View more on these topics

Soc Gen launches structured product range

swaps

Societe Generale has unveiled a range of three structured products, aimed exclusively at financial advisers.

The ‘UK Four’ products will be focused on a six-year growth period. Societe Generale has appointed the products’ plan manager as Walker Crips Structured Investments.

Counterparty risk will be diversified across Aviva, Lloyds TSB, Barclays and Royal Bank of Scotland.

All the products link their performance to the FTSE 100 and have the potential for early maturity at the end of years two, three, four or five prior to the six-year maximum maturity.

The SG Kick-out Plan has a target of 10 per cent, the SG Step Down Kick-Out Plan has a target of 7.5 per cent and the SG UK & US Step Down Kick-out Plan has a target of 9.25 per cent. The SG UK & US Step Down Kick-Out Plan is also linked to performance of the S&P 500.

The products’ launch follows research in July 2013 on behalf of Societe Generale which found 75 per cent of investors believe the FTSE 100 will be the same or higher over the next 6 years.

Additionally, the survey found investors instinctively felt safer with investments that could spread counterparty risk, even if that means receiving a lower potential return.

Societe Generale managing director of UK IFA sales Zak de Mariveles says: “The research clearly shows that counterparty risk remains a key consideration for UK retail investors and that investment products that are able to diversify credit exposure across multiple institutions are seen as an attractive proposition

“At Societe Generale we have the expertise and capabilities to meet this client need. The UK Four products not only aim to meet the diversification needs of investors, but also provide the potential to significantly exceed investors’ expectations on returns.”

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

There is one comment at the moment, we would love to hear your opinion too.

  1. These products are too complex and overall charges/costs are opaque. In my personal view stay well clear despite seductive words from those peddling them.

Leave a comment

Close

Why register with Money Marketing ?

Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Money Marketing Events
Be the first to hear about our industry leading conferences, awards, roundtables and more.

Research and insight
Take part in and see the results of Money Marketing's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now

Having problems?

Contact us on +44 (0)20 7292 3712

Lines are open Monday to Friday 9:00am -5.00pm

Email: customerservices@moneymarketing.com