Investors of TD Canada Trust's 3yr U.S. GIC Plus Apr09 have received the maximum possible total payout of 120% after three years, equivalent to a compounded annualised rate of 6.26%. TD Canada Trust will have CAD7m to rollover.
The guaranteed investment certificate offered capital back in addition to a full participation rate in the rise of the S&P500 over the term, subject to an overall maximum capital return of 120%.
The initial index level on 30 April 2009 was 872.81 and the final index level of 30 April 2012 was 1397.91. The index rose by 60.2% and, as a result, the maximum possible payout of 20% was met.
The Canadian bank will see another 103 products within its structured products range mature this year, with estimated sales of CAD898m ($912m).
TD Canada Trust issues a collection of guaranteed investment certificates at the beginning of every month, with subscription periods lasting exactly one month. In its latest series, the S&P TSC/Banks PR Index and the S&P/TSX Capped Utilities Index were the most utilised underlying assets.