OREANDA-NEWS. January 31, 2008. The UniCredit Group introduces structured certificates into the Polish market. They will follow the stock indices of Russia, Ukraine, Serbia, Romania, Bulgaria, Kazakhstan and Polish index WIG20. Clients can subscribe these certificates from 21 January 2008 until 8 February 2008 at most of local brokerage houses. The first quotation on the Warsaw Stock Exchange (WSE) is scheduled for 13 February 2008.

Investments in structured certificates have been conquering financial markets in Western Europe for many years. Investors from Germany, Italy or Austria have invested billions
of euros in them. They are as transparent and popular as shares.
UniCredit, one of the European market leaders in structured products, is offering the possibility to gain access to new markets by direct investment in developing economies such as Russia, Kazakhstan or Ukraine. The decision to introduce this type of certificates to the Warsaw Stock Exchange confirms the role of the WSE as a leader in the CEE region and expresses the belief in the strength of the Polish capital market.

– We want structured certificates to be available for a wide range of customers. This is the reason behind their original starting price fixed at PLN 100. The Brokerage House UniCredit CAIB Poland will act as market maker for these certificates assuring a high level of liquidity. Trading in certificates is as simple as dealing in shares – says Marek Saran, Vice President of UniCredit Markets & Investment Banking. – We can talk about a new era on the WSE. New, innovative products that make it possible to invest in companies listed on other markets will appear more often on the Warsaw Stock Exchange. The first six products linked to the selected developing markets and WIG20 is just the beginning. We are planning to expand our offer for Polish investors and are currently concentrating our efforts on this.

The certificates are open-ended so their maturity date is not defined. Purchase and sale are possible at any time, by simply placing an order at a brokerage house.

The chosen markets and the structure of certificates open a perfect opportunity for instruments’ diversification. By investing in certificates of Russian index RDX, it becomes very simple to make gains on price changes of Russian companies dealing with natural resources. Certificates linked to Ukraine and Kazakhstan carry the same advantages and give access to companies obtaining revenue from oil, gas and other natural resources. Investment into certificates enables to participate in the dynamic economic development and planned privatization in Serbia, Romania and Bulgaria.

– Our aim is to offer a wide range of financial products, allowing investors to manage savings in a diversified way, corresponding to individual needs, possibilities and forecasts. For that reason we are creating the strongest stock market in this part of Europe. The strongest not only in stocks but also in derivatives and structured instruments – said Adam Maciejewski, Member of the WSE Management Board.
– Due to straightforward procedures of investing capital on international markets, low purchasing costs, transparency and high free-float, the structured certificates are very popular in Western Europe – adds Marek Saran.

An individual investor would have to tackle many formal tax and technical barriers when investing abroad. Investors should consider also the risks linked to foreign investment, especially currency risk and political as well as economical fluctuations in emerging markets.

UniCredit CAIB Polska SA, which belongs to UniCredit Markets & Investment Banking, plays a key role in the strategy of the Group’s development, which is present in 39 countries and employs nearly 3500 personnel. Poland as well as Russia and Turkey are key markets in this process. In all these countries, investment banking will be developed in a full scope, unprecedented on these markets.

The variety of products and services offered in UCI CAIB includes, among others:
Brokerage services concerning dealing in financial instruments, services provided by a market maker and issuer, offering foreign financial instruments

Own capital transactions and creating alternative systems of sale
Capital markets, primary and secondary issuing of financial instruments
Investment banking: Corporate Finance, M&A
Analyses and recommendations.