ING Bank N.V. (NL) 4Y EUR Euro Stoxx 50 Autocallable Note

Transcription

1 4Y Euro Stoxx 50 Autocallable te 8.00% potential annual yield Product term: 4 years maximum MiFID profile: see page 3 Capital non-guaranteed at maturity by the Issuer Description 4Y Euro Stoxx 50 Autocallable te is an investment product: issued by ING Bank N.V. (the Issuer ); for a term of 4 years maximum; denominated in ; linked to the evolution of the Euro Stoxx 50* (SX5E); potentially redeemable (as a function of the performance of the Euro Stoxx 50*) each year at 100% of nominal invested incremented by 8.00% gross per elapsed year; for which capital protection by the Issuer at maturity is conditional (capital nonguaranteed). Advantages Possibility of early redemption at 100% of the nominal invested % gross per elapsed year Potential maximum redemption at maturity of 100% % gross Redemption at 100% of the nominal invested even if the Euro Stoxx 50 loses up to 40% of its value at maturity compared to its initial level Disadvantages Risk of capital loss at maturity if the Euro Stoxx 50 loses more than 40% of its initial value at the final observation date. Risk of capital loss in the case of a sale of the product prior to maturity or in the case of the Issuer s insolvency Euro Stoxx 50 (SX5E) since January / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / / /2013 Past performances are no guarantee of future performances. Fact sheet drawn up on 05/12/2013 by ING Luxembourg S.A. CL13104/3 * Definition p3 1

2 4Y Euro Stoxx 50 Autocallable te How the product works The product may be redeemed early or at maturity: Early redemption Each year, the level of the Euro Stoxx 50 index is compared to its initial level. IF at the annual observation date, the Euro Stoxx 50 level is below its initial level, the product is not redeemed early and continues for a further year. the Euro Stoxx 50 level is above or equal to its initial level, the product is redeemed early at 100% of the nominal invested incremented by a gross yield of 8.00% per elapsed year (see examples below). Redemption at maturity If on each annual observation date, the level of the index is below its initial level, then the product shall be redeemed at maturity. If, at the final observation date: the level of the Euro Stoxx 50 index is above or equal to 100% of its initial level, redemption shall be % of the nominal invested incremented by 32% gross. the level of the Euro Stoxx 50 index is above or equal to 60% and below 100% of its initial level, redemption shall be 100% gross of the nominal invested. the level of the Euro Stoxx 50 index is below 60% of its initial level, redemption shall be at the final level of the Euro Stoxx 50 index of the nominal invested. Thus, if the index has lost, at maturity, more than 40% of its initial value, the investor shall incur a capital loss without any coupon being paid. This loss may be up to 100% of the capital invested in the event of the index losing, at maturity, 100% of its initial value. Examples: minal invested = 10,000 Annual Observation Dates 23/01/ /01/ /01/ /01/2018 Gross redemption amount 105% % 10, % % 11,600 98% 103% % 12, % % 13,200 65% % 10,000 55% 55.00% 5,500 Important The scenarios set out above are purely hypothetical and intended as a simple illustration to inform investors of the calculation method used to determine the redemption amount according to these different scenarios. There is no guarantee that any one of these scenarios will actually materialise in the future. We should also point out that the scenarios described above do not take into account the possibility of the Issuer going bankrupt or defaulting on payment and that should this arise investors may not be paid the sums due to them and may lose all or part of the capital invested. 2

