|Zero coupon bond||100%
|Num of call points||20
|Date of first call point||21 Feb 2020
This product is classified by FVC as a 'Callable'.
If the issuer redeems the product on any of the observation dates, the product will pay a fixed return and mature early, returning the initial investment in addition to a fixed return. The first issuer call date is after 1 year. The full call schedule for this product is shown in figure 4.
If the product is not called by the issuer on any call date this product pays the investor returns equal to 3 times any growth in the FTSE 100, measured from 100% of the strike level. For example, if the final underlying asset is 20 percentage points higher than the strike level, i.e. the FTSE 100 finishes at 120% of its strike level, the investor will be paid a return of 60% plus 100% of their initial investment.
Capital is protected at maturity. Regardless of the performance of the underlying asset, investors will receive at least their initial investment amount at maturity, subject to the credit risk of the issuer.
This figure shows some key statistics of the product and compares them to averages of other open products in the market. Full details of the methodology can be found here
The overall, price and return scores are expressed on a scale of 0-10 with 10 representing the most favourable. The price score is derived from our estimate of value for money while the return score gives an indication of risk-adjusted return prospects. The overall score is the average of the price and risk scores.
The riskmap is expressed on a scale of 0 to 10, where 0 represents lowest risk and 10 the highest. It is calculated from contributions from market risk and credit risk which are shown separately. The maturity and duration (expected maturity) are also stated.
|Riskmap (0-10 scale)||1.59||3.5||1.18
This chart shows a sample of simulated outcomes of the final underlying value and the product payoff for the structured product to help identify the risk and return prospects of the investment.
This chart plots the riskmap and overall score for all products on the report centre, which shows all products listed on this site which are open for investment. The current product is shown with a red marker.
Summary of possible product performances. Calculations from forward looking simulation and 10 year historical backtest (market risk only).
This table shows a number of mutually exclusive outcomes of product performance classifications and associated statistics.
|Call at point 1
|Call at point 2
|Call at point 3
|Call at point 4
|Call at point 5
|Call at point 6
|Call at point 7
|Call at point 8
|Call at point 9
|Call at point 10
|Call at point 11
|Call at point 12
|Call at point 13
|Call at point 14
|Call at point 15
|Call at point 16
|Call at point 17
|Call at point 18
|Call at point 19
|Call at point 20
|Return above full capital at maturity
|Full capital return
This figure shows prospects for return of capital, calculating whether the return might be greater than, equal to or lower than capital invested. These calculations use probabilities from forward looking simulations and the observed frequencies from a 10 year historical backtest.
|Return less than capital
|Return exactly capital
|Return more than capital
Charts of distribution of structured product returns based on forward looking simulation.
These two charts illustrate the probabilities of return. The first chart shows the annualised return of the product in 2.5% buckets. The second chart shows the simple return of the product. Both of these charts are market risk only.