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The Austria Express 3 certificate combines the opportunity to generate an attractive yield with the possibility for an early redemption. The ATX® Index serves as underlying for the investment product without capital protection. The Express Certificate offers an attractive profit opportunity for those investors who expect the ATX® Index to quote at or above its current level within the forthcoming five years.
Term:
The certificate has a minimum term of 1 year and a maximum term of 5 years. If the closing price of the ATX® index quotes at or above its redemption level (equal to the index’s closing price at the initial valuation date) at one of the annual valuation dates, (early) redemption is effected according to the predefined redemption price.
Yield opportunity:
If the index quotes below the starting value at the annual valuation date, the term extends by another year (up to a maximum term of five years). At the same time, the potential annual termination price rises by 8% of the nominal value annually (up to a maximum of 140%).
Safety mechanism:
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 index quotes above the barrier of 60% at the final valuation date, redemption is effected at 100% of the nominal value.
If the barrier is touched or undercut at the final valuation date, redemption is effected according to the index performance (percentage performance from the index starting value to the closing price at the final valuation date). In this case a major loss of capital is possible.
Further information as well as the Key Information Document please find on the product page.
Details on the ATX® index as well as the current list of index members can be found on the website of the index provider Wiener Börse.
For any additional information you may require do not hesitate to contact us on +43 (0)1 717 07 - 5454.
The Raiffeisen Certificates Team