3 4Y Euro Stoxx 50 Autocallable te Investor Profile 4Y Euro Stoxx 50 Autocallable te is aimed at investors: who are sufficiently experienced to understand the nature of the product being offered; who have an adequate level of knowledge to assess, with regard to their financial situation, the advantages and risks associated with an investment in this complex instrument; who are seeking diversification via investments in equities and are therefore familiar with the notion of risk inherent in the equities market; who are prepared to take a capital risk in return for a significantly higher yield than risk-free market rates of the same maturity Risks Several kinds of risks are inherent to this investment product: Equity market risk: A rise in the equity market has a positive effect on the market price of this debt security ( Security ), and conversely a fall in the equity market has a negative effect on the market price of this Security. Interest rate risk: A rise in interest rates has a negative effect on the market price of this Security, and conversely a fall in interest rates has a positive effect on the market price of this Security. The Issuer s credit and liquidity risk: The Issuer s insolvency may lead to the loss of all or part of the capital invested and any sums which may be due. Market risk: Other risks affecting the price of Securities (market risks): certain parameters (such as the prospect of a revision of the Issuer s rating) may have a positive or negative influence on the price of Securities during their term. Market illiquidity risk: Unusual market conditions excepted, the Issuer will ensure liquidity in the Securities at a price that is fixed by it. As guidance only, the spread between the bid price and offer price should be around 1% under normal market conditions. Under exceptional market conditions, the Issuer reserves the right not to buy back the Securities. This would mean that it would be temporarily impossible to sell the Securities. The exact market price may only be determined at the time the Securities are sold. The prices published for these Securities and their valuation in the investor's portfolio with ING Luxembourg S.A. are intended solely as a guide and are not representative of the market price achievable at the time of their sale. Any transaction involving this Security prior to maturity may generate a gain or loss in value in relation to the capital invested. For all other matters, please refer to the risk factors set out in the prospectus which investors are requested to read carefully. Should investors be in any doubt as to the risks involved, they should seek the advice of a financial advisor.. Additional Information The Euro Stoxx 50: The Euro Stoxx 50 or SX5E is a European stock market index. Its value is based on the equity market price of the 50 most important companies listed in 12 countries of the Eurozone (Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxemburg, Netherlands, Portugal and Spain) For further information on the Euro Stoxx 50 index: 3

4 4Y Euro Stoxx 50 Autocallable te Issuer - Prospectus Information regarding the Issuer, namely ING Bank N.V. whose registered office is currently located at 888 Bijlmerplein, 1102 MG Amsterdam, Netherlands, including its risk factors are available in the registration document and its supplements as of the date of this fact sheet* (the Registration Document). The Prospectus, made up of the Base Prospectus (GIP Level 2 Index Prospectus) dated 05/07/2013 and its supplements dated as of the draft of this fact sheet*, together with the Final Terms dated 09/12/2013 for the ING Bank NV (NL) 4Y Euro Stoxx 50 Autocallable te (official reference ING Bank NV (NL) 10 mio Express tes linked to Euro Stoxx 50 due 01-18) as well as the Registration Document are available from ING branches in Luxembourg. They can also be viewed, solely for information purposes, on the ING Luxembourg website. The Base Prospectus and its supplements have been approved in the Netherlands by the Autoriteit Financiële Markten which has duly notified the CSSF (Financial Sector Supervisory Commission) in Luxembourg in line with the passporting procedure. The Final Terms were filed with the CSSF prior to the initial public offering in Luxembourg under the reference ING Bank NV (NL) 10 mio Express tes linked to Euro Stoxx 50 due Tax Treatment Tax regime applicable to Luxembourg residents Under current legislation in Luxembourg, income paid by ING Luxembourg to resident natural persons within the framework of the ING Bank NV (NL) 4Y Euro Stoxx 50 Autocallable te is not subject to the deduction of tax at source (currently set at a rate of 10%) pursuant to the Luxembourg law dated 23 December 2005 introducing the deduction of tax at source for certain interest earned on savings invested in securities. We should draw your attention to the fact that the law of 23 December 2005 sets out the scope of application of the European directive on the taxation of savings (i.e. Directive 2003/48/ EC of 3 June 2003 on the taxation of income from savings in the form of interest payments hereafter the directive) and that this directive is currently in the process of being amended. In this context, we cannot tell what future amendments may be adopted by the new directive, particularly the tax treatment to be applied to this product. The tax regime applicable to natural persons resident in another member state of the European Union or in one of the dependent and associated territories listed in the Directive. Pursuant to the current incorporation into Luxembourg law of the European directive on the taxation of savings (i.e. Directive 2003/48/ EC of 3 June 2003 on the taxation of income from savings in the form of interest payments - hereafter the directive), interest paid on certain types of investments held in a financial institution in the European Union (EU) by a natural person resident in another member state of the EU or in one of the dependent and associated territories listed in the Directive is subject to the deduction of tax at source at the European rate which is currently set at 35%. The ING Bank NV (NL) 4Y Euro Stoxx 50 Autocallable te does not currently appear on the list of products to which this directive applies. Interest paid within the framework of the ING Bank NV (NL) 4Y Euro Stoxx 50 Autocallable te is not, in principle, subject to additional deduction of tax at source in Luxembourg (without prejudice to possible taxation of the interest in the beneficiary's country of residence). However, we should draw your attention to the fact that this directive is currently in the process of being amended. In this context, we cannot tell what future amendments may be adopted by the new directive particularly the tax treatment to be applied to this product. The tax regime applicable to natural persons who are not resident in another member state of the European Union or in one of the dependent and associated territories listed in the Directive Under current legislation in Luxembourg, interest paid by ING Luxembourg within the framework of the ING Bank NV (NL) 4Y Euro Stoxx 50 Autocallable te to natural persons who are not resident in a member state of the European Union or in one of the dependent and associated territories listed in the Directive will not, in principle, be subject to any tax deduction at source in Luxembourg (without prejudice to possible taxation of the interest in the beneficiary's country of residence). Warning The information contained in this fact sheet may under no circumstances be considered or used as investment advice. Investors who may be interested in this product should therefore make a decision independently and if necessary seek the opinion of their regular advisor as regards the compatibility of this product with their investor profile and/or seek external advice from a professional as regards the suitability of this investment in relation to the legal, regulatory and tax environments applicable to them. The public offering for subscription of Securities in the Grand Duchy of Luxembourg (the "Offering") is made on the basis of the Prospectus. The publication of the Prospectus, the Offering, and the acceptance of the Offering and its terms and conditions may be subject to legal restrictions in certain jurisdictions. Persons entering into possession of any part whatsoever of the Prospectus have a duty to find out what these restrictions are and comply with them. Neither the Issuer, ING Luxembourg S.A. nor any of the subsidiaries shall be held liable should these restrictions be breached or in respect of restrictions that may apply to a (future) purchaser of one of these Debt Securities to offer, market or sell these Securities in any jurisdiction whatsoever. More particularly, the financial instruments in question shall not be registered pursuant to the United States Securities Act of 1933, as amended ("Securities Act"), and may not be offered or sold in the United States or to American citizens, even outside of the territory of the United States, or to green card holders. Investors are requested to read the Prospectus prior to deciding whether or not to invest. * Fact sheet drafted on 05/12/2013 CL13104/3 4

