Hungarian funds
Rainbow
| Duration: | December 9, 2004 - December 14, 2007 |
| Investment target: | To assure participation in the positive performance of the developed (USA and Wester-Europe) stock market performances and of the strengthening of the USD/EUR cross rate (strengthening of the dollar) in a way that investors do not risk their invested capital, as the nominal invested capital will be paid back at maturity by all means. |
| Capital guarantee: | The 100% pay-back guarantee for the invested capital is complete and unlimited. That means that the complete sum that was paid in at the subscription will be paid back whatever happens in the markets. |
| The instrument that assures the return on top of the guaranteed capital: | A hybrid index option. The option delivers the positive performance of the S&P 500 index (that reflects the stock market of the USA), of the DJ Europe Stoxx 50 index (that reflects the stock market of Western-Europe) and of the US dollar against the Euro (the strengthening of the dollar against the Euro). At maturity the best performing market will get 50% weight, the next one 30% and the weakest one will get 20% weight in the calculation of the final return. |
| Currency risk: | There is no currency risk. The return coming from the increase of the index value is HUF return. |
An example for the pay-out: | One invests HUF 1 million in the fund. Let's suppose that during 3 years the USA market grows by 55%, the Western-European by 35% and the US dollar strengthens 40% against the Euro (that means 1,12 cross rate against the current 0,8). As the USA stock market performed the best, it will get 50% weight. As the USD/EUR is the second best, it will get 30% weight, and the third best, the EU stock market, gets the lowest weight, ie. 20%. The growth of the index basket calculated with above weights is 46,5%. The net return calculated with a 90% participation is 41,85%. Accordingly in December 2007, the fund will pay HUF 1.000.000 (100% capital guarantee) and HUF 418.500 return, that is altogether HUF 1.418.500 final result. |
| Return ceiling: | There is no return ceiling. |
| Participation: | 90%. Investors will get 90% of the return calculated at maturity. |
| Average price option: | At the beginning of the third year, the taking of index value samples starts. By each market we compare the average of the monthly closing prices (13 values) to the starting value. Then according to the rank of their performance the different markets will get the above mentioned weights. |
| Settlement of the subscribed capital and the return: | Until January 13, 2008. |
| Net asset value - 14-01-2011: | 488 109 555 HUF |
| ISIN code: | HU0000703475 |
| Custodian: | UniCredit Bank Hungary Zrt. |
| Auditor: | Ernst & Young Kft. |
| Liquidity: | On the Budapest Stock Exchange. |