3 Year 50/50 Upside Note with Sharia complaint mechanism to achieve capital protection


Summary Terms:

  • Product : 50/50 Upside Note
  • Minimum Investment Amount : USD 10,000 with multiples of USD 1,000 thereafter
  • Nominal Amount : USD 1,000 per Note
  • Investment Period : 3 Years
  • Underlying Index : Alpha Pairs USD Excess Return Index (using CROCI methodology)
  • Capital Protection : 100% capital protection from Deutsche Bank AG, London branch if Notes are held until maturity. Achieved through a unilateral, irrevocable and binding promise by the agent to purchase the assets of the fund at maturity at cost plus margin basis.
  • Redemption on Maturity : 100% of Investment Amount plus 140% participation of the positive performance of the Underlying Index
  • Valuation : Weekly
  • Business Day : Working day in London, UK, New York, USA and Dubai, U.A.E
  • Issuer : Deutsche Bank AG, London branch
  • Sole Distributor : Dubai Islamic Bank (DIB)
  • Data Administrator : Ryland Gray
  • Sharia Advisor : Dubai Islamic Bank Sharia Board

Key Features and Objectives:

  • A basket of 70 long and 70 short equally weighted global stocks from three regions (US, Europe and Japan)
  • Selected monthly for their attractive/unattractive ratings on a multi-factor basis, combining proprietary CROCI valuation
  • 140% participation in the positive performance of the Excess Return Index
  • 6% targeted volatility for the Underlying Index
  • Performance calculated on the Excess Return Index, i.e. the returns above the USD Fed Fund Rates
  • Investment in 9 sectors (Consumer Discretionary, Healthcare, Information Technology, Telecommunication Services, Energy, Consumer Staples, Industrials, Materials, Utilities)

Strength points of the product:

  • Short-term investment – 3 years
  • Strong and stable historical performance (using the CROCI methodology)
  • Global markets have been very volatile
  • Not sector or geography specific (REIT, Water, GCC)

Indicative NAV:

For more details please contact +971 4 6092424