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 5 Year UK & US Kick Out Plan is a maximum 5 year plan that offers potential growth of 10.20% for each year the plan runs, subject to the performance of the underlying indices.
The Plan will Kick-Out if the respective Closing Level of each Underlying Asset, on any Observation Date, is at or above 100% of its respective Opening Level. In this event an investor will receive their Initial Capital back, plus a Potential Investment Return of 10.20% for each year that the Plan has been in existence. The first annual observation Date on which an early maturity could be triggered will be 20 September 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 Capital Gains 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 a cash payment on termination of the product. The timing and amount of this payment will depend on the change in value of the preference shares, which in turn 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.
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.
Investors should note that the payments described above are based on the expected value of the preference shares. Therefore any return you may receive on the product depends directly on the value of the preference shares. As such, your return is only indirectly dependent on the underlyings.
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, as applicable, early. These events are specified in the product terms and principally relate to the product and the product issuer. The preference shares in turn contain provisions allowing the preference shares to be adjusted or terminated early in the case of certain exceptional events, in particular relating to the underlyings. Any such adjustments or early termination are likely to affect the amount and timing of return you receive under the product, meaning the return (if any) that 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.
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): 04 September 2020
Closing Date (Electronic Payment): 11 September 2020
ISA Transfer Closing date: 28 August 2020
Is the Causeway Securities 5 Year UK & US 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 5 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 positive view of the performance of the FTSE 100 Index and the S&P 500 Index over the next 5 years
♦ You are willing to invest for a period of up to 5 years.
♦ 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 5 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 positive view of the performance of the FTSE 100 Index and the S&P 500 Index over the next 5 years
♦ You are not willing to invest for a period of up to 5 years.
♦ You do not have £10,000 to invest.