FTSE® Daily Kick Out Plan September 2022 (Option 2) - 5251

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FTSE® Daily Kick Out Plan September 2022 (Option 2) - 5251

The FTSE® Daily Kick Out Plan September 2022 (Option 2) - 5251 is a maximum 5-year 3-week investment offering a potential gross investment return of 8.25% per annum, based on days in force, payable from Year two.

  • Potential return: 8.25 % per annum
  • Product type: Capital at Risk
  • Investment type: Kick-Out
  • Closing Date: 12 September 2022
  • ISA Transfer: 26 August 2022
  • Start Date: 14 September 2022
  • Maturity Date: 5 October 2027
  • Market / index link: FTSE 100 Index
  • Counterparty: BNP Paribas
  • Investment term: 5 -years 3-weeks
  • Kick-out / Early maturity: Yes
  • Barrier type: End of term
  • Barrier level: 65%
Important: The closing date for applications by cheque is 8 September 2022 and by bank transfer is 12 September 2022.
The closing date for ISA transfer applications is 26 August 2022.

Product Literature & Forms

You should always read the relevant plan brochure and any other plan documentation, for full details of the plan’s features, including any risks, and the terms and conditions. In addition to the plan brochure and terms and conditions there are other important documents, including a Key Information Document ('KID'), that you should consider, before deciding to invest in the plan.

If you do not fully understand the risks or are unsure as to the suitability of the investment, please contact us

Complete the form and we will email you the requested literature and instructions on how to invest.

Select the application form you require

How to Invest?

1 Firstly, print off and complete our Appropriate Assessment Questionnaire. All applications require two proofs of identity - see the questionnaire for more information.

2 Next download, print and complete the application form available. Note that product applications will have multiple documents, so please choose the one relevant to you.

3 Place all completed documents - questionnaire, proofs of identity, application form and cheques for payment - in an envelope and post to:

Best Price Financial Services,
The Tythe Barn, 5 Eglwys Nunnydd,
Margam, Neath Port Talbot
SA13 2PS

Further Information

The FTSE® Daily Kick Out Plan September 2022 (Option 2) - 5251 is a maximum 5-year 3-week investment offering a potential gross investment return of 8.25% per annum, payable proportionately from the end of year two.

Investment Return: If the Closing Level of the Index on 16 September 2024 or any subsequent Business Day before the Final Measurement Date is at least equal to its Opening Level the Plan will kick out, i.e. mature early, and make a gross investment return based on how long the Plan has been in force.The investment return will equal the number of days since the Start Date divided by 365 and multiplied by 8.25%. If the Plan has not matured early, and the Closing Level of the Index on the Final Measurement Date (the ‘Final Level’) is at least equal to its Opening Level, the Plan will provide an investment return at the Maturity Date equal to 41.25% of the money you invest. If the Final Level of the Index is below its Opening Level, no investment return will be payable at the Maturity Date.

Capital Return: This is a capital-at-risk Plan and the investor will lose money if the Final Level of the Index is below 65% of its Opening Level. If the Final Level of the Index is at least equal to 65% of its Opening Level you will get back the amount you invested. The amount of your money that you would lose will be the percentage by which the Final Level of the Index is below its Opening Level. In extreme circumstances you could lose all of your money.

The Securities purchased will be Certificates issued by BNP Paribas Issuance B.V. and guaranteed by BNP Paribas. The Securities can be viewed in a similar way to a loan to the Issuer and are linked to the performance of Preference Shares issued by BNP Paribas Synergy Limited, which is in turn linked to the performance of the Index.

It is possible that the Counterparty could collapse or fail to make the payments due from the Plan. If this happened the investor would lose some, or all, of the money they invest in the Plan, as well as any investment return to which they might otherwise have become entitled.

It is our understanding that any investment return from this Plan will be subject to Capital Gains Tax.

 

Don’t forget the risks

All investments carry risk. It is identifying those risks, understanding how they may affect an investment and assessing whether an investment is suitable for your circumstances that is important.

The potential returns of most structured products and repaying the money invested are usually linked to the level of a stock market index and also depend on the financial stability of the issuer and counterparty bank. You should only consider investing if you understand and accept the risk of losing some or all of any money invested.

You should always read the relevant plan brochure and any other plan documentation, for full details of a plan’s features, including any risks, and the terms and conditions. In addition to the plan brochure and terms and conditions there are other important documents, including a Key Information Document (‘KID’), that you should consider, before deciding to invest in a plan.

Structured products should only be considered as part of a diversified and balanced portfolio.

Below is a summary of some of the main risks usually associated with an investment in structured products plans:

Market risk to potential returns

Whether or not a plan generates the potential returns for investors usually depends on the closing level of the relevant index on the relevant dates for the plan, i.e. the kick-out anniversary dates for kick-out products; the early maturity dates and end dates for growth products; the annual income dates for income products.

If the index closes below the level needed, for the plan or plan options chosen, on all of the relevant dates, the plan or plan options will not generate a return.

Market risk to repayment of money invested in 'Capital-at-Risk' plans

If the closing level of the relevant index is below the level needed on all of the kick-out anniversary dates or early maturity dates, if relevant for the plan or plan options chosen, and on the end date, repaying the money invested at maturity will usually depend on the closing level of the index on the end date..

Different structured products use different types of protection barriers. Some products use barriers that are observed every day that can therefore be breached on any day during the investment term, while some products use barriers that are only observed at the end of the investment term and that cannot therefore be breached during the investment term.

Market risk to the repayment of money invested on the end date will depend on the type of barrier and its level.

For example, for a product with an end of term barrier, set at 60% of the start level, if the index for the plan closes at or above 60% of the start level, on the end date, money invested will be repaid in full (less any agreed adviser fees and withdrawals). However, if on the end date the index closes below 60% of the start level, the amount of money repaid (less any agreed adviser fees and withdrawals) will be reduced by the amount that the index has fallen. For example, if the index has fallen by 45%, the repayment of money invested will be reduced by 45% (meaning that investors will get 55% of their investment back).

'Protected' types of structured products

Some structured product plans are designed so that they are 100% protected from stock market risk at the end date.

It is important to understand that even if a structured product plan is designed with 100% protection from stock market risk, at the end date, it will still usually have issuer and counterparty bank risk. In other words, both the potential returns of the plan and repaying the money invested at the end date will depend on the financial stability of the issuer and counterparty bank. If the issuer and counterparty bank become insolvent, or similar, or fail to be able to meet their obligations, it is likely that investors will receive back less than they invested.

Issuer and counterparty bank risk

Both the potential returns and repaying the money invested of most structured products depend on the financial stability of the issuer and counterparty bank. If the issuer and counterparty bank become insolvent, or similar, or fail to be able to meet their obligations, it is likely that investors will receive back less than they invested.

Financial Services Compensation Scheme ('FSCS') protection

It is important to understand that it is not usually possible to claim under the Financial Services Compensation Scheme if the issuer and counterparty bank fail to meet their obligations or if the stock market index that a plan links to falls.

Structured deposits

Structured deposit plans are deposit-based and will usually be fully protected from stock market risk at the end date and also benefit from the protection of the Financial Services Compensation Scheme, if the bank or building society is a licensed UK deposit taker.