UBS has launched Hong Kong's first publicly-registered principal protected notes with returns linked to a basket of blue chip Asian stocks. The SUPER Notes will be offered to retail investors in Hong Kong via a syndicate of retail banks acting as distributors. Linked to a basket of 20 Asian blue chip stocks, which are sometimes called super stocks hence the product name, the structured equity-linked notes are principal protected.
The product has a guaranteed coupon of 4.5% in the first year and variable coupons in years linked to the equity returns calculated from the basket of stocks, with a mechanism to ensure no coupon in years three to five is no less than...
