The Investec/Lowes 8:8 Plan is designed to repay your initial investment and deliver a return if the FTSE 100 increases over the Plan Term.
This Plan will mature early, returning your initial investment plus a fixed payment equal to 7% per annum if the FTSE 100 is higher than 92% of its starting level on any of the Kick Out Dates.
The Kick Out Dates occur every 6 months, from the end of year 2 onwards.
However, if the Plan runs for the full 8 years and at the end of year 8, the FTSE 100 finishes lower than 60% of its starting level, your initial investment will be reduced by 1% for every 1% fall in the FTSE 100 at the end of the Plan Term.
For further details on how Investec calculate your returns, please see ‘How does the Plan work?’ on page 5 of the brochure.
Other Key Information
The 8:8 Plan is a structured investment. Your money will be used to buy securities issued by Investec Bank plc
Investec Bank plc
This product is denominated in GBP and is designed to return your initial investment as well as delivering a return linked to the performance of FTSE 100 (the “Underlying”) over the term of 8 years. This product also has the potential to mature early (“Kick Out”), returning your initial investment plus a return depending on the performance of the Underlying
Early Maturity (Kick Out)
This product will “Kick Out” at the end of any semi-annual period from the 2nd year onwards, returning your initial investment as well as 7% (not compounded) for every year that has elapsed since the Start Date, provided that the Underlying is above 92% of its starting level.
Maturity After 8 years
If no Kick Out occurs and the product runs to the end of the recommended holding period, your return will be determined accordingly:
♦ If the Underlying is above 92% of its starting level, the product will return your initial investment plus 56%
♦ If the Underlying is equal to or below 92% of its starting level, the product will return your initial investment with no additional return
♦ However, if the Underlying is below 60% of its starting level, your investment will be reduced by 1% for every 1% fall in the Underlying.
This product has been designed for investors who are looking to potentially achieve a high level of growth over a term of 8 years but can accommodate receiving their money back before the end of the term. Investors will have a medium appetite to risk. They will be prepared to risk their capital in order to achieve higher returns. Investors will understand that the potential returns of this product are linked to the performance of the FTSE 100. Additionally, investors will have knowledge and understanding of this structured product and experience of financial markets.
Please ensure that you have read and understood the important documents contained on this page.
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
Other application forms
How do I invest?
Please print and complete your application form together with our appropriateness questionnaire. Please send your completed forms to us at Moneyworld, 34 High Street, High Wycombe, Bucks, HP11 2AG.
Is the Investec/Lowes 8:8 Plan right for you?
This investment may be right for you if:
♦ You understand the risks of this Plan.
♦ You are prepared to risk losing some or all of your initial investment.
♦ You are looking for a Plan where returns are dependent on the performance of stock markets.
♦ You are looking to achieve growth over a 8 year period and can accommodate receiving your money back before the end of the Plan Term.
♦ You do not need access to your money over the next 8 years.
♦ You have a minimum of £3,000 to invest.
♦ You want a tax-efficient return using your ISA allowance or via a SIPP/SSAS.
♦ You accept that if Investec Bank plc defaults during the Plan Term, you could lose all of your investment and will have no recourse to the Financial Services Compensation Scheme.
♦ You understand that returns are dependent on the performance of the FTSE 100, which is observed on set dates and you accept that you may not achieve any return at all.
This investment may not be right for you if:
♦ You are not prepared to risk losing some or all of your initial investment.
♦ You disagree with or do not meet all of the criteria listed in the section to the left.
♦ You want regular income or dividend payments.
♦ You may need immediate access to your money before maturity.
♦ You cannot commit to the full 8 year Plan Term.
♦ You want a guaranteed return on your investment.
♦ You want to add to your investment on a regular basis.
♦ You do not want to invest in a UK onshore asset that is subject to UK tax rules.