Banking on earnings opportunities under consideration of sustainability with capital security:
The new Bank Austria GarantAnleihe on the Ethics Fund of Pioneer Investments Austria
- The new Bank Austria GarantAnleihe 2016-2023 offers earnings opportunities on the basis of the Ethics Fund of Pioneer Investments Austria (PIA)
- Capital security thanks to repayment of at least 100 percent of the nominal value at the end of the term
- The capital is invested for a total of 7 years, and the bond can be sold under normal market conditions at its current price
The Ethics Fund of Pioneer Investments Austria is the underlying instrument for the current Bank Austria GarantAnleihe. The mixed fund is investing in shares and bonds, which fulfill criteria of ethical investments or social, humane and ecological responsibility.
Christian Noisternig, Bank Austria Head of the department Private Customers, Corporate Customers and Independent Professions: "With our new Bank Austria GarantAnleihe we offer investors the chance to benefit easily from interesting opportunities on the equity market in these times of low interest rates and to participate in the performance of an actively managed fund, which fulfills the criteria of ethical investments. The integrated capital security limits the term-end risk within the meaning of a security-oriented investment."
The share component of the PIA Ethics Fund is aimed internationally. Globally diverse shares constitute a maximum of 40 percent of the fund volume. The bond component is mainly investing in OECD government bonds, bonds of supranational organisations and government related bonds denominated in Euro over the whole term. Only bonds with an Investment Grade Rating (AAA to BBB – or comparable evaluation) will be purchased.
It is the investment target of the fund to achieve long-time capital growth with appropriate risk spread. The fund is following an active management strategy. By targeted controlling of the degree of investment and the distribution between shares and bonds as well as by precise over- or underweighting of certain titles, sectors or terms, it is the objective of the fund managers to accomplish an optimisation of the performance in the investment universe.
When calculating performance, an average of the calculation value of the fund on 13 calculation days during the first and the last year of the term is developed. By developing this average, the risk of severe price fluctuations at the beginning and at the end of the term is significantly reduced. The developed averages will be compared to each other at the end of the term and investors will participate with 80 percent in any positive performance of the PIA Ethics Fund.
In the event the performance of the fund is negative, the capital security takes effect and the investor is repaid at the nominal value of EUR 1000 per bond. The capital is invested for a total of 7 years, and the bond can be sold under normal market conditions at its current price.
Details on the issue:
Bank Austria GarantAnleihe 2016-2023 on the Ethics Fund of Pioneer Investments Austria
Issuer: UniCredit Bank Austria AG
Underlying instrument: Pioneer Funds Austria – Ethics Fund, AT0000646765 (VTI)
Start of offer: 27 October 2016
Participation: 80% in a positive performance of the PIA Ethics Fund
Redemption: 22 November 2023
Issue Price: 100% + 4% front-end load
Denomination: EUR 1000
Observation dates: 13 during the first year, 13 during the last year
Listing: Third Market of Vienna Stock Exchange, Regulated Unofficial Market on Frankfurter Wertpapierbörse (Xetra®), Regulated Unofficial Market on
Fees and charges: Custodial fee: 0.235% p.a. + 20% VAT on the market value, no less than EUR 3.92 p.a. + 20% VAT per securities position; but no less than EUR 26.28 + 20% VAT per securities account.
Selling fees: 0.7% of the sale value, but no less than EUR 23.50
The information on the Bank Austria GarantAnleihe 2016-2023 on the PIA Ethics Fund is product information only and does not constitute investment advice or an investment recommendation, a product recommendation, an offer or solicitation to buy or sell this bond, or a solicitation to make an offer. It is intended solely as introductory information and is not a substitute for advice provided on the basis of the investor’s individual circumstances and knowledge. Every capital investment involves a certain degree of risk. The value of the investment and the earnings generated by the investment can change suddenly and considerably during the term and therefore cannot be guaranteed. There is a possibility that the investor may not get back the total amount of capital invested.
Enquiries: UniCredit Bank Austria Media Relations
Matthias Raftl, Tel.: +43 (0) 50505 - 52809