Absa Capital will start the week with some extra cash to roll over following the maturity of its Protected Index LSI Issue 6, which will be paying out 150% of initial capital after three years of investment.
Protected Index LSI Issue 6, a three-year growth capped call linked to the FTSE/JSE Top 40 Index, promised to pay upon maturity participation of 100% in any growth in the underlying index with a 50% cap on the upside and a minimum return at maturity of 115%. The product struck on 22 October 2008 with the underlying trading at 18460 and reached its final index level at 27840 after averaging, showing growth of around 50.8%.
An Absa spokesperson told SRP no specific rollover product has been created and that the rollover will be into one of the existing products in the range: "Our Wealth Protector Issue 11 is probably the most similar shape," he said. Absa is also currently marketing Wealth Accelerator, which will close its offer period next Friday 4 November after receiving a four-day extension. The South African bank is promoting this product based on indicative pricing showing a maximum return of 65%.
Wealth Accelerator is backed by Barclays Capital. Minimum investment for this product is ZAR100,000 ($12,644).
These products appear in Recent Additions (Offshore & Other).