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Causeway Securities FTSE 100



We are writing to let you know that Causeway Securities have launched a new tranche of their Fixed Income plan:

FTSE 100 Fixed Monthly Income Plan – January 2023The plan, issued by Morgan Stanley, offers unconditional monthly income payments of 0.5% (6% per annum) paid gross, over a 5-year term. The plan will return initial capital in full to the investor provided, at maturity, the FTSE 100 is not below 65% of start level.

Key Dates:
ISA transfer deadline: 10th January 2023
Application form and monies deadline (including Direct Investment & ISA Subscriptions 2022/23):24th January 2023
Start Date: 31st January 2023
A brief summary of the plan is detailed below.

Causeway Securities FTSE 100 Fixed Monthly Income Plan – January 2023Potential Investment Return: The Causeway Securities FTSE 100 Fixed Monthly Income Plan – January 2023, issued by Morgan Stanley, offers a Fixed income of 0.5% paid monthly (6% per annum) over the 5-year term irrespective of the performance of the FTSE 100 Index. The first income payment made to the Plan Administrator will be 14 March 2023 and monthly thereafter.

Fixed Income Payment Dates: Monthly commencing 14 March 2023 and ending 14 February 2028. The full list of dates can be found on page 6 of the brochure.

Capital Protection Barrier: 65% of the Opening Level (observed on the Final Observation Date of the Plan only). If on the Final Observation Date, the Closing Level of the Underlying Asset is less than 65% of its Opening Level (representing a decline of more than 35% from the Opening Level), your Initial Capital will be lost at a rate of 1% for every 1% that the Final Level of the Underlying Asset is below its Opening Level.

Counterparty Risk: The Counterparty of the Securities is Morgan Stanley & Co International plc. If Morgan Stanley were to fail or become insolvent, you could lose some or all of your investment and any return that may be due, irrespective of the performance of the Underlying Asset.

Taxation: It is Causeway Securities’ understanding of current legislation and known HMRC practice that any investment return from a direct investment by individuals or Trusts into this Plan is expected to be subject to Income Tax. Investors should obtain their own tax advice.


Causeway Securities FTSE 100

Click here for more details of the Causeway Securities FTSE 100 Fixed Monthly Income Plan – January 2023

About Morgan Stanley: Morgan Stanley & Co International plc is the Issuer of the Securities. They have not prepared this document and therefore accept no responsibility for its contents, nor any liability for any losses in connection with the information contained herein. Causeway Securities have prepared this document and accepts responsibility for it contentsCauseway Securities FTSE 100

Don’t Forget the RisksAs with all forms of investment there are risks involved. These plans do not guarantee to repay the money invested. The potential returns of the plans and repaying the money invested are linked to the level of the stock market and also depend on the financial stability of the Issuer and Counterparty Bank.

Past performance is not a guide to future performance and may not be repeated.  Investment involves risk. The performance data does not take account of the commissions and costs incurred on the issue and redemption of shares. The value of investments and the income from them may go down as well as up and investors may not get back any of the amount originally invested. Because of this, an investor is not certain to make a profit on an investment and may lose money. Exchange rate changes may cause the value of overseas investments to rise or fall.

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.

As always, the recommendation and common sense approach is to consider product solutions as a portfolio, never over-exposing oneself to a point of financial pain and suffering liquidity or counterparty over exposure.

At the Best Price FS price point the Causeway Securities Plans are certainly worthy of consideration for inclusion within investment portfolios.

Warmest Regards.

Best Price FS Team

Advice: Simply click here to get in touch to receive regulated advice in relation to the ‘suitability’ of the plans to meet your investment needs.