Risk Factors

RISK FACTORS

The Plan may be suitable for you if:

• You do not need access to your money over the next 5 years

• You want a tax-efficient investment using your ISA or SIPP/SSAS allowance

• You have a minimum of £1,500 to invest

The Plan may not be suitable if:

• You are not looking for an investment linked to the performance of stock markets

• You want a regular income

• You do not have enough spare money for emergencies

• You may need immediate access to your money

• You want a known guaranteed rate of return

• You want to add to your investment on a regular basis

• You do not have £1,500 to invest

Important information to consider

• Your circumstances could change and this might force you to sell your Investments early. If this happens you may get back less than the amount you originally invested. The value of the Plan will be determined by the price at which the Investments can actually be sold on the relevant Dealing Date.

• The levels and bases of taxation and reliefs from taxation can change at any time. The value of any tax reliefs depends on individual circumstances. The favourable tax treatment may not be maintained in the future and is subject to changes in legislation.

• Before you make a transfer of existing investments into this Plan you should consider any charges or costs for the transfer and the potential for loss of income or growth whilst the transfer is pending, and whether the risk to your capital in this Plan is suitable for you.

• When Investec Bank (UK) Limited receives your investment, it will be deposited into a Client Money account at HSBC Bank plc (‘HSBC’). In the event of Investec Bank (UK) Limited’s insolvency during this period, your money will be protected. However, there is a risk that HSBC may fail to meet its obligations. In the event of HSBC’s insolvency your money will not be protected and you must rely on your right of recourse to the Financial Services Compensation Scheme. You may lose all or part of your initial investment.

• At the Investment Date your money will be pooled and transferred to an account at Investec Bank (UK) Limited. There is a risk that Investec Bank (UK) Limited may fail to meet its obligations. In the event of Investec Bank (UK) Limited’s insolvency your money will not be protected and you will have no right of recourse to the Financial Services Compensation Scheme. You may lose all or part of your initial investment.

• The investment requires the purchase of one or more securities with a fixed maturity date from Investec Finance plc. These securities have been specifically structured to match the Investment Objectives of your Plan. Investec Finance plc is a subsidiary of Investec Bank (UK) Limited, and Investec Finance plc’s obligations under these securities are guaranteed by Investec Bank (UK) Limited. There is a risk that Investec Bank (UK) Limited may fail to meet its obligations. In the event of Investec Bank (UK) Limited’s insolvency your investment will not be guaranteed and you will have no recourse to the Financial Services Compensation Scheme. You may lose all or part of your initial investment. Investec Bank (UK) Limited’s capacity to meet its financial commitments is considered stable by a leading credit rating agency, FitchRatings.

• The terms of the Investment may permit the issuer of these Investments to withhold, defer, reduce or even terminate payments in certain events and, as a result, you may receive less than you would otherwise have anticipated, or you may have to wait for the proceeds.

• The FTSE 100 Index is a capital-only index and it takes no account of dividend returns you would receive had you held the referenced shares directly. As a result you will not receive any dividend payments or distributions.

• Past performance of the FTSE 100 Index should not be seen as an indication of future performance.

• The growth and capital return received under this Plan is dependent on the Final Index Level which is the average of the closing levels of the Index on each Business Day from, and including, 31 July 2013 to, and including, 31 January 2014.

• The use of this averaging process to calculate the Final Index Level can reduce the negative effects of any falls in the market shortly before maturity, but, equally, it can also reduce the benefits of any market rises shortly before maturity.

• You should think carefully about the benefits and risks of this Plan and whether it suits your personal circumstances and attitude to risk. We also recommend that you take professional advice before investing.

• It is important to understand that this Plan does not include the security of capital which is offered under a deposit with a bank or building society. You may lose all or part of the amount invested.

Please refer to the Brochure and the Terms & Conditions for full details.