AS SEB Offers Investment Deposit Equity Navigator
OREANDA-NEWS. January 30, 2009. These investment deposits term deposits of SEB whose interest is tied to an alternative strategy that earns income on stock market trends. The principal amount of the deposit is 100% protected by the end of the deposit period, reported the press-centre of SEB.
The underlying asset of Investment Deposit EQUITY NAVIGATOR is the HSBC Global Equity Navigator Strategy of the larger global bank HSBC, which allows investors to receive a positive rate of return both on falling and rising markets. The index consists of 10 different equity indices. All major developed stock markets are represented in the portfolio - the US, UK, France, Germany, Italy, Spain, Japan, Australia and Hong Kong.
All equity indices can have both the long position that is good when prices go up and the short position that brings benefits when the prices drop. Monthly reviews of the positions consider the price movement trends on stock markets where the difference of the current price from the average price for the last 8 months is observed.
The Strategy also contains price fluctuation control. Part of the investment will be moved into money when price fluctuations increase. The bigger the price fluctuations, the bigger the part of the investment that is moved into money. The goal is to keep price fluctuation below 15%.
It pays to opt for Investment Deposit Equity Navigator, because:
Income can be earned on both rising and falling stock markets
This investment deposit observes price movement trends, which allows investors to receive a positive rate of return even in the current complicated market situation.
You can benefit from the development of the most important developed stock markets all over the world
The portfolio contains 10 different global equity indices and all major stock markets.
Price movement is under control
Reducing the share of risky assets when price fluctuation goes up prevents major price changes.
The possibility to spread your investment portfolio
Since this solution offers the opportunity to earn returns even in the case of price decreases, then it represents a great option for spreading your portfolio.
The historical rates of return of the underlying asset of Investment Deposit Equity Navigator (a simulation has been presented until the launch of the index on ……. 2008) and the global equity index have been compared in the graph below. The MSCI World index quoted in euros is used as the global equity index.
NB! Rates of return in previous periods do not constitute a promise or an indication of the rates of return in future periods.
The Investment Deposit comes with a 100% guarantee
Provided that you keep your money in this investment deposit until the end of the deposit period, SEB will pay at least the principal amount of your deposit back to you.
A bigger share of the increase in the underlying asset can be earned if you opt for an investment deposit with a risk premium and pay an additional 10% as the risk premium. The risk premium gives the opportunity to increase your earnings from the price increases of the portfolio by 2.5 times. However, account should be taken of the possibility that the risk premium will not be earned back if the price of the portfolio does not increase sufficiently (more than the risk premium paid).
Investment deposits are opened in Estonian kroons and euros. Estonian kroons and euros are converted when the deposit is opened and closed using the EUR/EEK exchange rate established by the Bank of Estonia. The detailed terms and conditions of investment deposits are available on our website at www.seb.ee and at all SEB branches. You can also make appointments for consultations on the Internet and at branches. Investment deposit contracts can be entered into through our Internet bank U-Net and at SEB branches.
WARNING:
This material is not sufficient for making your final investment decision! Before you make your final investment decision, please read the terms and conditions of the investment deposit contract, the terms and conditions of the offer and the information on the bank's website at www.seb.ee/investorkaitse. Make sure you pay special attention to information about risks and consult a professional if necessary!
Advantages of investment deposits:
100% capital guarantee
The opportunity to participate in markets that single investors find difficult to enter
The rate of return may be considerably higher than the interest of ordinary term deposits
No holding costs when compared to equities or bonds
The offer is valid until 2 March 2009.
Комментарии