Walker Crips UK Step Down Kick Out Plan (HS205)

Please note, this plan is available on an advised basis only, however this is not an investment that Lowes will recommend. This may be because we believe there is insufficient compensation for the risks, or because there are other plans available, which are, in our opinion a better alternative. Please contact us to arrange a consultation.

Overview:

Potential for a 5.25% gain for each year held, payable on any anniversary from year one onwards provided the FTSE 100 Index is at, or above, a reducing reference level - see further info for details.

Product Type:

Capital at Risk

Investment Type:

Auto-Call / Kick-Out

Product Index Link:

FTSE 100 Index

Potential FSCS Protection:

Capital at Risk Barrier Type:

End of Term only

Maximum Term:

5 years max.

Barrier Level:

65% of Initial Index Level.

Downside:

1:1

Capital At Risk Barrier: (Subject To Counterparty Solvency)

65% of Initial Index Level, observed at the end of the term.

Initial (Strike) Index Level >>

Important Dates:

Closing Date	ISA Transfers	Strike Date	Maturity Date
09/07/2021	18/06/2021	16/07/2021	16/07/2026

Closing Date
09/07/2021

ISA Transfers
18/06/2021

Strike Date
16/07/2021

Maturity Date
16/07/2026

Possible Early Maturity Dates:

18/07/2022

17/07/2023

16/07/2024

16/07/2025

Counterparty:

HSBC Bank Plc

Please Note: The investment returns and the return of capital are dependent upon the counterparty meeting their obligations on time and in full. If the counterparty fails to meet their obligations you could lose some or all of your capital.

The credit ratings provided below can be a useful way to compare the credit risk associated with different Counterparties or Deposit Takers. Credit ratings are assigned by independent companies known as ratings agencies.

A+

S&P Rating: A+

S&P Rating*

D R CC - CCC + - B + - BB + - BBB + - A + - AA + AAA

AA-

Fitch Rating: AA-

Fitch Rating*

D RD C CC CCC - B + - BB + - BBB + - A + - AA + AAA

Moodys Rating: A1

Moody's Rating*

C Ca Caa B Ba Baa A Aa Aaa

3 2 1 3 2 1 3 2 1 3 2 1 3 2 1 3 2 1

Description

This maximum five-year plan features the potential to mature on any of the plan's anniversaries from year one onwards, returning the capital investment in full, plus a 5.25% gain for each year the plan has been in force. The plan will mature early in the event that the FTSE 100 Index closes at, or above a reducing Reference Level which reduces in year three, then every anniversary thereafter. The Reference Level in years one and two is 100% of the Initial Index Level and this level is reduced by 5% on each subsequent anniversary and so will be 95%, 90%, and 85% of the initial level for years three, four, and five respectively.

If the plan fails to mature early and the Final Index Level is more than 15% below the Initial Index Level, no gain will be achieved; however, investors' capital should still be returned in full, unless the Final Index Level is more than 35% below the Initial Index Level. If such a fall does occur, the invested capital will be reduced by 1% for every 1% the Final Index Level is below the Initial Index Level. For example, if the plan fails to mature early and the Final Index Level is 40% below the Initial Index Level, investors will suffer a 40% reduction to their invested capital.

This plan is available on an advice only basis. To invest in this plan, please do not hesitate to get in touch on 0191 281 8811. Please note that we have negotiated special terms with Walker Crips. Applications through CompareStructuredProducts.com will be subject to a minimum investment amount of £5,000, rather than the usual £10,000 limit. Lowes will not charge an ongoing fee or receive any annual commission in respect of this investment.

Contract Details

Initial Index Level:

The closing level of the Index on 16 July 2021.

Final Index Level:

The closing level of the Index on 16 July 2026. However, this plan has matured early on 18 July 2022.

	Cash ISA	Equity ISA	Direct	ISA Transfer	SIPP **
Availability
Minimum Contribution*	N/A	£10,000	£10,000	£10,000	£10,000

*Note that minimum contributions exclude any applicable adviser charges

**The investment may also be available through third party SIPP Providers

Tax Treatment if held outside Tax Shelter:

The product literature states that under current legislation any growth achieved by this investment at redemption will be subject to Capital Gains Tax rules applicable at that time.

Please note, tax rules and legislation are subject to change at any time.

Capital At Risk Barrier (Subject To Counterparty Solvency)

Barrier Level: 65% of Initial Index Level.

Downside: 1:1

Capital at Risk Barrier Type: End of Term only

If the investment fails to produce a gain, it still aims to return investors' capital in full at maturity, unless the Final Index Level is more than 35% below the Initial Index Level. If such a stock market fall occurs, investors' capital will be reduced in line with the percentage fall in the Index.

Charges

Unless stated otherwise charges do not affect the amount being invested as they have been taken into account in the terms of the investment. So, for every £100 invested, the return, provided the investment is held until maturity, should be £100, plus or minus the gain or loss in accordance with the defined terms. Separate fees may be payable to your adviser, platform or stockbroker for arranging this investment.

The initial charge incorporated in the terms of the investment: Approximately 0.85% of the original investment.

If surrendered early, the value will be dependent on a number of factors and may be less than the original amount invested. In the event of early surrender the provider may levy an administration fee which will be deducted from the surrender proceeds as follows:

Early Surrender: £90

Early ISA Transfer: £90

Other Charges: £15 for any proceeds to be forwarded by same day transfer (CHAPS) or no charge for standard electronic transfers (BACS) or cheque.

Summary Table

Event		Outcome
HSBC Bank plc default	=	Return of any capital subject to insolvency proceedings - potential total loss
If not
If on any annual observation date from year one onwards the FTSE 100 Index closes at or above a reducing reference level (see description)	=	Return of invested capital plus a 5.25% gain for each year the plan has been in force
If not
If at the end of the term the Index is between 15% and 35% below its Initial Index Level	=	Return of invested capital only
If not
As the Index is more than 35% below its Initial Index Level	=	Invested capital is reduced in line with the fall in the Index

Risks

All investment involves risk and you could lose some or all of the money you invest.

It is imperative that you read the plan brochure and terms and conditions and understand all of the risks involved, which are outlined on page 6, 8 and 9 of the brochure, prior to proceeding. If you do not fully understand the risks, the commitment or you are unsure as to the suitability of the investment for you, you should not proceed but instead contact us via E-mail or Callback Request for advice.

Information

Questions?