The company says it has been able to take advantage of the recent market volatility that created a “beneficial pricing environment” for structured investments.
The improved terms have been available since 12 October and concern the following products:
Morgan Stanley Bonus Growth Plan 6:
This plan gives a 10% pa greater payout than Bonus Growth Plan 5 retaining capital protection subject to a 50% barrier observed at maturity only. It will kick out with a return of 13% pa on the first anniversary, from year two onwards, where the FTSE 100 is at or above its initial level.
Morgan Stanley Kick-Out Growth Plan 14:
The early exit rate has also been increased by 10% to 65% and will be triggered if the FTSE 100 rises by 10% or more after three years. If this kick-out is not triggered, the plan offers 200% participation in any FTSE 100 growth over the six-year term.
Morgan Stanley Protected Growth Plan 44:
The early exit rate has been increased from 22% to 35%, triggered if the FTSE 100 has risen by 10% or more after three years. If this is not the case, the plan offers 100% participation in any FTSE 100 growth over the full six-year term, with full capital protection at maturity.
Nev Godley, vice president, Morgan Stanley said: “Recent equity volatility has meant we have been able to significantly enhance the payoffs on our core products. Structured products are clearly demonstrating their value in a nervous market by offering clearly defined returns and quantifiable levels of risk.”
