Barclays Wealth has launched a new Defined Returns Plan Annual Kick-Out – a six-year product aiming to return 7 per cent per annum and which will close for investment on 11 April.

The 7 per cent return applies as long as the FTSE is at 90 per cent or more of its initial level on the product’s anniversary date, with the return being realised on the first anniversary that this condition is met, from the second year on.

If the FTSE is below 50 per cent of its initial level at the end of the product’s term, capital will be lost on a one-for-one basis with the index.

The firm believes the product will appeal to investors as it allows for a fall of up to 10 per cent in the FTSE – a potentiality many will be nervous about as the index is now close to a three-year high and global economic uncertainty still reigns. The product therefore allows investors to express a “cautious view of future growth”, said Richard Henry, director at Barclays Wealth, adding that it was created especially for those that are looking to strike a balance between limiting their risk and maximising overall returns.