Credit Suisse NIO Autocallable Notes Results in Potential Significant Investor Risk
The White Law Group is investigating potential securities lawsuits involving Credit Suisse NIO Autocallable Notes.
Investors who purchased a structured product from Credit Suisse linked to the American Depositary Shares of NIO Inc. may face significant downside risk depending on stock performance.
The structured note in question—Credit Suisse’s Auto-Callable Contingent Income Securities based on the American Depositary Shares of NIO Inc. (CUSIP: 22550MPT0)—was issued in January 2021 with a face value of $20,000,000. The note’s performance is tied to NIO stock, and poor performance could substantially reduce or eliminate the final payout.
Details of the Investment
- Issue Date: February 2, 2021
- Linked Security: NIO Inc. American Depositary Shares (NYSE: NIO)
- Product Type: Auto-Callable Contingent Income Structured Note
- Face Value: $20,000,000
- Final Payout: Depends on NIO stock price on the final valuation date (February 1, 2022)
- If price ? $35.99 (60% of initial $59.99): $1,000 + final contingent coupon (if applicable)
- If price < $35.99: Payment reflects proportionate loss, potentially resulting in full loss of investment
- Total Loss Potential: Up to 100% of principal. If NIO stock falls below the buffer level at maturity, investors could lose all invested capital.
Why Could the Investment Lose Value?
Contingent income notes offer yield potential but expose investors to significant market risk. In this case:
- Investors receive no income if stock closes below the coupon barrier on observation dates
- If NIO closes below the buffer level at maturity, investors receive reduced payout tied to NIO performance
- Estimated value at pricing: $987.80 per $1,000 note
Understanding the Risks of Autocallable Notes
Though designed for potential income, investors face:
- Market risk tied to NIO stock performance
- Credit risk of Credit Suisse AG
- No fixed interest payments
- Full downside exposure if threshold is breached
- Not FDIC insured
Did Your Financial Advisor Recommend This Investment?
Advisors must ensure recommendations match a client’s financial profile and risk tolerance. If this NIO-linked note was unsuitable, you may qualify to recover losses through FINRA arbitration.
FINRA Arbitration vs. Class Action
- FINRA arbitration is suitable for significant individual losses
- Class actions work better for small, uniform investor claims
Free Consultation
The White Law Group is currently investigating claims involving Credit Suisse NIO Autocallable Notes. Call (888) 637-5510 for a free consultation.
Visit www.whitesecuritieslaw.com for updates on securities investigations.
Last modified: June 4, 2025
