UBS DLCs
Get rewarded when you trade two Daily Leverage Certificates (“DLC”) issued by UBS from 17 July to 16 Oct 2023
Trade two Daily Leverage Certificates (“DLC”) issued by UBS from 17 July to 16 Oct 2023 and get rewarded
What is a DLC?
A Daily Leverage Certificate (DLC) is a form of structured financial instrument issued by banks and traded on the securities market. DLCs offer investors fixed leverage of 3 to 7 times the daily performance of an underlying index, be it a rising or falling market. The basic principle is simple – if the underlying index moves by 1% from its closing price of the previous trading day, the value of the 3x DLC will move by 3%.
SGX is Asia’s first venue to offer trading in DLCs, allowing investors to gain fixed leveraged exposure to developed Asian market indices and single stocks. This comes without the features impacting pricing for options such as implied volatility, time decay or margin calls.
DLCs were first introduced in Europe in 2012, where they are also called constant leverage products or factor certificates. They received wide interest from investors in Europe shortly after their launch.
How do you trade DLCs?
Daily Long and Short
Compounding Effect
Airbag Mechanism
Why Trade DLCs?
Leverage up to 7 times the daily performance of an underlying index
Flexibility to trade both rising and falling markets
Low capital outlay and loss limited to invested amount
No margins. No implied volatility impact. No time decay impact.
Transparent pricing due to tradability of the products on exchange
Frequently Asked Questions
You must be a POEMS Customer who trades UBS Daily Leverage Certificates (DLC) from 17 July 2023 to 16 October 2023, and executes at least TWO transactions on Daily Leverage Certificates (DLC) issued by UBS.
Once the promotion ends, we will contact you via the email address you have registered with POEMS and give you the details on how to collect your vouchers. Please note that these vouchers will only available for collection by customers residing in Singapore.
You can identify the Issuer through the DLC name.
Here is an example using the counter Tencent. TSGW – Tencent 5xLongUB241231
TSGW Counter Code
Tencent Underlying
5x Leverage Factor
Long Long/Short
UB Issuer (UB = UBS)
241231 Expiry Date (YYMMDD)
As a leverage product, Daily Leverage Certificates (DLC) give investors increased exposure to an underlying asset with the potential for higher returns. The leverage of a DLC can be 3, 5 or 7 times. Based on 5x leverage, if the underlying asset, typically a single stock or index, moves 2% in favour from its previous closing price, you earn a 10% gain on the DLC (2% * 5 = 10%). However, if the underlying asset moves in the direction against your position, you could experience a -10% loss.
Please contact your dealer or Trading Representative. Alternatively, please contact our Customer Experience Unit otline at 6531 1555 or send an email to talktophillip@phillip.com.sg
Terms and Conditions
This promotion is for Customers who trade UBS Daily Leverage Certificates (DLC) issued by UBS from 17 July 2023 to 16 October 2023 (the Promotion Period).
Eligibility Criteria for the reward:
- Accounts used for trading of DLCs must be Cash Plus, Margin (M), Custodian (C), Prepaid Custodian (CC), Cash Management (KC) and Share Financing (V) Accounts.
- At least TWO transactions on Daily Leverage Certificates (DLC) issued by UBS must be executed.
The reward is capped at S$88 per customer, regardless of the number of Eligible Accounts through which the Customer places UBS DLC trades during the Promotion Period.
Each Customer can only claim the reward once. Customer(s) with multiple Accounts will not qualify for the reward again.
The reward will be credited to Eligible Accounts by 31 December 2023.
The following persons are not eligible for this reward, unless approved by the management of Phillip Securities Pte Ltd (“PSPL”):
- PSPL institutional customers and corporate customers
- PSPL account holders whose accounts have been suspended, cancelled or terminated
- PSPL and its associated entities and subsidiaries (direct or indirect), e.g. Staff, and Financial Advisory Representatives.
In the event of a dispute over the customer’s eligibility to participate in this reward, PSPL’s decision will be final.
PSPL reserves the right at any time in its absolute discretion to (i) amend, add to, and/or delete at any time of these Terms & Conditions without prior notice (including eligibility and qualifying terms and criteria), and all participants shall be bound by such amendments, additions and/or deletions when effected, or to (ii) vary, withdraw, and/or cancel any items or the reward itself without having to disclose a reason, and without any compensation or payment whatsoever. PSPL’s decision on all matters relating to the reward are final and binding on all participants.
By taking part in this reward, the participant acknowledges that he/she has read and consented to these Terms & Conditions.
