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2210 Mini future

Product type number as specified by the Swiss Structured Products Association (SSPA): 2210

Market expectations

  • Mini future (long): rising underlying
  • Mini future (short): declining underlying
Characteristics

  • A small amount of capital employed produces a leverage effect over the underlying.
  • Investors in mini futures contribute only part of the overall investment, the bulk of the investment - in the amount of the funding level – is provided by the issuer. This generates the leverage effect.
  • This product involves an increased risk of sustaining a total loss (limited to the amount of capital employed).
  • When the stop loss is reached, any residual amount is paid back.
  • Mini futures are suitable for short-term speculation or hedging.
  • Volatility has no influence on the pricing.
  • Regular monitoring is required.
Opportunities

  • The return on the mini future is disproportionately high compared to a direct investment in the underlying. Mini futures are suitable as an investment, for speculation, or for hedging.
  • When the potential stop loss is reached, any residual amount is paid back.
Risks

  • The loss potential corresponds to the purchase price.
Repayment terms
  • The number of underlyings is indicated by the exercise ratio.
  • For each mini future that has expired or been exercised, the difference between the value of the underlying and the financing level is paid back to the investor in the reference currency in line with the exercise ratio.

Pay-off diagram upon expiry

2210 Pay-off

Taxes
Swiss income tax No
Swiss withholding tax No
Swiss stamp tax No
EU tax on interest No

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