Download Stockmarket Linked Savings Bond (Issue 35) Term Sheet – 6 years

Stockmarket Linked Savings Bond (Issue 35)
Term Sheet – 6 years
Offer period: 9 September 2013 to 10 October 2013 or earlier if sold out.
This Term Sheet should be read along with the Product Guide and Specific Terms and Conditions
Product features
What I will get back
Fixed term
6 years
Gross minimum interest
return at maturity
10% gross/1.60% AER1
Gross maximum interest
return at maturity
Half of the percentage growth of
the FTSE 100 Index
Minimum deposit
£500
Maximum deposit
£2,000,000
Key dates
Start of offer period
End of offer period
9 September 2013
10 October 2013 (or earlier if sold out)
Commencement date
Averaging period
Maturity date
1 November 2013
30 April 2019 – 29 October 2019
1 November 2019
The Bond is linked to the performance of the FTSE 100 Index
(the Index).
At the end of the term you will receive your initial deposit back.
The Bond will also ensure that the minimum you will get back is
an interest return of 10% gross/1.60% AER after 6 years.
Your final interest return at maturity will be the greater of your
initial deposit plus either:
n
10% gross/1.60% AER; or
n
half of the percentage growth of the FTSE 100 Index (which is
after averaging)
The growth in the Index is determined by comparing the
final level of the Index (which is after averaging) with the
starting level.
Definitions used in calculating your returns
n
The commencement date is the date from which the 6 year
period begins.
Remember the Bond has a fixed term of 6 years. Once the initial
deposit has been made, money can’t be added to the Bond.
n
The starting level of the Index will be taken as the closing
level on the commencement date.
Please note no interest will be paid in respect of the period
of time between the date the Bond is opened and the
commencement date of the Bond.
n
The final level is the average of the daily closing levels of
the Index during the averaging period, which is the six month
period shortly before maturity.
During the fixed term, withdrawals will not be allowed and the
Bond may not be closed. This is why you should only put in
money you can leave untouched for the full term.
By using an average at the end of the fixed term the performance
of the Index is smoothed from sudden fluctuations shortly before
maturity. Whilst this could reduce the benefits of a rising market,
it also reduces the adverse effects of a falling market.
Important information
Note 1: AER stands for Annual Equivalent Rate and shows what the interest return would be if we paid an interest return and added it to your Bond each year.
Your interest return will only be paid at the end of the term. Unless your interest return is the fixed minimum, the AER is variable and will depend on the performance of
the Index. Gross is the rate before the deduction of the basic rate of income tax, currently 20%. Information correct as at 06/09/2013.
Savings & Investments – Information
Examples
The table below illustrates how the returns are calculated based on an initial deposit of £10,000 which is left untouched until
after maturity.
Your initial
deposit
Index performance (final level
compared to starting level)
Percentage
Your maturity
interest return proceeds (including
initial deposit)
You will get back your initial
deposit plus:
£10,000
30% higher
15%
£11,500
half of the Index growth (15%)
£10,000
15% higher
10%
£11,000
the minimum interest return (10%)
£10,000
15% lower
10%
£11,000
the minimum interest return (10%)
£10,000
30% lower
10%
£11,000
the minimum interest return (10%)
There is no guarantee that the Index will perform as it has done in the past, because it will rise and fall in line with
financial markets. Consequently, the figures in the above table are examples for explanation purposes.
The above figures do not take account of the impact of income tax which may be payable on the interest return element of the
maturity proceeds.
Further information
To help prevent fraud and protect our customers please note Santander only accepts cheques for the credit of personal accounts
when they are made payable to the account holder. When opening your Bond please ensure your cheque is made payable to you
and not to ‘Santander’.
For information regarding what would happen to your Bond if you were to die, please refer to the Product Guide and Specific
Terms and Conditions.
LIFE 0861 SEP 13 HF
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