Boost your income with our selection of
Barrier Reverse Convertibles
What makes Swissquote’s Yield Boosters special?
Every week, our experts carefully design Barrier Reverse Convertibles (BRCs) offering maximum value and protection to our clients. They always follow our 3 golden rules:
with a limited number of variables (no surprise)
NO HIDDEN COSTS
fair pricing with a CHF 9 flat fee*
all Yield Boosters are issued by Swissquote
*Excluding third-party fees, stamp duty, if any, and real-time fees.
Our weekly selection
Hot off the press, we have designed this week’s Yield Boosters to offer optimal potential according to the latest market data and forecasts. Our On-Trend option provides a better capital protection, while our François Bloch's option offers a more substantial coupon at the cost of a slightly higher risk.
Subscription to each product is available for a limited period.
You can subscribe to our Yield Boosters online via our Swissquote Trading platform or by calling our Customer Care Center at +41 44 825 88 88 from Monday to Friday (08h00 - 22h00).
Unfamiliar with BRCs?
Our BRCs are actually simple, pre-packaged structured products. We teach you the ins and outs in our education section below.
About our On-Trend Yield Boosters
Our On-Trend BRCs offer attractive yields while keeping risk to a minimum thanks to a more lenient EU-style barrier.
From the creative minds that brought you intuitive thematic investing with Themes Trading. Years of applied market strategy experience at your service, crafting quality investment products that capture real-world opportunities.
About our François Bloch’s Yield Boosters
While our François Bloch BRCs feature a less forgiving US-style barrier, their yields can range from outstanding to mind-blowing!
They are meticulously selected by François Bloch, finance journalist and editor of ‘The Week’. He is one of Switzerland’s foremost investment strategists, boasting a vast experience in asset and fund management as well as structured products.
Order your customised Yield Booster*
The products on offer aren’t quite right for you? You’d rather choose your own underlyings or conditions?
With a minimum investment of CHF 20'000, you can request a custom structured product made to your specifications, free of charge. Just fill out the form or call us on + 41 44 825 88 88
Alternatively, check out the secondary market for a wider range of structured products.
A derivative is a financial security or instrument that derives its value from underlying assets, such as commodities, currencies (including crypto), stocks, bonds, market indexes and more. The price of the derivative is determined by fluctuations of those assets.
At Swissquote, Yield Boosters refer to Barrier Reverse Convertibles (BRC). The Barrier Reverse Convertible, or BRC, is one of the most popular yield enhancement products in Switzerland. BRC is a special variant of the classic reverse convertible, which sees the holder give up potential upside exposure to an underlying asset in exchange for an enhanced coupon. The holder also avoids downside exposure, unless a predefined barrier is broken through.
A sideways trending market is the best scenario for BRC as the product will always outperform its underlying asset on the downside, and will also outperform if the asset doesn’t rise by more than the coupon.
The underlying is a stock or bond on which derivatives (such as futures, ETFs, and Swissquote’s Yield Boosters) are based. Any fluctuation or movement of the underlying will affect the pricing of the derivative.
The maturity date is the agreed date that an investment ends: the principal is repaid and interest payments stop. The term is most commonly used for bonds, but is also applied to Swissquote’s Yield Boosters.
A coupon is the amount of annual interest paid on our Swissquote’s Yield Boosters or on bonds. Expressed as a percentage of the face value, the amount is paid out periodically from the issue date until the maturity date.
The barrier is a pre-determined percentage of the current underlying price. If none of the underlyings breach that level, the investor recovers 100% of the initial investment, plus the coupon. Otherwise, they still receive the coupon, but recover less than the initial investment, according to the final underlying price.
There are two types of barrier: with a EU-style barrier, only the price at maturity is observed to determine if a breach event happened; whereas a US-style barrier can’t be breached at any time during the product life cycle.
Swissquote’s Yield Boosters are quanto derivatives, meaning the underlying is expressed in one currency, and settled in another. This gives investors exposure to foreign assets without a corresponding exchange rate risk.
The strike price, or exercise price, is the price at which the underlying asset of a derivative can be bought or sold. It’s the most important determinant of option value, and triggers the ability of an investor to buy or sell, depending on whether a call or put option was purchased.
A cap included in structured products allows for investors to benefit from more attractive conditions with a sideways trend of prices, but may also limit the investor’s profit potential.
