Product Detail

Re-Strike Deferred Purchase Agreements Series 1

Description

 

The Re-Strike Deferred Purchase Agreements (“Units”) are designed

to offer Investors exposure to the performance of the Reference

Index – either the Risk Stabilised SPI 200 Index Future Strategy for

Series 1 or the Risk Stabilised Aquantum Pegasus EL1 Strategy for

Series 2 (or both should an Investor choose to invest in Series 1 and

Series 2). The Investment Term is 7 years for Series 1 and 6 ½ years

for Series 2.

The Units offer the following investment features:

• potential for returns at Maturity which are determined by

reference to the Risk Stabilised SPI 200 Index Future Strategy

for Series 1 and the Risk Stabilised Aquantum Pegasus EL1

Strategy for Series 2 (each a “Reference Index”) over the

Investment Term;

• potential for the payment of Variable Coupons during the

Investment Term based on the performance of the Reference

Index above a High Water Mark and subject to a Hurdle Rate;

• the payment of annual Fixed Coupons which are required to

be fully reinvested as further Instalment Payments of the Issue

Price of the Units; and

• capital protection for Investors who hold their Units until

Maturity. This means that Investors, at Maturity, will receive, at

minimum, Delivery Assets with a value equal to the Issue Price

(i.e. $1.00 per Unit) (“Minimum Final Value”).

The Final Value per Unit at Maturity is the Minimum Final Value

(i.e. $1.00 per Unit) plus the greater of;
1. zero; and
2. the amount of the increase in the Reference Index Value less

the sum of the Variable Coupons paid during the Investment

Term (if any) and less the Final Hurdle.

Each Unit is a separate right to receive the Delivery Assets on a

deferred basis and certain related rights under a deferred purchase

agreement as described in this PDS. After Maturity, Investors will

receive the Delivery Assets, unless they request the Issuer to sell the

Delivery Assets on their behalf and receive the Sale Monies.

 

The table below details the Participation Rate which applies to Series 1 for the Investment Term that was set on the Commencement Date.

Volatility between:

Lower	Upper	Participation Rate
0.00%	8.00%	150.00%
8.00%	12.00%	100.00%
12.00%	17.00%	70.59%
17.00%	22.00%	54.55%
22.00%	27.00%	44.44%
27.00%	32.00%	37.50%
32.00%	42.00%	28.57%
42.00%	52.00%	23.08%
>52.00%		0.00%

The Participation Rate and actual volatility as at the Commencement Date were 54.55% and 19.23% respectively.

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Re-Strike Deferred Purchase Agreements Series 1

If applicants have any queries they should call their financial advisor,

the Registrar (see details at the back of this PDS) or contact RBS at:

Internet: www.rbs.com.au/structuredproducts

Email: productsupport.au@rbs.com

Telephone: 1800 450 005