LaunchSeries 43

Launch Series 43 – Global X Uranium ETF

The Units in Sequoia Launch Series 43 (“the Units”) offer investors the ability to gain leveraged exposure to the performance of a US listed exchange traded fund (“ETF”), the Global X Uranium ETF (“Reference Asset”), with a 23.5% Target Volatility mechanism.

Sequoia Launch– Series 43 – Global X Uranium ETF Performance

DateIndicative Strategy ValueIndicative Unit Value* Gross Performance**
31-Oct-201896.80$1.00-0.34%
30-Nov-2018100.250$1.03213.21%
31-Dec-201894.650$1.0000-2.55%
31-Jan-2019101.27$1.04264.26%
28-Feb-201998.48$1.01391.39%
29-Mar-201999.23$1.02162.16%
30-Apr-201996.08$1.0000-1.08%
31-May-201991.58$1.0000-5.71%
28-Jun-201996.06$1.0000-1.10%
31-Jul-201987.01$1.0000-10.42%
30-Aug-201982.940$1.00-14.61%
30-Sep-201986.23$1.00-11.22%
31-Oct-201985.03$1.00-12.46%
29-Nov-201984.47$1.00-13.03%
31-Dec-201986.31$1.00-11.14%
31-Jan-202078.58$1.00-19.10%
28-Feb-202075.20$1.00-22.58%
31-Mar-202065.21$1.00-32.86%
30-Apr-202070.49$1.00-27.43%
29-May-202071.47$1.00-26.42%
30-Jun-202069.55$1.00-28.39%
31-Jul-202073.09$1.00-24.75%
31-Aug-202078.93$1.00-18.74%
30-Sep-202070.69$1.00-27.22%
30-Oct-202068.66$1.00-29.31%
30-Nov-202074.57$1.00-23.23%
30-Dec-202092.77$1.00-4.49%
29- Jan-202189.910$1.00-7.44%
25-Feb-202198.48$1.011.39%
31-Mar-2021101.77$1.054.77%
30-Apr-2021103.57$1.076.63%
28-May-2021110.34$1.1413.60%
30-Jun-2021107.34$1.1110.51%
30-Jul-2021 102.68 $1.08 5.71%
31-Aug-2021 n/a Matured Final Coupon 4.36% Net

* Indicative Unit Value: Investors please note this represents the market value of the investment as at the end of the relevant month and is different to the Gross Performance. Any investors seeking to redeem their investment on any other dates may receive an amount significantly different to the Indicative Unit Value stated.

**The Gross Performance refers to the performance of either the underlying Reference Asset or Strategy Value as at the end of the relevant month, whichever is applicable depending on the terms of the Termsheet PDS.

Key Features:

  • Potential Uncapped Performance Coupon at Maturity based on performance of the Strategy Value subject to changes in the AUD/USD exchange rate
  • 100% Limited Recourse loan with interest rates of 6.95% p.a.
  • Risk management fee of 1.5% p.a.
  • A variable participation rate mechanism designed to manage market risk associated with the performance of the Reference Asset – refer to the Termsheet PDS for more information;
  • Averaging
  • No margin calls
  • SMSF’s are eligible

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Downloads

 

To find out more, and to download a copy of the Flyer, Term sheet PDS and Master PDS, please click on the links below

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Initial Strategy Value

 

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Launch Series 43 – Key Risks

 

Key risks include:

  • Your return (including any Coupon) is affected by the performance of the Reference Asset. There is no guarantee that the Reference Asset will perform well.
  • In the Event that an appropriate hedge cannot be achieved in relation to all or some of the Underlying’s comprising the Reference Asset, the Issuer may choose to remove the Underlying or replace the Underlying with a similar fund in its absolute discretion. Any changes will be notified on the Issuers website and in correspondence to Investors.
  • The Units have varying levels of exposure to the Reference Asset depending on volatility due to the variable Participation Rate. It operates by varying the exposure that the Units will have to the Reference Asset depending on the Realised Volatility of the Reference Asset and the Target Volatility. There is the risk that the Participation Rate could drop below 100% during the Investment Term in which case Investors will not gain the full benefits of an increase of the value of the Reference Asset.
  • Investors should note that there is a lag in measuring the Realised Volatility of the Reference Asset.  This means that where there has been a period of high Realised Volatility, the Investor’s exposure to the Reference Asset will be low, regardless of whether the Reference Asset is performing positively or negatively.
  • There will be no Performance Coupon payable if the performance of the Strategy Value is negative at a Coupon Determination Date.
  • There is no guarantee that the Units will generate returns in excess of the Prepaid Interest, Risk Management Fee and other Fees, during the Investment Term. Additionally, in the event of an Investor requested Issuer Buy-Back, Early Maturity Event, you will not receive a refund of your Prepaid Interest or Fees.
  • Gains (and losses) may be magnified by the use of a 100% Loan. However, note that the Loan is a limited recourse Loan, so you can never lose more than your Prepaid Interest Amount and Fees paid at Commencement.
  • Investors are subject to counterparty credit risk with respect to the Issuer and the Hedge Counterparty; and
  • the Units may mature early following an Early Maturity Event, including an Adjustment Event, Market Disruption Event or if the Issuer accepts your request for an Issuer Buy-Back.

 

Please refer to Section 4 “Key Risks” of the Term Sheet PDS and Section 2 “Risks” of the Master PDS for more information.

 

For more information, please contact Sequoia at:
invest@sequoia.com.au and 02 8114 2222.

 

Units in Sequoia Launch Units – Series 43 are issued by Sequoia Specialist Investments Pty Ltd (ACN 145 459 936 ) (the “Issuer”) and arranged by Sequoia Asset Management Pty Ltd (ACN 135 907 550, AFSL 341506) (the “Arranger”). Investments in the Sequoia Launch Units – Series 43 can only be made by completing an Application Form attached to the Term Sheet Product Disclosure Statement (“TSPDS”), after reading the Term Sheet PDS dated 31 July 2018 and the Master PDS dated 14 August 2017 and submitting it to the Issuer. A copy of the PDS can be obtained by contacting Sequoia Asset Management on or contacting your financial adviser. You should consider the Term Sheet & Master PDS’ before deciding whether to invest in Units in SequoiaLaunch Units – Series 43.  Capitalised terms on the webpage have the meaning given to them in Section 10 “Definitions” of the Master PDS

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