Euro Bond Portfolio invests in bonds which mature in 2017 and pays an annual return of 5.75%.
Client funds will be entirely invested in bonds issued by foreign issuers giving the investor exposure to a spread of bonds. The coupon of 5.75% p.a. is net of all charges which are deducted from the gross coupon received on the underlying bonds. Final withholding tax of 15%, where applicable, will be deducted from the coupon if customers so request.
It should be clearly understood that recovery of original invested capital depends on the holdings being retained till the ultimate redemption date of the bonds. The payment of the annual coupon and the redemption of the original capital invested are also subject to there being no default on the part of the issuers of the underlying Bonds.
Crystal will hold the investment as nominees for investors and will send investors at least half-yearly statements (as at 30th June and as at 31st December) with confirmation of holding and valuation.
Detailed Term Sheet is available upon application.