Goodyear Tire & Rubber
Fixed Rate Bond Linked Security
You can now invest in a new Australian dollar, fixed coupon, and credit-linked note over Goodyear Tire & Rubber yielding 4.5% per annum return.
The NASDAQ-listed Goodyear develops, manufactures, and sells tires for cars, trucks, buses, aircraft, and earthmoving and mining and industrial equipment in 48 facilities in 21 countries.
The company earned $US17.5 billion in revenue in 2021, more than leading Australian companies such as Commonwealth Bank of Australia and National Australia Bank.
The bond is issued in Australian dollars, eliminating foreign exchange rate exposure.
This is your opportunity to diversify your investments into a bond not usually available in Australia.
Goodyear is a leading global consumer discretionary company. This bond can help you introduce sector diversification to your investment portfolio.
Key Information
- C2 Bond Linked Security:
- 4.5% p.a. fixed rate
- 5 year note
- Coupons paid half yearly
- ABE Code: C2GF045027
Goodyear Tire & Rubber Senior Unsecured Bond Reference Asset
- Goodyear Tire & Rubber Senior Unsecured Bond 4.875% Notes maturing 15 March 2027
- Bloomberg Name: GT 4 7/8 03/15/27 Corp
- Bloomberg ISIN: US382550BG56
- Debt Type: Senior Unsecured
- Currency: The Bond is denominated in AUD. All Coupons and any Final Value is delivered in Australian dollars, without exposure to the exchange rate.
Risks
The risks listed below are not all of the risks associated with the activities of an investment in Yield Enhanced Securities.
Credit Risk: Defaults on the underlying security may result in a loss of principal invested and/or interest due under those Notes
This risk is mitigated by:
- The size and global reach of the underlying security;
- The use of Tier One International banking partner
Bond Market Risk: A material decline in the value of Goodyear brand in relevant market segments will erode the value of the underlying bond.
This risk is mitigated by:
- The factors referred to under ‘Credit Risk’ above;
Liquidity risk. You may not be able to realise your investment when you want to. The Issuer Buy-Back facility is at the discretion of the Issuer. Issuer Buy-Back requests are determined at the Issuer’s discretion
This risk is mitigated by:
- The Australian Bond Exchange will facilitate the secondary market to enhance liquidity.