Balancing correlation

Principal is 100% protected at maturity, subject to credit risk. If the underlying is above the strike level of 100% then the investor has a participation rate of 130%. Since this is added to 100% of the principal amount this represents the potential return for the investor.

This basket of underlyings is used by Credit Suisse in several products, with the five components as follows: S&P 500 (50%), iShares Barclays Tips Bond Fund (25%), iShares MSCI EAFE Index Fund (10%), SPDR Gold Trust (10%) and

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