Morgan Stanley FTSE 100 kickout pays capped returns

Morgan Stanley’s six-year autocall based on the FTSE 100 matured two years after its launch on the first available kickout date. The product offered a positive return, albeit one that was below the performance of the UK benchmark index

Morgan Stanley's European headquarters in Canary Wharf, London

This six-year autocall product from Morgan Stanley was linked to the FTSE 100 index. It was first reviewed in June 2012 and has since matured. The product had annual autocall observation dates from the second year onwards, giving the opportunity to kick out early. The terms stipulated that the product would be called and mature early if the index was at or above 90% of its starting level on any of the observation dates. The investor would be paid a 9% non-compounded return for every year the