The voestalpine Express 7 certificate connects the opportunity to generate attractive yield with the possibility for an early redemption. The share of the globally operating steel company voestalpine AG serves as underlying for the investment product without capital protection. The Express Certificate offers an attractive profit opportunity for those investors who expect this Austrian blue chip to quote at or above the annually declining termination level (termination levels see table below) in the upcoming five years.
The certificate has a minimum term of1year and a maximum term of 5 years. If the closing price of the voestalpine AG share quotes at or above its respective termination level at one of the annual valuation dates, (early) redemption is effected according to the predefined termination price.
The longer the term is, the higher is the termination price and the lower is the termination level. If the share quotes below its termination level at the respective annual valuation date, the term extends by another year, the potential termination price rises by 7% and the annual terminal level declines by 10 percentage points.
Termination level: 100% (= starting value)
|Termination price: 107% of the nominal value|
Termination level: 90%
|Termination price: 114% of the nominal value|
Termination level: 80%
|Termination price: 121% of the nominal value|
Termination level: 70%
|Termination price: 128% of the nominal value|
Termination level: 60% (= barrier)
|Termination price: 135% of the nominal value|
In case no early redemption was effected from the first to the fourth year and if the underlying quotes below the termination level of 60% (equal to the barrier) at the fifth and final valuation date, physical delivery of the share is effected. This means that the investor receives shares of voestalpine AG in the predefined amount(nominal value/starting value). The difference to the integral number is paid out in cash.
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 refer to the product page.
Express Certificates – explained shortly:
For any additional information you may require do not hesitate to contact us on +43151520484.
The Structured Products Team of Raiffeisen Centrobank