Investec Structured Products presents the Investec S&P 500 Digital Plus (Digital Plus), a JSE listed structured product issued by Investec Bank Limited, designed to provide investors exposure to the S&P 500 index with both uncapped upside and a high level of capital protection. The investor receives exposure to the performance of the S&P500 Index for a three and a half year term. At maturity, if the final index level is at or higher than the initial index level at inception then the Digital Plus will pay the investor a minimum return of 44%. Further, if the growth in the Index exceeds 44%, the investor will receive the excess growth in the Index, simply put; returns are unlimited and will not be capped. The investor’s return is calculated in South African Rands. In addition, if the index has fallen below the initial index level at maturity, the investors will receive back their initial investment in full, provided the index does not end down more than 40% on the maturity date, however if it does the principal protection falls away, and the investor is exposed to the full downside move from the initial index level.
Summary of offering
A 3.5-year equity investment linked to the performance of the S&P 500 Index. The return will be calculated in South African Rands
44% minimum digital return in Rand should the Index end positive, plus 100% of the upside should the Index growth be above 44%
100% downside protected at maturity, provided the index does not end down more than 40% from initial Index level
Investments from R100 000 (minimum)
Daily liquidity on the JSE with a 1% mid to bid spread in normal market conditions
How does the principal protection work?
At expiry if the Index has fallen from the Initial Index Level, the investors will receive back their initial investment in full, provided that the index does not end down more than 40% on the maturity date, and that there is no credit event in respect of Investec Bank Ltd or Standard Chartered plc as the Credit Reference Entity. If, however, the index closes below 60% the principal protection falls away, and the investor is exposed to the full downside move from the initial index level.
02 September 2019
06 September 2019
20 September 2019
6 March 2023
Allocation of the units to investors stockbroking account
23 September 2019
Maturity date plus 5 business days
The above dates are subject to change.
The closing date for applications on this website is at 00h00 SAST on Monday 02 September 2019.
There will be no brokerage fees paid by EasyEquities clients for shares applied for in this offer..
EasyEquities users are not required to complete Section 1 to Section 4 in the attached Application form. Subscriptions must be done on the EasyEquities platform once the funds are reflecting on the user’s EasyEquities ZAR account.
EasyEquities will pool all funds together and make a single application in the name of First World Trader Nominees (Pty) Ltd on behalf of all EasyEquities users. EasyEquities users should take note that if the minimum subscription amount of ZAR100 000 is not reached by the investments of EasyEquities users collectively, EasyEquities will not be permitted to make the application and each investor will be refunded with their investment amount.
EasyEquities users should take note of the closing date and time and should allow sufficient time for their funds to be cleared to their EasyEquities ZAR account.
The above information is an extract from the Investec S&P500 Digital Plus brochure and EasyEquities makes no guarantees in this regard.
Your investment in this product is at all times subject to the Disclaimer on the application form attached.
You acknowledge that all investment decisions are made solely by you and at your own risk. In addition, any information relating to these product will not constitute a recommendation or investment advice from us regarding a particular security, transaction, or investment. This means that you make your own choices about investment decisions and even if you rely on information provided, we will not be responsible for any losses you suffer because of investments made in this product through the EasyEquities Platform.