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Mariana launch new tranche of plans for April 2023

  • Monday, April 24, 2023

MARIANA STRUCTURED PRODUCTS UPDATE

Mariana have launched a new tranche of plans for April 2023:

  • Mariana 10:10 Plan (FTSE CSDI Version) – April 2023 Plans – Options 1, 2 & 3
  • Mariana Dual Index Defensive Income Kick Out Plan – April 2023

A summary of each plan is provided below.  All plans are available on a non-Advised basis.

The Mariana 10:10 plan (FTSE CSDI Version) has been available for over 7 years and established as a ‘go to’ investment within many investors.

The overall Product design coupled with both the impressive Back-testing & the current market environment makes it a compelling & powerful diversification tool for a number of Investors’ investment strategies.

This investment tranche is underwritten by BNP Paribas (S&P A+ Stable) as the chosen Counterparty.

Headline details of the product options are as follows, please refer to the Brochure and KID document for full information on the Plans.:

The 10:10 Plan continues to use the FTSE CSDI Index which we introduced over three years ago now, in order to get better value for your Clients. Just to remind you this Index was designed specifically for structured products – its full title is the FTSE Custom 3.5% Synthetic Fixed Dividend Index (FTSE CSDI), & it is now very much a staple within the sector.

The FTSE CSDI aims to closely replicate the performance of the same 100 companies as the FTSE 100 Index, but after including the dividends – the equivalent to the FTSE 100 ‘total return’ index, from which, a constant annual dividend of 3.5% is deducted. The FTSE CSDI index may therefore be expected to perform in a similar way to the FTSE 100 Index although, it would be expected to slightly underperform the latter if the total dividend yield transpires to be less than 3.5%. The correlation of FTSE CSDI to the FTSE 100 over a 10-year simulated back-test is actually over 98%. Hardly surprising as the Index contains exactly the same Shares held on exactly the same weighted basis.

Important also to remember that to achieve the annualised returns on offer little or no Market Growth is required. Even Option 3 only requires the Market to rise just 5% from the start in order to produce an annualised return of 11% pa, Option 1 remains the Defensive Version offering the headline return even in a market trending downwards over time.

For further details about the FTSE CSDI please refer to pages 12 and 13 of the Brochure.

Mariana Dual Index Defensive Income Kick Out Plan – April 2023

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

Once again, thank you for your continued interest in our investment services and look forward to transacting more business with you shortly.
Mariana 10:10 Plan FTSE CSDI Version – April 2023
This is a ten year, two week Plan based on the performance of the FTSE™ Custom 100 Synthetic 3.5% Dividend Index, the Underlying Asset.

The Plan has three options and is constructed to offer a Potential Return of 8.50% in Option 1, 9.75% in Option 2 and 11% in Option 3 for each year the Plan runs with the possibility of early maturity and the full repayment of Initial Capital from the end of the Plan’s second year and annually thereafter.

The Potential Return is only payable if the Plan kicks out. Should the Closing Price of the Underlying Asset on an Observation Date be at or above the Kick Out Trigger Level, the Plan will mature early, repaying your Initial Capital plus the Potential Return multiplied by the number of years the Plan has run.

The Kick Out observations begin on the second anniversary date and continue on an annual basis until the Plan’s Maturity Date (from 17 April 2025 to 19 April 2033). If the Plan has not already kicked out, Initial Capital will be repaid in full at the end of the Plan’s term if on the Maturity Date (19 April 2033) the Closing Price of the Underlying Asset is not more than 30% below the Start Level.

If on the Maturity Date the Closing Price of the Underlying Asset is less than 70% of the Start Level (representing a decline of more than 30% from the Start Level), your Initial Capital will be lost at a rate of 1% for every 1% the Closing Price of the Underlying Asset is below the Start Level.

Click here for more details of the Mariana 10:10 Plan (FTSE CSDI Version) – April 2023 OPTION 1
Click here for more details of the Mariana 10:10 Plan (FTSE CSDI Version) – April 2023 OPTION 2
Click here for more details of the Mariana 10:10 Plan (FTSE CSDI Version) – April 2023 OPTION 3
Mariana Dual Index Defensive Income Kick Out Plan – April 2023

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 (12 April 2030) 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.
Click here for more information on the Mariana Dual Index Defensive Income Kick Out Plan – April 2023
About BNP Paribas: BNP Paribas is a French mulitinational financial services group. The group offers services in retail banking, where it serves nearly 33 million clients worldwide and in Personal Finance which serves more than 27 million active customers. Additionally, the Group’s corporate and institutional arm is active in 65 countries, providing bespoke services in capital markets, securities services, financing, treasury and financial advisory.

More information on BNP Paribas can be found on their website https://group.bnpparibas/en/ or by requesting a copy of their prospectus from Mariana. The prospectus contains information and contractual terms for the securities issued by BNP Paribas Issuance B.V.

