iPath® Equity ETNs

iPath® Exchange Traded Notes ( ETNs) are innovative investment products issued by Barclays Bank PLC that seek to provide investors with a way to access the returns of a market or strategy, less investor fees and costs.

An investment in iPath ETNs involves significant risks, including possible loss of principal, and may not be suitable for all investors. For additional information regarding risks associated with the all the iPath Equity ETNs, please see "Selected Risk Considerations" below.

Exchange Traded Notes (ETNs) have become increasingly popular investment instruments, providing single-trade access to hard-to-reach exposures. The iPath Equity ETNs provide investors with a number of equity exposures including leveraged equity, equity strategy, international equity and international equity. The iPath Equity ETNs (the "ETNs") are debt securities that can be bought and sold on an exchange and seek to provide investors with a return linked to the performance of an underlying index, less fees and applicable costs. The ETNs are riskier than ordinary unsecured debt securities and have no principal protection. The ETNs are unsecured debt obligations of the issuer, Barclays Bank PLC, and are not, either directly or indirectly, an obligation of or guaranteed by any third party. Any payment to be made on the ETNs, including any payment at maturity or upon redemption, depends on the ability of Barclays Bank PLC to satisfy its obligations as they come due. An investment in the ETNs involves significant risks, including possible loss of principal and may not be suitable for all investors.

Leveraged Equity ETNs

iPath Leveraged Equity ETNs are designed to provide investors with a leveraged return that is linked to the performance, or inverse performance, of a market benchmark less applicable charges, costs and fees.

A "long" ETN is linked to a leveraged participation in the participation of the underlying index, whereas a "short" ETN is linked to a leveraged participation in the inverse performance of the underlying index.  Because the leveraged exposure to the underlying index does not reset, investors who invest at a time other than inception of the respective ETN will invest in a different "participation" – or value of the notional exposure per ETN to the performance of the underlying index relative to each ETN – and therefore may have a different leverage ratio than the initial leverage factor.  The ETNs are riskier than ordinary unsecured debt securities and have no principal protection.  An investment in the ETNs involves significant risks, including possible loss of principal and may not be suitable for all investors. Owning the ETNs is not the same as owning interests in the index components included in the underlying index or a security directly linked to the performance of the underlying index.

iPath® Leveraged Equity ETNs

iPath Leveraged Equity ETN Ticker Investor Fee Rate1 Financing Rate2 or Borrow Rate3
SFLA 0.35% per annum 3m LIBOR + 0.60% 
ROLA 0.50% per annum 3m LIBOR + 0.60% 
RTLA 0.50% per annum 3m LIBOR + 0.60% 
MFLA 0.80% per annum 3m LIBOR + 0.60% 
EMLB 0.80% per annum 3m LIBOR + 0.60% 
EMSA 0.80% per annum 2.50% per annum

1 The investor fee for each series of the iPath Leveraged Equity ETNs on the inception date was equal to zero. On any subsequent calendar day until maturity or redemption, the daily investor fee per ETN will equal the product of (a) the applicable closing indicative note value on the immediately preceding calendar day times (b) the applicable Investor Fee Rate divided by (c) 365.
2 For the iPath Long Leveraged Equity ETNs, there is an annualized financing charge in addition to the annualized investor fee. The daily financing charge on the inception date was $0. On any subsequent calendar day until maturity or redemption of the ETNs, the daily financing charge per ETN will equal the product of (a) the applicable financing level on the immediately preceding calendar day times (b) the Financing Rate divided by (c) 360. The Financing Rate will equal the sum of (a) 0.60% plus (b) the most recent 3 month London InterBank Offered Rate (LIBOR) fixing for U.S. dollars effective on the immediately preceding business day, as published by the British Bankers’ Association on Bloomberg page "US0003M Index".
3 For the iPath Short Leveraged Equity ETNs, there is an annualized borrow cost in addition to the annualized investor fee. The daily index borrow cost on the inception date was equal to zero. On any subsequent calendar day until maturity or redemption, the daily index borrow cost per ETN will equal the product of (a) the applicable short index amount on the immediately preceding calendar day times (b) the Borrow Rate divided by (c) 365.

