Access upside growth potential of the Australian stock market.
Instreet Link DPA ASX200 is an investment in a Deferred Purchase Agreement (DPA). The investment aims to provide investors with access to growth in the Australian stock market in return for a one off upfront payment. The performance of the DPA is linked to the upside performance of the Australian stock market as measured by the
S&P/ASX 200 Price Return Index (S&P ASX 200 Index), subject to a specified return Cap for each Series.
An investment in the Instreet Link
S&P ASX 200 DPA may suit you if you:
| • |
Seek exposure to the Australian stock market for a cost which is a fraction
of your notional exposure (eg, $12,100 provides $100,000 exposure for 2 years).
|
| • |
Intend to buy and hold for a maximum term of 2 years, or 3 years. |
| • |
Do not want ongoing payments. |
| • |
Want an investment with a defined outcome, on both the upside and downside, where losses are limited to your initial investment amount and gains are limited to the defined Cap level. |
| • |
Seek an investment which can be used as a portfolio rebalancing tool. |
| • |
Seek an investment which is suitable for self managed superannuation funds, companies, trusts or individuals. |
There are three Series options with different Cap levels and terms:
| • |
Indicative Cap 17%-20%1 – 2 year term |
| • |
Indicative Cap 27%-30%2 – 2 year term |
| • |
Indicative Cap 45%-50%3 – 3 year term |
The actual Cap will be set on the Issue Date. It may be more or less than the indicative Cap shown.
1 The minimum Cap for this is 17%. If the actual Cap is below 17%, the issue of Units will not proceed and your investment will be refunded without interest. The actual Cap will be set on the Issue Date of the Units. It may be more or less than the indicative Cap shown.
2 The minimum Cap for this is 27%. If the actual Cap is below 27%, the issue of Units will not proceed and your investment will be refunded without interest. The actual Cap will be set on the Issue Date of the Units. It may be more or less than the indicative Cap shown.
3 The minimum Cap for this is 45%. If the actual Cap is below 45%, the issue of Units will not proceed and your investment will be refunded without interest. The actual Cap will be set on the Issue Date of the Units. It may be more or less than the indicative Cap shown.
Benefits and Features
The Instreet Link DPA ASX200 seek to provide you with the following potential benefits and features:
Access upside growth potential of the Australian stock market
The Instreet Link DPA ASX200 offers an investor the opportunity to access the potential upside growth of the Australian stock market subject to a Cap. This investment exposure is subject to risks, limitations and conditions, please read the product disclosure statement for further information.
One off upfront payment
The Link DPA ASX200 provides exposure to the Australian stock market for an Issue Price which is a fraction of the size of the Notional Exposure of the investment. An investor’s potential financial loss is limited to their initial investment.
Simple Documentation
Investors may access by completing the Application Form attached to the PDS.
S&P ASX 200 Index Price Index
The S&P ASX 200 Index, is widely followed and is designed to be a gauge for the Australian stock market and covers approximately 78% of Australian stock market capitalisation being the top 200 ASX listed companies by market capitalisation.
The index is calculated by Standard
& Poor’s.
Timetable4
|
Investment Term |
2 years or 3
years |
|
Buy-Back Dates |
Quarterly, 6
months after units are issued on the last
business day of March, June, September and
December.
Investors must lodge their Buy-Back request
no later than 10 business days before the
relevant Buy-Back Date. |
|
Minimum Underlying Exposure |
$50,000 |
|
Product Issuer |
Merrill Lynch
(Australia) Futures Limited |
|
Reference Index |
S&P ASX 200
Price Index |
4 This timetable is indicative
only. The Issuer may, in its discretion, extend or
shorten the offer period without prior notice. If
this happens, all dates may vary. If the Issuer
varies the offer period it may post a notice on the
website informing Applicants of the change at
www.instreet.com.au
Delivery Asset
The Final Value will be satisfied by the physical
delivery of the Delivery Parcel of stocks listed on
the ASX. Investors may choose to enter into an
agency agreement to have the Delivery Parcel sold on
their behalf – in this case the investors will then
receive monies with a value equivalent to the Final
Value.
The Delivery Parcel is a basket containing equal
proportions of ordinary shares in each of the
following companies:
In the event one or
more of the above companies are no longer listed on
the ASX or suspended from trading a replacement
company from within the S&P ASX 200 Index may be
selected or that the basket shall contain only the
companies not impacted by such occurrence.
Important Information
Document:
This Document has
been prepared by Instreet Investment Limited ACN 128
813 016 (Instreet), an Authorised
Representative of EA Financial, LP ACN 971 745 471,
AFSL 246801, and is current as at 16 July 2009.
Instreet is the distribution manager for the
Instreet Link Series S&P ASX 200 Index Linked
Deferred Purchase Agreements (Instreet LINK DPA
ASX200).
Issuer and PDS: The Instreet LINK DPA ASX200
product is issued by Merrill Lynch (Australia)
Futures Limited ACN 003 659 674, AFSL 235143 (MLAF)
and the issue is arranged by Merrill Lynch Equities
(Australia) Limited ACN 006 276 795, AFSL 235132 (MLEA).
The Instreet LINK DPA ASX200 is offered in a product
disclosure statement dated on or around the 3 August
2009 (PDS). The PDS is available above. In
deciding whether to acquire or continue to hold and
investment investors should download the PDS and
consider its contents.
The information in this Document has not been
prepared or reviewed by MLAF, MLEA or any of their
affiliates. None of MLAF, MLEA or any of their
affiliates makes any statement in this Document, nor
do they make any representation or warranty, or
accept any responsibility or liability, to any party
in relation to any whole or part of such
information.
General advice warning: The information
contained in this Document is general information
only. It has been prepared without taking account
any potential investors’ financial situation,
objectives or needs and the appropriateness of this
information needs to be considered in that context.
We recommend you seek your own legal and taxation
advice.
No responsibility or liability is accepted by
Instreet or any third party who has contributed to
this Document for any of the information contained
herein or for any action taken by you or any of your
officers, employees, agents or associates.
Past performance: Past performance is not a
reliable indicator of future performance. |
