An interesting yield potential of up to 25% in seven years with a min. 100% return on the nominal value of the bond at its maturity date.

Responsibility is an essential part of every human activity. So we should also behave responsibly when managing our money. But leaving it lying idly in deposit products under present conditions is not being very responsible. So if you are thinking of how to increase the value of your money in the most conservative way and not leave it languishing in bank accounts, then the Prémiový dluhopis ŠANCE 7 is here for you.

The yield of the seven-year Prémiový dluhopis ŠANCE 7 stems from the trend of highly reputable European companies which are marked above all by the low fluctuation in the value of their shares and paying out a high long-term dividend yield. These are represented by the European  STOXX®Europe Select 50 share index, which is not just limited to countries of the Eurozone, but selects shares of companies from all the major European markets across all economic sectors  (e.g. shares of companies such as ALLIANZ, GLAXOSMITHKLINE, BAE SYSTEMS, SWISSCOM, KUEHNE + NAGEL, ČEZ, RTL, VIVENDI, MARKS & SPENCER, LAGARDERE, TELEFONICA DEUTSCHLAND and others). Every quarter the structure of the index is reviewed and according to the current market trend the representation of each company and their weight in the index is optimised.

How does the Prémiový dluhopis ŠANCE 7 work?

• The yield of the seven-year Prémiový dluhopis ŠANCE 7 depends on the trend of the global STOXX®Europe Select 50 share index containing high quality shares of companies from all major European markets.
• On 12 July 2016 the initial value of the underlying assets – STOXX®Europe Select 50 share index will be fixed.
• The underlying asset – share index is monitored quarterly. Every quarter the value of the underlying asset is fixed on the observation day.
• The average value of the underlying asset is calculated from the sum total of these 28 values gained during observation. It is compared with its initial value.
• The total yield is calculated at the maturity date of the Prémiový dluhopis ŠANCE 7 as follows: participation 50% × (average of the underlying asset values from all 28 observations/initial value of the underlying asset – 1).
• Maximum level of the premium is fixed at 25% for the duration of the Prémiový dluhopis ŠANCE 7, i.e. in 7 years.
• During the lifetime of the premium bond the negative value may also be included. If the resulting value of the total yield of the premium bond will be negative, 100% of its nominal value will be paid out at its maturity date.
• The regular observation and averaging of the obtained values partly protect the investor from any sharp fall in the prices of the monitored underlying asset – the STOXX®Europe Select 50 share index just before the maturity date. The total yield of the Prémiový dluhopis ŠANCE 7 does not only depend on the closing value of the observed underlying asset

For examples of scenarios at the maturity date see the leaflet

• the maturity date of the Premium Bond is 24 July 2023
• Česká spořitelna pays out the yield and nominal value
• it takes 3 working days to settle the buying and selling of the premium bond