The Mariana Dual Index Defensive Income Kick Out Plan is a maximum seven year, two week investment offering potential quarterly income payments of 1.925%, subject to the performance of the FTSE™ 100 Index and S&P 500® Index, the Underlying Asset.
This is a seven year, two week Plan based on the performance of the FTSE 100 Index and S&P 500 Index, the Underlyings. The Plan is constructed to offer a Potential Income of 1.925% per quarter (7.7% p.a) providing the Closing Price of both the Underlyings is at or above 75% of the Start Level on a quarterly Observation Date.
If the Closing Price of both the Underlyings is below 75% of the Start Level on a quarterly Observation Date, no income is paid and the income for that period is permanently lost.
You will only receive the quarterly Potential Income if the income criteria is fulfilled on a quarterly Observation Date. To note, if, on all of the quarterly Observation Dates the income criteria is not fulfilled, you will receive no Potential Income throughout the term of the Plan.
The Plan has the possibility to kick out from the end of year 2 and quarterly thereafter. Should the Closing Price of both the Underlyings be at or above 100% of the Start Level on any one of the kick out Observation Dates, the Plan will mature early paying the Potential Income for that quarter and returning Initial Capital in full (subject to Counterparty Risk).
If the Plan has not already kicked out, Initial Capital will be returned in full at the end of the Plan’s term if on the Maturity Date the Finish Level of the worst performing Underlying is not less than 65% of the Start Level.
You are at risk of losing your capital if the Closing Price of the worst performing Underlying is less than 65% of the Start Level (representing a decline of more than 35% from the Start Level), your Initial Capital will be lost at a rate of 1% for every 1% the Closing Price of the worst performing Underlying is below the Start Level.
The Counterparty chosen for this Plan is BNP Paribas. BNP Paribas Issuance B.V., an affiliate of BNP Paribas, is the issuer of the underlying investments that are purchased on your behalf with the money you have invested. The investments are constructed to generate the terms described in the Brochure.
Other Key Information
This product is a certificate, a transferable debt instrument.
BNP Paribas S.A. – www.bnpparibas.com Call +33 (0)1 57 08 22 00 for more information
The objective of this product is to provide you with a return based on the performance of underlying indexes (each index, an Underlying). This product has a fixed term and will redeem on the Redemption Date unless redeemed early in accordance with the Automatic Early Redemption provisions below. The product may also pay coupon under predefined conditions in accordance with the Coupon provisions below. Unless the product has been redeemed early, the following provisions would apply. On the Redemption Date you will receive in respect of each certificate, in addition to any final payment of a coupon:
1. If a Barrier Event has not occurred: a payment in cash equal to the Notional Amount.
2. If a Barrier Event has occurred: a payment in cash equal to the Notional Amount decreased by the Performance of the Worst-Performing Underlying. In this case you will suffer a partial or total loss of the Notional Amount.
Coupon: A conditional coupon is due for payment at the relevant Conditional Coupon Rate if, on a Coupon Valuation Date, the closing price of each underlying is greater than or equal to the relevant Conditional Coupon Barrier.
Automatic Early Redemption: If, on any Autocall Valuation Date, the closing price of each underlying is greater than or equal to 100% of its Initial Reference Price, the product will be redeemed on the corresponding Early Redemption Date. You will receive for each certificate a payment in cash equal to the Notional Amount.
Where:
– A Barrier Event shall be deemed to occur if the Final Reference Price of at least one Underlying is below the Barrier.
– The Performance of an Underlying is the difference between its Final Reference Price and its Initial Reference Price, divided by its Initial Reference Price, expressed in absolute value.
– The Worst-Performing Underlying is the Underlying that shows the lowest Final Reference Price when divided by its Initial Reference Price.
– The Initial Reference Price of an Underlying is the closing price of that Underlying on the Strike Date.
– The Final Reference Price of an Underlying is the closing price of that Underlying on the Redemption Valuation Date.
The product terms provide that if certain exceptional events occur (1) adjustments may be made to the product and/or (2) the Issuer of the product may terminate the product early. These events are specified in the product terms and principally relate to the Underlying(s), the product and the Issuer of the product. 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.
All redemptions described in the key information (including potential gains) are calculated on the basis of the Notional Amount, excluding costs, social contributions and taxation applicable to this type of investment.
This product has been designed for retail investors who:
– have a long term investment horizon (over five years).
– seek to invest in an income paying product, potentially to diversify their portfolio.
– are able to bear losses up to the total of the Notional Amount and are aware of the possible early termination of the product.
– have been informed or have sufficient knowledge of the financial markets, their functioning and their risks, and the asset class of the underlying.
To gain a full understanding of this Plan it is important that you read the brochure and Key Information Documenbt 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 of business before investing
How do I invest?
Application Fee
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: 03 April 2023
ISA Transfer closing date: 16 March 2023
Important Documents
> Plan Brochure – Dual Index Defensive Income Kick Out Plan – April 2023
Application Forms
Other application forms
Subscribe to Product Updates
The information provided when subscribing will only be used to provide Structured Product updates. Please view our privacy policy for more information.
Is the Mariana Dual Index Defensive Income Kick Out Plan right for you?
This investment may be right for you if:
♦ You have either received advice or a financial adviser has confirmed that this investment is appropriate for you.
♦ You understand the risk associated with investing in this Plan (see page 15 of the brochure for more information).
♦ You are able to make an informed decision based on the information provided in the Brochure and in the Issuer’s Key Information Document (KID).
♦ You understand that the returns are pre-defined and that you will forgo any growth in the Underlyings which exceeds the returns defined in the Brochure.
♦ You are comfortable that you are making an investment into a Plan that has a term of ten years, two weeks.
♦ You are comfortable that the Plan’s returns are linked to the performance of the FTSE™ 100 and S&P 500 Index, the Underlying Assets.
♦ You are comfortable that any Potential Return and the repayment of your Initial Capital is dependent on the continuing solvency of the Counterparty.
♦ You are comfortable that your capital is at risk and you could lose some and up to all of your investment.
♦ You are looking to invest in a Plan that offers a potential income payment and not growth payment.
♦ You can afford to leave your money invested for the full term of the Plan.
♦ You have other savings or investments that are easily accessible to cover emergencies.
♦ You understand how the Plan works.
♦ You have at least £10,000 to invest.
♦ You are comfortable with the fact that the Plan may mature early (kick out).
This investment may not be right for you if:
♦ You have not received advice or a financial adviser has not confirmed that this investment is appropriate for you.
♦ You do not understand the risk associated with investing in this Plan (see page 15 of the brochure for more information).
♦ You are not able to make an informed decision based on the information provided in the Brochure and in the Issuer’s Key Information Document (KID).
♦ You do not understand that the returns are pre-defined and that you will forgo any growth in the Underlyings which exceeds the returns defined in the Brochure.
♦ You are not comfortable that you are making an investment into a Plan that has a term of ten years, two weeks.
♦ You are not comfortable that the Plan’s returns are linked to the performance of the FTSE™ 100 and S&P 500 Index, the Underlying Assets.
♦ You are not comfortable that any Potential Return and the repayment of your Initial Capital is dependent on the continuing solvency of the Counterparty.
♦ You are not comfortable that your capital is at risk and that you could lose some and up to all of your investment.
♦ You are looking to invest in a Plan that offers a growth payment and not an income payment.
♦ You cannot afford to leave your money invested for the full term of the Plan.
♦ You do not have other savings or investments that are easily accessible to cover emergencies.
♦ You are unsure how the Plan works.
♦ You do not have at least £10,000.
♦ You are not comfortable with the fact that the Plan may mature early (kick out).