GBP Safe Haven Phoenix Note

May 7, 2016

This GBP note has a maximum maturity of 6 years and pays a potential income of 7% per annum. The note is based on the broad market indexes of Canada, Switzerland, Sweden, and Australia.

The note pays a a quarterly a coupon of 1.75% if all basket members have not fallen by 20% or more from their initial strike price. In addition, from the end of the first year, if the worst performing member closes any 3 month period above its strike level the coupon is paid and the product is redeemed early at 100%.

Capital is only at risk if after 6 years the product has not redeemed early (autocalled) and the worst performing basket member has fallen by 40% or more.

The note is issued by an A rated bank.

GBP Developed Markets Phoenix Note

May 7, 2016

This GBP note has a maximum maturity of 6 years and pays a potential income of 8% per annum. The note is based on the familiar major indexes: FTSE 100, Russell 2000, Nikkei 225 and Eurostoxx 50.

The note pays a a quarterly a coupon of 2% if all basket members have not fallen by 30% or more from their initial strike price. In addition, from the end of the first year, if the worst performing member closes any 3 month period above its strike level the coupon is paid and the product is redeemed early at 100%.

Capital is only at risk if after 6 years the product has not redeemed early (autocalled) and the worst performing basket member has fallen by 40% or more.

The note is issued by an A rated bank.

USD Indian ADR Phoenix Note

May 7, 2016

This USD note entails a maximum maturity of 3 years with a potential income of 12.4% per year. The underlying basket based on 4 large Indian companies: HDFC Bank, ICICI Bank, Infosys and Tata Motors.

With a quarterly coupon, every 3 months 3.1% is paid if all basket members have not fallen by 30% or more from their respective strike price, plus any missed coupons from previous periods will be paid (memory coupon).

In addition, from the end of the second quarter, if the worst performing member of the basket closes any 3 month period above its strike level the coupon is paid and the product is redeemed early at 100%. The capital is only at risk if after 3 years the product has not redeemed early and the worst performing basket member has fallen by 30% or more (conversion at barrier).

The issuer is rated a strong A+.

Strike Levels:
HDFC Bank – USD 62.67

ICICI Bank – USD 6.47

Infosys – USD 18.51

Tata Motors – USD 30.10

Prime Index Win/Win

May 3, 2016

This is the second offering of this type of note. The first one called last week, so a new note is being constructed. The note has a 2 year term based, pays 4% every 6 months (8% annually), has a full memory feature and autocall with semi-annual observations. The note is based on the cumulative performance of the major US, UK and Eurozone Indexes. This means if the combined performance of the index is greater than 100% of the initial offering level, the note pays all outstanding coupons and calls. The note is specifically designed for investors who prefer indexes to stocks,a and do not want exposure to the far more volatile index’s of Brazil, Russia, China, etc.

The 40% barrier on this note is a European Sum Of the Indexes.

EVEN30 6 Year 90% Capital Protected Note

April 26, 2016

This 6 year fixed term investment offers 90% capital protection and 100% participation on the Investec Even30 Index.

The EVEN 30 Index tracks the performance of the 30 least volatile stocks from the 100 largest companies listed on the FTSE 100.

Global Index Snowball Defensive Autocall

April 26, 2016

This is a very popular series of notes – already in its 12 iteration. It pays 7% annually in USD and GBP. Coupon Trigger for the GBP note is 75%, while the USD note is a low 65%. 

This note is as close to a guarantee autocall as possible as the observations are semi-annually.

Commonwealth Index Quarterly Autocall

April 26, 2016

This GBP note has quarterly observations, pays a 8% annual coupon and has only 3 underlying indexes from major countries, Australia, UK, and Canada. These indexes are highly correlated with Energy prices.

Defensive Trigger Index Note

April 26, 2016

This note pays 16% annually and will call if all 4 of the underlying indexes is above the call triger. The note has a decreasing trigger providing extra security if the market falls. The coupon and call trigger decreases as follows:

Call Trigger Levels:

15 May 2017 –> 100% of Strike

13 November 2017 –> 100% of Strike,

14 May 2018 –> 95% of Strike

13 November 2018 –> 95%

13 May 2019 –> 90% of Strike,

13 November 2019 –> 90%

13 May 2020 –> 85% of Strike

13 November 2020 –> 85% of Strike

 

Undervalued Large Cap Income Win/Win

April 21, 2016

Unique Win/Win structure. 10% income for 5 years as per terms, but if all stocks above 100% on observation then note autocalls.

This is a 5 year autocall note providing 10% p.a. conditional (memory) income with an 85% coupon barrier that is observed quarterly. Capital protected with a 60% European protection barrier on the worst performing underlying.

The underlyings are basket is high-quality blue chip stocks:

General Electric
Significant recent management and financial restructuring augur very well for this forgotten giant
JP Morgan Chase
New CEO who has crucially invested significant personal money in company. Very strong balance sheet and recent financial statement results show this company to be significantly undervalued
Invesco
Well positioned to benefit from growth in ETF and passive index funds, paying a very peer competitive dividend.
Microsoft
Top 10 holding in most global managers portfolio. New cloud strategy becoming market leader. Strong share repurchasing supports upward share price expectations.