ADVISED ONLY

A maximum six year structured investment plan linked to the performance of the FTSE 100 Index. The Plan can mature at the end of years 2, 3, 4, 5 or 6 with a fixed payment equal to 5.6% per annum, if the FTSE 100 is above a reducing percentage of its starting level.

Key Dates

Closing Date: 20 July 2018 ISA Transfers: 29 June 2018
Start Date: 27 July 2018 Maturity Date: 29 July 2024
Important: The closing date for applications by cheque is 11 July 2018 and by bank transfer is 17 July 2018.
Please note: This plan is available on an advised basis only. If you are interested in this plan, please telephone us on 01639 860 111 to arrange a free consultation.

Key Terms

Potential Return: 5.6% per annum

Investment Type: Auto-Call/Kick-Out

Product Type: Capital at Risk

Investment Term: Maximum 6 years

Minimum Investment: £3,000

Underlying Asset: FTSE 100 Index

Capital Protection: Capital is at risk if the Plan runs for the full 6 years and at the end of year 6, if the FTSE 100 finishes lower than 60% of its starting level, your initial investment will be reduced by 1% for every 1% fall in the index at the end of the Plan Term.

How to invest

1 Call 01639 860 111 for a free initial consultation over the telephone
Following the free initial consultation, if you wish to progress the process of the product purchase, the regulatory process of ‘advice’ must commence.

2 The completion of a financial review –
which will confirm details of your income/capital and investment needs and experience

3 The completion of a risk profiler -
which will help to measure your attitude to risk.

This process will enable ‘advice’ to be provided in relation to the suitability of the product to meet with your needs. The fee for this service and process is 1.5% (subject to a minimum fee of £300) for focused advice – which is focused and narrowed to the suitability of the structured product you want to purchase.

Fees for Advised Investments

If you receive advice in the purchase of your Structured Product then this will incur an arrangement fee, but at just 1.5% this is lower than almost every other provider. Purchasing this way will ensure that you receive help and direction in choosing your plan, making it a good option for investors who are new to Structured Products. All advised investments carry a minimum charge of £300.

How much does it cost to invest?

A minimum fee of £300 applies for ISAs, ISA transfers and Direct cash investments.

Further Information

The FTSE 100 Defensive Step Down Kick Out Plan 11 - Morgan Stanley option1 is designed to repay your initial investment and deliver a return dependent on the performance of the FTSE 100.

Potential for maturity at the end of years 2, 3, 4, 5 or 6 with a fixed payment equal to 5.6% per annum (not compounded), if the FTSE 100 is above a reducing percentage of its starting levels.

The Reference Levels are as follows: year 2 at 100%; year 3 at 95%; year 4 at 90%; year 5 at 85% and year 6 (Final Level) at 65%

If the Plan continues to the end of year 6, the closing levels of the FTSE 100 are used to calculate the Final Index Level, as explained below:

  • If the Final Index Level is higher than 65% of the Initial Index Level, you will receive back your initial investment plus 33.6%.
  • If the Final Index Level is equal to or lower than 65% of the Initial Index Level but is equal to or higher than 60% of the Initial Index Level, you will receive back your initial investment with no return.
  • If the Final Index Level is lower than 60% of the Initial Index Level, you will receive back your initial investment minus 1% for every 1% fall in the FTSE 100 (including partial percentages). For example, if the Final Index Level has fallen by 50% from the Initial Index Level then your initial investment will be reduced by 50%.

The FTSE 100 Defensive Step Down Kick Out Plan 11 - Morgan Stanley option1 has been designed for clients looking for equity-linked returns over a 6 year period, but can accommodate receiving their money back before the end of the term. The payoff profile has been designed to suit clients who are cautious on equity market growth. Clients are likely to have a medium to high attitude to risk and be prepared to risk their capital in order to potentially achieve higher returns. This product is aimed at a more market cautious client who has high financial sophistication.