ETRACS Monthly Pay 2xLeveraged Diversified High Income ETN

  • Current Indicative Value
  • 04/23/2014 | 09:55 am
  • USD 26.54
  • Last close USD 26.60
  • 4/22/2014

Profile

CUSIP 90270L859
Primary exchange NYSE Arca
Initial trade date 11/12/2013
Maturity date 11/12/2043
Leverage 2x
Annual Tracking Rate 0.85%, accrued on a daily basis
Index Yield1 13.63%
Underlying Index NYSE Diversified High Income Index

See 'Key Considerations' above as well as the 'Important legal information specific to ETRACS ETNs' link below for more information.

1 This figure is equal to 2 times the Index Yield calculated as of October 31, 2013 by the sponsor of the Index, NYSE Group, Inc. Because the Index Yield does not reflect withholding taxes, and the variable monthly coupon that may be paid by the ETN, if any, is calculated using the cash distributions on the Index constituents that may be subject to withholding taxes (i.e., the net cash distributions), the yield of the ETNs will always be less than 2 times the Index Yield. Investors are not guaranteed any coupon or distribution amount under the ETN.

About the ETN

The ETRACS Monthly Pay 2xLeveraged Diversified High Income ETN (NYSE: DVHL) (“DVHL” or the “ETN”) is an exchange-traded note linked to the monthly compounded 2x leveraged performance of the NYSE® Diversified High Income Index, reduced by the Accrued Fees. DVHL has been approved for listing on the NYSE Arca® exchange (subject to official notice of issuance), is denominated in USD, and pays a USD-denominated variable monthly coupon linked to 2 times the net cash distributions, if any, on the Index constituents.

Exchange-traded notes are senior, unsecured, unsubordinated debt securities that provide investors with exposure to the total returns of various market indices, including those linked to stocks, bonds, commodities and/or currencies, less investor fees. ETRACS offers innovative investment products with easy access to markets and strategies that may not be readily available in the existing marketplace.

 

Key features

  • Monthly compounded 2x leveraged exposure to the NYSE® Diversified High Income Index, an index comprised of a diversified portfolio of 138 publicly-traded, income-producing securities.
  • Significant income potential in the form of a variable monthly coupon linked to 2 times the net cash distributions, if any, on the Index constituents.
  • Leverage that is reset monthly, not daily.