Structured Investments

Fixed Rate CNY (offshore) - Linked SIP

Fixed Rate CNY (offshore) - Linked SIP is a structured product embedded with interest rate and foreign exchange rate options.

You will receive a fixed interest amount and 100% principal amount on the Deposit Maturity Date if there is no Currency Event designation by the Bank.

Please refer to the product offering documents for detailed product terms and information.

Features

  • Offers a fixed interest amount payable upon maturity date
  • Minimum investment as low as CNY 100,000
  • Explore the currency market of Chinese Yuan (CNY), also known as Renminbi
  • Short to medium investment tenor, normally less than or equal to 1 year

Option
Settlement CurrencyHKDUSD
Minimum Deposit AmountHKD 100,000USD 10,000
Deposit MultiplesHKD 50,000USD 5,000
Deposit TenorNormally less than or equal to 1 year
Interest Rate of SIP (p.a.)
Settlement CurrencyHKDUSD
Deposit Tenor9 months
Interest Rate of SIP (p.a.)1.20%*1.50%*

*Indicative rates of 9-Month Fixed Rate CNY(offshore)-Linked SIP as of 8 Mar 2011.

Please check with the Bank for the latest indicative rates.

InterestIf there is no Currency Event Designation by the Bank,
  • interest on the SIP is paid on the Deposit Maturity Date;
  • the Customer will receive a fixed per annum interest rate of the Principal Amount for the entire tenor of the SIP and such interest amount is calculated by reference to the relevant Spot Rate and Forward Rate and is fixed upfront.

    Upon Currency Event Designation by the Bank on or prior to the Deposit Maturity Date, no interest amount shall be payable to the Customer.
Spot RateA rate expressed as the amount of Chinese Renminbi (CNY) per one unit of Settlement Currency (stated in the SIP Order Form).
Forward RateA rate expressed as the amount of Chinese Renminbi (CNY) per one unit of Settlement Currency (stated in the SIP Order Form).
Redemption
  • If there is no Currency Event Designation by the Bank, the Bank will pay 100% of the Principal Amount to the Customer on the Deposit Maturity Date in the Settlement Currency, provided that the SIP is maintained by the Customer with the Bank up to the Deposit Maturity Date.
  • Upon Currency Event Designation by the Bank, the Bank will pay the Mandatory Redemption Amount to the Customer on the Mandatory Redemption Date. The Mandatory Redemption Amount is likely to be substantially less than the Principal Amount and in the worst case scenario, the Mandatory Redemption Amount is zero.

How to Apply

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Important Notes

DBS Bank (Hong Kong) Limited is not your investment adviser or acting in any fiduciary capacity to you. The above information is not and shall not be considered as investment advice. It does not constitute any offer or solicitation of offer to subscribe, transact or redeem any investment product. Investment involves risk. Past performances are not indicative of future performances. You should not rely on the above information alone to make any investment decision. You should carefully read the product offering documentation and our "Investment Products Consolidated Terms and Conditions" for detailed product information and risk factors prior to making any investment. If you have any doubt on this material or any product offering documentation, you should seek independent professional advice.

Structured Investment Product is a structured product involving derivatives ("the Product"). The investment decision is yours but you should not invest in the Product unless DBS Bank (Hong Kong) Limited has explained to you that the Product is suitable for you having regard to your financial situation, investment experience and investment objectives.

The Product is NOT principal protected. The Product is NOT a protected deposit and is not protected by the Deposit Protection Scheme in Hong Kong. The Product is different from traditional time deposits and should not be treated as their substitutes.