Questions on securities

Monday - Friday 09:00-17:00

Quick guide

Choose your country

ERSTE CMS Subordinated Floater 19-29

ISIN:
AT0000A269E5
WKN:
EB0FM4

Date: 2019/07/18 15:00:32
Bid Ask
97.90 -
Difference 0.00% (0.00)

General attributes

Type of bondErste Group subordinated bonds
Bond stylesubordinated
Issuer typefinancial institution
Country of issueAT
Current coupon2.500%
Coupon stylefloating
Coupon payment date2020/02/19
Coupon payment periodannually
Yield to maturity p.a. (before tax)-
Value date2019/02/19
Maturity2029/02/19
Repayment value100.00
CurrencyEUR
Minimum unit1,000

PDF Downloads

Final TermsPDF Download
Key Information DocumentPDF Download

Scale: ABS REL         Instrument

Add Benchmark:



Performance since inception. Performances under 12 month have only little informative value because of the short maturity. Information about previous performance does not guarantee future performance.
Source: Erste Group Bank AG
Advantages Risks you should be aware of
  • periodical coupon payments
  • higher interest payments in comparison to non-subordinated bonds compensate higher credit risk due to subordination
  • redemption of 100% in terms of face value (subject to the default risk of the issuer), if there is no statutory loss participation obligation
  • In case of an early redemption due to legal and/or fiscal changes investors receive a payment of 100% in terms of face value.
  • Investors are subject to the risk of the insolvency and thus default of the issuer and may incur capital losses of up to 100%.
  • In the event of the liquidation or insolvency of the issuer, investors, as subordinate creditors, are particularly subject to the risk that claims will only be fulfilled once all other claims by non-subordinate creditors have been fully satisfied.
  • The subordinate status vis-à-vis non-subordinate creditors increases the default risk.
  • The recapitalisation or the winding-up of credit institutions may involve the reduction or write-off of the nominal value and the conversion into equity. In this case the investors of subordinate bonds may lose their right to redemption and, in case of conversion into equity, may be expropriated.
  • The regulatory framework and supervisory steps may have significant effect on investor rights and may negatively affect the market value of subordinate bonds even before the occurrence of economic inviability or winding-up.
  • Investors bear the risk of interest rate increases, which would trigger a fall in the market price of the bond
  • The bond price is subject to fluctuations during the life of the bond, which may result in losses.
  • The redemption of 100% (in terms of face value) by Erste Group Bank AG only applies to the end of maturity.

Description

This bond is a security that establishes unsecured and subordinate debt of Erste Group Bank AG (issuer). It constitutes an instrument of Tier 2 capital in accordance with article 63 of Regulation 575/2013/EU (CRR). Due to the subordinate status of bond, claims made by creditors in the event of the liquidation or insolvency (i.e. excessive debt or default) of the issuer will only be fulfilled once all other claims by non-subordinate creditors of the issuer have been satisfied.

This bond pays in the first two years a fixed coupon of 2.50 % p.a. and a variable coupon with a floor of 1.50 % and a cap of 3.75 % in the following years. At the end of maturity, which is ten years, the bond is redeemed at 100 % in terms of face value. The creditor has no right to demand early redemption of the bond. However, the issuer is entitled to cancel the bond for tax or regulatory reasons and to redeem it prematurely at 100.00% in terms of face value plus any interest accrued until the date of redemption.

Payment notes

This bond pays in the first two years a fixed coupon of 2.50 % p.a and offers a variable coupon with a floor of 1.50 % and a cap of 3.75 % in the following years.

Settlement

This bond will be redeemed on 19/02/2029 at 100 % of face value (subject to the default risk of Erste Group Bank AG).

Secondary market

The bond will be issued on a continuous basis and publicly offered in Germany, Austria and Romania. From the issue date onwards the bond can basically be traded on a stock exchange or over-the-counter. Under normal trading conditions the issuer will continuously quote indicative prices. Listing at the unofficial market of Stuttgarter Wertpapierbörse (Baden-Württembergische Wertpapierbörse) and the regulated official market of Wiener Börse is scheduled. The decision about the admission to the respective market and the actual listing will be taken by the board of the respective stock exchanges. From admission onwards the bond can be traded on each stock exchange during trading hours.

Underlying


Know-How

In our know-how area you can find all relevant details on the different types of bonds. The tutorial gives you selected information about the functionality of bonds and assists you in making your investment decision. In our glossary we explain the most important keywords and within the FAQ section you can find answers to the most common questions concerning this topic.

Contact

Do you have any further questions which are not covered in our know-how area? Please ask directly our product specialists via our contact form.




Accept

We use cookies and web analysis software to give you the best possible experience on our website. By continuing to browse this website, you consent for these tools to be used. For more details and how to opt out of these, please read our Data protection policy.

INFORMATION FOR PRIVATE CLIENTS / CONSUMERS

Any information, material and services regarding financial instruments and securities provided by Erste Group Bank AG or any of its affiliates (collectively “Erste Group“) on this and any linked website hereafter (jointly the “Websites”) shall be exclusively to investors who are not subject to any legal sale or purchase restrictions (the “Interested Party“).

The publication and distribution of information as well as offering and selling of products and services described on the Websites is prohibited by law in some jurisdictions. For this reason, persons in countries in which the publication as well as the offering and selling of products and services described on the Websites are not permitted by law, must not enter the Websites and/or acquire the products displayed on the Websites.

Neither Erste Group nor any third party shall offer access to the Websites or offer the products to especially, but not limited to citizen/residents of the United States and “U.S. person” (as defined in Regulation S under the US Securities Act 1933 as amended), citizen/resident of Australia, Canada, Great Britain and Japan. For this reason, the distribution or redistribution of the information, materials and products into United States, Australia, Canada, Great Britain and Japan or into any other jurisdiction where it is not permitted under the applicable law, as well as to the citizens/residents of these countries shall be prohibited.

The securities displayed on the Websites have not been and will not be registered under the US Securities Act of 1933 and trading in the securities has not been approved for purposes of the US Commodities Exchange Act of 1936. For this reason the securities may, inter alia, not be offered, sold or delivered within the United States or, for the account and benefit of U.S. persons.

The Interested Party is solely responsible to examine, whether he may enter the Websites under the law applicable to it. Erste Group shall not be responsible for the distribution of content of any of the Websites to individuals or entities which provide false information about their right to enter the Websites. For this reason Erste Group shall not be liable for any legal claims or damages which may result from the unauthorized entering or reading of the Websites.

By agreeing to this hereto, the Interested Party confirms that
(i) It has read, understood and accepted this Information and the Disclaimer;
(ii) It informed itself about any possible legal restriction and warrants that it is not restricted or prohibited to enter the Websites according to any law applicable; and
(iii) It does not make available the contents of the Websites to any person who is not qualified by law to enter the Websites.