ETF CODO is a hedge dollar investment in CoCos

WisdomTree AT1 CoCo Bond UCITS ETF – US Dollar Hedging (CODO ETF) Attempts to track the results, before fees and expenses of the iBoxx Contingent Convertible Liquid Developed Europe AT1 US Dollar Protected Index (the “Index”).

Why invest?

Diverse exposure to AT1 CoCos. The fund invests in CoCos that have credit ratings, are backed by advanced European financial institutions, are liquid-controlled and meet WisdomTree ESG (Environment, Social and Governance) standards.

It offers a unique return, yield and risk profile. The ETF is physically backed up and UCITS compliant

the potential risks. CoCos can be converted into equity in the issuing financial institution or its capital can be reduced. This can result in your investment losing some or all of the original investment amount

The behavior of the relatively new CoCo bond market has not been tested under a systemic financial crisis, so the price and liquidity of CoCo may deteriorate in such circumstances. Thus, past performance is not a suitable indicator of future performance

Coupon payments at some CoCos are completely discretionary and can be cancelled. As a result of the uncertainty regarding coupon payments, CoCo products may be more volatile, and their price may drop rapidly if coupon payments are interrupted. Some CoCos may be redeemable bonds, which means that these redeemable bonds can be redeemed by the issuer before the bond matures. This can result in the investor not recovering the invested capital on the specified purchase date or any date at all. Some Codes of Conduct are issued as permanent instruments and can only be redeemed at pre-determined levels after approval by the relevant regulatory authority. It cannot be assumed that these eternal CoCos will be called in the history of the call. CoCos is a form of permanent capital. The investor may not recover the original amount as expected on the date of purchase or in fact on any date

This list does not cover all risks. Additional risks are described in KIID and Prepectus & Communications Surveillance

Index details

The index is designed to reflect the performance of Tier 1 (“AT1”) tier 1 convertible equities (“CoCos”), denominated in euros, US dollars and British pounds, issued by financial institutions from developed European markets. AT1 follows the bank’s capital classification according to Basel III[1]principles. Index rules aim to provide good coverage of the CoCo bond world while maintaining investment and liquidity standards. In addition, the index also excludes CoCo bonds that do not meet WisdomTree’s ESG (Environment, Social and Governance) criteria. The index is the weighted market value and is rebalanced monthly.

Trading ETF CODO

WisdomTree AT1 CoCo Bond UCITS ETF – US Dollar Hedging (CODO ETF) It is a European exchange-traded fund. This fund is traded on the London Stock Exchange.

The London Stock Exchange is a market that a few Swedish banks and online brokers provide access to Dejero Do it.


exchange Currency short name inside
LSE American dollar elbow IE00BFNNNN012
six American dollar elbow IE00BFNNNN012

Leave a Reply

Your email address will not be published. Required fields are marked *