BNP Paribas acts as Guarantor of the securities issued by BNP Paribas Issuance B.V., which means that BNP Paribas will make the payments under the securities if BNP Paribas Issuance B.V. is unable to fulfil its payment obligations. You may lose part and up to all your investment if BNP Paribas goes into liquidation and defaults on paying your Plan return and the repayment of your Initial Capital. The risk that BNP Paribas goes into liquidation is called Counterparty Risk.

Securities issued by BNP Paribas Issuance B.V. and BNP Paribas are not covered by the Financial Services Compensation Scheme (FSCS). Therefore if the Issuer and/ or the Guarantor become insolvent you would not be covered by the FSCS.

Potential investors should note that in purchasing any product described in this document, you will be purchasing from Mariana as principal and not as agent for BNP Paribas or any of its affiliates. You therefore will not have any contract with BNP Paribas or its affiliates. Potential investors should also note that this document is the sole responsibility of Mariana and that BNP Paribas and its affiliates take no responsibility for the reliability, accuracy or completeness of its contents, any representations made herein, the performance of the product or the marketing of the product including compliance with any applicable marketing or promotion laws, rules or regulations. BNP Paribas and its affiliates specifically disclaim any liability for any direct, indirect, consequential or other losses or damages including loss of profits incurred by you or by any third party that may arise from any reliance on this document
Mariana have also launched the following plans for April where you will see a brief summary for each and a link to obtain further details, together with documentation for each plan:

Goldman Sachs FTSE 100 Deposit Kick Out – Dual Option (Options 1 and 2) – April 2023

This is a six-year, one week Deposit Plan based on the performance of the FTSE™ 100 Index, the Underlying Asset. The Deposit Plan has two options and is constructed to offer a Potential Return of 5.5% in Option 1 and 6% in Option 2 for each year the Deposit Plan runs with the possibility of early maturity and the full repayment of Initial Capital from the end of the Deposit Plan’s third year and annually thereafter. The Potential Return is only payable if the Deposit Plan kicks out.

Should the Closing Price of the Underlying Asset on an Observation Date be at or above the Kick Out Trigger Level, the Deposit Plan will mature early, repaying your Initial Capital plus the Potential Return multiplied by the number of years the Deposit Plan has run. The Kick Out observations begin on the third anniversary date and continue on an annual basis until the Deposit Plan’s Maturity Date (from 17 April 2026 to 17 April 2029).

If the Deposit Plan has not already kicked out, Initial Capital is returned in full on the Maturity payment Date regardless of the performance of the Underlying. The repayment of Initial Capital and the payment of any returns are subject to Counterparty Risk.

Click here for further details and documentation for Goldman Sachs FTSE 100 Deposit Kick Out – Dual Option (Option 1) – April 2023.

Click here for further details and documentation for Goldman Sachs FTSE 100 Deposit Kick Out – Dual Option (Option 1) – April 2023..

Goldman Sachs 3 Year FTSE 100 Fixed Income Deposit – April 2023

This is a three-year Deposit Plan based on the performance of the FTSE™ 100 Index, the Underlying. The Deposit Plan is constructed to offer an unconditional fixed income of 3.54% p.a., paid out monthly, regardless of the performance of the Underlying. In addition, the Deposit Plan offers a potential bonus return of 0.3% payable at maturity providing the closing price of the Underlying is at or above 100% of the Start Level on the Maturity Date The total return due is paid on the Maturity Payment Date.

Initial Capital is returned in full on the Maturity payment Date regardless of the performance of the Underlying. The repayment of Initial Capital and the payment of any returns are subject to Counterparty Risk.

Click here for further details and documentation for the Goldman Sachs 3 Year FTSE 100 Fixed Income Deposit – April 2023

Mariana FTSE Super Defensive Income Kick Out Plan – April 2023

This is a ten year, two week Plan based on the performance of the FTSE 100 Index, the Underlying. The Plan is constructed to offer a Potential Income of 1.525% per quarter (6.1% p.a.) providing the Closing Price of the Underlying is at or above 65% of the Start Level on a quarterly Observation Date.
If the Closing Price of the Underlying is below 65% 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 the Underlying be at or above 105% 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 (12 April 2033) the Finish Level of the Underlying is not less than 65% of the Start Level.

You are at risk of losing your capital if the Closing Price of the 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 Underlying is below the Start Level.

Click here for further details and documentation for the Mariana FTSE Super Defensive Income Kick Out Plan – April 2023.
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.

Past performance is not a guide to future performance and may not be repeated.  Investment involves risk. The performance data does not take account of the commissions and costs incurred on the issue and redemption of shares. The value of investments and the income from them may go down as well as up and investors may not get back any of the amount originally invested. Because of this, an investor is not certain to make a profit on an investment and may lose money. Exchange rate changes may cause the value of overseas investments to rise or fall.

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 liquidity or counterparty over exposure.

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

Warmest Regards.

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.