Citibank’s new investment offer in the commodities sector.
Athens, May 25, 2006
Athens. Citibank is offering investors access to the commodities sector with the launch of the new DB Platinum III Goldman Sachs Commodity Index Protected Fund, which combines 100% capital protection at maturity with 3 years tenor, the possibility of early termination during the first year and a minimum investment of 3,000€/$ US. It is available in Citibank branches until 29th June 2006.
The DB Platinum III Goldman Sachs Commodity Index Protected Fund is one more product from Citibank in cooperation with Deutsche Bank and is linked to the Goldman Sachs Commodity Excess Return Index, one of the most representative indexes of the commodity sector. This index is supported by Goldman Sachs & Co and monitors 24 commodities. The specific sectors that are represented in the Index include energy, livestock, agriculture, and industrial and precious metals. With an ever-growing world population consuming a limited pool of scarce resources, commodity prices are expected to increase over the long-term. As the economies of developing countries such as China and India expand at a rapid pace, their demand for energy and industrial resources grows along with them.
The DB Platinum III Goldman Sachs Commodity Index Protected Fund observes the performance of the Index each year relative to its level at inception, and if the Index performance exceeds the specified barrier for that year, initially invested capital is returned immediately along with the fixed coupon (4.5% p.a. in EUR and 9% p.a. in USD).
| Barriers |
| EUR |
USD |
| 1 year |
2 year |
3 year |
1 year |
2 year |
3 year |
| 112% |
116% |
122% |
109% |
112% |
115% |
If the performance of the GSCI Index is not sufficiently strong to exceed the barrier in a particular year, the fund continues to the next year but the potential coupon is increased accordingly. If the index has not exceeded the relevant barrier in any of the three years, the fund’s objective is to protect and return the initial capital invested.
Investment Products are not deposits or obligations of, or guaranteed by, Citigroup Inc., Citibank International plc or its affiliates, are subject to investment risks, including possible loss of principal invested and are not insured by any governmental agencies.
MUTUAL FUNDS DO NOT HAVE GUARANTEED RETURNS AND PAST PERFORMANCE DOES NOT GUARANTEE FUTURE RETURNS.
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