Candour Deferred Purchase Agreement

Equity Linked Investments

A 12-month structured investment designed for investors with a bearish to neutral view on the S&P/ASX 200. The product aims to deliver quarterly income with a tiered coupon structure, where coupon levels increase if the ASX200 weakens over the relevant observation period.

At maturity, investors receive 100% principal back, subject to issuer risk.

Key Features
  • Reference asset: S&P/ASX 200
  • Term: 12 months
  • Income profile: Quarterly coupon observations with tiered coupon outcomes
  • Principal outcome: 100% principal repaid at maturity, subject to issuer risk
  • Target market: Wholesale / sophisticated investors only
How It Works

On each relevant coupon valuation date, the closing level of the S&P/ASX 200 is compared with its entry level. The coupon payable is determined by the degree of index decline over that observation period.

Indicative Coupon Ladder

    • 6.00% p.a. if the index is flat or higher
    • 7.20% p.a. if the index falls 0% to 10%
    • 8.80% p.a. if the index falls 10% to 20%
    • 11.30% p.a. if the index falls 20% to 30%
    • 14.00% p.a. if the index falls 30% or more
Investor Rationale

This structure may suit investors who:

  • have a defensive or bearish market view
  • want the potential to earn higher income in weaker equity markets
  • prefer a short investment horizon
  • want a product with clear and transparent payoff levels
Key Benefits
  • Expresses a bearish view on Australian equities
  • Offers enhanced income potential when the ASX200 declines
  • Provides a simple tiered payoff structure
  • Includes quarterly reset / observation mechanics
  • Returns full principal at maturity, subject to issuer risk
Important Risks
  • Investors are exposed to the credit risk of the issuer
  • Coupon outcomes depend on the performance of the S&P/ASX 200
  • This is a structured investment, not a deposit or savings product
  • The product may not be suitable for all investors and should be considered in light of the investor’s objectives, financial situation, and needs
Contact Us

For indicative pricing, structuring discussions or product information:

  • Please contact your Candour sales representative, or
  • Reach out to the Candour Structured Investment team.

We can work with you to tailor structures that align with your objectives, risk tolerance and market views.