Out Plan are set at 40%, allowing a 60% fall, while the level for the Long Income Plan is set at 50%, allowing a 50% fall.

These are deeper end of term barrier levels than any other provider is offering.

In addition, all of Tempo’s plans are designed so that they can generate at least some, if not all, of their potential returns without requiring the stock market index to rise, with some of the options offering exceptionally defensive conditions, which allow the stock market index to fall significantly while still being able to generate positive returns for investors.

Tempo’s unique ‘Stated terms or better’ pledge …

And we love Tempo’s ‘Stated terms or better’ pledge, which allows Tempo to increase the terms of their plans above the terms stated in their brochures, if the stock market and other factors during an offer period mean that they can do so. And, boy, can this feature add value!

In Issue 12, Tempo retrospectively increased the terms of Option 3 of the Long Kick-Out Plan from the 13.1% p.a. stated in the brochure, to an incredible 20.4% p.a. And Option 2 of the Long Growth Accelerator Plan (now called the Long Growth & Kick-Out Plan), which was ‘supposed’ to offer an already incredible 107.5% at year 5, was increased to an eye watering and truly exceptional 175%, i.e. 35% p.a.! (Yes, you did read that correctly!).

Details for each of the Tempo plans will follow … 

Three separate emails will follow, providing details for each of the Tempo plans.

As always, please see the full plan literature for full details of these plans and the features, terms and conditions, including the risks.

The promotion of the plans does not constitute ‘advice’ to invest. Advice is always specific to an individual investor’s circumstances and needs, following the process of ‘know your customer’, with the aim of ensuring that any product is suitable for an investor.

Tempo’s products can only be accessed with advice.

Demand for Tempo’s plans has been very high recently, resulting in some of our clients missing out on the initial terms on offer, despite moving quickly!

If you are interested to invest in any of the Tempo plans in Issue 16 we would certainly suggest early contact, in order to try to ensure availability and access.

Please contact us to discuss any aspect of these products.

Best Regards.

Best Price FS Team