The iDAD FTSE Growth Plan is a maximum 6 year plan that offers a potential return of 100% of any positive growth in the FTSE 100 index.
6 years 2 weeks investment
FTSE 100 Index (the ‘Index’)
Royal Bank of Canada (London Branch) (RBC)
How the FTSE Growth Deposit plan works
This is a 6 year 2 week Deposit Plan based on the performance of the FTSE™ 100 Index. At maturity, the investor receives a return of 100% of any positive growth in the FTSE™ 100 Index. For example, at maturity, if the FTSE™ 100 Index had risen 10% from the Initial Index Level, the investor will receive 100% of their investment back plus a 10% growth payment (10% x 100%).
The Deposit Plan is constructed to offer a potential maximum return of 30% to the redemption date if the Underlying Index risesto 130% of the Initial Index Level. Beyond this level, no further growth will be applicable – the Cap Level is 30% therefore.
The opportunity for full capital protection and capital growth is the key aim of this investment. The investment is linked to one of the best-known indices in the world (see page 5 of the brochure for full details) and investors will benefit from growth in the Underlying Index.
The initial investment, minus any initial Adviser Fee, will be returned in full on the Maturity Payment Date, regardless of the performance of the Underlying Index.
How can I hold this?
Direct, ISA/ISA Transfers, SIPPs, SSAS,Corporate, Charities and Trusts
Other Key Information
English law governed structured deposit
RBC Europe Limited (http://www.rbcnotes.co.uk/). The product is a structured deposit and the deposit taker is Royal Bank of Canada (London Branch)
The product is designed to provide a return in the form of a cash payment on the maturity date. The amount of this payment will depend on the performance of the underlying. The product has a fixed term and will terminate on the maturity date. The payment at maturity will not exceed GBP 1,300 per individual investor deposit of GBP 1,000.
On termination of the product on the maturity date you will receive per individual investor deposit of GBP 1,000 a cash payment amount directly linked to the performance of the underlying. This amount will equal (i) GBP 1,000 multiplied by (ii) (A) the final reference level divided by (B) the initial reference level. However, if this cash payment exceeds GBP 1,300, you will only receive GBP 1,300 (the maximum payment) and if it is less than GBP 1,000, you will receive GBP 1,000 (the minimum payment).
Under the product terms, certain dates specified below will be adjusted if the respective date is either not a business day or not a trading day (as applicable). Any adjustments may affect the return, if any, you receive.
The product terms also provide that if certain exceptional events occur (1) adjustments may be made to the product and/or (2) the deposit taker may terminate early. These events are specified in the product terms and principally relate to the underlying, the product, the deposit taker, the deposit plan manager and the depositor intermediary. The return (if any) you receive on such early termination is likely to be different from the scenarios described above and may be less than the amount you invested. Early withdrawal charges may apply.
The product is intended to be offered to retail investors who fulfil all of the criteria below:
♦ they have basic knowledge and/or experience of investing in similar products which provide a similar market exposure and have the ability to understand the product and its possible risks and rewards, either independently or through professional advice;
♦ they seek income and/or full principal protection, subject to the deposit taker’s ability to pay, expect the movement in the underlying to perform in a way that generates a favourable return and have an investment horizon of the recommended holding period specified in the key information document;
♦ they accept the risk that the deposit taker could fail to pay or perform its obligations under the product but otherwise they are not able to bear any loss of their investment, subject to the availability of any compensation under the UK Financial Services Compensation Scheme; and
♦ they are willing to accept a level of risk to achieve potential returns that is consistent with the summary risk indicator shown in the key information document.
To gain a full understanding of this Plan it is important that you read the brochure carefully, including the product risks and terms and conditions. If you are unsure about any aspect of this investment product, please seek financial advice to ensure the Plan suits your requirements and overall investment planning.
Moneyworld does not offer investment advice. The information in this brochure does not constitute tax, legal or investment advice. Please read our terms and conditions before investing
How do I invest?
Our fee is just 0.5%. This can be deducted from the investment or paid by enclosing a cheque to Moneyworld.
Important Plan Dates
Closing Date (Cheque payments): 16 October 2019
Closing Date (Electronic payments): 23 October 2019
ISA Transfer closing date: 09 October 2019
Is the iDAD FTSE Growth Deposit Plan right for me?
This Deposit may be suitable for investors who:
♦ Are seeking the opportunity for higher returns than current cash rates at the time this Deposit Plan is launched
♦ Understand how the capital protection works
♦ Wish to have exposure to the Underlying Index
♦ Understand the returns are capped at 30% (5% p.a. over the 6 year term)
♦ Are looking to invest for the medium to long term, being happy to remain invested until the Maturity Date
♦ Can afford to have their cash invested for the full term of the Deposit Plan
♦ Wish to use this investment as part of a well-diversified portfolio
♦ Understand the risk to capital in the event of a Deposit Taker default
♦ Should they need to encash their investment before maturity, accept that the trading price may mean they get back an amount less than they invested
This Deposit may not be suitable for investors who:
♦ Have not received advice or spoken to a financial adviser who deems the Deposit Plan appropriate for them
♦ Don’t understand the risks of the Deposit Plan
♦ Require a guaranteed income
♦ Don’t want exposure to an Underlying Index
♦ Require access to their investment over the term
♦ Are unsure how the Deposit Plan works
♦ Do not have at least £10,000 to invest
♦ Are not comfortable that their investment may be at risk if the Deposit Taker becomes insolvent
♦ Cannot make an informed decision based on the information within the brochure or from the Deposit Taker’s Key Investment Document (KID)