SijoitusPlus
Good yield potential and partial capital guaranteePartially capital-guaranteed investments let you seek yield with limited risk
Partially capital-guaranteed SijoitusPlus is a product for investors who seek a higher yield potential and are willing to bear the risk of losing a part of the capital to be repaid. The objective of the bond is to achieve a good yield potential with limited risk.
The return on the bond is based on the performance of the underlying asset.
The underlying assets can include stocks, reference interest rates, currencies or commodities.
Investments are always based on a theme based on market conditions
Structured investment products are based on a theme that has been selected carefully based on current market conditions.
Products are only available for a limited time
Structured investment products have a specific subscription period. The subscription period is typically 1–2 months.
SijoitusPlus is a good solution for you if you are seeking a higher return than bonds and can take a limited amount of risk.
SijoitusPlus is suitable for you if you accept a limited risk and want to invest without a premium. Its yield potential is higher than in Säästöobligaatio or Sijoitusobligaatio investments. A higher yield potential is possible by taking on the risk of losing a part of the capital to be repaid. In favourable market conditions, it may enable an even higher return than an index fund investments.
We offer two bond structures under the SijoitusPlus product name: return rate and coupon-based. The two structures let you seek returns in different market conditions.
In a return rate based bond, the yield is based on the performance of the underlying asset, with positive performance multiplied by a return rate. In this structure, the maximum yield of the bond is usually limited. For example, up to 30% of positive performance may be taken into account.
In a coupon-based bond, the yield is also based on the performance of the underlying asset. However, if the performance is within a predefined range, the investor is paid a higher coupon than the asset’s performance. In the coupon structure, maximum yield is usually not limited. Thanks to the coupon, investors can receive a yield even if the asset’s performance does not change during the term to maturity.
SijoitusPlus bond includes a partial capital guarantee
Unlike with investment and savings bonds, the investor’s nominal capital is not fully guaranteed. Instead, the bond has a partial capital guarantee. In most cases, the capital guarantee of a SijoitusPlus bond is between 75% to 90%, depending on the bond. For example, a 90% capital guarantee means that if the underlying asset performs poorly, you may lose up to 10% of your initial nominal capital. In exchange for its moderate risk, SijoitusPlus bonds offer an attractive yield potential.
The maturity of SijoitusPlus usually varies between 3 to 5 years. While SijoitusPlus is intended to be held until the maturity date, under normal market conditions, you may sell your investment before this. In this case, contact your OP cooperative bank.