The new BMW Express Certificate connects the opportunity to generate an attractive yield with the possibility for an early redemption. The share of the motor vehicle producer Bayerische Motoren Werke AG serves as underlying for the investment product without capital protection. The Express Certificate offers an attractive profit opportunity for those investors who expect the German blue chip to quote at or above its current level in the forthcoming years.
TERM:
The certificate has a minimum term of1year and a maximum term of 5 years. If the closing price of the BMW share quotes at or above its termination level (equal to the share’s closing price at the initial valuation date) at one of the annual valuation dates, (early) redemption is effected analogue to the pre-defined termination price.
YIELD OPPORTUNITY:
If the share quotes below its termination level at the respective annual valuation date, the term extends by another year and the potential annual termination price increases by 10% to a maximum of 50%. This means, the longer the term is, the higher is the potential termination price (between 110% and 150% 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 at the fifth and final valuation date, an additional safety mechanism applies: in case the closing price of the share quotes above the barrier of 50% at the final valuation date, redemption is effected at 100% of the nominal value. Then investors will not generate profit and the nominal value of EUR 1,000 will be redeemed.
If the barrier is touched or undercut at the final valuation date physical delivery applies. Then the investor receives the BMW shares in the amount pre-defined at the issue date (nominal value/closing price of the share at the initial valuation date). The difference to the integral number is paid out.
Key Facts:
- ISIN: AT0000A1NA72
- Initial valuation date: Sep 14, 2016
- Term: min. 1 year, max. 5 years
- Public offer in: Austria, Germany, Italy, Hungary, Poland, Czech Republic, Slovakia, Romania, Slovenia, Croatia
- Listing: Vienna, Stuttgart, Frankfurt
Further information is available at the product page: BMW Express Certificate
For more details kindly see the Product Folder (PDF).
For any additional information you may require do not hesitate to contact us on +43 1 515 20-484.
The Team “Structured Products” of Raiffeisen Centrobank
This product, the risks and terms and conditions associated with it, are subject to and governed by the Prospectus (including all supplements and amendments thereto) approved by the Austrian Financial Market Authority, which has been deposited at Oesterreichische Kontrollbank AG and is published on www.rcb.at/SecuritiesProspectus.
Additionally, Raiffeisen Centrobank AG is subject to supervision by the European Central Bank (ECB), which ECB undertakes within the Single Supervisory Mechanism (SSM), which consists of the ECB on national responsible authorities (Council Regulation (EU) No 1024/2013).
