New Barclays Investment Product Offers Protection Against 40% Market Drop
Rhea-AI Filing Summary
Barclays Bank PLC has filed a free writing prospectus for Contingent Income Callable Securities due July 2, 2030, linked to the performance of three major indices: MSCI EAFE Index, Russell 2000 Index, and S&P 500 Index.
Key features include:
- Quarterly contingent payments of at least $20.00 (2.00%) if all underliers are above 70% of initial value
- Early redemption option at issuer's discretion on any payment date
- Principal protection if no underlier falls below 60% of initial value at maturity
- Risk of significant loss if any underlier falls below threshold - investors could lose entire investment
The estimated value of securities ($882.70 to $962.70) is below issue price. Notable risks include exposure to worst-performing underlier, early redemption risk, and U.K. Bail-in Power acknowledgment. The securities will not be listed on any exchange, limiting secondary market trading opportunities.
Positive
- Contingent quarterly payments of at least 2% ($20.00 per $1,000 principal) if all underliers remain above 70% of initial value
- Early redemption feature provides flexibility for issuer to return principal plus any contingent payment due
- Principal protection remains intact as long as no underlier falls below 60% of initial value at maturity
Negative
- Investors face complete loss of principal if any underlier falls below 60% threshold at maturity
- No participation in any upside appreciation of the underliers beyond fixed quarterly payments
- Estimated value ($882.70-$962.70) is significantly below the initial issue price, indicating substantial embedded costs
- Multiple underlier structure (worst-of feature) significantly increases risk of missed quarterly payments and principal loss
- Subject to Barclays Bank PLC credit risk and UK Bail-in Power which could result in loss of investment
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What are the key features of VXZ's Contingent Income Callable Securities due July 2030?
What is the estimated value of VXZ's securities according to Barclays' internal pricing models?
What are the downside risks for VXZ's Contingent Income Callable Securities?
What are the payment conditions for VXZ's quarterly contingent payments?
When can Barclays redeem VXZ's securities early?
Barclays Bank PLC has filed a registration statement (including a prospectus) with the U.S. Securities and Exchange Commission (“SEC”) for the offering to which this free writing prospectus relates. Before you invest, you should read the prospectus dated May 15, 2025, the prospectus supplement dated May 15, 2025 and the underlying supplement dated May 15, 2025 and other documents Barclays Bank PLC has filed with the SEC for more complete information about Barclays Bank PLC and this offering. You may get these documents and other documents Barclays Bank PLC has filed for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, Barclays Bank PLC or any agent or dealer participating in this offering will arrange to send you each of these documents if you request them by calling your Barclays Bank PLC sales representative, such dealer or toll-free 1-888-227-2275 (Extension 2-3430). A copy of each of these documents may be obtained from Barclays Capital Inc., 745 Seventh Avenue—Attn: US InvSol Support, New York, NY 10019.
| Free writing prospectus dated June 23, 2025 (to the Prospectus dated May 15, 2025, the Prospectus Supplement dated May 15, 2025 and the Underlying Supplement dated May 15, 2025) |
Filed Pursuant to Rule 433 Registration Statement No. 333-287303 |
Barclays Bank PLC – Contingent Income Callable Securities due July 2, 2030 Based on the Value of the Worst Performing of the MSCI EAFE® Index, the Russell 2000® Index and the S&P 500® Index
This document provides a summary of the terms of the securities. Investors must carefully review the accompanying pricing supplement, the prospectus, prospectus supplement and underlying supplement, as well as the “Risk Factors” on the following page, prior to making an investment decision.
