TD Securities is following up on its first structured investment offering in the U.S. with another similar deal. The first, a reverse convertible note linked to E*Trade stock (DW, 7/7), raised USD697,000, according to Securities and Exchange Commission filings.
The second deal is provisionally being tied to Lowe's Companies stock. Investors will receive a 9% coupon for the one-year note, providing the stock does not fall by more than 80% of its initial value when the note is priced at the end of the month. If losses are below this 80% limit, the investor may lose capital, depending on the stock's losses. Hamid Omoumi, managing director in structured finance at TD in Toronto, declined additional comment.
