JACKSONVILLE, Fla., Aug. 15, 2013 /PRNewswire/ -- EverBank announced today the launch of the five-year MarketSafe® Evolving EconomiesSM CD, which combines the market potential of the Colombian peso, Turkish lira, Indian rupee and Mexican peso1. The CD offers 100 percent principal protection2 and a unique jump-note structure that ensures an upside payment of at least 15 percent if the final return of the CD is more than 0 percent.
"Colombia and Turkey tend to be overlooked and underutilized by the average investor," said Chuck Butler, president of EverBank World Markets. "The currencies of all four countries represented in the CD present unique opportunities. These emerging markets don't have the debt structures maintained by many other countries, and therefore their economies aren't weighed down by excessive debt. As these countries change in the next five years, we believe their economies will be poised for prospective growth against the U.S. dollar."
Launching August 15, 2013, EverBank created the FDIC-insured2 Evolving Economies CD for individuals interested in financial exposure to emerging economies, but concerned about the obvious risk.
"There is always risk. However, foreign currencies offer broader diversification, an important hedge against inflation and a lower overall market risk," said Chris Gaffney, Senior Vice President of EverBank World Markets. "The Evolving Economies CD provides an anchor within the tumultuous world of currencies -- guaranteed return of the deposited principal, regardless of market changes."
Additionally, the jump-note structure ensures that if the final return of the CD is more than 0 percent but less than 15 percent, the CD's upside payment will automatically jump to 15 percent.
Any market upside payment above 15 percent will be included in the final return. The final upside payment is derived from the average price of the combined currencies taken semi-annually for five years. Customers can not access the money over the five-year term.
EverBank's MarketSafe Evolving Economies CD has a minimum deposit of $1,500 and no account fees, unless the CD is structured as an IRA. The funding deadline is September 11, 2013.
ABOUT EVERBANK FINANCIAL CORP
EverBank Financial Corp, through its wholly owned subsidiary EverBank, provides a diverse range of financial products and services directly to clients nationwide through multiple business channels. Headquartered in Jacksonville, Florida, EverBank had $18.4 billion in assets and $13.7 billion in deposits as of June 30, 2013. With an emphasis on value, innovation and service, EverBank offers a broad selection of banking, lending and investing products to consumers and businesses. EverBank provides services to clients through the internet, over the phone, through the mail, at its Florida-based financial centers and at other business offices throughout the country. More information on EverBank can be found at www.abouteverbank.com.
- These currencies are not being acquired by you or EverBank. The upside payment of the U.S. dollar denominated CD will be based on the equally weighted value of various indices reflecting the performance of those currencies against the U.S. dollar, as measured by the Prices recorded on the established Pricing Dates. The Fixing Prices for Colombian peso, Turkish lira and Mexican peso shall be quoted from Reuters on the Initial Value Date, Final Value Date and Pricing Dates, using the following: Colombian peso-Ask price on "EMTA", Turkish lira-ECB37, Mexican peso-WMRSPOT10. The Fixing Price for Indian rupee shall be quoted from Bloomberg on the Initial Value Date, Final Value Date and Pricing Dates, using the following: Indian rupee-INRRATE<CURNCY>. The Initial Fixing Price for any one currency shall be the Fixing Price for that currency as of the Initial Value Date. The "Average of 10 Semi- Annual Pricing Dates" for any one currency shall be the simple average of the Fixing Price of that currency as of the 10 Semi-Annual Pricing Dates. In the event Bloomberg or Reuters fails to publish the last price for any one or all of the indices, EverBank reserves the right to use an alternative index or price determination in its discretion.
- Principal protection only applies to CDs held to maturity. In the event of Bank failure, the CD balance is FDIC insured up to $250,000. Your other deposits with EverBank will be aggregated with the MarketSafe CD with respect to the $250,000 maximum. Except in the event of death or adjudication of incompetence of the holder of the MarketSafe CD, you may not withdraw any part of the CD prior to maturity. If you do withdraw early, even if that is due to the death or adjudicated incompetency of the holder of the CD, you will NOT receive Principal Protection and will NOT benefit from any upside potential of the Reference Index, experiencing a loss of principal as an early withdrawal charge. Please see Account Terms, Disclosures and Agreements Booklet.
SOURCE EverBank Financial Corp