Leverage Products
Leverage products are very popular and has established itself as an independent form of capital investments. Compared to a direct investment in shares, indices, commodities or currencies, the use of leverage products enable investment strategies otherwise not achievable on their own within the framework of a direct investment in a single underlying asset.
What opportunities and risks may arise when trading leverage products?
Leverage products issued by Vontobel in Finland provide you with access to a broad range of asset classes and global markets. The products are so called Exchange Traded Products, ETPs, and you can easily trade these via your regular trading account.
Leverage products are very popular and has established itself as an independent form of capital investments. Compared to a direct investment in shares, indices, commodities or currencies, the use of leverage products enable investment strategies otherwise not achievable on their own within the framework of a direct investment in a single underlying asset.
Leverage Products can offer opportunities for increased portfolio returns but to be successful you have to learn about the risks that may arise.
A deeper insight to the Vontobel product range – The art of investing with leverage
Unlimited Turbos
Vontobel Unlimited Turbos are suitable for investors who want exposure to a constantly shifting leverage. Generally, the product type is very similar to Mini Futures. Unlimited Turbos also offer investors the opportunity to fully participate in the value development of the underlying asset at a fraction of the amount of capital needed in a direct investment of the underlying asset, generating a leverage effect. The product is also not featured with a specific end date, similar to all products offered within the Vontobel Finnish product range. With an Unlimited Turbo, a very high level of leverage is possible due to the structure of current strike equaling the knock-out barrier. However, investors should also consider the appropriate risk.
Read more!
Bull & Bear Certificates
Vontobel Bull & Bear Certificates offer a simple and efficient way to profit from stable price trends, be they rising or falling. They do so by leveraging the daily price performance of a reference instrument, for example a share or an index. This allows investors to participate disproportionately in the performance of the reference instrument. The leverage – remains constant, and so the investment is equivalent to a reinvestment on a daily basis. Due to the negative erosion effect that arises in a volatile market over time, the product type is generally better suited for short term trading.
Read more!