With the call warrant on Zoom Video Communications, the investor has the opportunity to participate disproportionately in rising prices of the underlying share. In return, however, the investor also participates disproportionately in falling prices of the underlying share.
At maturity, the investor will receive a cash amount equal to the product of (i) the final share price less the strike price and (ii) the conversion ratio, converted into the currency in which payments are made under the securities (if applicable).
If the final share price is less than or equal to the strike price, the investor will only receive the minimum amount and suffer a total loss.
The strike price is determined initially and is constant.
If the ordinary right of termination is exercised, the underlying share is valued on the exercise date.
Warrants do not provide for periodic interest payments.
Warrants do not guarantee any capital protection. If the share price falls, the securities may expire worthless, causing the investor to suffer a total loss.
Certificates, warrants and bonds are bearer bonds. The investor generally bears a significant risk of capital loss, including total loss, in the event of a share price decline or the issuer’s insolvency. A detailed description of possible risks and details of the product conditions can be found in the offering documents (i.e. the final terms, the relevant base prospectus including any supplements thereto and the registration document).
