Credit Suisse plans digital barrier notes tied to two sector SPDR ETFs

By Marisa Wong

Morgantown, W.Va., Aug. 11 – Credit Suisse AG, London Branch plans to price 0% digital barrier notes due Aug. 24, 2020 linked to the Energy Select Sector SPDR fund and the Financial Select Sector SPDR fund, according to a 424B2 filing with the Securities and Exchange Commission.

A knock-in event will occur if either underlying fund finishes at or below its knock-in level, which is expected to be about 60% of its initial level. The exact knock-in level will be set at pricing.

If the lesser performing fund finishes at or above its initial level, the payout at maturity will be par plus the fixed payment of 75.3% to 80.3%. The exact fixed payment percentage will be set at pricing.

If the lesser performing fund finishes below its initial level but a knock-in event does not occur, the payout will be par.

If a knock-in event occurs, investors will lose 1% for each 1% decline of the worse-performing fund.

Credit Suisse Securities (USA) LLC is the agent.

The notes (Cusip: 22548QEA9) will price on Aug. 16 and settle on Aug. 23.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.