Standard Bank Offshore Group has launched two new structured products, Quantum PLUS and Unicom.

Quantum PLUS is a five-year fixed-term product available in sterling, US dollars or euros - with a minimum investment of $10,000. It divides invested capital into two deposits.

Following the Libor index, the “Quantum” half can be redeemed fully or partially after the first year or on any quarterly anniversary thereafter. It pays an income of four per cent at the end of the first year followed by a premium of three per cent on each quarterly anniversary for the remaining four years of the term.

The “PLUS” deposit, will return a lump sum after the product’s five year life span. Investors will receive a return on their capital if the underlying index rises above its starting point - up to a maximum of 75 per cent growth.

“Our Quantum PLUS offering gives depositors the reassurance that the product is designed to return the capital invested at maturity without detracting from the ability to accumulate generous income over its term,” said Adam Hunt, head of high net worth clients at Standard Bank.

Unicom is offered as a tradable security linked to the S&P GSCI Crude Oil Index ER with a minimum investment of $75,000. 

The euro and sterling versions offer a nominal return of 11 per cent - US dollar offers 14 per cent - for each year of the product’s term, paid at maturity.  The maximum term for Unicom is five years, but the product could mature early on any of its anniversaries, depending on index performance. For Unicom to mature early, the oil index will have to close at or above its start level on any of the product’s anniversaries. 

The potential minimum term is one year, with an 11 per cent return for sterling and euro investments, or 14 per cent for the US dollar version. 

If Unicom lasts its full five-year term, the product aims to pay a return of 55 per cent to sterling and euro investors, or 70 per cent for US dollar investors.

“Unicom is for those investors who have a greater risk appetite and wish to convert relatively flat oil index growth over the medium term into nominal annual returns…Standard Bank is extremely pleased to be able to offer investors a clear and transparent choice based on their own investment needs and risk appetite,” said Mr Hunt.