Income you
can see.

An income structured note is a debt security issued by a bank that pays a scheduled coupon and ties the return of your principal to the performance of an underlying index or basket of indices. You lend money to the issuer in exchange for income, and how much principal comes back depends on where the market finishes at maturity. Notes are designed to be held to a fixed maturity date; this calculator models terms of one to three years.

No. On a contingent income note the coupon is paid only when the underlying closes at or above a set level on each observation date. If it closes below that level, that payment is skipped and is not made up later. A note quoted at 12% a year pays the full 12% only if every observation date qualifies.

Worst-of-three means the payoff follows whichever of the three underlying indices performs worst, not their average. If two indices rise 20% and the third falls 35%, the note is measured against the one that fell 35%. Worst-of notes pay higher coupons than single-index notes precisely because this concentrates the risk.

Loss protection is how far the underlying can fall before your principal is affected. It is set as a percentage of the starting level, so 30% protection means the market has to finish more than 30% down before you lose anything. On an income note the same level usually governs the coupon as well: payments are skipped on any observation date the underlying closes below it.

A buffer absorbs the first slice of a decline; a barrier is all or nothing. With a 30% buffer, a 40% fall costs you 10% of principal. With a 30% barrier, that same 40% fall costs you the full 40%, because breaching a barrier removes the protection entirely rather than reducing the loss. This calculator models a buffer.

You lose 10% of your principal, not 40%. The first 30 percentage points of the decline are absorbed, and only the 10 points beyond it reach your investment. On a $100,000 investment, $90,000 of principal is returned.

Yes, in two separate ways. If the underlying falls far enough past the loss protection, principal falls with it. Protection reduces a loss, it does not cap it. Separately, a structured note is unsecured debt of the issuing bank, so if that bank fails you can lose your investment no matter how the market performed.

No. Structured notes are unsecured debt obligations of the issuing bank and carry no FDIC or government insurance. Market-linked CDs are a different product that may carry FDIC coverage; a structured note is not one.

An autocall redeems the note early at full principal when the underlying sits at or above its starting level on a scheduled observation date. You keep the coupons paid up to that point and the note ends. An autocall shortens the term, so it returns your capital sooner but reduces the total income you collect.

Coupons follow a fixed schedule, most commonly monthly, quarterly, or annually. Each payment date is also an observation date: the coupon pays if the underlying closes at or above the protection level, and is skipped if it closes below. This calculator lets you model all three frequencies.

At maturity the final level of the worst-performing underlying decides what happens to your principal. Finish at or above the loss protection level and you receive 100% of your principal back. Finish below it and you lose the portion of the decline that exceeds the protection.

No. A bond repays its face value at maturity regardless of how markets performed and pays its coupon on schedule. A structured note ties both the coupon and the principal to an underlying market, so income can be skipped and principal can fall. Both carry the credit risk of the issuer.

Sometimes, but not dependably. Notes are built to be held to maturity, and any secondary market is usually limited to the issuer at a price the issuer sets. Selling early can return less than your principal even when the underlying market has risen.

There are four. Market risk: the underlying falls past your loss protection and principal drops. Income risk: coupons are skipped on any date the underlying closes below the protection level. Credit risk: the issuing bank fails and the note goes with it. Liquidity risk: you cannot reliably sell before maturity at a fair price.

Tax treatment depends on the specific structure and on your circumstances, and it is not uniform across note types. Coupons are commonly treated as ordinary income, but the details vary by note and jurisdiction. Confirm the treatment with a tax advisor before investing.

Yes. Model the terms you want on this page, then email [email protected] with those terms and we will send the scenario back as a client-ready report.

Yes. The white-label version runs on your own domain with your firm's logo and colours. It uses the same calculations as this page and is updated when terms change. We host it and maintain it, so no developer is needed. Pricing is set per firm. Email [email protected] and we will send the details.

The income, principal, and total return figures follow the terms you set exactly. The market path drawn on the chart is a simulation used to show how the coupon and protection rules behave. It is not a forecast, and it is not historical data. Use it to understand the mechanics, not to predict a result.