UK structured products provider Keydata Investment Services is launching two structured products, aimed at those investors seeking growth over the medium term.

The Keydata Annual Kickout Plan and the Capital Protected Bonus Plan generate growth for investors if the FTSE 100 is at the same level, or higher, at set measurement points, as it was at the outset.

The Annual Kickout Plan Issue 2 is a five-year plan offering investors the opportunity for early maturity with an escalating bonus potential.

The FTSE 100 is measured at each anniversary and if it is the same or is higher the plan matures and investors receive their original capital plus growth at a rate of nine per cent per year.

So, after year one, investors could expect a growth of nine per cent, 18 per cent at year two, then 27 per cent, 36 per cent and 45 per cent for the remainder.

Capital is protected unless the FTSE 100 Index falls by 50 per cent or more at maturity. If the index level falls by more than 50 per cent capital will be lost at maturity on a 1:1 ratio.
 
The Capital Protected Bonus Plan Issue 2, also a five year product, is 100 per cent capital protected and aims to provide investors with a full return of capital at maturity and a 45 per cent bonus if the FTSE 100 is at the same level or higher than the start date.

If the FTSE100 final value at maturity is below the start value investors will receive their original capital amount only.
 
Mark Owen, director of sales and strategy at Keydata Investment Services, says, ‘According to some, equity markets are recovering, but many investors are still wary of committing capital to direct investments into stocks.

‘We think that allocating some of a portfolio to structured products such as these is an attractive way for investors to ease their way in to equity exposure with the added benefit of capital protection.’