Please see the respective relevant product pages on this website and relevant product prospectuses for full details on the fees and costs associated with the Leveraged Equity ETNs.

Automatic redemptions

In order to prevent the ETNs from reaching a negative value, there will be an automatic redemption. Barclays Bank PLC will automatically redeem your ETNs (in whole only, but not in part) if, on any calendar day prior to or on the final valuation date, the intraday indicative note value for the ETNs is less than or equal to the Automatic Termination Level for each of the respective Leveraged Equity ETNs, which can be found on the respective website product page as well as in the relevant product prospectuses.

Equity Strategy ETNs

The iPath® CBOE S&P 500 BuyWrite IndexSM ETNs (the "ETNs") is designed to provide investors with exposure to the CBOE S&P 500 BuyWrite IndexSM (the "Index").  The ETNs are riskier than ordinary unsecured debt securities and have no principal protection.  An investment in the ETNs involves significant risks, including possible loss of principal and may not be suitable for all investors. The Index is designed to measure the total rate of return on a hypothetical "buy-write", or "covered call", strategy on the S&P 500® Index.  This strategy consists of a hypothetical portfolio consisting of a "long" position indexed to the S&P 500® Index and the sale of a succession of a one-month, at-the-money S&P 500® call options that are listed on the Chicago Board Options Exchange (CBOE).  Owning the ETNs is not the same as owning interests in the index components included in the Index or a security directly linked to the performance of the Index.

iPath® Equity Strategy ETN

iPath Equity Strategy ETN Ticker Investor Fee Rate1
BWV 0.75% per annum

1 The investor fee rate per ETN is 0.75% per year.  The investor fee on the inception date was zero.  On each subsequent calendar day until maturity or early redemption, the investor fee will be equal to (1) the Investor Fee Rate times (2) the principal amount of your ETNs times (3) the index factor on that day (or, if such day is not a trading day, the index factor on the immediately preceding trading day) divided by (4) 365.  The index factor on any given day will be equal to the closing value of the Index on that day divided by the initial index level. The initial index level is the closing value of the Index on the inception date. 

International Equity

The iPath® MSCI India Index ETNs (the "ETNs") are designed to provide exposure to the MSCI India Total Return Index (the "Index").  The ETNs are riskier than ordinary unsecured debt securities and have no principal protection.  An investment in the ETNs involves significant risks, including possible loss of principal and may not be suitable for all investors.

The Index is a free-float adjusted market capitalization index, designed to measure the market performance, including price performance and income from dividend payments, of Indian equity securities.  The Index seeks to target approximately 85% of the free-float-adjusted market capitalization of equity securities by industry group within India.  Owning the ETNs is not the same as owning interests in the index components included in the Index or a security directly linked to the performance of the Index.

On December 10, 2009, Barclays Bank PLC announced that it was suspending until further notice, any further sales from inventory and any further issuances of the iPath® MSCI India Index ETNs.  It is possible that this suspension may influence the market value of the ETNs.  Barclays Bank PLC believes that the limitations on issuance and sale implemented may cause an imbalance of supply and demand in the secondary market for the ETNs, which may cause the ETNs to trade at a premium or discount in relation to their indicative value.  Therefore, any purchase of the ETNs in the secondary market may be at a purchase price significantly different from their indicative value.

iPath® International Equity ETN

iPath International Equity ETN Ticker Investor Fee Rate1
INP 0.89% per annum

1 The investor fee rate per ETN is equal to 0.89% per year: The investor fee on the inception date was equal to zero. On each subsequent calendar day until maturity or early redemption, the investor fee will equal to (1) the Investor Fee Rate times (2) the principal amount of your ETNs times (3) the applicable index factor on that day (or, if such day is not a trading day, the index factor on the immediately preceding trading day) divided by (4) 365. The index factor on any given day will be equal to the closing level of the Index on that day divided by the initial index level. The initial index level is the closing level of the Index on the inception date.

