Tailored Investment Solutions Protected Enhanced Growth Series (PEGS) 1 and 2 Units

The Tailored Investment Solutions Protected Enhanced Growth Series (PEGS) 1 and 2 Units is linked to the performance of a separate basket of global shares or Australian shares (each a “Reference Basket”) for the period between the Commencement Date and the Maturity Date (subject to any Early Maturity Event), approximately 12 months.

Issued by Tailored Investment Solutions Pty Ltd and arranged by Finexia Securities Limited (as arranger).

Potential Benefits of investing in the Units

An investment in Protected Enhanced Growth Series (PEGS) 1 and/or 2 Units may suit you if you:

• are seeking exposure to the relevant Reference Basket as outlined in Section 3 – Product Summary;
• are seeking a Fixed Coupon payment provided all Component Securities are above the Strike Level;
• want an investment with a defined outcome, on the downside, where losses are limited to 10% of the Total Investment Amount;
• fully understand the risks of investing in an equity-linked investment;
• intend to buy and hold the Units until Maturity;
• may be seeking an investment which is suitable for self-managed superannuation funds;
• believe that the price of the relevant Component Security will increase, or will not fall lower than the Strike Level at the Maturity Date.

Key Risks

• The payments due to Investors are unsecured obligations of the Issuer. If the Issuer goes into liquidation or receivership or statutory management or is otherwise unable to meet its debts as they fall due, the Investor could receive none, or only some, of the Final Value or the Investor’s Total Investment Amount back.
• Before Maturity the value of the Units will be determined by many factors such as creditworthiness of the Issuer, value of the relevant Component Security, time to Maturity, volatility, global interest rates and other market factors.
• You may not be able to realise your investment when you want to. Applications for an Issuer Buy-Back are only available quarterly and are subject to acceptance at the discretion of the Issuer. In addition, there is no secondary market for the Units.
• The Units may mature early if an Early Maturity Event occurs or if an Investor requests an Issuer Buy-Back and consequently Break Costs may be incurred. In the case of Early Maturity, the amount Investors receive may be significantly less than what they would have received had they held the Units to Maturity.
• There is no guarantee that the Units will generate returns in excess of the Total Investment Amount. Investors may lose their entire Total Investment Amount.
• The Final Value is not guaranteed – the Final Value depends on the performance of the components of the Reference Basket on the relevant Maturity Date.
• There is no established market for the Units. The Issuer has the right to accept or reject redemptions in its absolute discretion. Generally, the Issuer would only reject or defer an Issuer Buy-Back request if it is unable to adequately unwind its hedging arrangements.
• Investors are subject to counterparty credit risk with respect to the Issuer and the Hedge Counterparty.
• If the Issuer defaults under the Hedge, then the Hedge Counterparty will have the right (but not the obligation) to terminate the Hedge of that Series. If the Hedge is terminated, it will be an early unwind and the value derived will be the early termination value of the Hedge. This may be significantly less than the value that the Investor could expect on Maturity, and may be zero.
• Investors are limited in their recourse against the Issuer (for example, if the Issuer defaults under the Units or the PDS) to only the amounts recovered or recoverable under the Hedge corresponding to their Series of DPA. Otherwise, Investors have no recourse to the Issuer personally, and cannot claim any amounts greater than the Final Value plus any Coupons that were, or could have been due and owing.

Please read the PDS in full for a complete overview of Risks associated with an investment in PEGS 1 and 2.

Product Disclosure Statement (PDS)

To download a PDS dated 6 June 2022 please click here.
To download the Supplementary SPDS dated 15 June 2023 click here.
To download the Target Market Determination click here.

Important Information

Tailored Investment Solutions Protected Enhanced Growth Series (PEGS) 1 and 2 Units are issued by Tailored Investment Solutions Pty Ltd (ACN 169 320 905) (the “Issuer”) and arranged by Finexia Securities Limited (ABN 61 608 667 778, AFSL 485760).