How the certificate works
With this certificate, you receive the fixed interest rate of 10% annually. Redemption at the end of term is affected at 100% if all 3 underlying shares (Alphabet, Microsoft & NVIDIA) quote above the barrier at the end of the term of 2 years. If at least one of the 3 shares quotes below the barrier, it results in delivery of shares (market risk). Only the share with the worst performance will be delivered; the value of the delivered shares will be significantly lower than the nominal amount of the Reverse Convertible Bond.
Underlyings
The Reverse Convertible Bond consists of three US Technology companies:
- Alphabet Inc. is a holding company to which, among other things, the search engine Google, the video platform Youtube and the operating system Android belong.
- Microsoft Corp. is an international hardware and software manufacturer, best known for its Windows operating system.
- NVIDIA Inc. accelerates data processing to help solve computer problems.
⏱ During the term
- Flexibility: You can buy and sell the certificate during trading hours at the current price.
- The price of the certificate is subject to various influencing factors, including the performance of the underlying assets, their fluctuation range, correlation and dividend expectations as well as the interest rate level. This price may fall below the issue price and fluctuate sharply, especially if the underlying is close to the barrier.
⚠️ Issuer risk / Bail-in
Certificates are not covered by the Deposit Protection Scheme. Investors are exposed to the risk that Raiffeisen Bank International AG might be unable to fulfil its payment obligations in respect of the described financial instrument such as in the event of insolvency (issuer risk) or an official directive (Bail-in). A total loss of the capital invested is possible - further information ➨
An investment in investment products is associated with opportunities and risks. Please note the issuer risk.
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