MLP Spectrum Brochure - Flipbook - Page 7
What you should know before investing
in Market-Linked Products…
Speak with your financial professional about the risks and suitability
of Market-Linked Products in your portfolio.
Call feature
Some Market-Linked Products are callable or redeemable
at the option of the issuer, and some may be autocalled.
If called, you may be unable to invest in a Market-Linked
Product with similar or better terms.
Fees
Market-Linked Products are subject to fees and costs,
including commission paid to your financial professional,
structuring and development costs, and offering
expenses. There are also trading costs, including costs
to hedge the product. Any sales prior to maturity will
be reduced by all associated fees and costs, which are
detailed in the offering documents. Market-Linked CDs
and Principal Protected Notes, when held to maturity, will
return the initial principal, subject to the credit risk of the
issuer, regardless of fees.
Liquidity
Market-Linked Products are intended to be buy-and-hold
investments. There may not be a liquid secondary market.
The value of the investment may be worth less than the
principal amount if sold prior to maturity. FDIC insurance
does not protect against losses if a Market-Linked CD is
sold or redeemed prior to maturity.
Statement value
The value reported on your statement is equal to an
estimate of the current market value, less fees. The
value reflected on your statement will fluctuate and can
be affected by various factors, including any incurred
fees (e.g., issuing and distribution fees and financial
professional commissions) and time to maturity. As the
investment gets closer to its maturity date, there is less
fluctuation in price.
Taxation
The tax treatment and timing of tax payments for a
Market-Linked Product vary depending on the structure
and type of account it resides in. For Market-Linked
CDs and Principal Protected Notes in non-retirement
accounts, you may be required to pay ordinary income
tax on the Original Issue Discount (OID) amount calculated
by the issuer each year, even if you do not receive
interest payments during the life of the investment. Your
brokerage firm or account custodian should provide the
applicable 1099 forms for tax purposes. For specific terms,
please refer to the offering documents or consult a tax
professional.
For additional information, please refer to the offering
documents.
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