Question 1

Can I exit these strategies early?

Accepted Answer

Yes, during normal market conditions, Investors may redeem units at any point over the term. Redemptions are subject to a 1% bid/ask spread. The exit price will depend on a wide variety of factors, most notably: Time left in the product, current price of the reference assets and volatility.

Question 2

Who is providing these investments?

Accepted Answer

Investors are purchasing notes from an investment grade issuer from our 11+ panel of global investment banks.

Question 3

How are these investments created?

Accepted Answer

The issuer generates these returns via complicated hedging and trading strategies. The issuers are contractually obligated to meet the terms outlined in the term sheets provided. Meaning that regardless of how the issuer generates the returns the issuer must meet the obligations of the term sheet.

Question 4

Are this investments subject to risks?

Accepted Answer

Yes, the investment is exposed to the following risks:

1. Market Risk: The product may at any time be subject to significant price movement which may in certain cases lead to the loss of the entire amount invested.

2. Liquidity risk: The product has a materially relevant liquidity risk. Certain exceptional market circumstances may also have a negative effect on the liquidity of the product. An investor may not be able to sell the product easily or may have to sell it at a price that significantly impacts how much they get back. This may entail a partial or total loss of the invested amount.

3. Credit risk: Investors take a credit risk on the Issuer, and (if applicable) ultimately on the guarantor of the obligations of the Issuer in respect of the product according to the terms and conditions of the guarantee (available at the Guarantor’s office upon request). Thus the Issuer's insolvency may result in the partial or total loss of the invested amount. The market value of your investment in the product can decrease significantly below its nominal value as a result of a downgrade of the issuer credit worthiness.

The above summary is not a definitive list of risks - please refer to term sheet for a full description of risks: In addition to the below risks, various factors may impact on the potential return of the product. Some of these risks are Credit risk, Recourse limited to the Guarantor and ADI status, Market Risk, Liquidity Risk, Events affecting the underlying instrument(s) or hedging transactions, Secondary Market Risk, Currency Exchange Risk, Settlement risk, Conflicts of Interest, Risk relating to unfavourable market conditions, Distributor’s Undertaking, and Information when products do not offer full principal repayment at maturity] and have been identified from the Issuer.

For further information please refer to the term sheet provided alongside this presentation or on the Stropro platform.

Question 5

What are the investment minimums?

Accepted Answer

To create a bespoke structured investment, the minimum is typically AUD $200K. However, end client transactions can be lowered to as little as $10K-$20K.

Question 6

How are client assets held?

Accepted Answer

Stropro is a direct participant of Clearstream, one of the world’s largest settlement and custody systems, providing institutional-grade safekeeping and settlement for client assets. We can also settle transactions to an adviser’s preferred wealth platform or custodian, ensuring flexibility and alignment with your existing arrangements.

Question 7

Is Stropro regulated?

Accepted Answer

Yes — Stropro holds its own Australian Financial Services Licence (AFSL) and operates under strict compliance protocols, including AML/CTF and adviser accreditation requirements.

Question 8

How do I get started with Stropro?

Accepted Answer

We like to begin with a discovery meeting to understand your requirements, objectives, and current client offering. This allows us to tailor our solutions and integrations to your needs. From there, we guide you through our adviser onboarding process — verifying your licensing, setting up platform access, providing product training, and, where appropriate, supporting you through your first structured investment solution for clients.

Protected Equity Loan

Tax Effective

Example

FAQs

Overview

Why use a Protected Equity Loan Facility?

How it Works:

1. The Beginning:

2. During the Term:

3. At Maturity:

Example: Index + AAA Protected Loan with Collar

1. Growth Scenario: Underlying Performance >= Upside Cap

2. After-tax Breakeven Scenario: Underlying Performance: 6.30%

3. Bearish Scenario: Underlying Performance <= Initial Price

Frequently asked questions