March 07, 2024

Ghost Stories Ep32: The Investec Nikkei 225 Autocall

24 minutes

Brian McMillan of the Structured Products team at Investec is back on Ghost Stories, this time to talk about the Investec Nikkei 225 Autocall.

This product is designed to give investors exposure to the Nikkei 225 index over a period of up to five years with an enhanced return of up to 17% per annum in ZAR or 11.5% per annum in USD. Importantly, there is 100% capital protection provided the index does not drop by more than 30%.

To help you understand this opportunity, the topics covered include:

The history of the Nikkei 225 over the past three decades and how it became ignored by investors, with the narrative having improved significantly in recent times.

Reasons why the Nikkei 225 could be a compelling investment going forward.

The structure of an “autocall” product and exactly how it works over the time period of the instrument.

The way the upside works on this instrument, with a fixed return provided the index closes above the starting level.

The underlying credit risk in the instrument.

The liquidity in the note and the extent to which it is tradeable during the term.

The minimum investment amount required and how the fees work.

Confirmation of the types of investors allowed to participate.

The investment tranche is available until the 5th of April 2024.

As always you must do your own research and speak to your financial advisor before investing in a product like this. You can find all the information you need on the Investec website at this link.

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By The Finance Ghost