Equity Volatility

The suite of iPath® Equity Volatility Exchange Traded Notes (ETNs) have become increasingly popular in recent years as innovative vehicles providing access to U.S. equity market volatility.  Historically difficult to access and costly to implement in a single trade, volatility exposures were previously very limited for most investors.  The ETNs are riskier than ordinary unsecured debt securities and have no principal protection.  An investment in the ETNs involves significant risks, including possible loss of principal and may not be suitable for all investors.

iPath® Equity Volatility ETNs

iPath Equity Volatility ETNs Ticker Investor Fee Rate
XXV 0.89% per annum1
IVOP 0.89% per annum1
XVZ 0.95% per annum2
VXZ 0.89% per annum2
VXX 0.89% per annum2

1 The accrued fees (or the accrued investor fees) for the XXV and IVOP ETNs on the respective inception dates were zero. On each subsequent calendar day until maturity or redemption, the accrued fees per ETN will equal (1) the accrued fees on the immediately preceding calendar day plus (2) the product of (i) the closing indicative note value on the immediately preceding valuation date times (ii) the fee rate divided by (iii) 365.
2 The investor fee on the respective inception dates for the VXX, VXZ, XVZ ETNs was zero. On each subsequent calendar day until maturity or early redemption, the investor fee for each series of ETNs will be equal to (1) the Investor Fee Rate times (2) the closing indicative note value on the immediately preceding calendar day times (3) the daily index factor on that day (or, if such day is not an index business day, one) divided by (4) 365. The daily index factor on any index business day will equal (1) the closing level of the Index on such index business day divided by (2) the closing level of the Index on the immediately preceding business day.

Please see the respective relevant product pages on this website and relevant product prospectuses for full details on the fees and costs associated with the iPath Equity Volatility ETNs.

 

An investment in the iPath ETNs described herein (the "ETNs") involves risks, including possible loss of principal, and may not be suitable for all investors.  Selected risks are summarized here and select product specific risk factors are summarized under "Select Risk Considerations" on the relevant product pages, but we urge you to read the more detailed explanation of risks described under "Risk Factors" in the applicable product prospectus.

You May Lose Some or All of Your Principal: The ETNs are exposed to any change in the level of the underlying index between the inception date and the applicable valuation date. Additionally, if the level of the underlying index is insufficient to offset the negative effect of the investor fee and other applicable costs, you will lose some or all of your investment at maturity or upon redemption, even if the value of such index level has increased or decreased, as the case may be. Because the ETNs are subject to an investor fee and other applicable costs, the return on the ETNs will always be lower than the total return on a direct investment in the index components.   The ETNs are riskier than ordinary unsecured debt securities and have no principal protection.

Credit of Barclays Bank PLC: The ETNs are unsecured debt obligations of the issuer, Barclays Bank PLC, and are not, either directly or indirectly, an obligation of or guaranteed by any third party.  Any payment to be made on the ETNs, including any payment at maturity or upon redemption, depends on the ability of Barclays Bank PLC to satisfy its obligations as they come due.  As a result, the actual and perceived creditworthiness of Barclays Bank PLC will affect the market value, if any, of the ETNs prior to maturity or redemption.  In addition, in the event Barclays Bank PLC were to default on its obligations, you may not receive any amounts owed to you under the terms of the ETNs.

Issuer Redemption:  If specified in the applicable prospectus, Barclays Bank PLC will have the right to redeem or "call" a series of ETNs (in whole but not in part) at its sole discretion and without your consent on any trading day on or after the inception date until and including maturity.

Automatic Redemption:  If specified in the applicable prospectus, Barclays Bank PLC will automatically redeem a series of ETNs (in whole only, but not in part) at the specified automatic redemption value if, on any valuation date prior to or on the final valuation date, the intraday indicative note value of the ETNs becomes less than or equal to the applicable level specified in the prospectus.  For ETNs inversely linked to the S&P 500 VIX Short-Term FuturesTM Index Excess Return, an automatic redemption may occur as a result of a precipitous increase in volatility in the U.S. equity markets and is highly likely to occur if the historical frequency of precipitous increases in volatility in the U.S. equity markets persist.

Market and Volatility Risk:  If specified in the applicable prospectus, Barclays Bank PLC will have the right to redeem or "call" a series of ETNs (in whole but not in part) at its sole discretion and without your consent on any trading day on or after the inception date until and including maturity.

