Credit Suisse announces conditional offers to buy VIX Short Term ETNs

By Marisa Wong

Morgantown, W.Va., July 1 – Credit Suisse AG announced on Friday that it will place conditions on its acceptance of offers to purchase VelocityShares Daily Inverse VIX Short Term exchange-traded notes.

Beginning on July 5, Credit Suisse may issue additional ETNs on a weekly basis and may condition its acceptance of a counterparty’s offer to purchase the ETNs on its agreement to sell to Credit Suisse some hedging instruments, including but not limited to swaps, according to a press release.

These hedging instruments will be executed on the basis of the indicative value of the ETNs at that time, will not reflect any premium or discount in the trading price of the ETNs over their indicative value and will be on terms acceptable to Credit Suisse.

In addition, Credit Suisse may from time to time issue the ETNs into inventory of its affiliates.

This does not affect the early redemption rights of noteholders, the issuer said.

The notes are listed on the NYSE Arca under the ticker symbol “XIV.”

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.