6 new Long DLCs on $HSTECH(HSTECH)$ , $KUAISHOU-W(01024)$ , $BILIBILI-W(09626)$ , $SMIC(00981)$ , $SUNNY OPTICAL(02382)$ , and Ganfeng Lithium started trading today 1 April. These new DLCs are generally issued at a higher price which allows for a greater sensitivity to the underlying index or stock movement.
Overly-low price DLCs tend to be insensitive as they require a larger movement on the underlying index/stock to move one minimum bid size (tick). Whereas, higher-price DLCs generally offer greater sensitivity, requiring a smaller movement on the underlying index/stock for the DLC to move one tick.
While the pricing does not affect a DLC's fixed leverage performance, a higher-priced and more sensitive DLC will offer a wider trading range for investors compared to an overly low-priced one.
In particular, a higher-priced $XRXW has been issued to provide a more sensitive option. Those who currently hold YPCW are advised to consider switching to the more sensitive SYHW or newly-listed XRXW.
HSTECH gapped up 3% at the open on optimism surrounding the end of the Iran war, lifting the HSTECH 7x Long DLC (XRXW) up 21%, and the HSTECH 7x Short DLC (9B2W) down a similar magnitude. The HSTECH 7x DLCs can magnify exposure in either direction, allowing investors to express their view on whether the move could extend into a rebound or reverse into further downside
Asian Markets were tracking the strong US performance overnight, as the Nasdaq-100 surged 3,4%. Amplifying the return, theNasdaq 7x Long DLC (MFVW) rose about 24%, with the Nasdaq 7x Short DLC (FFIW) sinking around the same magnitude.
Despite the broad uptick, all indices covered by the DLCs remain below their 50‑, 100‑, and 200‑day moving averages. This environment creates scope for investors to magnify exposure in either direction: Short DLCs can be used to gain amplified exposure to potential downside should sentiment reverse, while Long DLCs provide amplified exposure for those who interpret recent strength as the early stages of a rebound.
View the full list of newly-launched DLCs on dlc.socgen.com
This advertisement has not been reviewed by the Monetary Authority of Singapore. This advertisement is distributed by Société Générale, Singapore Branch. This advertisement does not form part of any offer or invitation to buy or sell any daily leverage certificates (the “DLCs”), and nothing herein should be considered as financial advice or recommendation. The price may rise and fall in value rapidly and holders may lose all of their investment. Any past performance is not indicative of future performance. Investments in DLCs carry significant risks, please see dlc.socgen.com for further information and relevant risks. The DLCs are for specified investment products (SIP) qualified investors only
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