For the first four years, the Fund has an early redemption feature whereby, depending on the performance of the OMX Stockholm 30 Index on each annual Autocall Observation Date, the Fund may redeem early and policyholders will receive 100% of their premium invested (less any early surrenders), plus a Conditional Coupon of 6.25% per year.
At maturity provided that the Fund is not earlier redeemed, both the return and capital guarantee will depend on the closing level of the OMX Stockholm 30 Index on the Final Observation Date. More specifically if the Index closing level is:
- At or above the Initial Level, policyholders will receive a total return of 31.25% (6.25% per annum) plus 100% of the capital.
- Below the Initial Level but at or above the Capital Protection Barrier, policyholders will receive 100% of the capital.
- Below the Capital Protection Barrier, policyholders will be fully exposed to the performance of the OMX Stockholm 30 Index.
The expected payoff is illustrated in the diagram below:
