The 7.25% Aviation Protect Reverse Convertible Bond combines twofixed interest payments of 7.25% with a partial safety mechanism for the invested capital down to the barrier the barrier of 59%. The interest amount is paid out annually, regardless of the performance of the two underlying shares (Airbus SE and Deutsche Lufthansa AG).
The share basket of the Protect Reverse Convertible Bond consists of two European aviation companies:
- Airbus SE is the second largest aerospace company in the world by revenue. The business units of the company can be roughly divided into passenger aircrafts, helicopters, defense/armament and space. The Airbus share is currently included in several benchmark indices, like the MSCI World, the EURO STOXX® 50 as well as the French CAC 40.
- Deutsche Lufthansa AG is a global aviation group. Known brands in Europe are Lufthansa, Austrian Airlines, SWISS and Eurowings. The Deutsche Lufthansa share is listed in the STOXX® Europe 600 Index and in the German leading index DAX®.
The certificate is redeemed at 100% of the nominal value at the maturity date (May 2021), provided that the daily closing price of each of the two underlying shares always quotes above the respective barrier of 59% during the observation period (daily observation).
If one of the barriers is touched or undercut by the daily closing price of at least one of the underlying shares and at least one of these shares closes below its strike at the final valuation date, the predefined amount of the worst performing share is delivered (percentage performance from the starting value to the closing price at the final valuation date).
The issue price amounts to 100 % (nominal value EUR 1,000) within the subscription period. Further information as well as the Key Information Document please find on Product Page.
Reverse Convertible Bonds - explained in an easy way
For any additional information you may require do not hesitate to contact us on +43151520484.
The Structured Products Team of Raiffeisen Centrobank
The product described herein is subject to and governed by the Base Prospectus (including all supplements and amendments thereto) approved by the Austrian Financial Market Authority (FMA). The Base Prospectus has been deposited at the Oesterreichische Kontrollbank AG, published at www.rcb.at/securitiesprospectus and contains the risks and terms and conditions of the product.
Additional information may also be obtained from the key information document of the product published at www.rcb.at. Raiffeisen Centrobank AG is subject to supervision by the FMA and the Austrian National Bank as well as the European Central Bank within the Single Supervisory Mechanism (Council Regulation (EU) No 1024/2013).