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Yield Enhancement

Barrier Observation at Maturity: Last Look BRC

Monday, 24 April 2023 Reading time : 2 minutes

Only the closing price is relevant: Last Look BRC
Compared to direct investments in equities, BRCs reduce investment risk thanks to their barrier feature, while paying out a guaranteed coupon. The guaranteed payout is particularly attractive in sideways markets, while the barrier provides some protection against falling prices.

This safety can be further improved. "Last Look BRC" have the characteristic that the barrier is not relevant until the expiration of the BRC, until then no barrier events can take place - price declines, where the barrier is temporarily undercut, have no effect on the payout, provided that the price of the underlying is above the barrier level again at maturity; in this case, investors receive a full redemption.

If turbulent markets are expected in the coming months, products with Last Look feature may be suitable to reduce the risk compared to "classic" BRCs.


4% p.a. Last Look Callable BRC on
SMI® 
and S&P 500®


10% p.a. Last Look Callable BRC on
Nestlé, Novartis, Roche, Alcon 
and Richemont


8% p.a. Last Look Callable BRC on
Logitech, Sika 
and Straumann


8.5% p.a. Last Look Callable BRC on
Holcim, Lonza and Richemont


9% p.a. Last Look BRC on
Vonovia (EUR)


10% p.a. Last Look BRC on
adidas, Volkswagen 
and Bayer (EUR)


10% p.a. Last Look BRC on
Delta Airlines, Disney 
and AMD (USD)


14% p.a. Last Look BRC on
Las Vegas Sands, PayPal 
and Ford (USD)

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