Filed pursuant to Rule 433
Registration No. 333-192302
2 | An Overview |
About Us
Citi, the leading global bank, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Citi provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management.
The Citi Private Client Solutions Group is focused on serving retail intermediaries ranging from Private and Consumer Banks to regional Broker Dealers to Wholesalers to Family Offices and Registered Independent Advisors. We provide a wide variety of innovative investment strategies and trading products for affluent, high-net-worth and ultra-high-net-worth investors. CitiFirst investments are multi-asset and complementary to a traditional investment portfolio.
What is CitiFirst?
CitiFirst is the family name for Citis offering of investments including notes and deposits. Tailored to meet the needs of a range of investors, CitiFirst investments are divided into three categories based on the amount of principal due at maturity.
CitiFirst Investment Categories
CitiFirst Protection | CitiFirst Performance | CitiFirst Opportunity | ||
Full principal amount due at maturity
Investments provide for the full principal amount to be due at maturity, subject to the credit risk of the issuer and are for investors who place a priority on the preservation of principal while looking for a way to potentially outperform cash or traditional fixed income investments |
Payment due at maturity may be less than the principal amount
Investments provide for a payment due at maturity, subject to the credit risk of the issuer, that may be less than the principal amount and in some cases may be zero, and are for investors who are seeking the potential for current income and/or growth, in addition to partial or contingent downside protection |
Payment due at maturity may be zero
Investments provide for a payment at Maturity, subject to the risk of the issuer, that may be zero and are for investors who are willing to take full market risk in return for either leveraged principal appreciation at a predetermined rate or access to a unique underlying strategy |
The structured investments discussed herein are not suitable for all investors. Prospective investors should evaluate their financial objectives and tolerance for risk prior to investing in any structured investment. Such investments are not bank deposits but are senior, unsecured debt obligations of Citi. All returns and any principal amount due at maturity are subject to the applicable issuer credit risk, with the exception of the Market-Linked Certificates of Deposit which have FDIC insurance, subject to applicable limitations. Structured investments are not conventional debt securities. They are complex in nature and the specific terms and conditions will vary for each offering.
Investment Products
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Not FDIC Insured
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May Lose Value
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No Bank Guarantee
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An Overview | 3 |
CitiFirst operates across all asset classes meaning that underlying assets include equities, commodities, currencies, interest rates and alternative investments. When depicting a specific product, the relevant underlying asset will be shown as a symbol on the cube:
CitiFirst Offers:
For more information, please contact us: | ||
+1 (212) 723-3136 |
Third Party Intermediaries | |
+1 (212) 723-7288 |
Citi Consumer Group | |
www.citifirst.com
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i |
4 | An Overview |
I am looking for a defensive investment. I want to receive my full principal amount at maturity, but I also welcome the potential for enhanced returns through market exposure.
Overview*
Full Principal Amount Due at Maturity |
Potential for Enhanced Returns | |
An investment with full principal due at maturity, subject to the credit risk of the issuer. | CitiFirst Protection investments offer the chance of higher returns when compared with a similar debt instrument by gaining some exposure to the markets. |
Investment Profile (refers to the example below)
Time Horizon (In Years) |
1
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2
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3
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4
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5 or more
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Open-ended
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Risk |
Very low
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Low
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Moderate
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High
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Very High
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Speculative
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Investment Objective |
Full Protection |
Partial Protection |
Conditional Protection |
No Protection |
Income | Growth |
Example: Market-Linked Notes linked to XYZ Index |
Return of Note at Maturity | |
5-year Market-Linked Note (MLN), 100% principal due at maturity, subject to the credit risk of the issuer, linked to XYZ Index with a fixed coupon of 1.5% and a participation rate of 100%. At maturity, if the underlying is up, the Fixed Coupon MLN will outperform the underlying and could potentially outperform a comparable debt instrument. |
Note: Citigroup Inc. and its affiliates do not guarantee that a secondary market will develop in any CitiFirst investment you purchase. If a secondary market does develop it may not be liquid and may not continue for the term of the investment. If the secondary market is limited, there may be few buyers should you choose to sell the investment prior to maturity and this may reduce the price you receive. There is no guarantee that investors wishing to liquidate an investment prior to the stated maturity will receive a price equal to or in excess of the initial principal amount invested. |
*All returns and any principal amount due at maturity are subject to the applicable Issuers credit risk, with the exception of Market-Linked Certificates of Deposit which have FDIC Insurance, subject to applicable limitations. The descriptions above are not intended to completely describe how an investment works or to detail all of the terms, risks and benefits of a particular investment. The return profiles can change. Please refer to the offering documents and related materials of a particular investment for a comprehensive description of the structure, terms, risks and benefits related to that investment. Investors should review the section headed Risk Factors or equivalent of the applicable offering documents for a complete description of the risks associated with a particular investment.
