CompareStructuredProducts.com - 15/11/2023
The 1,750th FTSE 100* only linked capital at risk autocall plan to mature in the UK retail space was Meteor’s FTSE Step Down Kick Out plan September 2021 that did so on 29th September 2023. After two years in force the two options returned 10.5% and 11.6% respectively, with the FTSE 100 rising 7.36% over the same period.
This marks another milestone for the UK retail structured product sub-sector with more than 250 such autocalls maturing in the last year alone, all but 8 of which continuing a reoccurring theme of doing so positively.
UK retial FTSE 100* linked capital at risk autocall maturities (end of September 2023)
|Number returning a gain||1742|
|Number returning capital only||8|
|Number realising a loss||0|
|Average annualised return||7.67%|
|Average term (years)||2.2|
For over a decade, every FTSE only capital at risk autocall to mature has done so positively. Between 2011-2013 just eight plans matured returning capital only, these plans commenced prior to the 2008 financial crisis and the FTSE 100 had not recovered to their initial strike levels. Had these plans had maximum terms of seven years only one would have failed to produce a gain.
Collectively the maturing 1750 plans have earned average annualised returns of 7.67% over an average duration of 2.2 years with upper and lower quartiles of 10.23% and 5.66% respectively. These bank-based contracts have continued to reward investors into their now third decade of results with no signs of slowing down.
FTSE autocalls continue to reward investors’ with excellent results whilst presenting advisers natural and regular opportunities to present clients with positive performance news.
With a regular flow of FTSE autocalls being issued via 10 providers utilising 10 counterparties the sector continues to go from strength to strength.
*Including FTSE CSDI
Structured investments put capital at risk.
Past performance is not an indicator of future results.