STRUCTURED PRODUCTS

• Provides the potential for enhanced returns - in the form of income or capital growth.
• Offers an efficient way to take advantage of a particular market scenario.
• Usually presents no currency risk - when investments are linked to the performance of international markets. In some strategies where the investment return is generated in another currency other than Australian dollars, a stronger Australian dollar may reduce the return paid during that period.
• Investment returns not directly correlated to market performance - Structured investments can be designed to provide enhanced returns in flat, moderately rising and in some cases falling markets. Depending on the structure, the investment has the potential to outperform traditional investments.

Structured Products are financial investment instruments designed to meet specific investor needs that are difficult to be met by traditional investment instruments. They give investors the opportunity to potentially profit from particular market conditions. It also means that investors can potentially find gains in benign or even falling markets. Structured products can be used as an alternative to a direct investment and as part of the asset allocation process.

While this may sound like a broad definition, there's a lot of work that goes behind the scenes to ensure we offer suitable structured products based on the risk tolerance of our clients.

Citibank begins by reviewing a range of investment strategies from a variety of product issuers. We identify strategies that are consistent with our research while taking into consideration performance track records. We then tailor the structured product to take advantage of current market trends and provide investors with the opportunity to potentially earn a great return.

Enable portfolio diversification into a wide variety of underlying assets and markets with limited downside risks compared with direct equity. This can mean that investors with smaller risk appetites are able to incorporate growth assets into their portfolio.

Gives access to markets, sectors and investment strategies with payoff structures not typically available to individual investors, as they are either too expensive to access or inaccessible due to investment restrictions.