Structured Products - Financial Promotion
This document is provided for information purposes only. It does not constitute and under no circumstances should it be considered in whole or in part as an offer, a solicitation, or a contract. It is intended to be used by the recipient only and may not be passed on or disclosed to any other persons and/or in any jurisdiction that would render the distribution illegal.
Not all services or products referred to may be available in all jurisdictions. It is the responsibility of any person in possession of this document to inform himself or herself of and to observe all applicable laws and regulations of the relevant jurisdictions. This document is in no way intended to be distributed in or into the United States of America nor directly or indirectly to any U.S. person.
This document is intended to report solely on the services, products, investment strategies and opportunities provided by or identified by the Kleinwort Hambros group ("Kleinwort Hambros Group"). The services, products, investment strategies and opportunities described herein may not be suitable for all clients. Potential clients should consult their financial adviser to assess the suitability of any proposed transaction before taking any action.
Potential clients should note that additional information can be found in the product documentation, final terms or product prospectus which are available on request.
This document is a Financial Promotion.
We offer restricted advice, which will be based on a limited analysis of different types of products which include (but are not limited to) financial instruments or products linked to entities in the Societe Generale Group. We will advise and make a recommendation for you after we have assessed your needs. Please speak to your Private Banker for details of the range of products on which we provide advice.
Tax, Accounting and Legal
Any services and investments may have tax consequences and it is important to bear in mind that the Kleinwort Hambros Group does not provide tax advice. The level of taxation depends on individual circumstances and such levels and bases of taxation can change. You should seek professional tax advice in order to understand any applicable tax consequences. In addition, the material is not intended to provide, and should not be relied on for, accounting or legal purposes and independent advice should be sought where appropriate.
Some products and services are not available in all Kleinwort Hambros Group entities. Their availability depends on local laws and tax regulations. In addition, they have to comply with the Societe Generale Group Tax Code of Conduct. Furthermore, accessing some of these products, services and solutions might be subject to other conditions, amongst which is eligibility.
Council Directive (EU) 2018/822 amending Directive 2011/16/EU (“DAC 6”) - United Kingdom
The arrangement described herein may be considered as a reportable cross-border arrangement according to Council Directive (EU) 2011/16 regarding disclosable arrangements under hallmark category D (as amended by The International Tax Enforcement (Disclosable Arrangements) (Amendment) (No. 2) (EU Exit) Regulations 2020) and, as such, may need to be reported to the relevant tax authorities in accordance with the relevant regulations.
SG Kleinwort Hambros Bank Limited does not provide tax advice and you should consult your tax advisors for any further assistance.
Council Directive (EU) 2018/822 amending Directive 2011/16/EU (“DAC 6”) - Gibraltar
The arrangement described herein may be considered as a reportable cross-border arrangement according to Council Directive (EU) 2011/16 regarding disclosable arrangements under hallmark category D (as amended by The Income Tax Act 2010 (Amendment) (EU Exit) Regulations 2021) and, as such, may need to be reported to the relevant tax authorities in accordance with the regulations. Cross-border arrangements involving tax residents and/or intermediaries situated in Spain may still be subject to DAC 6 reporting under all hallmarks as foreseen in the applicable regulations.
SG Kleinwort Hambros Bank (Gibraltar) Limited does not provide tax advice and you should consult your tax advisors for any further assistance.
This document is confidential. It may not be communicated or notified to any third party (with the exception of external advisers on the condition they themselves respect this confidentiality undertaking) and may not be copied in whole or in part, without the prior written consent of the relevant member of the Kleinwort Hambros Group.
Past performance should not be seen as an indication of future performance. Investments may be subject to market fluctuations and the price and value of investments and the income derived from them can go down as well as up. Your capital may be at risk and you may not get back the amount you invest. Changes in inflation, interest rates and the rate of exchange may have an adverse effect on the value, price and income of investments.
In relation to products that aim to return your initial invested capital at maturity there is a risk that you may not receive back all of your investment in the event of a default by the issuer. Products may be structured within a wrapper that may allow gains to be subject to capital gains tax rather than income tax. The information relating to the tax treatment on the product has been obtained from, or is based upon, sources believed to be reliable but Kleinwort Hambros provides no guarantee as to accuracy or completeness.
Conflicts of interest
Kleinwort Hambros is part of the Societe Generale Group, an international organisation which provides a wide range of financial services in various countries. As such, it, or a company with whom it has an association may from time to time, have interests which conflict with its clients’ interests or with the duties that it owes to its clients. These include conflicts arising between the interests of Societe Generale, its associates and employees on the one hand and the interests of its clients on the other and also conflicts between clients themselves.
For example, companies in the Societe Generale Group may be the operator, trustee, custodian or depositary of, or investment manager to, a collective investment scheme or may manufacture structured products, which may be included in your portfolio, and so may benefit financially from the establishment, sale, management or structure of such scheme or products.
Legal and Regulatory Information
This document is issued by the following companies in the Kleinwort Hambros Group under the brand name Kleinwort Hambros:
SG Kleinwort Hambros Bank Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. The firm reference number is 119250. The company is incorporated in England and Wales under number 964058 and its registered address is 5th Floor, 8 St James’s Square, London SW1Y 4JU.
