Autocall Notes definition
Examples of Autocall Notes in a sentence
The Reference Items to which Autocall Notes may be linked are Index, Underlying Equity (which may be an ETF Share) or Basket of Underlying Equities (which may be or include an ETF Share) and Currency exchange rates.
Such parameters will be set by reference to how the Autocall Variable (being the value or average value of the specified Reference Item to which the Autocall Notes are linked) performs against the product of (i) the Autocall Strike (being (i) a specified strike level, price or rate or (ii) a value or average value of the specified Reference Item) and the applicable Scaling Factor (see risk factor 4.8).
Autocall Notes are a form of Reference Item Linked Note that shall be early redeemed if the parameters for the applicable Autocall Condition (see Condition 5(d)(iii)(I)) are satisfied in respect of any Autocall Observation Date.
Where the Autocall Redemption Amount is linked to the performance of the relevant Reference Item, unless the Floor % is specified in the applicable Final Terms to be greater than or equal to 100 per cent., the Autocall Redemption Amount could be less than the nominal amount of such Autocall Notes and investors could lose all or a significant portion of their investment.