Structured Products

Capital Guarantee

Definition

What is Capital Guarantee?

A contractual promise to repay specified capital, dependent on the guarantor's ability to pay.

Example in practice

The guarantee applies only if the note is held to maturity.

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An investment combining debt and derivatives to create a defined payoff.

A structured debt instrument designed to return some or all principal at maturity, subject to issuer credit and terms.

A structured note whose principal may be reduced if specified market conditions occur.

A statistical measure tracking the performance of a defined group of securities or assets.

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