Barclays Bank PLC announced today that during the Index rebalance that
commences following the close of business on Friday, July 13, 2018, the
following index constituent will be added to the CIBC Atlas Select MLP
Index (the “Index”):
The Barclays ETN+ Select MLP ETNs are linked to the performance of the
Volume-Weighted Average Price (“VWAP”) of the Index. The ETNs were
listed on the NYSE Arca stock exchange in March 2013 under the ticker
symbol ATMP. An investment in the ETNs involves significant risks,
including possible loss of principal, and may not be suitable for all
investors. The ETNs are riskier than ordinary unsecured debt securities
and have no principal protection. The ETNs are speculative and may
exhibit high volatility. The ETNs are also subject to certain investor
fees, which will have a negative effect on the value of the ETNs. You
are not guaranteed to receive coupon payments on the ETNs. You will
receive a coupon payment on a coupon payment date only to the extent
that the accrued dividend exceeds the accrued investor fee on the
relevant coupon valuation date.
In accordance with the Index methodology as described in the prospectus
relating to the ETNs, the Index is rebalanced quarterly. The Index
currently includes 28 constituents, and cash. The index constituents
will be rebalanced on a capped, float-adjusted, capitalization-weighted
basis across four index business days starting on Friday, July 13, 2018.
Constituent additions to and deletions from the Index do not reflect an
opinion by Barclays Bank PLC on the investment merits of the respective
The target weights for the top Limited Partnership (“LP”) and General
Partnership (“GP”) index constituents, effective after the rebalance
that commences on Friday, July 13, 2018, are reported in the table
below. For more information regarding how an Index constituent is
classified as a LP or a GP, please see the prospectus relating to the
The CIBC Atlas Select MLP Index is designed to provide exposure to a
basket of midstream US and Canadian master limited partnerships, limited
liability companies and corporations (collectively, the “Index
Constituents”) that trade on major US exchanges, are classified in the
GICS® Energy Sector or GICS® Gas Utilities
Industry according to the Global Industry Classification Standard®
(“GICS”) and meet certain eligibility criteria.
The Index Constituents are selected for inclusion in the Index using the
CIBC Atlas Select Master Limited Partnership Strategy (the “Strategy”)
developed by CIBC Private Wealth Advisors, Inc. (the “Index Selection
Agent”). The Strategy dynamically selects a basket of up to 100 Index
Constituents based on their long-term credit rating, the portion of
their cash flow driven by mid-stream operations and their size as
measured by free-float market capitalization and average daily trading
value. The Index Selection Agent provides the Index Constituents
selected by the Strategy to Barclays Bank PLC (the “Index Sponsor”).
For further information, please contact the Barclays ETN desk at
The prospectus for the ETNs to which this communication relates can be
About CIBC Private Wealth Management
CIBC Private Wealth Management serves as a trusted advisor to private
clients and select foundations and endowments, with approximately $52
billion in assets under management and administration (as of March 31,
2018) and offices in 19 locations across the U.S. Affluent individuals
and families turn to CIBC Private Wealth Management for a long-term,
trusted partner that can serve all of their investment, estate, trust
and legacy planning, as well as private banking needs met by CIBC Bank
USA. For more information, visit us.cibc.com/private-wealth.
CIBC (NYSE: CM) (TSX: CM) strives to build trusting and enduring
relationships by putting our clients at the center of all we do. Through
CIBC Bank USA, we offer tailored commercial, wealth management, personal
and small business financial solutions. CIBC is a 150-year-old
Toronto-based, global financial institution with our U.S. headquarters
in Chicago. Visit us at cibc.com/US.
Barclays is a transatlantic consumer and wholesale bank offering
products and services across personal, corporate and investment banking,
credit cards and wealth management, with a strong presence in our two
home markets of the UK and the US.
With over 325 years of history and expertise in banking, Barclays
operates in over 40 countries and employs approximately 80,000 people.
Barclays moves, lends, invests and protects money for customers and
For further information about Barclays, please visit our website home.barclays
Selected Risk Considerations
An investment in any ETNs linked to the CIBC Atlas Select MLP Index (the
“ETNs”) involves risks. Selected risks are summarized here, but we urge
you to read the more detailed explanation of risks described under “Risk
Factors” in the applicable prospectus supplement and pricing supplement.
You May Lose Some or All of Your Principal: The ETNs are exposed
to any decrease in the Volume Weighted Average Price (“VWAP”) level
between the inception date and the applicable valuation date.
