Societe Generale launches Asia’s first Autocallable Structured Certificates on SGX

The new Autocallable Structured Certificates, which will be listed on SGX from 30 August 2023, are a type of yield enhancement structured product that offers investors a predefined enhanced yield upon fulfilling certain conditions. The certificates are linked to single equities with a 1-year maturity, with the original amount invested at risk. The certificates are not deposits placed with Societe Generale. 

Investors can potentially enjoy regular distribution payments at a defined rate and receive the original amount invested at maturity, subject to certain conditions on the underlying stock price movement. In addition, if the underlying stock rises above a certain upper threshold, the certificate might be early redeemed and if it falls below a certain lower threshold, investors can potentially elect to receive physical delivery of the underlying shares at expiry. 

This new launch broadens the range of SGX-listed products available to eligible retail investors to meet their investment needs in different market conditions. By listing the certificates on SGX, Societe Generale hopes to offer price transparency, liquidity on these structured products and greater accessibility to eligible investors. 

The Autocallable Structured Certificates are classified as a Specified Investment Product (SIP), hence investors should possess either a high level of investment knowledge or experience before transacting in the certificates. 

Olivia Chen, Head of Distribution Sales in South-east Asia and Australia at Societe Generale, said, “As a leading Structured Products issuer globally, we are always thinking innovatively to meet investors’ needs for diversification and market access, more transparency and liquidity. We are pleased to partner with SGX for the market-first Autocallable certificates, supporting our customers’ investment strategies amidst changing market conditions.”

Michael Syn, Senior Managing Director and Head of Equities, SGX Group, said, “We are delighted to work with Societe Generale, UOB and UOB Kay Hian, to pioneer the listing of Structured Certificates on exchange in Asia. Investors’ appetite for listed structured products has grown and there is strong demand for more options that offer both risk management and enhanced returns. As our customers become increasingly sophisticated, Structured Certificates will bring a new dimension to our diverse suite of products and enable investors to capture more opportunities in today’s dynamic markets.” 

The range of Autocallable Structured Certificates issued by Societe Generale will be launched in regular series and open to eligible investors for subscription via distributors, including United Overseas Bank Limited (UOB) and UOB Kay Hian Holdings Limited. 

For more information, please visit certificates.societegenerale.com or refer to SGX’s press release.