An Overview | 5 |
I want a greater chance of potentially higher returns. I am prepared to increase my risk exposure moderately- but only with some level of downside protection.
Overview*
Payment due at maturity may be less than the principal amount |
Balancing Participation and Risk | |
An investment offering exposure to the markets with limited protection against adverse market moves. | CitiFirst Performance investments offer market participation within defined contingent downside protection limits. |
Investment Profile (refers to the example below)
Time Horizon (In Years) |
1
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2
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3
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4
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5 or more
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Open-ended
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Risk |
Very low
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Low
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Moderate
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High
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Very High
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Speculative
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Investment Objective | Full Protection |
Partial Protection |
Conditional Protection |
No Protection |
Income | Growth |
Example: Equity LinKed Securities (ELKS®) linked to XYZ stock
An investor buys one ELKS linked to the underlying equity XYZ common stock, with a 1-year maturity, a coupon of 10% per annum, a downside threshold price equal to 80% of the initial level.
Scenario 1:
Did Stock XYZ cross the downside threshold at maturity? No.
The return of the ELKS equals 10%, which is equal to the coupon payment.
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6 | An Overview |
Scenario 2:
Did Stock XYZ cross the downside threshold at maturity? No.
The return of the ELKS equals 10%, which is equal to the coupon payment.
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Scenario 3:
Did Stock XYZ cross the downside threshold at maturity? Yes.
The return of the ELKS equals -20%, which is the return of XYZ Stock plus the coupon.
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For additional information on ELKS®, please refer to Equity LinKed Securities (ELKS®): A Guide for Investors, available on www.citifirst.com | ||||
Note: Citigroup Inc. and its affiliates do not guarantee that a secondary market will develop in any CitiFirst investment you purchase. If a secondary market does develop it may not be liquid and may not continue for the term of the investment. If the secondary market is limited, there ay be few buyers should you choose to sell the investment prior to maturity and this may reduce the price you receive. There is no guarantee that investors wishing to liquidate an investment prior to the stated maturity will receive a price equal to or in excess of the initial principal amount invested. |
*All returns and any principal amount due at maturity are subject to the applicable Issuers credit risk, with the exception of Market-Linked Certificates of Deposit which have FDIC Insurance, subject to applicable limitations. The descriptions above are not intended to completely describe how an investment works or to detail all of the terms, risks and benefits of a particular investment. The return profiles can change. Please refer to the offering documents and related materials of a particular investment for a comprehensive description of the structure, terms, risks and benefits related to that investment. Investors should review the section headed Risk Factors or equivalent of the applicable offering documents for a complete description of the risks associated with a particular investment.
An Overview | 7 |
I am looking for an investment that offers me the chance to implement a specific view I have on the markets. I am prepared to accept market risk in exchange for the opportunity to achieve higher returns.
