Investec EVEN30 Booster

April 20, 2016

The Investec EVEN30 Index is an index of the 30 least volatile stocks from the FTSE 100.  The EVEN30 has consistently outperformed the FTSE100.

This note has a level of gearing built in to the product. The positive return of the Investec EVEN30 Index  is automatically multiplied by 225% (x 2.25) at the end of the term of the note.  The growth is averaged over the final 6 months.

The protection on this note is not linked to the EVEN30 instead it is linked to the FTSE 100 with a barrier of 50%.  We haven’t seen a note with a barrier this low in a while so it is a great opportunity.  Usually these notes come with a barrier of around the 60%+.  Loss of capital only occurs if the FTSE 100 has dropped by more than 50% from its initial level at maturity.

Backtesting since 1998 shows that the 50% European barrier on FTSE 100 would never have been breached.