Will ORBITS pay a coupon and if so, how frequently?
| Answer | Rating |
|---|---|
|
Yes. Each of the ORBITS will pay an annual coupon to Investors in arrears, provided no Coupon Barrier Event or Early Expiry Event occurs. The annual coupon is calculated at either a fixed rate or, in the case of the International Income and the Australian Income, the higher of a fixed rate and a rate based on the performance of the Reference Securities comprising the relevant Reference Portfolio. In the case of the International Income and the Australian Income, the amount of the coupon may vary from year to year but cannot be less than 3.75% per annum of the Issue Price. In the case of the International Growth, the coupon is fixed at 3.25% per annum of the Issue Price with the possibility of a variable Bonus Coupon payable on Expiry. Refer to 'How to calculate returns from ORBITS' on page 80 of the PDS for a description of how the variable component of the coupon is calculated including how that amount varies according to the performance of the relevant Reference Portfolio. |
|
Was this article useful? Rate it!
Design/Development Copyright © 2007 Future Medium Pty Ltd