With this certificate investors obtain a fixed interest rate of 1% annually. In addition investors participate at 100% in the performance of the STOXX® Global Select Dividend 100 Price EUR index at the end of the term without yield limitation. In the event of a negative index performance capital protection of 100% takes affect at the end of the term.
At the initial valuation date (Closing price on November 23, 2022) the starting value of the underlying and at the final valuation date (Closing price on November 19, 2027) the final value is determined. At the final valuation date the closing price of the final value is compared to the starting value and one of the following scenarios will apply:
1) Final value ≥ 100% of the starting value ⇒ 100% participation
If the final value is greater or equal to 100% of the starting value, certificate will be redeemed on the redemption date according to the performance of the underlying (percentage development from the starting value to the final reference value).
2) Final value < 100% of the starting value ⇒ redemption at 100%
If the final value is less than 100 % of the initial value, the capital protection of 100% applies at maturity. In this case, 100% of the nominal value is paid out on the redemption date.
The fixed interest rate is paid out in any case, regardless of the underlying performance.
The 100% capital protection by Raiffeisen Centrobank AG only applies at the end ot the term, i.e. during the term the certificate price may drop below 100%, but the investor obtains at least 100% of the nominal value at the maturity date.