| Summary Terms |
| Issuer: | Barclays Bank PLC |
| Underliers: | MSCI EAFE® Index (Bloomberg ticker symbol “MXEA<Index>”) (the “MXEA Index”), Russell 2000® Index (Bloomberg ticker symbol “RTY<Index>”) (the “RTY Index”) and S&P 500® Index (Bloomberg ticker symbol “SPX<Index>”) (the “SPX Index”) |
| Pricing date: | June 27, 2025 |
| Original issue date: | July 2, 2025 |
| Maturity date: | July 2, 2030 |
| Optional early redemption: | On any contingent payment date (other than the final contingent payment date), we will have the right to redeem the securities, in whole, but not in part, at our discretion, for the early redemption payment. If we elect to redeem the securities on any contingent payment date, we will give notice to the trustee on or before the immediately preceding determination date. Any early redemption of the securities will be at our discretion and will not automatically occur based on the performance of the underliers. |
| Early redemption payment: | An amount per security equal to (i) the stated principal amount plus (ii) any contingent quarterly payment otherwise due |
| Contingent quarterly payment: |
· If, on any determination date, the closing level of each underlier is greater than or equal to its coupon barrier level, we will pay a contingent quarterly payment of at least $20.00 (at least 2.00% of the stated principal amount) per security on the related contingent payment date. · If, on any determination date, the closing level of any underlier is less than its coupon barrier level, no contingent quarterly payment will be made with respect to that determination date. |
| Payment at maturity: |
If the securities are not redeemed prior to maturity, you will receive on the maturity date a cash payment per security determined as follows: · If the final underlier value of each underlier is greater than or equal to its downside threshold level: (i) stated principal amount plus (ii) any contingent quarterly payment otherwise due · If the final underlier value of any underlier is less than its downside threshold level: stated principal amount × underlier performance factor of the worst performing underlier Under these circumstances, the payment at maturity will be less than the stated principal amount of $1,000 and will represent a loss of more than 40%, and possibly all, of an investor’s initial investment. Investors may lose their entire initial investment in the securities. |
| Coupon barrier level: | With respect to each underlier, 70% of its initial underlier value (rounded to two decimal places for the MXEA Index and the SPX Index and rounded to three decimal places for the RTY Index) |
| Downside threshold level: | With respect to each underlier, 60% of its initial underlier value (rounded to two decimal places for the MXEA Index and the SPX Index and rounded to three decimal places for the RTY Index) |
| Initial underlier value: | With respect to each underlier, the closing level of that underlier on the pricing date |
| Final underlier value: | With respect to each underlier, the closing level of that underlier on the final determination date |
| Underlier performance factor: | With respect to each underlier, its final underlier value divided by its initial underlier value |
| Worst performing underlier: | The underlier with the lowest underlier performance factor |
| Determination dates: | Quarterly, as specified in the accompanying pricing supplement |
| Contingent payment dates: | Quarterly, as specified in the accompanying pricing supplement |
| CUSIP/ISIN: | 06746CBS7 / US06746CBS70 |
| Additional terms: | Terms used in this document, but not defined herein, will have the meanings ascribed to them in the accompanying pricing supplement. |
| Pricing supplement: | http://www.sec.gov/Archives/edgar/data/312070/000095010325007697/dp230437_424b2-7449ms.htm |
| Hypothetical Payment at Maturity* |
| Change in Worst Performing Underlier | Payment at Maturity | Total Return on Securities | |
| 50.00% | $1,000.00 | 0.00% | |
| 40.00% | $1,000.00 | 0.00% | |
| 30.00% | $1,000.00 | 0.00% | |
| 20.00% | $1,000.00 | 0.00% | |
| 10.00% | $1,000.00 | 0.00% | |
| 0.00% | $1,000.00 | 0.00% | |
| -5.00% | $1,000.00 | 0.00% | |
| -10.00% | $1,000.00 | 0.00% | |
| -20.00% | $1,000.00 | 0.00% | |
| -30.00% | $1,000.00 | 0.00% | |
| -40.00% | $1,000.00 | 0.00% | |
| -40.01% | $599.90 | -40.01% | |
| -50.00% | $500.00 | -50.00% | |
| -60.00% | $400.00 | -60.00% | |
| -70.00% | $300.00 | -70.00% | |
| -80.00% | $200.00 | -80.00% | |
| -90.00% | $100.00 | -90.00% | |
| -100.00% | $0.00 | -100.00% | |
| *The table above assumes the securities are not redeemed prior to maturity and excludes any contingent quarterly payment otherwise due. | |||
Our estimated value of the securities on the pricing date, based on our internal pricing models, is expected to be between $882.70 and $962.70 per security. The estimated value is expected to be less than the initial issue price of the securities. See “Additional Information Regarding Our Estimated Value of the Securities” in the accompanying pricing supplement.
