By Marisa Wong
Madison, Wis., May 22 - Deutsche Bank AG, London Branch priced an additional 8 million PowerShares DB 3x Inverse Japanese Govt Bond Futures exchange-traded notes due Nov. 30, 2021, according to a 424B3 filing with the Securities and Exchange Commission.
At inception, Deutsche Bank priced 4 million ETNs and issued 200,000 of the ETNs at par of $20. Additional notes have been and may continue to be sold from time to time at variable prices.
The notes are linked to the month-over-month returns of the DB USD Inverse JGB Futures index.
The filing stated that the index is obtained by combining triple the unleveraged returns, whether positive or negative, on the short JGB future index with the returns on the T-Bill index. The short JGB future index seeks to measure the performance of a notional short position in 10-year JGB Futures and is calculated in dollars.
The T-Bill index is intended to approximate the returns from investing in three-month U.S. Treasury bills on a rolling basis.
The notes are putable at any time, subject to a minimum of 50,000 notes and a repurchase fee of up to $0.03 per security. The issuer may call the notes on any trading day.
Upon redemption or at maturity, the payout will be equal to the then-current principal amount multiplied by one plus the T-Bill index return plus triple the short JGB future index return on the valuation date, minus a fee of 0.95% per year.
The principal amount was initially $20 per security. The current principal amount is reset monthly.
The notes are listed on the NYSE Arca under the symbol "JGBD."
Deutsche Bank Securities Inc. is the underwriter.
| Issuer: | Deutsche Bank AG, London Branch
|
| Issue: | PowerShares DB 3x Inverse Japanese Govt Bond Futures exchange-traded notes
|
| Underlying index: | DB USD Inverse JGB Futures index
|
| Amount: | $240 million (increased from $80 million)
|
| Maturity: | Nov. 30, 2021
|
| Coupon: | 0%
|
| Price: | Par of $20
|
| Payout at maturity: | Current principal amount multiplied by one plus the T-Bill index return plus triple the short JGB future index return on the valuation date, minus a fee of 0.95% per year
|
| Put option: | At any time, subject to minimum of 50,000 notes; calculated in same way as payout at maturity, less a repurchase fee of up to $0.03 per security
|
| Call: | At any time
|
| Inception date: | Nov. 8, 2011
|
| Initial settlement date: | Nov. 14, 2011
|
| Upsize date: | May 21
|
| Underwriter: | Deutsche Bank Securities Inc.
|
| Listing: | NYSE Arca: JGBD
|
| Cusip: | 25154P188
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