Leverage Risk:  Because an investment in the ETNs is leveraged, changes in the level of the underlying index will have a greater impact on the payout on the ETNs than on a payout on securities that are not so leveraged. In particular, any decrease or increase, as the case may be in the level of the underlying index will result in a significantly greater decrease in the payment at maturity or upon redemption, and an investor will suffer losses on an investment in the ETNs substantially greater than an investor would if the ETNs did not contain a leverage component.

The Performance of the Underlying Indices are Unpredictable: An investment in the ETNs is subject to risks associated with fluctuations, particularly a decline, in the performance of the underlying index. Because the performance of such index is linked to futures contracts on the CBOE® Volatility Index (the "VIX Index"), the performance of the underlying index will depend on many factors including, the level of the S&P 500® Index, the prices of options on the S&P 500® Index, and the level of the VIX Index which may change unpredictably, affecting the value of futures contracts on the VIX Index and, consequently, the level of the underlying index. Additional factors that may contribute to fluctuations in the level of such index include prevailing market prices and forward volatility levels of the U.S. stock markets and the equity securities included in the S&P 500® Index, the prevailing market prices of options on the VIX Index, relevant futures contracts on the VIX Index, or any other financial instruments related to the S&P 500® Index and the VIX Index, interest rates, supply and demand in the listed and over-the-counter equity derivative markets as well as hedging activities in the equity-linked structured product markets.

Covered Call Strategy Risk: Trading in stocks and options that compose the covered S&P 500 Index portfolio is speculative and returns can be extremely volatile. Market prices of index components of the covered S&P 500 Index portfolio may fluctuate rapidly based on numerous factors, which may affect the value of the underlying index and the value of your ETNs in varying ways, and different factors may cause prices of the components of the covered S&P 500 Index portfolio, and the volatilities of their prices, to move in inconsistent directions at inconsistent rates. A covered call strategy also limits participation in the appreciation of the underlying asset, in this case, the S&P 500 Index. Consequently, the index to which your ETNs are linked will not participate fully in the appreciation of the S&P 500 Index as would an investment linked directly to the S&P 500 Index or a direct investment in the stocks underlying the S&P 500 Index. While the strike price of the call options on the S&P 500 Index will operate to limit the underlying index’s participation in any increase in the value of the S&P 500 Index, the index’s exposure to any decline in the value of the S&P 500 Index will not be limited.

Your Return May Be Affected By Factors Affecting International Security Markets and Emerging Markets:  The international equities underlying certain indices sponsored by MSCI, Inc. may have less liquidity and could be more volatile than the securities traded in the U.S. or other longer-established securities markets.  Additional special risks associated with international securities may include less rigorous regulation of securities markets, different accounting and disclosure standards, government interference, higher inflation, and social, economic, and political uncertainties.

A Trading Market for the ETNs May Not Develop: Although the ETNs are listed on a U.S. national securities exchange, a trading market for the ETNs may not develop and the liquidity of the ETNs may be limited, as we are not required to maintain any listing of the ETNs.

No Interest Payments from the ETNs: You may not receive any interest payments on the ETNs.

Restrictions on the Minimum Number of ETNs and Date Restrictions for Redemptions: You must redeem at least 20,0000, 25,000 or 50,000 (depending on the series) ETNs of the same series at one time in order to exercise your right to redeem your ETNs on any redemption date.  You may only redeem your ETNs on a redemption date if we receive a notice of redemption from you by certain dates and times as set forth in the product prospectus.

Uncertain Tax Treatment: Significant aspects of the tax treatment of the ETNs are uncertain. You should consult your own tax advisor about your own tax situation.

Barclays Bank PLC has filed a registration statement (including a prospectus) with the SEC for the offering to which this communication relates.  Before you invest, you should read the prospectus and other documents Barclays Bank PLC has filed with the SEC for more complete information about the issuer and this offering.  You may get these documents for free by visiting www.iPathETN.com or EDGAR on the SEC website at www.sec.gov.  Alternatively, Barclays Bank PLC will arrange for Barclays Capital Inc. to send you the prospectus if you request it by calling 1-212-528-7990, or you may request a copy from any other dealer participating in the offering.

