US Wrap: Tentative reverse convertible issuance from Citi
Citi issued two reverse convertible products in the US market yesterday in a cautious offering of the riskier structures. The notes link to the stock of either JP Morgan or Research in Motion, which makes BlackBerry devices, lasting one year and six months respectively.
UBS appealed to willing but sceptical investors in the market by launching a bull-bear play on the Russell 2000 index. Investors enjoy 100% positive participation in the index, regardless of its directional movement; provided that it stays within 60-64% to 136-140% of its level at strike (the exact level will be determined at pricing). The note is 100% principal protected, and investors will receive back only capital if the index falls out of the specified range.
Issuer
Product type
Unde
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