FTSE/S&P 500 Defensive Income Plan 1 – Santander UK option
The Plan aims to provide fixed quarterly income payments of 1.5% over the 7 year term if both the FTSE 100 and S&P 500 are higher than 62.5% of their starting levels
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
How to Invest?
Applications for the Plan must be submitted via Best Price Financial Services and received by 5pm on 18 March 2018 for bank transfer applications.
The closing date for applications by cheque is 12 March 2018
The closing date for ISA transfer applications is 27 February 2018.
This will enable us to process your application and forward it on to the structured product provider.
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
The Plan is designed to provide regular monthly income payments over 7 years and to return your initial investment at maturity
On any Quarterly Anniversary Date, if the Payment Index Level of the FTSE 100 and S&P 500 are higher than 62.5% of their Initial Index Levels you will receive payments of 1.5% monthly, equivalent to 6% gross per year.
If the Payment Index Levels of both the FTSE 100 and S&P 500 are equal to or lower than 62.5% of the Initial Index Level, no income payment will be made for that quarter.
If on any Quarterly Anniversary Date, from the end of year 2 onwards, the closing levels of the FTSE 100 and S&P 500 are higher than 105% of their Initial Index Levels, the Plan will mature early (Kick-Out) and you will receive back your initial investment and an income payment for that quarter.
Repayment of your initial capital at the end of the term is subject to the performance of the FTSE 100 and S&P 500.
If the Plan runs for the full 7 years and the Final Index Levels of either the FTSE 100 and S&P 500 are lower than 60% of their respective Initial Index Levels, your client will receive back their initial investment minus 1% for every 1% fall in the worst performing index (including partial percentages).
The FTSE/S&P 500 Defensive Income Plan 1 – Santander UK option has been designed for clients who are looking for a high level of income over a 7 year period, but can accommodate receiving their money back before the end of the term. The frequency of income payments is not known and clients should not be dependant on these income payments to meet living expenses. It is aimed at clients who may be cash rich but income poor.
Clients will have a medium-low appetite for risk and are prepared to risk their capital in order to potentially receive a higher level of income.
Clients will understand that both their return of capital and payment of their income are linked to the FTSE 100 and S&P 500 and returns will be calculated based on the worst performing index.
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: