Defensive structures with low barriers allow investors - despite an uncertain outlook - to generate attractive coupons with moderate risk. Barrier Reverse Convertibles with Nestlé, Novartis, Roche and Zurich as underlyings offer particularly interesting features. These stocks together account for about 60% of the weight of the SMI and are less volatile than most other members of the index.
This is reflected in the 1-year maximum drawdown, i.e. the difference between a stock's highest level and its lowest subsequent price within a year. Among these four stocks, Roche has the highest drawdown of -28%, while the others range between -16% and -17%.
With a barrier of 49%, the price of an underlying of a BRC would have to fall by more than 50% within the term for a potential loss to occur.
Type | Valor | Underlyings | Coupon p.a. | Barrier | Duration (m) | Currency | Subsciption until |
CBRC | 121487385 | Nestlé, Novartis, Roche, Zurich | 7.50% | 59% | 18 | CHF | 23.01.2023 |
CBRC | 121487483 | Nestlé, Novartis, Roche, Zurich, Richemont | 8.00% | 49% | 18 | CHF | 25.01.2023 |
BRC | 121487485 | Nestlé, Richemont, Lonza, Holcim, Novartis | 11.00% | 59% | 12 | CHF | 25.01.2023 |
CBRC | 121487487 | Nestlé, Richemont, Lonza, Holcim, Novartis | 13.00% | 59% | 12 | CHF | 25.01.2023 |
BRC | 121487387 | Sika, Holcim, Swiss Life, Alcon, Richemont | 9.00% | 50% | 12 | CHF | 23.01.2023 |
CBRC | 121487388 | Sika, Holcim, Swiss Life, Alcon, Richemont | 15.00% | 59% | 12 | CHF | 23.01.2023 |
BRC | 121487412 | Moderna Inc | 13.00% | 49% | 12 | USD | 20.01.2023 |
BRC | 121487414 | Tesla | 18.00% | 49% | 12 | USD | 20.01.2023 |
BRC | 121487396 | UBS, Julius Bär, Credit Suisse | 9.00% | 49% | 12 | CHF | 23.01.2023 |
BRC | 121487398 | ams-OSRAM | 13.00% | 49% | 12 | CHF | 23.01.2023 |
BRC | 121487403 | SAP, Siemens, Mercedes-Benz | 8.00% | 49% | 12 | EUR | 23.01.2023 |
BRC | 121487413 | NVIDIA Corp, Advanced Micro Devices Inc, QUALCOMM Inc | 17.00% | 49% | 12 | USD | 23.01.2023 |
BRC | 121487415 | McDonald's, General Motors, Walmart | 8.00% | 49% | 12 | USD | 23.01.2023 |
Disclaimer
This communication is for marketing purposes. It is neither an offer nor an invitation to submit an offer, to purchase or to subscribe to securities and does not constitute investment advice. You should consult your advisors before making an investment decision.
Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, financial condition, development or performance of the issuer to be materially different from any future results, financial condition, development or performance expressed or implied by such statements.
The present document has not been drawn up by the research department as defined in the rules of the “Directives on the Independence of Financial Research” published by the Swiss Bankers Association, hence these rules do not apply to this document.
If securities are mentioned in the communication, the base prospectus, the final terms and any key information document may be obtained free of charge from Zürcher Kantonalbank, Bahnhofstrasse 9, 8001 Zurich, VRIS, and from www.zkb.ch/finanzinformationen.
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