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Reference


Income Notes

Income Notes provide an Annualized Return on an investor’s principal. Investors who purchase an Income Note receive a fixed coupon payment that is paid out over the life of the note, called the Term.

Income Notes are linked to the performance of a stock, Index, ETF, commodity, interest rate or currency, which is called the Underlying. With Income Notes, as long as the Underlying is not down on a price appreciation basis by more than the Protection Level at the end of the Term, the investor will receive their principal back in full, along with the coupons they collected along the way. If the Underlying is down by more than the Protection Level on the final valuation date (the last day of the Term), the investor will be exposed to a loss on their principal, but still keeps the coupons they collected. The amount of the loss is determined by what type of protection an investor selects: Soft or Hard Protection.

Topics:


Term
Underlying
Annualized Return
AutoCall
Contingent Coupon
Worst-Of
Issuer Call
Protection

Quizzes:


Income Additional Features
Income Core Components
Growth Notes

Growth Notes seek to profit from positive movement in the Underlying, while providing a level of downside protection. Many investors think of Growth Notes as “insurance on their investment” given the downside protection that comes with it. Growth Notes can be an appropriate investment for investors who are “cautiously optimistic” on a given Underlying name.

Growth Notes are linked to the performance of a stock, Index, ETF, commodity, interest rate or currency, which is called the Underlying. With Growth Notes, if the Underlying is not down on a price appreciation basis by more than the Protection Level at the end of the Term, the investor will receive their principal back in full, subject to the issuer’s ability to pay. If the Underlying is down by more than the Protection Level on the final observation date (the last day of the Term), the investor will be exposed to a loss of their principal. The amount of the loss is determined by what type of protection an investor selects: Soft or Hard Protection.

As with all structured notes, it’s imperative to understand that the investor does not receive a dividend when owning a Growth Note.

Topics:


Term
Underlying
Protection
Max Return
Worst-Of

Quizzes:


Growth Core Components
Growth Additional Features
Digital Notes

Digital Notes offer an investor the potential to earn a Fixed Return on an investor’s principal at Maturity and the payout of this Fixed Return is linked to the performance of a stock, basket of stocks, Index, ETF, commodity, interest rate or currency, which is termed the Underlying. Digital Notes seek to provide a more certain return outcome at Maturity that is not dependent on an Investor’s participation rate in the underlying. With Digital Notes, as long as the Underlying has not fallen in price by more than the Protection Level at Maturity, the Investor will receive their Principal in full, along with the Fixed Return or Digital Coupon. If the price of the Underlying has fallen by more than the Protection Level at Maturity, the Investor will be exposed to a loss on their Principal. The amount of the loss is determined by what Protection Type an investor selects: i.e. Soft or Hard Protection.

Topics:


Principal
Maturity
Underlying
Fixed Return
Initial Level
Protection

Quizzes:


Digital
General Features

Want to take your Structured Note understanding to the next level? This section goes beyond the fundamentals of Structured Notes to establish a more comprehensive approach to their application.

Topics:


Diversification
Market Exposure
Enhanced Return
Issuer Risk
Investment Risk
Income Notes
Growth Notes

Glossary


Issuer Information Center


Credit Ratings   CDS Ratings  
Issuer Fitch Moody's S & P 5Y CDS 10Y CDS Min. Investment Size
BNP Paribas A+ Aa3 A+ 42.42 57.89 $250,000
Morgan Stanley BV A A3 BBB+ 81.91 109.98 -
UBS AA- Aa3 A+ 37.84 49.56 -
Goldman Sachs A A3 BBB+ 64.10 87.89 -
Goldman Sachs: Europe A A3 BBB+ 64.10 87.89 $250,000
Natixis More Info Download Info A+ A1 A+ 39.05 59.41 $250,000
Credit Suisse More Info Download Info A A1 A+ 61.87 84.21 $1,000,000
Barclays A+ A1 A 65.95 83.18 $500,000
JP Morgan AA- A2 A- 52.22 70.77 $500,000
BNP Paribas More Info Download Info A+ Aa3 A+ 47.95 63.37 $500,000
Investec BBB+ A1 - - $250,000
Société Générale More Info Download Info A- A1 A 44.57 59.99 $250,000

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