Barclays launches new FTSE autocalls

Barclays has launched a range of unbundled structured capital at risk investments offering investors potential annual returns ranging from 8.0% to 10.50% depending on the option chosen. It has launched the Defined Returns Plan Annual Kick-Out 90 (September edition) alongside three additional investments (FTSE Defensive Autocall E1, E2 and E3). It has also launched the Defined Returns Plan Annual Kick-Out 100 (September edition) alongside three additional investments (FTSE Autocall E1, E2 and E3 Year 2 options).

The new DRP AKO 90 (September edition) offers potential returns varying from 8.0% to 9.5% (dependent on the FTSE 100 being equal to or above 90% of its initial level on an Anniversary Date of the investment starting from the third anniversary onwards), and the DRP AKO 100 (September edition) offers potential returns of between 8.50% and 10.50% (dependent on the FTSE 100 being equal to or above its initial level on an Anniversary Date of the investment from the second anniversary onwards). The Defined Return Plans (AKO 90 & 100) September 2012 editions are available through Woolwich Plan Managers, and the FTSE Autocall and Defensive Autocall products are available through Transact, Nucleus, 7IM, SEI, Ascentric, Novia, Stocktrade, Abbey Sharedealing, and the majority of SIPP providers including AJ Bell SIPPCentre and Suffolk Life.

Richard Henry, Director, Barclays, said: "As we move into the last quarter of 2012, we recognize that one way of investing doesn't suit all advisers.  We hope that by offering the same fundamental shape via a number of execution routes, we can optimize both the client and the adviser experience; as ever, your rate of return depends on the route you choose."

All eight products are subject to the counterparty risk of Barclays Bank PLC with possible early maturity from the second or third anniversary onwards should the FTSE be at or above a specified level on an anniversary date.  Capital will be lost if the early maturity condition is never met, and the final index level is more than 50% below the initial index level. Should investors sell before kick out or maturity, they may get back less than they invested regardless of the index's performance.

Investors are able to invest into the unbundled FTSE Autocall investments right up until the investment start date, 12th November 2012, providing Barclays receives an instruction to invest from the relevant investment platform by noon on that date. Investors can sell before kick out or maturity but may get back less than they invested irrespective of the index's performance.

Henry continued: "Allowing investment right up until the investment start date helps mitigate market timing risk as it substantially reduces the risk of a large movement in the FTSE between making an investment and the initial index level being measured."