Yujin Investment & Securities to Offer 2 Types of ELS Until the 28th

[Asia Economy Reporter Minji Lee] Eugene Investment & Securities announced on the 26th that it will offer a total of two types of ELS, including one monthly income payment ELS and one Lizard Step-down ELS, until 2 p.m. on the 28th.

The ‘371st ELS,’ a 3-year maturity monthly income payment structured product, is based on Samsung Electronics common stock, the Hang Seng China Enterprises Index (HSCEI), and the Standard & Poor’s 500 Index (S&P500). The coupon rate is up to a pre-tax annual rate of 5.49%.

According to the monthly income payment structure, if the closing prices of all underlying assets on the designated monthly income payment evaluation date are at least 65% of the initial reference price, investors receive a pre-tax monthly return of 0.4575% (up to an annual 5.49%). However, if the condition is not met, no monthly income is paid.

Due to the step-down structure, early redemption and maturity redemption opportunities occur every six months. Specifically, on early redemption evaluation dates, if the closing prices of all underlying assets are at least 95% (6 months), 90% (12 months), 85% (18 months), 80% (24 months), or 75% (30 months) of the initial reference price, early redemption is triggered, and investors receive their principal back. On the maturity evaluation date, if the closing prices are at least 70% (36 months), the maturity redemption condition is met, and principal repayment is made.

Additionally, due to the knock-in structure (knock-in barrier at 50%), even if the closing prices of the underlying assets are below 70% of the initial reference price on the maturity evaluation date, as long as none of the underlying assets have fallen below 50% of the initial reference price at any time until maturity, maturity redemption occurs, allowing principal recovery. If these conditions are not met, principal loss may occur.

Next, the ‘372nd ELS,’ a 3-year maturity Lizard Step-down structured product, is based on the KOSPI200 Index, the Hang Seng Index (HSI), and the Standard & Poor’s 500 Index (S&P500). The pre-tax annual return is 4.1% for early redemption, maturity redemption, and lizard redemption, all the same.

The ‘372nd ELS’ offers early redemption and maturity redemption opportunities every six months according to the step-down structure. Specifically, on early redemption evaluation dates, if the closing prices of all underlying assets are at least 90% (6 months, 12 months), 85% (18 months, 24 months), or 80% (30 months) of the initial reference price, early redemption occurs. On the maturity evaluation date, if the closing prices are at least 65% (36 months), the maturity redemption condition is met, and a pre-tax return of 12.3% can be earned.

One lizard redemption opportunity is also provided. If early redemption conditions are not met and none of the underlying asset prices fall below 80% of the initial reference price for 12 months, a coupon of 4.1% pre-tax (annual 4.1%) can be earned on the second early redemption evaluation date.

This product has a no knock-in structure, and if any of the underlying assets are below 65% of the initial reference price on the maturity evaluation date, principal loss will occur.

Both products offered this time are principal non-guaranteed. The 371st ELS is offered with a scale of 3 billion KRW, and the 372nd ELS is offered with a scale of 2 billion KRW. The minimum subscription amount is 1 million KRW.