Sequoia Launch Units – Series 41 – Multi Asset Strategy
The objective of the Units in Sequoia Launch Series 41 is to deliver positive returns to investors, regardless of market conditions over a 4 year period. The Units aim to achieve this by offering leveraged exposure to the BNP Paribas Multi-Asset Diversified Vol 4 EUR Future Index (”the Reference Asset or Index”). A summary of the key features are as follows:
- Reference Asset
- Currency Exposure
- The potential for 4 uncapped Performance Coupons
- Limited recourse Loan
- Annual Interest Rate on Loan
- Application Fee
- Margin Calls
- SMSF Eligibility
- BNP Paribas Multi-Asset Diversified Vol 4 EUR Future Index
- AUD Hedged
- Four (4) potential uncapped Performance Coupons, payable annually, calculated by reference to the performance of the Reference Asset, as reduced by a 10% Performance Fee
- Yes. Investors borrow 100% of the Investment Amount.
- 1.99% p.a.
Reference Asset Starting Value
1 August 2018
1 August 2018
BNP Paribas Multi-Asset Diversified Vol 4 EUR Future Index
Reference Asset Closing Value
1 August 2022
Strategy Value Strike
First Coupon: 1 August 2019
Second Coupon: 3 August 2020
Third Coupon: 2 August 2021
Fourth Coupon: 1 August 2022
Performance Coupon (%)
Launch Series 41 (Multi Asset Strategy) Performance
|Date||Reference Asset Level||Indicative Unit Value*||Performance|
|02-Aug-2019||Coupon paid||5.05% AUD NET|
* Unit Value: Investors please note this is a theoretical investment maturity value. This investment is designed to be held to maturity. Any investors seeking to redeem prior to maturity may recieve an amount significantly different to the Indicative Unit Value stated
Launch Series 41- Key Risks
Key risks include:
- Your return (including any Performance Coupons) is affected by the performance of the Reference Asset. There is no guarantee that the Reference Asset will perform well.
- There will be no Performance Coupon payable if the performance of the Reference Asset is negative at the relevant Coupon Determination Date.
- The potential Performance Coupons are determined by reference to the Reference Asset Performance on the relevant Coupon Determination Date and deducting any past Performance Coupons paid.
- There is no guarantee that the Units will generate returns in excess of the Prepaid Interest and Fees, during the Investment Term. Additionally, in the event of an Investor requested Issuer Buy-Back or Early Maturity Event, you will not receive a refund of your Prepaid Interest or Fees.
- Gains (and losses) may be magnified by the use of a 100% Loan. However, note that the Loan is a limited recourse Loan, so you can never lose more than your Prepaid Interest Amount and Fees paid at Commencement.
- Investors are subject to counterparty credit risk with respect to the Issuer and the Hedge Counterparty; and
- the Units may mature early following an Early Maturity Event, including an Adjustment Event, Market Disruption Event or if the Issuer accepts your request for an Issuer Buy-Back.
Please refer to Section 4 “Key Risks” of the Term Sheet PDS and Section 2 “Risks” of the Master PDS for more information.
Units in Sequoia Launch Units – Series 41 are issued by Sequoia Specialist Investments Pty Ltd (ACN 145 459 936 ) (the “Issuer”) and arranged by Sequoia Asset Management Pty Ltd (ACN 135 907 550, AFSL 341506) (the “Arranger”). Investments in the Sequoia Launch Units – Series 41 can only be made by completing an Application Form attached to the Term Sheet Product Disclosure Statement (“TSPDS”), after reading the Term Sheet PDS dated 19 June 2018 and the Master PDS dated 14 August 2017 and submitting it to Sequoia. A copy of the PDS can be obtained by contacting Sequoia Asset Management on or contacting your financial adviser. You should consider the Term Sheet & Master PDS’ before deciding whether to invest in Units in Sequoia Launch Units – Series 41. Capitalised terms on the webpage have the meaning given to them in Section 10 “Definitions” of the Master PDS