![]() ![]() Do not purchase the bonds/CDs unless you fully understand and are willing to assume the risks associated with it.Īdditional risk disclosure to High yield bonds.If bonds/CDs are early redeemed, you may not be able to enjoy the same rates of return when you use the funds to purchase other products.The secondary market for bonds/CDs may not provide significant liquidity or may trade at prices based on the prevailing market conditions and may not be in line with the expectations of bonds/CDs' holders.There may be exchange rate risks if you choose to convert payments made on the bond/CDs to your home currency.If you wish to sell bonds/CDs, HSBC may repurchase them based on the prevailing market price under normal market circumstances, but the selling price may differ from the original buying price due to changes in market conditions.There is an inherent risk that losses may be incurred rather than profit made as a result of buying and selling bonds/CDs. ![]() The fluctuation in yield generally has a greater effect on prices of longer tenor bonds/CDs. Factors affecting market price of bonds/CDs include, and are not limited to, fluctuations in interest rates, credit spreads, and liquidity premiums. Indicative price of bonds/CDs are available and the bonds/CDs' prices do fluctuate when market changes.The holder of bonds/CDs bears the credit risk of the issuer and has no recourse to HSBC unless HSBC is the issuer itself. If the issuer defaults, the holder of bonds/CDs may not be able to receive back the interest and principal. It is the issuer to pay interest and repay principal of bonds/CDs.You should be prepared to hold your funds in bonds/CDs for the full tenor you could lose part or all of your principal if you choose to sell your bonds/CDs prior to maturity. ![]()
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