4th May 2022 (Wednesday)
[Click here for DLC product list]
Market Commentary
5X Long & Short Exposure to NASDAQ-100

Daily Leverage Certificates (DLCs) offering 5X Long and Short exposure to the NASDAQ-100 Index started trading last Thursday, 28 April. 

The expansion to include NASDAQ-100 Index builds on the success of the S&P 500 DLCs launched earlier in March. In the past month, the Short DLCs on S&P 500 have gained around +49% while the Long DLCs have declined around -39% on the back of a -8.8% decline in the S&P 500 Index. The NASDAQ-100 Index also saw a similar decline of -13.3% in the month of April. 

The launch of DLCs tracking US indices offers investors exposure to the U.S. market via an SGX-listed instrument using SGD during Asian hours, with the flexibility to trade both long and short directions of the market. As these DLCs are only traded during SGX market hours when the US market is closed, their intra-day price movements are closely linked to the performance of the e-mini S&P 500 & NASDAQ-100 futures. 

CYDW
NDX 5xLongSG240425
NDX 5x Long
Last Price1
1.035 -0.027
(-2.54%)
Last Update: 29/04/2022 17:28
 
CXEW
NDX 5xShortSG240425
NDX 5x Short
Last Price1
0.795 +0.048
(+6.43%)
Last Update: 29/04/2022 17:28
Last Price1: The DLC price displayed is based on the 'bid price' instead of the 'traded price'. This is to provide a more accurate representation of the DLC value at each particular point in time and a more accurate reflection of DLC price changes. DLCs do not trade as frequently as shares and sometimes may not record a trade for a long period of time though the bid/offer prices quoted by the Designated Market Maker may continue to move, therefore using the bid price is usually the best indicator of a DLC value.
  CLICK FOR MORE PRODUCT INFO  

 

DLC Promotions

View the Poems DLC promotion here

View the Tiger DLC promotion here

New Features
New Tools & Insights on the DLC Website

•    Create a Watchlist of your favourite DLCs
•    Gain Market Insights with fund flows for DLCs & Underlying Stocks
•    Compare DLCs easily to choose the best one for your target exposure
•    Identify trends with Charting Tools

 

Latest Events
Upcoming Webinar Series

Hear from these renowed speakers on how to make the most out of DLCs in the sessions scheduled below. 

Date Time   Topic (Registration Link) Speaker
04/05/2022 7.00-8.00pm [SGX Trading Hour] Trade Idea Generation for Singapore & Hong Kong Stocks Binni Ong
05/05/2022 7.30-8.30pm [Tiger] Using DLCs to Capture Opportunities in the Volatile Markets Marcus Ng
09/05/2022 12.00-12.30pm [InvestingNote] Moving Markets Series  Binni Ong
17/05/2022 8.00-9.00pm [Poems] How to use DLCs to Trade both Bull & Bear Markets Roy Chim
This newsletter may contain links to other websites which are not operated by Société Générale, Singapore Branch (“SG Singapore”). We have no control over the information referred to on these sites or the products or services on them, and therefore makes no representations and accepts no responsibility regarding the accuracy or suitability of the information, services or products described on them. You are advised to make your own enquiries in relation to third parties described or linked on this internet site. Inclusion of a link to a third party site should not be construed as an endorsement of such third party site by us or that party's endorsement of this Website.
Education
Why is there more than one DLC on the NASDAQ-100 with the same direction, leverage and expiry?

The DLCs are issued at two different price points to provide investors with more choice however both will provide the same 5x leverage exposure regardless of the price point.

Due to the difference in price points, investors can buy more shares with the same capital outlay for the lower priced DLCs as compared to the higher priced DLC. However the higher priced DLCs have a higher sensitivity to the NASDAQ-100 Index movement than the lower priced DLCs i.e. the higher priced DLCs require less index points movement for the DLCs to move one theoretical tick movement as compared to the lower priced DLCs.

That said, both the lower priced and higher priced have the same leverage factor and move by the same theoretical movement compared to the underlying index at 5 times leverage, Long or Short.

Visit the DLC FAQ here to learn more about the sensitivity of a DLC. 

DLC Funds Flow Chart
Each DLC’s funds flow for the previous trading day on 29/04/2022 is calculated by change in the DLC’s outstanding units for the period from 28/04/2022 to 29/04/2022 (positive if there is increase in outstanding units, i.e. investors net bought DLCs from Designated Market Makers) multiplied by the last intrinsic close of such DLCs. The DLC funds flow is the aggregate of the funds flow of DLCs referencing the same Underlying Asset and same direction.
 
Top Gainers / Losers
Code Name Bid Change1
(%)
DBHW Venture 5xLongSG230713 +0.122
(+31.87%)
DECW Kuaisho 5xShortSG230330 +0.263
(+29.81%)
DICW Meituan 5xShortSG230330 +0.006
(+23.45%)
DVBW LiNing 5xShortSG231019 +0.084
(+20.95%)
DAJW Alibaba 5xShortSG230330 +0.123
(+20.77%)
Code Name Bid Change1
(%)
DMJW Bilibili 5xLongSG230329 -0.063
(-36.42%)
DVCW Venture 5xShortSG230920 -0.127
(-30.83%)
DDDW Kuaisho 5xLongSG230330 -0.115
(-24.98%)
DRAW Kuaisho 5xLongSG230202 -0.007
(-24.62%)
DSFW WuxiBio 5xLongSG230215 -0.025
(-23.74%)
Bid Change (%)1: Current Bid Price / Intrinsic Closing Value - 1
Intinsic Closing Value: Last updated on 29/04/2022
  READ MORE  
Top 10 traded DLCs
Code Name Underlying1
Chg (%)
Bid Change2
(%)
Bid Price Value traded
CWGW HSTECH 5xShortSG240327 -3.29% +0.216
(+19.13%)
1.345 4M
CVAW HSI 7xLongSG240215 -1.14% -0.01
(-6.15%)
0.152 2M
CUFW HSCEI 7xLongSG240327 -1.82% -0.101
(-11.66%)
0.765 2M
CWFW HSCEI 7xLongSG240424 -1.82% -0.116
(-11.42%)
0.900 2M
CVDW HSI 7xLongSG240327 -1.14% -0.06
(-6.63%)
0.845 2M
CWEW HSTECH 5xShortSG230216 -3.29% +0.534
(+20.10%)
3.190 2M
CXCW HSTECH 5xLongSG240424 -3.29% -0.351
(-15.25%)
1.950 1M
DGGW Tencent 5xLongSG230330 -3.32% -0.136
(-13.65%)
0.860 1M
CZMW HSI 7xShortSG240125 -1.14% +0.122
(+10.05%)
1.335 1M
CXQW HSI 5xShortSG230420 -1.14% +0.008
(+5.40%)
0.156 1M
Underlying Chg (%)1: Data calculated based on the percentage change in underlying asset price between 29/04/2022 and 04/05/2022 16:04.
Bid Change (%)2: Data calculated based on the percentage change in last intrinsic closing value on 29/04/2022 and last bid price on 04/05/2022 16:04.
SEARCH FOR A DLC
   
DISCLAIMER

This advertisement has not been reviewed by the Monetary Authority of Singapore (“MAS”). This advertisement is distributed in Singapore by MAS licensed representatives of Société Générale, Singapore Branch. If you wish to discuss this advertisement, you should do so with your financial adviser, authorised broker or with MAS licensed representatives of Société Générale, Singapore Branch. This advertisement does not constitute or form part of any offer, or invitation, to subscribe for or to sell, or solicitation of any offer to subscribe for or to purchase, any certificates on indices/equities (the “Certificates” or “Daily Leverage Certificates”), warrants or other securities. Nothing herein should be considered as investment or financial advice or any form of recommendation to purchase or sell the Certificates/Daily Leverage Certificates, warrants or other securities mentioned. Information herein is intended as general information only and does not take into account the specific investment objectives, financial situation and the particular needs of any particular person. The price of Certificates/Daily Leverage Certificates, warrants or other securities and/or the price of the underlying asset may fall in value as rapidly as it may rise and holders may sustain a total loss of their investment. Investments in the Certificates/Daily Leverage Certificates, warrants or other securities carry risks. Any past performance of the Certificates/Daily Leverage Certificates, warrants or other securities, or past performance of an underlying asset, is not indicative of future performance. This document does not constitute a full disclosure of the risks involved. Members of the Société Générale group and/or its connected persons may take proprietary positions and may have long or short positions or other interests in the Certificates/Daily Leverage Certificates, warrants or other securities and may purchase and/or sell the Certificates/Daily Leverage Certificates, warrants/ or other securities at any time in the open market or otherwise, in each case whether as principal, agent or market maker.

The Certificates/Daily Leverage Certificates are for specified investment products (SIP) qualified investors only.

The terms and conditions of any Certificates/Daily Leverage Certificates, warrants or other securities must be read in conjunction with the base listing documents for those Certificates/Daily Leverage Certificates, warrants or other securities and the relevant supplemental listing document. Investors should therefore ensure that they understand the nature of the Certificates/Daily Leverage Certificates, warrants or other securities and carefully study the risk factors set out in the base listing document and the relevant supplemental listing documents and, where necessary, seek professional advice before investors invest in the Certificates/Daily Leverage Certificates, warrants or other securities. Copies of the base listing document, which contains financial and other information relating to the Issuer and any addenda thereto and the relevant supplemental listing documents, which contain details of the Certificates/Daily Leverage Certificates, warrants or other securities, can be obtained from the Allen & Gledhill LLP at One Marina Boulevard #28-00, Singapore 018989. Investors should read these documents in their entirety before agreeing to invest in the Certificates/Daily Leverage Certificates, warrants or other securities. This is a structured product which involves derivatives and investors should not invest without fully understanding and being willing to assume all risks associated with the Certificates/Daily Leverage Certificates, warrants or other securities. Investors should ensure they understand the risks, nature, terms and conditions of the Certificates/Daily Leverage Certificates, warrants or other securities and consult their own legal, financial, tax and professional advisers regarding the suitability and risks before committing to any investment.

Investors risk the loss of part or all of their investment. Investment in the Certificates/Daily Leverage Certificates, warrants or other securities involves significant levels of risks and the Certificates/Daily Leverage Certificates, warrants or other securities should only be purchased by investors who are knowledgeable in investment matters or who have obtained appropriate investment advice.

Société Générale and its affiliates (the “SG Group”) act in different capacities in relation to the issue of the Certificates/Daily Leverage Certificates, warrants or other securities. SG Issuer is the issuer of the Certificates/Daily Leverage Certificates, warrants or other securities (the “Issuer”), Société Générale acts as designated market maker for the Certificates/Daily Leverage Certificates, warrants or other securities. Société Générale, Singapore Branch is also authorized to distribute and market the Certificates/Daily Leverage Certificates, warrants or other securities to its customers. For the avoidance of doubt and as an independent stipulation, investors agree that by purchasing the Certificates/Daily Leverage Certificates, warrants or other securities, the SG Group may provide different services and/or perform different roles in relation to the issuance, offer and/or dealing in the Certificates/Daily Leverage Certificates, warrants or other securities. The investor acknowledges and agrees that the provision of such services or the undertaking of such roles may not always be consistent with the interests of the issuer and/or the investors. The investor agrees that subject to mandatory applicable law which the SG Group cannot derogate from, no implied duties or obligations shall be imposed on SG Group to the investor under the Certificates/Daily Leverage Certificates, warrants or other securities, and in connection with or as a result of the investor’s subscription or purchase of the Certificates/Daily Leverage Certificates, warrants or other securities.

The Issuer or Société Générale may have a position or a material interest in any underlying asset.

The Issuer, Société Générale or any of their affiliates may engage in transactions involving the underlying asset for their own account for business reasons or in connection with hedging of the obligation under this Certificates/Daily Leverage Certificates, warrant or other securities. Conflicts of interest may arise as a result of such transactions within the SG Group and with the interest of investors. The Issuer, Société Générale and their affiliates are not required to consider any investors’ interests in connection with entering into any of the above mentioned transactions.

The Issuer, Société Générale and their affiliates may receive benefits and/or profits as a result of its multiple roles as designated market maker and/or distributor (whether in the nature of a fiduciary, similar or additional duty or relationship or otherwise) and fully consents to the retention of such benefits and/or profits for their own account. Each investor acknowledges and agrees that none of the Issuer, Société Générale and their affiliates is obliged to notify, and is liable to account to, an investor or any other person for (and each investor or such other person shall not be entitled to ask for disclosure of the fact or the amount of, any fees resulting from any of the aforementioned roles, other than is already disclosed in the offering documents for the Certificates/Daily Leverage Certificates, warrants or other securities. Each investor agrees that the investor will have no claim against the Issuer, Société Générale and their affiliates for, and the investor consents to the receipt, acceptance and retention by the Issuer, Société Générale and their affiliates of, such fees arising from any such multiple roles.

Société Générale does not make any warranty, express or implied, as to the accuracy or completeness of the information contained herein. No responsibility or liability is accepted by Société Générale for any inaccuracies, omissions, mistakes or errors of Société Générale in the computation of the cash settlement amount or for any economic or other loss which may be directly or indirectly sustained by any broker or holder of the Certificates/Daily Leverage Certificates, warrants or other securities or any other person dealing with the Certificates/Daily Leverage Certificates, warrants or other securities as a result thereof and no claims, actions or legal proceedings may be brought against Société Générale in connection with the Certificates/Daily Leverage Certificates, warrants or other securities in any manner whatsoever by any broker, holder or other person dealing with the Certificates/Daily Leverage Certificates, warrants or other securities. Any broker, holder or other person dealing with the Certificates/Daily Leverage Certificates, warrants or other securities does so therefore in full knowledge of this disclaimer and can place no reliance whatsoever on Société Générale. For the avoidance of doubt, this disclaimer does not create any contractual or quasi-contractual relationship between any broker, holder or other person and Société Générale and must not be construed to have created such relationship.

The Certificates/Daily Leverage Certificates, warrants or other securities are not deposits placed with Société Générale.

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