All search results for Bull & Bear Certificates (539)

1 FAQ Answer

Several of the ETPs will contain derivative elements and many have built-in leverage, both of which offer high market risk. For the investor, this means for example that the prices of Bull & Bear certificates will be able to fluctuate more than underlying assets, such as a stock. The instruments thus also have a greater risk of loss than an investment directly in the underlying reference. In addition, these leveraged products are rebalanced daily, which means that the return for long periods will deviate from market developments. The return can thus be negative even if the underlying has the same value at the time of purchase and sale. These properties make the Bull & Bear certificates unsuitable as a long-term investment alternatives.