The ETNs may be sold throughout the day on the exchange through any brokerage account. Commissions may apply and there are tax consequences in the event of sale, redemption or maturity of ETNs.

The S&P 500 Indices and the S&P 500 VIX Futures Indices are products of S&P Dow Jones Indices LLC ("SPDJI").  S&P®, S&P 500®, and "S&P 500 VIX Short-Term FuturesTM", "S&P 500 VIX Mid-Term FuturesTM" and "S&P 500® Dynamic VIX FuturesTM" are trademarks of Standard & Poors Financial Services LLC ("SPFS").  VIX® is a registered trademark of Chicago Board Options Exchange, Incorporated ("CBOE").  These trademarks have been licensed to S&P Dow Jones Indices LLC ("SPDJI") and its affiliates, and sublicensed to Barclays Bank PLC for certain purposes. The ETNs are not sponsored, endorsed, sold or promoted by SPDJI, SPFS, CBOE or any of their respective affiliates (collectively, "S&P Dow Jones Indices").  S&P Dow Jones Indices does not make any representation or warranty, express or implied, to the owners of the ETNs or any member of the public regarding the advisability of investing in securities generally or in the ETNs particularly or the ability of any of the S&P 500 Indices or S&P 500 VIX Futures Indices to track general market performance.

The CBOE S&P 500 BuyWrite IndexSM (the "Index") is a product of Chicago Board Options Exchange, Incorporated ("CBOE").  CBOE® and BuyWriteTM are trademarks of CBOE.  S&P® and S&P 500® are trademarks of Standard & Poors Financial Services LLC ("SPFS").  The Index and the related trademarks have been licensed to S&P Dow Jones Indices LLC ("SPDJI") and its affiliates, and sublicensed to Barclays Bank PLC for certain purposes.  The ETNs are not sponsored, endorsed, sold or promoted by SPDJI, SPFS, CBOE, or any of their respective affiliates (collectively, "S&P Dow Jones Indices and CBOE").  S&P Dow Jones Indices and CBOE do not make any representation or warranty, express or implied, to the owners of the securities or any member of the public regarding the advisability of investing in securities generally or in the ETNs particularly or the ability of the Index to track general market performance.

"Russell 1000® Index", "Russell 2000® Index" and "Russell 3000® Index" are trademarks of Russell Investments and have been licensed for use by Barclays Bank PLC.  The ETNs are not sponsored, endorsed, sold, or promoted by Russell Investments.  Russell Investments makes no representation or warranty, express or implied, to the owners of the ETNs or any member of the public regarding the advisability of investing in securities generally or in the ETNs particularly or the ability of the Russell Indices to track general stock market performance or a segment of the same.

MSCI and the MSCI Index names are servicemarks of MSCI or its affiliates and have been licensed for use for certain purposes by Barclays Bank PLC.  The ETNs are not sponsored or endorsed by MSCI, any affiliate of MSDCI or any other party involved in, or related to, making or compiling any MSCI Index.  The ETNs are not sold or promoted by MSCI, any affiliate of MSCI or any other party involved in, or related to, making or compiling any MSCI Index.  The MSCI Indices are the exclusive property of MSCI.  Neither MSCI, any of its affiliates, or any other party involved in, or related to, making or compiling any MSCI Index makes any representation or warranty, express or implied, to the owners of the ETNs or any member of the public regarding the advisability of investing in the financial securities generally or in the ETNs particularly or the ability of any MSCI Index to track corresponding stock market performance.

© 2016 Barclays Bank PLC.  All rights reserved.  iPath, iPath ETNs and the iPath logo are registered trademarks of Barclays Bank PLC.  All other trademarks, servicemarks or registered trademarks are the property, and used with the permission, of their respective owners.

NOT FDIC INSURED • NO BANK GUARANTEE • MAY LOSE VALUE

 

Contact us

For all enquiries, please instruct your broker/advisor/custodian to email us at etndesk@barclays.com

Barclays Capital Inc. acts as the issuer's agent in connection with the distribution of the iPath ETNs. Barclays Capital Inc. is an affiliate of Barclays Bank PLC and is a registered US broker-dealer regulated by the SEC and the FINRA.