Bonds are traded as percentages of their nominal value, which is the original value without any adjustments having been made for inflation or other factors that might affect its price. Bonds are typically repaid at their nominal value on reaching maturity.
A soft call provision can make a derivative more attractive for investors as it requires the issuer of a bond to pay a premium should the bond be called earlier.
If a Yield Boosters structured product is callable, it may be redeemed early by the issuer. If this occurs, investors are generally compensated by a more attractive interest or coupon rate.
Auto-callable Yield Boosters have an automatic call feature that triggers when the underlying passes an upside barrier prior to the date of maturity. The product is considered matured, and the issuer returns the investor’s principal, and an above-market coupon.
Non-callable Yield Boosters cannot be redeemed by the issuer prior to the date of maturity. These products come with lower interest rates, which is balanced by a lower level of risk for the investor.
The underlyings of our Yield Boosters structured products are often listed on their home stock exchanges in foreign currencies, exposing the investor to currency exchange risk. A quanto feature protects the investor from exchange rate fluctuations while offering exposure to foreign assets.
Physical delivery occurs when the settlement of securities are exercised and shares are made available at the strike price. If the investor chooses physical delivery over a cash settlement, the underlying shares will be delivered to the investor’s brokerage account.
Cash settlements occur when an investor opts for a cash settlement when securities reach a settlement date. The net cash position is delivered to the investor’s brokerage account, rather than the underlying assets.
How do Barrier Reverse Convertibles (BRC) work?
When you subscribe to a barrier reverse convertible, you accept to limit the maximum return in exchange for a guaranteed coupon providing superior yield. This makes it an ideal instrument in market environments that are stagnating or on a slow rise or decline.
A BRC typically provides a better performance than its underlying product in all scenarios except a sharp price rise above the return cap.
The subscription process
You can cancel anytime by phone during our opening hours while the subscription period runs – you are only charged once the BRC is allocated to you at the end of the subscription period.
No provision will be taken from your account during the subscription period. This means that you should leave sufficient buying power on the account for the allocation to happen at the end of the subscription period.
Note: Swissquote also reserves the right to cancel a BRC offer during the subscription period, in which case you will be informed by the end of the subscription period.
Recent Yield Boosters
Structured products issued by Swissquote Bank Ltd ("Swissquote") are claims against Swissquote in the form of uncertificated securities (the "Structured Products"). In accordance with CISA, structured products are not deemed to be collective investments schemes according to the Collective Investment Schemes Act of 23 June 2006 ("CISA") and are therefore not subject to authorization or supervision by the Swiss Financial Market Supervisory Authority ("FINMA").
The information and details on Structured Products issued by Swissquote mentioned on this website do not constitute an offer, a transaction strategy or advertising materials. Nor should they be interpreted as a solicitation or offer to buy or sell any financial instruments in any jurisdiction whatsoever. The information provided is general in nature. It does not take account of investor’s investment objectives, the composition of their portfolio, their financial situation or any specific needs or requests.
Before entering into a financial transaction, investors must check that the information provided is appropriate to their personal circumstances in terms of legal, regulatory, tax and other consequences, and should seek the assistance of a professional adviser, where necessary. Past performance is not a reliable indicator of and provides no guarantee in relation to future results. Investors confirm that they are aware of the risks inherent in Structured Products trading, such as but not limited to, currency risk, interest rate risk, market risk, concentration risk and issuer risk, and are aware that financial transactions may be highly speculative and may result in losses as well as profits.
Regarding Structured Products issued by Swissquote, and in contrast to collective investments, Swissquote is liable with its own assets and not with specifically protected assets. In addition to a potential loss resulting from a decline in the market value of the underlyings (market risk), the investor may in the worst case lose his entire investment if Swissquote becomes insolvent (issuer risk). The money invested by an investor in Structured Products issued by Swissquote does not benefit from the deposit insurance system.
To obtain further information about the risks involved, investors should read the brochure entitled "Risks inherent in trading financial instruments", as well as Swissquote’s Legal documentation.
None of the Structured Products issued or sold by Swissquote may be offered or sold within the USA, or to persons who are US citizens, are resident in the USA, or are required to pay taxes in the USA. Products and services of Swissquote are only intended for those permitted to receive it under local law.