IDAD UK Callable Supertracker Plan – July 2022Investment Term: A 4 year 1 week term. However the plan has the potential to mature early (callable) from the first observation date at end of year 1 and quarterly thereafter.

Participation Rate: 500% Participation in the growth of the FTSE ™100 Index at maturity if the Issuing Bank does not ‘call’ the product prior to its maturity date.

Payment Rate: 10% per annum (2.50% per quarter) paid if the Issuing bank ‘calls’ the product on any observation date prior to its maturity date.

Issuer: BNP Paribas Issuance B.V.

How the Investment works   

This is a 4 year 1 week Plan based on the performance of the FTSE ™100 Index.  The Plan is constructed to offer a potential return of 10.00% per annum to the redemption date if the Issuer calls the investment early (please refer to the ‘Callable Feature’ below), or 500% participation in any growth of the FTSE ™100 Index at maturity.

If the Plan is not called early, at maturity, the investor receives a return of 500% of any positive growth in the FTSE ™100 Index.  For example, at maturity, if the FTSE ™100 Index had risen 10% from the Initial Index Level, the investor will receive 100% of their investment back plus a 50% growth payment (10% X 500%).

The Callable Feature, what is this and when may this occur?

On each Quarterly Observation Date, from the 12 months after issue date, the Issuer has the option to ‘call’ the Plan at their discretion.  This means the Plan will be redeemed at that point and investors will receive their Initial Capital into the Plan, together with the fixed rate of return detailed above.  For example, if the Issuer called the Plan on the second anniversary, the investor would receive 100% of their Initial Capital plus a 20.00% return.

The callable feature provides the Issuer with the ability to redeem the Plan early on any Callable Observation Date, details of which can be found in the brochure.