Barclays and Legal & General have launched the second structured product in their joint Defined Return Plan series.
Legal & General Defined Return Plan 2, is a capital at risk vehicle linked to the FTSE 100. It offers repayment of capital plus a defined return once the level of the FTSE 100 on the second anniversary, or subsequent anniversaries, is equal to or above the starting level taken on 9 October 2013.
The plan will last a maximum of six years but if the defined return payment feature activates the plan will close early on the second, third, fourth or fifth anniversaries.
The potential defined return, where the FTSE 100 is unchanged or higher, is 15 per cent in year two, 22.5 per cent in year three and up to a maximum of 45 per cent at the end of year six.
The maturity date is 9 October 2019. The minimum investment is £3,000 and there is no maximum for ISA transfers, but transfers must be made by 6 September. The offer closes on 20 September 2013 and the vehicle offers facilitated adviser charging.