Tempo Issue 36 is now open: Details for the Long Income Plan
Tempo has unveiled Issue 36 of its product suite this week, which continues to offer exceptional terms for investors, including plan options with high potential returns and / or deeply defensive conditions for generating positive returns. The Issue 36 terms continue to benefit from recent stock market volatility, which can improve the terms of capital at risk structured products. One change to flag / note is that Tempo has lowered the end of term barrier level for all of the plans / plan options from 60% (allowing a 40% fall) to 55% (allowing a 45% fall). Demand for Tempo’s plans is usually high – so please contact us swiftly if investing is of interest (plans can close early, particularly in the current environment)
This email provides details of Tempo’s Long Income Plan. Tempo’s Long Income Plan offers two options, each offering the potential for fixed income, payable quarterly, based on defensive conditions, with a memory feature. Understandably, many investors may currently be feeling like they are ‘caught between rocks and hard places’, in the search for investments which they think will deliver viable future returns, with attractive risk / return profiles. This is particularly so for savers and investors seeking income. We certainly think that the Long Income Plan presents a viable option and potential solution for professionally advised savers and investors seeking income. As always, please see the full plan literature for full details of the plan and the features, terms and conditions, including the risks.
The Tempo Long Income Plan provides two investment options, each offering the potential for regular fixed income, payable quarterly, based on a choice of defensive conditions, with an innovative memory feature, and opportunities for automatic early maturity from the 3rd anniversary. The potential income for each option of Tempo’s LIP are:
> LIP1 is designed to pay income of 6.15% p.a., if the FTSE 100 FDEW EWFD is at or above 60% of its start level, allowing the index to fall by 40%, with the benefit of the memory feature.
> LIP2 is designed to pay income of 7.015% p.a., if the FTSE 100 FDEW EWFD is at or above 80% of its start level, allowing the index to fall by 20%, with the benefit of the memory feature.
The Tempo plans link to the FTSE 100 EWFD. The FTSE 100 EWFD was developed by FTSE Russell with the aim of helping investment banks offer improved terms on structured products for investors. Improved terms can include: lower end of term barriers; lower conditions for generating positive returns; and higher potential returns. Société Générale have an exclusive license with FTSE Russell to use the FTSE 100 EWFD. And Tempo have agreed exclusivity to use the index in their plans with Société Générale. It should be noted that the FTSE 100 EWFD will perform differently to the FTSE 100, due to the equal weighting and fixed dividend. This means that the returns from plans linked to it might be higher or lower than the returns from a similar product linked to the FTSE 100. Neither equally weighted nor market capitalisation weighted indexes are better or worse than the other. Each offers a different approach and has different merits: risks and returns will be different for each and will depend on the future stock market environment and the performance of the companies in each index.
Tempo’s products are described as ‘deliberately defensive’, meaning that they are all designed so that they can generate some or all of their returns without requiring the market index which they are linked to, to rise, with a defined level of protection should the market index fall. Tempo’s products benefit from the firm’s operational strength and rigorous approach to governance, are backed by strong issuers / counterparties, and are based on a single index, with a deep end-of-term barrier. These are the Tempo hallmarks. We think this approach has real merits and can add real value for investors in balanced and diversified portfolios, in the current market environment.
Advice is always to diversify across different products, from different plan managers, with different counterparties and different plan features.
Tempo’s products can only be accessed with advice. The promotion of the plans does not constitute ‘advice’ to invest. Advice is always specific to an individual investor’s circumstances and needs, following the process of ‘know your customer’, with the aim of ensuring that any product is suitable for an investor.
To access the literature for these products: Click here – https://bestpricefs.co.uk/tempo-structured-products/ Demand for the Tempo products is expected to be high. We would suggest early contact if you are interested to invest in Issue 36, in order to try to ensure availability and access. Please contact us to discuss any aspect of these products. Best Regards. Best Price FS Team!