Additionally, if the VWAP level is insufficient to offset the negative
effect of the investor fee and other applicable costs, you will lose
some or all of your investment at maturity or upon redemption, even if
the VWAP value has increased. Because the ETNs are subject to an
investor fee and any other applicable costs, the return on the ETNs will
always be lower than the total return on a direct investment in the
index components. The ETNs are riskier than ordinary unsecured debt
securities and have no principal protection.
Credit of Barclays Bank PLC: The ETNs are unsecured debt
obligations of the issuer, Barclays Bank PLC, and are not, either
directly or indirectly, an obligation of or guaranteed by any third
party. Any payment to be made on the ETNs, including any payment at
maturity or upon redemption, depends on the ability of Barclays Bank PLC
to satisfy its obligations as they come due. As a result, the actual and
perceived creditworthiness of Barclays Bank PLC will affect the market
value, if any, of the ETNs prior to maturity or redemption. In addition,
in the event Barclays Bank PLC were to default on its obligations, you
may not receive any amounts owed to you under the terms of the ETNs.
Issuer Redemption: Barclays Bank PLC will have the right to
redeem or “call” the ETNs (in whole but not in part) at its sole
discretion and without your consent on any trading day on or after the
inception date until and including maturity.
The Payment on the ETNs is Linked to the VWAP Level, Not to the
Closing Level of the Index and Not to the Published Intraday Indicative
Value of the ETNs: Your payment at maturity or upon early redemption
is linked to the performance of the VWAP level, as compared to the
initial VWAP level. Although the VWAP level is intended to track the
performance of the Index, the calculation of the VWAP level is different
from the calculation of the official closing level of the Index.
Therefore, the payment at maturity or early redemption of your ETNs, may
be different from the payment you would receive if such payment were
determined by reference to the official closing level of the Index.
No Guaranteed Coupon Payments: You are not guaranteed to receive
coupon payments on the ETNs. You will receive a coupon payment on a
coupon payment date only to the extent that the accrued dividend exceeds
the accrued investor fee on the relevant coupon valuation date. The
amount of the accrued dividend on any coupon valuation date depends in
part on the aggregate cash value of distributions that a reference
holder would have been entitled to receive in respect of the index
constituents prior to the relevant coupon valuation date.
Market and Volatility Risk: The return on the ETNs is linked to
the performance of the VWAP level of the Index which, in turn, is linked
to the performance of the master limited partnerships and other
securities that are included as index constituents at any time. The
prices of the index constituents may change unpredictably and, as a
result, affect the level of the Index and the value of your ETNs in
Concentration Risk: The index constituents are companies in the
Energy Sector or Gas Utilities Sector, as determined by the GICS®
classification system. In addition, many of the index constituents are
smaller, non-diversified businesses that are exposed to the risks
associated with such businesses, including the lack of capital funding
to sustain or grow businesses and potential competition from larger,
better financed and more diversified businesses. The ETNs are
susceptible to general market fluctuations in the energy and gas MLP
market and to volatile increases and decreases in value, as market
confidence in, and perceptions regarding the index constituents change.
Your investment may therefore carry risks similar to a concentrated
securities investment in one industry or sector.
A Trading Market for the ETNs May Not Develop: Although the ETNs
are listed on NYSE Arca, a trading market for the ETNs may not develop
and the liquidity of the ETNs may be limited, as we are not required to
maintain any listing of the ETNs.
Restrictions on the Minimum Number of ETNs and Date Restrictions for
Redemptions: You must redeem at least 50,000 ETNs at one time in
order to exercise your right to redeem your ETNs on any redemption date.
You may only redeem your ETNs on a redemption date if we receive a
notice of redemption from you by certain dates and times as set forth in
the pricing supplement.
Tax Treatment: Significant aspects of the tax treatment of the
ETNs may be less favorable than a direct investment in MLPs and are
uncertain. You should consult your own tax advisor about your own tax
The ETNs may be sold throughout the day on the exchange through any
brokerage account. Commissions may apply and there are tax consequences
in the event of sale, redemption or maturity of ETNs.
CIBC Atlas Select MLP Index is a trademark of Barclays Bank PLC.
©2018 Barclays Bank PLC. All rights reserved. All other trademarks,
servicemarks or registered trademarks are the property, and used with
the permission, of their respective owners.
NOT FDIC INSURED NO BANK GUARANTEE MAY LOSE VALUE
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