Credit Suisse is offering Australian investors a reverse convertible investment linked to the performance of Australian banks. This new product is the Swiss bank's first retail offering since October 2009.
Tailored Return Facility Series 1 Equity Yield Certificates Bank Portfolio is a 12-month deferred purchase agreement offering investors a coupon of 16% (TBC subject to a minimum of 14%) at maturity along with soft protection of 70% on the downside. Series 1 is linked to the performance of a basket comprising ANZ, Commonwealth Bank, Macquarie, National Australia Bank and Westpac. If the downside protection barrier is breached then capital is reduced in line with the worst performing share.
"We tailored this product in consultation with our adviser group partners who were seeking a high yield investment for their clients' investment portfolio. We chose Australian banks as the underlying assets as these were assets investors were familiar with," Chelsea Wise, head of structured product sales, Australia for Credit Suisse told SRP.
Wise, who joined Credit Suisse along with colleague Lucas Kiely from UBS mid last year, told SRP the firm is looking to raise at least A$5m ($5m) for this product and will launch a similar product with another distributor in the near future. Credit Suisse were looking to launch around 10 to 15 similar products this year, she added.
The minimum investment amount is A$50,000 ($50,000); the offer closes on 18 February.
This product appears in Recent Additions (Australia).
