Barclays Wealth has launched a new Defined Returns Plan Annual Kick-Out, a structured product offering potential returns of 7.25 per cent a year from the second year onwards provided the FTSE index stays at or above 90 per cent of the initial index level, on an anniversary date.

An investment return will be realised on the first anniversary on which this condition is met – from the second year onwards – and capital will then be repaid and the investment will come to an end.  This offering is available to investors from today until 14 November 2011, the firm said.

The plan is aimed at investors concerned about the uncertain market outlook, a factor that has intensified in recent weeks amid fears of sovereign debt in the eurozone.

The product pays out even if there is a drop in the index of up to 10 per cent from its initial level, offering some reassurance that investments will be shielded from limited market falls.

However, if there has been no early maturity after six years, capital will be reduced if the index closes, at maturity, below 50 per cent of its initial index level.  Should this happen, investors will lose capital on a one-for-one basis with the index.