Deferred Purchase Agreements are designed for investors seeking targeted exposure to selected underlying assets without directly purchasing the asset upfront during the investment term.
They may be used to express a defined market view, access a specific asset exposure or create a structured outcome at maturity.
A DPA provides exposure to an underlying asset, such as an equity, index or basket, without requiring direct ownership of that asset during the investment term.
At maturity, the investor’s outcome is determined by the performance of the underlying asset relative to the agreement’s reference level and the specific terms of the product.
DPAs do not generally distribute periodic income. Instead, the investment outcome is realised at maturity and may be delivered in the form of assets, cash equivalents or another outcome set out in the relevant documentation.
Deferred Purchase Agreements generally do not provide capital protection unless explicitly stated in the relevant documentation.
Investors should consider market risk, underlying asset risk, issuer risk, liquidity risk, delivery risk and the specific terms of each agreement.
These products may be suitable for wholesale or professional investors who:
● Seek targeted exposure to selected underlying assets
● Understand structured payoff profiles
● Are comfortable with capital-at-risk outcomes
● Can accept the possibility of receiving the underlying asset at maturity
● Prefer a defined outcome structure over the investment term
When reviewing structured investment arrangements, investors should consider the underlying asset, reference level, maturity date, payoff structure, issuer, delivery mechanism and capital-at-risk profile. These details can materially affect the final investment outcome and should be reviewed alongside the relevant term sheet and product documentation. Investors should also consider how the structure aligns with their broader portfolio objectives, risk tolerance, liquidity needs and investment timeframe.
DPAs generally do not pay coupons or regular distributions during the investment term.
Explore available Deferred Purchase Agreement opportunities by structure, market exposure and capital protection profile.
DPAs generally do not provide capital protection. Investors may receive the underlying asset at maturity, which can be worth less than the initial investment.