Merrill Lynch lists new certificates on DIFX trax platform
Merrill Lynch today announced that it will list two new certificates (Tracker-10YIT-Dubai and ReverseT-1YRC-Dubai) on the DIFX TraX, the recently launched structured products platform of the Dubai International Financial Exchange (DIFX). Both certificates will be linked to the Dubai Investable Index, the first index designed to track stocks listed on the Dubai Financial Market (DFM), which Merrill Lynch launched in November 2006.
Tracker-10YIT-Dubai will track the value of the Dubai Investable Index allowing investors to take an immediate broad and liquid exposure to the Dubai equity market.
ReverseT-1YRC-Dubai will be the first listed reverse convertible linked to the Dubai Investable Index. It will guarantee a fixed coupon of 9.5% and the initial investment on inception date will be safe as long as the Reference Index does not drop by 20% or more at anytime during the one year maturity of the Reverse Convertible.
Hedi Ben Mlouka, head of CEEMEA Equity Derivative Sales at Merrill Lynch said: “The launch of the Dubai Investible Index signified a milestone in the development of the derivatives market in the MENA (Middle East and North Africa) region. Now Merrill Lynch’s launch of two new certificates reaffirms our commitment to driving growth in this important market and leading innovation through the development of derivative instruments for clients and the wider GCC market.”