Express certificate on the STOXX Global ESG Leaders Select 50 EUR
Zurich Insurance Group is one of the top performers in the STOXX® Global ESG Leaders Select EUR 50 Index thanks to ESG rating, high dividend and low volatility. The new headquarters in Zurich is scheduled to open in 2020. PHOTO OF THE ZURICH INSURANCE GROUP
With 3% p.a., our investment idea offers an attractive return if the STOXX Global ESG Leaders Select 50 EUR Index tends sideways. The index tracks the performance of the 50 global ESG Leader stocks with the lowest volatilities and highest dividends. Recent research shows that companies with high sustainability ratings achieve higher long-term profitability with lower risk.
Sustainability is becoming an increasingly important topic, especially since the consequences of advancing climate change and shortages of resources are becoming ever-more visible. Consequently, issues such as environmental sustainability or an ethical approach to animals and resources are coming to the fore, leading to growing numbers of companies attempting to implement sustainability strategies. Contrary to common belief, investing in sustainability does not just bring about costs and limitations: it also has a positive effect on business in the long term, as economically smarter decisions are made and fewer resources are consumed.
50 global stocks from the STOXX Global ESG Leaders Index with the lowest levels of volatility and high dividend payments are selected and used for the STOXX® GLOBAL ESG LEADERS SELECT 50 EUR INDEX.
The component selection process first excludes all stocks whose three or twelve month historical volatilities are the highest. Among the remaining stocks, the 50 stocks with the highest twelve month historical dividend yields are selected to be included in the index. The composition of the index is reviewed on a quarterly basis.
STOXX® Global ESG Leaders Select 50 EUR Index price, 5-year view
How the express certificate with memory works
The Credit Suisse express certificate on the STOXX® Global ESG Leaders Select 50 Price Index, with memory, is a bearer bond of Credit Suisse AG (the ‘issuer’). It matures on 30 June 2025, except in instances of early redemption. There is the opportunity for interest to be paid and the option of early redemption, dependent on the development of the STOXX® Global ESG Leaders Select 50 Price Index (underlying). Repayment at maturity is also dependent on the development of the underlying.
The underlying is reviewed on the observation date in question to ascertain whether it is at or above the interest barrier of 70.00% of the initial fixing. If this is the case, an interest amount of EUR 30.00 will be disbursed in arrears as a one-off payment for each certificate, plus any interest amounts that may not have been disbursed previously (memory effect). If this is not the case, no interest will be disbursed. In the event of early redemption, interest payments will not be made subsequently.
Opportunity for early redemption
The underlying is reviewed on the observation date in question to ascertain whether it is at or above the relevant observation level. If this is the case, the certificate will be repaid early at par value. Otherwise, the certificate will continue to run until the following observation date.
Redemption at maturity
The final fixing will determine whether the underlying is quoted at or above the final redemption level of 70.00% of the initial fixing. If this is the case, the redemption amount will be disbursed for each certificate. Otherwise, it will be redeemed at par value minus the negative development of the underlying between the initial and final fixing. Please note that any income from the underlying that may accrue prior to maturity will not be passed on to the holder of the certificate.
Express certificate with memory
|Underlying||STOXX® Global ESG Leaders Select 50 Price Index|
|Barrier at maturity||70%|
|Issue price||EUR 1,005.00|
|Subscription period||Until 2 p.m. on 21 June 2019, early closing possible|
|Express level||Every 12 months = 100%|
CEO Picard Angst MEA
This content has been created by Picard Angst AG and is merely a summary of the essential characteristics of the product and not a complete representation and has been created solely for information purposes for use by the recipient for the duration of the subscription period. The information provided is valid for this period. The information on this site does not constitute financial analysis and does not meet all legal requirements to ensure the impartiality of financial analysis and is not subject to a prohibition of trading prior to the publication of financial analysis. This site does not contain any offer or invitation to buy or sell financial instruments. It is intended for informational purposes only. Since a structured investment product can be a complex financial product, the decision to invest should therefore always be made on the basis of a consultation with a bank advisor. The information on this page on opportunities and risks does not replace the information provided by your investment advisor, which is indispensable in every case before a transaction is concluded. Only those who are unambiguously aware of the opportunities and risks of the transaction to be concluded and are economically in a position to bear any losses that may arise should enter into such transactions.