5 4Y Euro Stoxx 50 Autocallable te Issue Details Type of investment Issuer Public Offering in Luxembourg ING Bank N.V. (rating: Moody s: A2, S&P: A, as of the date of this fact sheet on 05/12/2013) The rating is meant as a general guideline only and should not be construed as a recommendation to purchase, sell or hold the Issuer's securities. It may be suspended, amended or withdrawn at any moment by the rating agency Issue Amount 10,000,000 Minimum Investment Currency Denomination Security Code ISIN Code XS Subscription Price 101% Payment Date 31/01/2014 Initial Observation Date 31/01/2014 Final Observation Date 24/01/2018 Maturity 31/01/2018 Subscription Period From 09/12/2013 to 28/01/2014, unless closed prematurely Index Euro Stoxx 50 Annual observation dates 23/01/2015; 22/01/2016; 24/01/2017 Early redemption dates 30/01/2015; 29/01/2016; 31/01/2017 Final Level Initial Level Early redemption Redemption at maturity by the Issuer (if no early redemption) Delivery Closing level of the Index on Final Observation Date Closing level of the Index on Initial Observation Date 100% of nominal value initially invested % gross* number of elapsed years IF the Final Level of the Index is above or equal to 100% of the Initial Level: % of nominal value invested incremented by 32% gross. IF the Final Level of the Index is above or equal to 60% of the Initial Level and below 100%, % of nominal value invested. IF the Final Level of the Index is strictly below 60% of the Initial Level: Redemption at 100% of the nominal invested minus the decrease of the index(capital loss). Into a securities account only (no physical certificates are issued) Secondary market All investment products sold prior to the maturity date shall be sold at the market price. Investors may obtain price guides for investment products from their customer relationship managers throughout their term together with the charges that may be incurred as a result of selling prior to maturity. For guidance only, the spread between the bid price and offer price should be around 1% under normal market conditions. * Fact sheet drawn up on 05/12/2013 by ING Luxembourg S.A. CL13104/3 5