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U.K. Bail-in Power Acknowledgment:
Notwithstanding and to the exclusion of any other term of the securities or any other agreements, arrangements or understandings between Barclays Bank PLC and any holder or beneficial owner of the securities (or the trustee on behalf of the holders of the securities), by acquiring the securities, each holder or beneficial owner of the securities acknowledges, accepts, agrees to be bound by and consents to the exercise of, any U.K. Bail-in Power by the relevant U.K. resolution authority.
The Underliers
For more information about the underliers, including historical performance information, see the accompanying pricing supplement.
Risk Factors
An investment in the securities involves significant risks. We urge you to consult your investment, legal, tax, accounting and other advisors before you invest in the securities. Some of the risks that apply to an investment in the securities are summarized below, but we urge you to read the more detailed explanation of risks relating to the securities generally in the “Risk Factors” sections in the accompanying pricing supplement and the prospectus supplement. You should not purchase the securities unless you understand and can bear the risks of investing in the securities.
Risks Relating to the Securities Generally
| · | The securities do not guarantee the return of any principal. |
| · | You will not receive any contingent quarterly payment for any quarterly period where the closing level of any underlier on the applicable determination date is less than its coupon barrier level. |
| · | You will not participate in any appreciation in the value of any underlier. |
| · | You are exposed to the market risk of each underlier, with respect to both the contingent quarterly payments, if any, and the payment at maturity, if any. |
| · | Because the securities are linked to the performance of the worst performing underlier, you are exposed to greater risks of no contingent quarterly payments and sustaining a significant loss on your investment than if the securities were linked to just one underlier. |
| · | The securities are subject to early redemption risk. |
| · | Any payment on the securities will be determined based on the closing levels of the underliers on the dates specified. |
| · | Contingent repayment of principal applies only at maturity or upon any early redemption. |
| · | The securities are subject to volatility risk. |
| · | Investing in the securities is not equivalent to investing in any or all underliers or the securities composing the underliers. |
| · | Significant aspects of the tax treatment of the securities are uncertain. |
Risks Relating to the Issuer
| · | Any payments on the securities are subject to issuer credit risk. |
| · | You may lose some or all of your investment if any U.K. Bail-in Power is exercised by the relevant U.K. resolution authority. |
Risks Relating to the Underliers
| · | Adjustments to the underliers could adversely affect the value of the securities. |
| · | The securities are subject to small-capitalization companies risk with respect to the RTY Index. |
| · | There are risks associated with investments in securities linked to the value of non-U.S. equity securities in non-U.S. securities markets with respect to the MXEA Index. |
| · | The level of the MXEA Index is subject to currency exchange risk with respect to the U.S. dollar and the non-U.S. currencies represented in the MXEA Index. |
| · | Governmental legislative or regulatory actions, such as sanctions, could adversely affect your investment in the securities. |
| · | We may accelerate the securities if a change-in-law event occurs. |
Risks Relating to Conflicts of Interest
| · | Hedging and trading activity by the issuer and its affiliates could potentially adversely affect the value of the securities. |
| · | We and our affiliates, and any dealer participating in the distribution of the securities, may engage in various activities or make determinations that could materially affect your securities in various ways and create conflicts of interest. |
Risks Relating to the Estimated Value of the Securities and the Secondary Market
| · | The securities will not be listed on any securities exchange, and secondary trading may be limited. |
| · | The market price of the securities will be influenced by many unpredictable factors. |
| · | The estimated value of your securities is expected to be lower than the initial issue price of your securities. |
| · | The estimated value of your securities might be lower if such estimated value were based on the levels at which our debt securities trade in the secondary market. |
| · | The estimated value of the securities is based on our internal pricing models, which may prove to be inaccurate and may be different from the pricing models of other financial institutions. |
| · | The estimated value of your securities is not a prediction of the prices at which you may sell your securities in the secondary market, if any, and such secondary market prices, if any, will likely be lower than the initial issue price of your securities and may be lower than the estimated value of your securities. |
| · | The temporary price at which we may initially buy the securities in the secondary market and the value we may initially use for customer account statements, if we provide any customer account statements at all, may not be indicative of future prices of your securities. |
Tax Considerations
You should review carefully the section entitled “Additional Information about the Securities—Tax considerations” in the accompanying pricing supplement.
In the event that any of the terms set forth or defined in this document conflict with the terms or defined terms set forth in the accompanying pricing supplement, the terms or defined terms set forth in the accompanying pricing supplement will control.
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