The James Hay Selected UK Banking Plan
17 June 2008
Offer closes: 28 July 2008
Attracted by long-term prospects in the UK Banking Sector,
but concerned about short-term volatility?
The James Hay Selected UK Banking Plan may just be the solution.
· An opportunity to capitalise on the current low valuation of British banks without risking your capital by investing directly in equities
· A 5 year maximum term Plan reflecting the growth of four leading UK banking stocks
· 100% capital protection at maturity - your money back plus the benefit of growth in the value of a basket of 4 leading UK bank shares over the full term (5 years)
· Early maturity opportunities at each anniversary in years 1-4 would return the initial investment with a fixed payment equivalent to 13% p.a. (not compounded)
· Minimum investment £10,000 - Maximum investment £1,000,000.
This structured investment has a 5-year maximum term with performance linked to the growth of 4 leading UK banking stocks - a sector widely held to be undervalued currently.
The return at the 5th anniversary will be made up of the initial investment plus a return reflecting the growth achieved by the basket of shares which comprises HSBC Holdings PLC, Barclays Group PLC, Lloyds TSB Group PLC and Royal Bank of Scotland Group PLC.
But there is also the potential for early maturity on any prior anniversary if all four shares are at the same level or have risen since commencement. If that occurs then the return of initial capital will be enhanced by a fixed payment equivalent to 13% (not compounded) for every year of the Plan. So, depending on when the early maturity criterion is met, the total payout would be 113% of the original investment after one year, 126% after two years, 139% after three - or 152% after four years. If it is not met then the Plan will run to its full term.
The offer is open to all investments of £10,000 or more (£1m maximum) until 28 July and may be of particular interest to pension investors, either at or nearing retirement, as the Plan provides the opportunity of an attractive potential return with the peace of mind of 100% protection of their capital at maturity.
Andy Pennie, Marketing Director of James Hay, commented: "In the banking sector, shares are experiencing volatility and a general downward trend in share prices as a result of the credit crunch. This product therefore offers an attractive and innovative option for investors seeking exposure to these important UK banking stocks, while significantly reducing capital risk.
For more information about the James Hay Selected UK Banking Plan go to http://www.jameshaystructuredproducts.co.uk