12M BRC with One Star and decreasing Autocall on Booking and AIRBNB in CHF/EUR/USD
Risk-adjusteded investments in elektronical booking systems
Use the current volatility of Booking and AIRBNB. For the last years both Booking and AIRBNB has been leaving its competitors behind. Profit takings and increased uncertainties regarding the new corana delta version put the stocks under pressure. Due to the substantial vaccinations and the successfull resultant ongoing process to reach a herd immunity the decrease of the courses seems exxagerated.
Our 12M Barrier Reverse Convertible with a guaranteed coupon One Star Feature. This product is equipped with a low Barrier (european or american). The structure is particularly suitable for investors those a direct investment seems to risky. It is also a great and effective diversification option of your portfolio. To provide additional security mechanisms we will construct this product also with the popular One Star Feature.
One Star Feature
Even in case of a barrier event, if the best-of (at least one of the underlyings) ≥ 100% at maturity; redemption = 100%. So the One Star Feature provides a second chance.
The guaranteed coupons exceed the average dividend yields of:
- Booking Holdings Inc. (BKNG US) ( - )
- AIRBNB Inc. (ABNB US) ( - )
and provide also a conditional capital protection.
Market opinion:
- weakening prices possible, but not below the barrier level
- sideways trend or slightly rising underlying
12M BRC with one star on booking services in CHF/EUR/USD
| Maturity | 12 months (early redemption possible) | ||
| Currency | CHF | EUR | USD |
| Denomination | 1000 CHF | 1000 EUR | 1000 USD |
| Underlyings (worst of) | Booking Holdings Inc. (BKNG US) AIRBNB Inc. (ABNB US) |
||
| Coupon guaranteed with European Barrier 69% + One Star |
10.40% p.a. | 10.70% p.a. | 11.30% p.a. |
| Coupon guaranteed with American Barrier 59% + One Star |
10.50% p.a. | 10.80% p.a. | 11.50% p.a. |
| Observation | Quarterly | ||
| Autocall | 100% after 3 months -5% each period | ||
| Indication | 21.07.2021 | ||
| Size (min.) | CHF 250'000;-- | EUR 250'000;-- | USD 250'000;-- |
| Issuer | Rating A- minimum | ||
| Issue Price | 100% | ||
| Finders Fee | Upon request | ||
We are happy to customize the relevant components exactly to your personal preferences. Please imagine that the indications can change day by day.
Are you interested in this topic? Please contact us and we will replicate your personal market view "tailor made" with our innovative products. We would be delighted to develop further hedging - arbitrage - or speculation opportunities for you. If you have already exact ideas of your favourite product we'll generate you the best conditions from more than 25 issuers.
Text und analysis by Florian Franz
Partner at Carat Solutions AG
Please find below the chart with the development of the relevant underlyings during the last 12 months:
