Glossary
Leverage products are structures offering a geared exposure to the performance of an underlying (usually a single share). Examples of commercial names for such products include Speeders, Turbos, Powers and MINI products, all available either in a Long (also known as Bull), or a Short (also known as Bear) version.

In a Long (or Bull) product, the product’s return is increased by more than 1% for every 1% rise in the underlying above its initial level, and decreased by more than 1% for every 1% fall in that underlying. On the other hand, in a Short (or Bear) product, the return is decreased by more than 1% for every 1% rise in the underlying above its initial level, and increased by more than 1% for every 1% fall in the underlying.

For most leverage products, losses are limited to a maximum via a stop-loss feature. The product will then cease to exist (knock-out) automatically if the underlying falls below (in case of a long product) or rises above (in case of a short product) a pre-specified stop-loss level, delivering a limited loss in the invested capital. The actual stop-loss level is typically adjusted regularly depending on the implied financing of the leveraged position.

This section briefly describes how such products are structured.