Overview*
Payment due at maturity may be zero |
Market View | |||
An investment that has risk to principal but has the potential to generate higher returns. | CitiFirst Opportunity investments offer full or even leveraged exposure to the markets providing the opportunity to execute a specific investment strategy and earn a potentially higher return than a direct investment in the market without increasing downside risk. |
Investment Profile (refers to the example below)
Time Horizon (In Years)
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1 | 2 | 3 | 4 | 5 or more | Open-ended | ||||||
Risk
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Very low | Low | Moderate | High | Very High | Speculative | ||||||
Investment Objective | Full Protection |
Partial Protection | Conditional Protection |
No Protection
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Income | Growth |
Example: Stock Market Upturn Notes linked to XYZ Index | Possible Return at Maturity | |||||
A 15-month investment linked to XYZ Index with 200% upside participation, up to a maximum total return of 15%. An investors full principal is at risk.
At maturity: |
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¡ | If the final level of XYZ Index is higher than its initial level, the maturity payment equals (a) the principal invested plus (b) the product of (i) the principal invested and (ii) the lesser of the return of the index multiplied by the upside participation rate of 200%, subject to the maximum total return of 15%. | |||||
¡ | If the final level of the index is lower than its initial level, the payment at maturity equals (a) the principal invested plus (b) the product of (i) the principal invested and (ii) the performance of the index.
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Note: Citigroup Inc. and its affiliates do not guarantee that a secondary market will develop in any CitiFirst investment you purchase. If a secondary market does develop it may not be liquid and may not continue for the term of the investment. If the secondary market is limited, there may be few buyers should you choose to sell the investment prior to maturity and this may reduce the price you receive. There is no guarantee that investors wishing to liquidate an investment prior to the stated maturity will receive a price equal to or in excess of the initial principal amount invested. |
*All returns and any principal amount due at maturity are subject to the applicable Issuers credit risk, with the exception of Market-Linked Certificates of Deposit which have FDIC Insurance, subject to applicable limitations. The descriptions above are not intended to completely describe how an investment works or to detail all of the terms, risks and benefits of a particular investment. The return profiles can change. Please refer to the offering documents and related materials of a particular investment for a comprehensive description of the structure, terms, risks and benefits related to that investment. Investors should review the section headed Risk Factors or equivalent of the applicable offering documents for a complete description of the risks associated with a particular investment.
8 | An Overview |
General Overview of Investments
CitiFirst Protection Investments |
Investments | Maturity | Risk Profile* | Return* | |||
Contingent Absolute Return MLDs/Notes |
1-2 Years | Full principal amount due at maturity |
If the underlying never crosses either an upside or downside threshold, the return on the investment equals the absolute value of the return of the underlying; Otherwise the return equals zero | |||
Contingent Upside Participation MLDs/Notes |
1-5 Years | Full principal amount due at maturity |
If the underlying crosses an upside threshold, the return on the investment equals an interest payment paid at maturity; Otherwise the return equals the greater of the return of the underlying and zero | |||
Minimum Coupon Notes |
3-5 Years | Full principal amount due at maturity |
If the underlying ever crosses an upside threshold during a coupon period, the return for the coupon period equals the minimum coupon; Otherwise the return for a coupon period equals the greater of the return of the underlying during the coupon period and the minimum coupon | |||
Market-Linked Notes/ Deposits & Safety First Trust Certificates |
3-7 Years | Full principal amount due at maturity |
The return on the investment equals the greater of the return of the underlying multiplied by a participation rate and zero; sometimes the maximum return is capped |
CitiFirst Performance Investments |
Investments | Maturity | Risk Profile* | Return* | |||
ELKS® | 6-13 Months |
Payment at maturity may be less than the principal amount |
A fixed coupon is paid regardless of the performance of the underlying. If the underlying has not crossed a downside threshold at maturity, the return on the investment equals the coupons paid; Otherwise the return equals the sum of the coupons paid and the return of the underlying at maturity | |||
Buffer Notes | 1-5 Years | Payment at maturity may be less than the principal amount |
