Underlying: UBS Bloomberg CMCI Composite USD ER Index SSPA/EUSIPA Product Type: Outperformance Certificates (1310) SIX symbol: BALSPU / Valor: 33103986 / ISIN: CH0331039864
|Strike absolute||783.373 USD|
|Sideways return||-- / --|
|Days to expiry||859|
|Trading place||SIX SP Exchange|
Tax information Switzerland
|Swiss income tax||No|
|Last trading date||30.05.2019|
|Cap absolute||1'096.722 USD|
|Distance to cap1)||30.74%|
With UBS Speeder, investors with a moderate-to-high risk tolerance can position themselves on the markets for the short sprint. UBS Speeder, also known as "Capped Outperformance Certificates" are a variant of the classic leveraged PERLES. However, UBS Speeder has limited return opportunities. Participation in potential price gains of the underlying asset (e.g. index, equity, currency pair or precious metal) is carried out to the cap level and no further. Due to this limitation on gains, UBS Speeder typically has a higher participation rate compared to the leveraged PERLES when the prices of the underlying asset are rising.
If the prices of the underlying asset and the Certificate are the same at the time of entry, the downside risk of UBS Speeder is equivalent to that of a direct investment: if the price of the underlying asset at maturity trades below the strike price, a cash settlement is usually made that reflects the price drop of the underlying asset. In this case, the capital invested is lost, as in a direct investment. In addition, the issuer risk must be taken into consideration, since the capital invested could be lost if UBS AG becomes insolvent – irrespective of the performance of the underlying asset.
A more detailed product description is available in our brochure "Knowledge in a nutshell".