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MB Structured Investments launch two new Deposit products

  • Friday, February 19, 2021
Deposit products

INVESTMENT NEWSLETTER

MB STRUCTURED INVESTMENTS LAUNCH TWO NEW DEPOSIT PRODUCTS
Deposit products
Deposit products

Against a backdrop of a structured product provider leaving the structured product and deposit space, and news of potential negative interest rates, some timely and encouraging news to emerge is that MB Structured Investments (UK) Ltd (an appointed rep of Meteor Asset Management) have launched a range of structured deposits (utilising Barclays) to help fill the void, and to add to their existing range of capital at risk products (also utilising Barclays as the counterparty).

MBSI are stepping up with the following structured deposits, with further shapes to follow in the coming months.

Detailed below is a brief summary of each plan with a Synopsis following with a link to each investment for you to read the Brochure and KID document for full details:

MBSI/Barclays UK Growth Deposit Plan – Issue 1 

  • Barclays bank as deposit taker
  • 7 year term
  • FTSE 100
  • Pays 16% at maturity if FTSE 100 is level or above start value
  • FSCS capital protection (up to £85,000 per individual)
  • Strike Date 26 March 2021

MBSI/Barclays UK Kick-Out Auto call Deposit Plan – Issue 1

  • Barclays bank as deposit taker
  • 7 year term
  • FTSE 100
  • Annual Auto call opportunities from year 4 if FTSE 100 is level or above start value
  • FSCS capital protection (up to £85,000 per individual)
  • Coupon = 1.5% per annum
  • (Pays potential 10.5% plus return of capital if it runs the full term, or 6% coupon from first possible kick-out opportunity at year 4)
  • Strike Date 26 March 2021
Deposit products
About Barclays: Barclays is a British universal bank: a bank with a proud history and deep roots in the UK, but also with the scale and diversity to help customers and clients across the broadest range of financial needs, all around the world. Barclays Bank PLC encompasses Barclays’ top-tier, full service, global corporate and investment bank offering products and services designed for larger corporate, wholesale and international banking clients, Global Banking & Payments, and the Private Bank & Overseas business.
Source: Barclays Bank plc, 14 August 2020.Relevant credit ratings and outlooks for Barclays Bank plc (the Deposit Taker)
Deposit products
Deposit products
MB Structured Investments UK Growth Deposit Plan March 2021

Investment Return: This is a seven year three week investment.

Repayment of Deposit:  At the Maturity Date, the return of the amount you place in the Plan (your ‘Capital’) is not dependent on the performance of the Index and, subject to Deposit Taker risk, will be returned in full.

Interest: At the Maturity Date, the Plan will pay a fixed gross interest amount of 16% of the money you invest if the Final Level of the Index is at least equal to its Opening Level. If the Final Level is below its Opening Level, no growth payment will be payable at the Maturity Date.  If the Final Level of the Index is more than 16% above its Opening level you will not receive any additional interest above the fixed gross interest amount of 16% provided by the Plan.

Final Level of the Index: The Final Level of the Index will be an average of its Closing Level on 6 Observation Dates over the last week of the Plan’s term. The Observation Dates are outlined in the Key Dates on Page 2 of the brochure.
Click here for more details on the MB Structured Investments UK Growth Deposit Plan March 2021
Deposit products

MB Structured Investments UK Kick Out Deposit Plan March 2021

Investment Return: This is a maximum seven year three week investment.

Repayment of Deposit:  At the Maturity Date, the return of the amount you place in the Plan (your ‘Capital’) is not dependent on the performance of the Index and, subject to Deposit Taker risk, will be returned in full.

Interest: If the Closing Level of the Index on any Measurement Date before the Final Measurement Date is at least equal to its Opening Level the Plan will kick out, i.e. mature early, and make a gross interest payment of 1.50% of the money you invest for each year that the Plan has been in force. The first Measurement Date will be on 31 March 2025, four years after the Start Date.

If the Plan has not matured early, and the Closing Level of the Index on the Final Measurement Date (the ‘Final Level’) is at least equal to its Opening Level, the Plan will provide an interest payment at the Maturity Date equal to 10.50% of the money you invest. If the Final Level of the Index is below its Opening Level, no interest will be payable at the Maturity Date.
Click here for more details on the MB Structured Investments UK Kick Out Deposit Plan March 2021
Don’t Forget the Risks

As with all forms of investment there are risks involved. These plans do not guarantee to repay the money invested. The potential returns of the plans and repaying the money invested are linked to the level of the stock market and also depend on the financial stability of the Issuer and Counterparty Bank.

The promotion of the plans does not constitute ‘advice’ to invest. Advice is always specific to an individual investor’s circumstances and needs, following the process of ‘know your customer’, with the aim of ensuring that any product is suitable for an investor.

As always, the recommendation and common sense approach is to consider product solutions as a portfolio, never over-exposing oneself to a point of financial pain and suffering liquid or counterparty exposure.

At the Best Price FS price point (when combined with our smiley and helpful service) the MB Structured Investment Plans are certainly worthy of consideration for inclusion within investment portfolios.

Best Price FS Team
Advice: Simply click here to get in touch if you wish to receive regulated advice in relation to the ‘suitability’ of the plans to meet your investment needs.