If the return of the underlying is positive at maturity, the return on the investment equals the lesser of (a) the return of the underlying multiplied by a participation rate and (b) the maximum return on the notes; Otherwise, the return equals the lesser of (a) the return of the underlying plus the buffer amount and (b) zero | |||
CoBas/PACERSSM | 1-5 Years | Payment at maturity may be less than the principal amount |
If the underlying is equal to or greater than a threshold (such as its initial value) on any call date, the note is called and the return on the investment equals a fixed premium. If the note has not been called, at maturity, if the underlying has crossed a downside threshold, the return on the investment equals the return of the underlying, which will be negative; Otherwise the return equaIs zero | |||
Barrier Notes/ LASERSSM |
1-5 Years | Payment at maturity may be less than the principal amount |
If the return of the underlying is positive at maturity, the return on the investment equals the return of the underlying multiplied by a participation rate (some versions are subject to a maximum return on the notes). If the return of the underlying is negative and the underlying has crossed a downside threshold, the return on the investment equals the return of the underlying, which will be negative; Otherwise the return equals zero |
CitiFirst Opportunity Investments |
Investments | Maturity | Risk Profile* | Return* | |||
Upturn Notes | 1-2 Years | Payment at maturity may be zero |
If the underlying is up at maturity, the return on the investment equals the lesser of the return of the underlying multiplied by a participation rate and the maximum return on the notes; Otherwise the return equals the return of the underlying | |||
Fixed Upside Return Notes |
1-2 Years | Payment at maturity may be zero |
If the underlying is equal to or above its initial level at maturity, the return on the investment equals a predetermined fixed amount; Otherwise the return equals the return of the underlying | |||
Strategic Market Access Notes |
3-4 Years | Payment at maturity may be zero |
The return on the investment equals the return of a unique index created by Citi |
Note: Citigroup Inc. and its affiliates do not guarantee that a secondary market will develop in any CitiFirst investment you purchase. If a secondary market does develop it may not be liquid and may not continue for the term of the investment. If the secondary market is limited, there may be few buyers should you choose to sell the investment prior to maturity and this may reduce the price you receive. There is no guarantee that investors wishing to liquidate an investment prior to the stated maturity will receive a price equal to or in excess of the initial principal amount invested.
*All returns and any principal amount due at maturity are subject to the applicable issuers credit risk, with the exception of Market-Linked Certificates of Deposit which have FDIC insurance, subject to applicable limitations. The descriptions above are not intended to completely describe how an investment works or to detail all of the terms, risks and benefits of a particular investment. The return profiles can change. Please refer to the offering documents and related materials of a particular investment for a comprehensive description of the structure, terms, risks and benefits related to that investment. Investors should review the section headed Risk Factors or equivalent of the applicable offering documents for a complete description of the risks associated with a particular investment.
An Overview | 9 |
Bringing The Global Markets To You
Our product specialists are dedicated to evaluating and selecting investments that seek:
¡ Wealth preservation
¡ Yield enhancement
¡ Risk mitigation
¡ Broad market access
¡ Portfolio diversification
¡ Strategic trading opportunities
¡ Tax-advantaged income strategies
CitiFirst Education
Educating both advisors and investors about risks and rewards is a core element of our CitiFirst offering. We regularly host industry conferences and seminars to keep you informed of the latest market trends, innovations and ideas. In addition, we maintain the www.citifirst.com website for private investors and distribution partners which contains offerings in the primary and secondary market and educational information.
Monthly Offerings Brochures |
Educational Materials | |
Website for Private Investors and Distributors (with restricted access): www.citifirst.com
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10 | An Overview |
Important Information about
CitiFirst Investments
An Overview | 11 |
Overview of Key Benefits
and Risks of CitiFirst Investments
12 | An Overview |
Additional Considerations
CitiFirst
To discuss CitiFirst investment ideas and strategies in the Americas, please contact us:
+1(212) 723-3136 Third Party Intermediaries
+1(212) 723-7288 Citi Consumer Group
www.citifirst.com
ELKS®, PACERSSM and LASERSSM are registered service marks of Citigroup Inc.
© 2015 Citigroup Inc. All rights reserved. Citi and Citi Arc Design are trademarks and service marks of Citigroup Inc. or its affiliates and are used and registered throughout the world. |