The products are FTSE 100 Geared Returns Plan, FTSE 100 Bonus Income Plan, FTSE 100 Enhanced Kick-Out Plan and the Gilt Backed Growth Plan. Each one has a collateralised option allowing a wider diversification of counterparty risk across five blue-chip financial institutions.
The FTSE-100 plans offer HSBC Bank, Nationwide Building Society, Santander UK, Royal Bank of Scotland and Lloyds TSB Bank as counterparties while collateralisation on the Gilt Backed Growth Plan will be provided by a portfolio of UK gilts.
Product details:
Gilt Backed Growth Plan 26
100% of any rise in the FTSE 100 subject to a maximum return of 50%.
Capital is protected against any FTSE 100 declines.
FTSE100 Geared Returns Plan 27
62.5% return if the FTSE 100 is higher after five years.
FTSE100 Enhanced Kick out Plan 22
Potential for early maturity at the end of any of the first four years with a payment equal to 9.5% p.a. If the plan runs for the full five-year term, the return is 120% of any FTSE 100 growth.
FTSE 100 Bonus Income Plan 17
Annual version: Five annual fixed payments equal to 5.75%, with potential annual bonus payments of 0.5%.
Monthly version: 60 monthly fixed payments equal to 0.46%, with potential monthly bonus payments of 0.04%.
The initial investment on any of the latter three products is at risk at maturity if the closing level of the FTSE 100 falls by more than 50% at any point during the Plan.
