We are currently able to accept postal applications, however given the current circumstances we would suggest sending applications to us by e-mail if you can. The funds for your investment should be transferred direct to the investment company so they have cleared funds by the closing date. Account details for transferring funds are included on all application forms. Please send completed application forms and appropriateness questionnaires to us at email@example.com. We will confirm receipt of your application within one working day.
If you have opted to pay your fee separately we will provide you with our account details when confirming receipt of your application.
The Causeway Securities 3 Year Memory Income Kick Out Plan is a maximum 3 year plan that offers potential quarterly income of 1.00%, subject to the performance of the underlying indices.
If the Closing Level of each Underlying Asset on any Quarterly Income Observation Date, is at or above 65% of its respective Opening Level, the Plan will pay a gross income of 1% for that quarter. No Income will be payable for a quarter if the Closing Level of each Underlying Asset is below 65% of its Opening Level on the Quarterly Income Observation Date. The Plan includes a Memory feature, which allows previously missed income payments to be recaptured, in addition to the income payment then due.
The first quarterly Income Observation Date will be 11 January 2021, one quarter after the Start Date. Thereafter, the performance of each Underlying Asset will be measured quarterly. If the Kick-Out Barrier is met (see below), income will be paid in respect of that quarter and any previous quarters; and the Plan will mature early. No further income payments will then be payable.
The Plan will Kick-Out if the respective Closing Level of each Underlying Asset, on any annual Kick-Out Observation Date, is at or above 110% of its respective Opening Level. In this event an investor will receive their Initial Capital back, plus an income payment of 1% due for that quarter and any previously missed income payments. The first annual Observation Date on which an early maturity could be triggered will be 11 October 2021, one year after the Start Date.
If on the Final Observation Date the Closing Level of the worst performing Underlying Asset is less than 65% of the Opening Level (representing a decline of more than 35% from the Opening Level), your Initial Capital will be lost at a rate of 1% for every 1% that the Final Level of the worst performing Underlying Asset is below the Opening Level.
The Counterparty of the Securities is Morgan Stanley & Co. International plc. If Morgan Stanley & Co. International plc were to fail or become insolvent, you could lose some or all of your investment and any return that may be due, irrespective of the performance of the Underlying Asset(s).
Subject to a minimum investment of £10,000, the Plan is available to: Direct Investment; ISA/ISA Transfers; Pensions; Companies; Trusts; Charities.
It is Causeway Securities understanding of current legislation and known HMRC practice that any investment return from a direct investment by individuals or Trusts into this Plan is expected to be subject to Income Tax. Investors should obtain their own tax advice.
Other Key Information
English law governed notes
Morgan Stanley & Co. International plc (http://sp.morganstanley.com/)
The product is designed to provide a return in the form of (1) conditional interest payments and (2) a cash payment on termination of the product. The timing and amount of these payments will depend on the performance of the underlyings. The product has a fixed term and will terminate on the maturity date, unless terminated early. If, at maturity, the final reference level of the worst performing underlying has fallen below its barrier level, the product may return less than the product notional amount or even zero.
Early termination following an autocall: The product will terminate prior to the maturity date if, on any autocall observation date, the reference level of the worst performing underlying is at or above its autocall barrier level. On any such early termination, you will on the immediately following autocall payment date receive a cash payment equal to the applicable autocall payment. The relevant dates and autocall payments are shown in the table(s) on the key information document.
Interest: If the product has not terminated early, on each interest payment date you will receive an interest payment of GBP 10.00 together with any previously unpaid interest payments if the reference level of the worst performing underlying is at or above its interest barrier level on the immediately preceding interest observation date. If this condition is not met, you will receive no interest payment on such interest payment date.
Termination on the maturity date: If the product has not terminated early, on the maturity date you will receive:
1. if the final reference level of the worst performing underlying is at or above its barrier level, a cash payment equal to GBP 1,000.00; or
2. if the final reference level of the worst performing underlying is below its barrier level, a cash payment directly linked to the performance of the worst performing underlying. The cash payment will equal (i) the product notional amount multiplied by (ii) (A) the final reference level of the worst performing underlying divided by (B) its strike level.
Under the product terms, certain dates specified above and 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 product issuer may terminate the product early. These events are specified in the product terms and principally relate to the underlyings, the product and the product issuer. 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.
When purchasing this product during its lifetime, the purchase price may include accrued interest on a pro rata basis.
The product is intended to be offered to retail investors who fulfil all of the criteria below:
♦ they have the ability to make an informed investment decision through sufficient knowledge and understanding of the product and its specific risks and rewards, either independently or through professional advice, and they may have experience of investing in and/or holding a number of similar products providing a similar market exposure;
♦ they expect the movement in the underlying to perform in a way that generates a favourable return, have an investment horizon of the recommended holding period specified in the key information document and understand that the product may terminate early;
♦ they accept the risk that the issuer could fail to pay or perform its obligations under the product and they are able to bear a total loss of their investment; 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 Payment): 25 September 2020
Closing Date (Electronic Payment): 02 October 2020
ISA Transfer Closing date: 18 September 2020
Is the Causeway Securities 3 Year Memory Income Kick Out Plan right for me?
This Plan may be right for you if:
♦ You have received advice from your investment advisor prior to investing in this Plan or you have the necessary investment experience to make this investment on a non advised basis.
♦ You have read the Brochure and understand how this investment works.
♦ You have some knowledge or experience of similar investments, the financial markets and the Underlying Assets which allows you to understand the risks associated with this investment Plan.
♦ You understand that investment returns may not be paid until the Maturity Date and you are willing to invest your Initial Capital for a period of up to 3 years.
♦ You understand that the return of your amount invested and any potential growth on capital invested will depend on the performance of the Underlying Assets.
♦ You understand that if the Counterparty was to default you could sustain total loss of your investment and any Potential Investment Returns; and are able to sustain this
♦ You understand that you will lose, and are able to withstand the loss of, more than 35% of your Initial Investment if the Final Level of either Underlying Asset is below 65% of the Opening Level on the Final Observation Date.
♦ You have a neutral/positive view of the performance of the FTSE 100 Index and the S&P 500 Index over the next 3 years
♦ You are willing to invest for a period of up to 3 years.
♦ You understand that if the Counterparty defaults that you could lose all of your investment and any income, and you would not have any recourse to the FSCS.
♦ You have at least £10,000 to invest.
This investment may not be right for you if:
♦ You have received no advice in relation to this Plan and you do not have sufficient knowledge or experience which would allow you to understand this investment.
♦ You have read the Brochure and do not understand how the investment works.
♦ You have not read the warnings or understand the risk disclosures in the brochure
♦ You are seeking regular income from this investment during the 3 year investment term.
♦ You are not comfortable that the return of your investment is linked to the performance of the Underlying Assets.
♦ You are not comfortable with or able to sustain a total loss of your investment.
♦ You are not willing to put your Initial Investment at risk, or are uncomfortable in putting your Initial Capital at Risk.
♦ You do not have a neutral/positive view of the performance of the FTSE 100 Index and the S&P 500 Index over the next 3 years
♦ You are not willing to invest for a period of up to 3 years.
♦ You are not comfortable that if the Counterparty defaults you could lose all of your investment and any income, and you would not have any recourse to the FSCS.
♦ You do not have £10,000 to invest.