SG Kleinwort Hambros Bank (CI) Limited is regulated by the Jersey Financial Services Commission ("JFSC") for banking, investment, money services and fund services business. The company is incorporated in Jersey under number 2693 and its registered address is PO Box 78, SG Hambros House, 18 Esplanade, St Helier, Jersey JE4 8PR.
SG Kleinwort Hambros Bank (CI) Limited – Guernsey Branch is also regulated by the Guernsey Financial Services Commission ("GFSC") for banking, investment and money services business. Its address is PO Box 6, Hambro House, St Julian’s Avenue, St Peter Port, Guernsey, GY1 3AE.
The company (including the branch) is also authorised and regulated by the UK Financial Conduct Authority ("FCA") in respect of UK regulated mortgage business and its firm reference number is 310344. This document has not been authorised or reviewed by the JFSC, GFSC or FCA.
SG Kleinwort Hambros Bank (Gibraltar) Limited is authorised and regulated by the Gibraltar Financial Services Commission for the conduct of banking, investment and insurance mediation business. The company is incorporated in Gibraltar under number 01294 and its registered address is 32 Line Wall Road, Gibraltar. Flash Update 20 March 2020.
United Kingdom, Channel Islands and Gibraltar
Investments in structured products will not benefit from protections provided by the UK Financial Services Compensation Scheme, the Channel Islands Financial Ombudsman, the Gibraltar Financial Services Commission or the Gibraltar Financial Services Ombudsman, when available, or the Gibraltar Investor Compensation Scheme (individually, a “Compensation Scheme” and collectively, the “Compensation Schemes”).
This means that, in general, the Compensation Schemes will not pay compensation to investors in the event of the failure of the issuer of such structured products. Where they apply to this product, any guarantee obligations on the Issuer are also not covered by the Compensation Schemes.
However, investors may be eligible to claim compensation under a Compensation Scheme, if due to failure or insolvency, SG Kleinwort Hambros Bank Limited, SG Kleinwort Hambros Bank (CI) Limited or SG Kleinwort Hambros Bank (CI) Limited – Guernsey Branch, as the case may be, is unable to meet claims against it for negligent advice or misselling in respect of a structured product of which it is the distributor and provider of advice.
In respect of a structured product of which SG Kleinwort Hambros Bank Limited is the plan provider or individual savings account (ISA) manager in the UK, investors may be eligible to claim compensation under the UK Financial Services Compensation Scheme for maladministration, mismanagement or misappropriation of funds.
Except for the Compensation Scheme limitations applicable to structured products as outlined above, SG Kleinwort Hambros Bank Limited is covered by the Financial Services Compensation Scheme ("FSCS"). The FSCS can pay compensation to investors if a bank is unable to meet its financial obligations. Most investors – including most individuals and businesses – are covered by the scheme.
In relation to investment services the limit is £85,000 per person. Compensation will be payable, however, only in circumstances where we have been in default to you of our obligations. It will not be available merely because your investments have not performed as well as you had expected unless we are somehow at fault.
For further information about the schemes (including the amounts covered and eligibility to claim) please contact your Private Banker or refer to the FSCS website: www.fscs.org.uk.
Except for the Compensation Scheme limitations applicable to structured products as outlined above, SG Kleinwort Hambros Bank (CI) Limited is a participant in the Jersey Bank Depositors Compensation Scheme (the “JBDC Scheme”). The JBDC Scheme offers protection for eligible deposits of up to £50,000. The maximum total amount of compensation is capped at £100,000,000 in any five-year period. Full details of the JBDC Scheme and banking groups covered are available on the States of Jersey website www.gov.je/dcs or on request.
Except for the Compensation Scheme limitations applicable to structured products as outlined above, SG Kleinwort Hambros Bank (CI) Limited – Guernsey Branch is a participant in the Guernsey Banking Deposit Compensation Scheme (the “GBDC Scheme”). The GBDC Scheme offers protection for “qualifying deposits” up to £50,000, subject to certain limitations. The maximum total amount of compensation is capped at £100,000,000 in any five-year period. Full details are available on the GBDC Scheme’s website www.dcs.gg or on request.
For further information about the FSCS (including the amounts covered and eligibility to claim) please contact your Private Banker or refer to the FSCS website: www.fscs.org.uk.
Except for the Compensation Scheme limitations applicable to structured products as outlined above, SG Kleinwort Hambros Bank (Gibraltar) Limited is a participant in the Gibraltar Investor Compensation Scheme (the “Investor Scheme”). You may be entitled to compensation from the Investment Scheme if we cannot meet our obligations. Further details of the Investor Scheme are available on request or can be found at www.gics.gi. If you would not normally be classified as a retail client you may not be eligible for the Investor Scheme.
Kleinwort Hambros is part of Societe Generale Private Banking, which is part of the wealth management arm of the Societe Generale Group. Societe Generale is a French bank authorised in France by the Autorité de Contrôle Prudentiel et de Resolution, located at 61, rue Taitbout, 75436 Paris Cedex 09 and under the prudential supervision of the European Central Bank. It is also authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
Any unauthorised use, duplication, redistribution or disclosure in whole or in part is prohibited without the prior consent of Societe Generale. The key symbols, Societe Generale, Societe Generale Private Banking and Kleinwort Hambros are registered trademarks of Societe Generale.
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