Scenario I    Continuous upward trend

In a continuous upward trend,

where the Index rises steadily for more than 1 Business Day, the Product’s accumulated return will be greater than twice the cumulative Index gain. As illustrated in the scenario below, if an investor has invested in the Product on day 0 and the market grows by 10% daily for 4 Business Days, by day 4 the Product would have appreciated by 107% compared with the 93% gain which is twice the cumulative Index return.

Index accu. Return
2x of Index accu. Return
Leveraged product accu. Return
DayIndex daily returnIndex levelIndex cumulative returnLeveraged product Daily ReturnLeveraged product NAVCumulative performance of Leveraged productCumulative performance of 2x of Index