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1.67 MB
Extraction Summary
3
People
9
Organizations
7
Locations
2
Events
2
Relationships
3
Quotes
Document Information
Type:
Financial research report / disclaimer page
File Size:
1.67 MB
Summary
This document is page 29 of a 'Global Equity Volatility Insights' report by Bank of America Merrill Lynch, dated June 6, 2017. It contains standard risk statements regarding options trading, a specific price objective analysis for Deutsche Telekom (targeting EUR 18.0/sh), analyst certifications, and a disclosure regarding BofA's advisory role in a Royal Dutch Shell asset sale. The document bears a 'HOUSE_OVERSIGHT' Bates stamp, indicating it was part of a congressional document production.
People (3)
| Name | Role | Context |
|---|---|---|
| Benjamin Bowler | Analyst |
Certified the views expressed in the research report.
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| Clovis Couasnon | Analyst |
Certified the views expressed in the research report.
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| Frederic Boulan | Analyst (CFA) |
Certified the views expressed in the research report.
|
Organizations (9)
| Name | Type | Context |
|---|---|---|
| Bank of America Merrill Lynch |
Issuer of the report; Financial Advisor to Royal Dutch Shell PLC.
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| Deutsche Telekom |
Subject of price objective analysis (DTEGF / DTEGY).
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| FINRA |
Regulatory body mentioned in investor suitability.
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| TMUS |
T-Mobile US, mentioned in valuation methodology.
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| OTE |
Hellenic Telecommunications Organization, mentioned in valuation methodology.
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| Royal Dutch Shell PLC |
Client of BofA Merrill Lynch regarding asset sale.
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| Chrysaor LTD |
Buyer of UK North Sea assets from Shell.
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| Drillisch |
Competitor/Market factor mentioned in downside risks.
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| House Oversight Committee |
Implied by Bates stamp 'HOUSE_OVERSIGHT'.
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Timeline (2 events)
2017-01-31
Announcement of Royal Dutch Shell PLC's proposed sale of UK North Sea assets.
UK
2017-06-06
Publication of Global Equity Volatility Insights report.
Global
Locations (7)
| Location | Context |
|---|---|
|
United States; mentioned regarding investors and asset sales.
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Region for asset valuation.
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Region for asset valuation.
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Location of non-integrated assets.
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NL
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Netherlands; location of non-integrated assets.
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United Kingdom; location of North Sea assets.
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Location of assets being sold by Shell.
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Relationships (2)
Special Disclosures section states BofA is acting as Financial Advisor to Shell.
Listed under Analyst Certification in a BofA report.
Key Quotes (3)
"The most severe risks associated with general options trading are total loss of capital invested and delivery/assignment risk"Source
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Quote #1
"We, Benjamin Bowler, Clovis Couasnon and Frederic Boulan, CFA, hereby certify that the views each of us has expressed in this research report accurately reflect each of our respective personal views about the subject securities and issuers."Source
HOUSE_OVERSIGHT_023603.jpg
Quote #2
"BofA Merrill Lynch is currently acting as Financial Advisor to Royal Dutch Shell PLC in connection with its proposed sale of its UK North Sea assets to Chrysaor LTD"Source
HOUSE_OVERSIGHT_023603.jpg
Quote #3
Full Extracted Text
Complete text extracted from the document (2,642 characters)
Options Risk Statement
Potential Risk at Expiry & Options Limited Duration Risk
Unlike owning or shorting a stock, employing any listed options strategy is by definition governed by a finite duration. The most severe risks associated with general options trading are total loss of capital invested and delivery/assignment risk, all of which can occur in a short period.
Potential Risk at Expiry & Options Limited Duration Risk
Unlike owning or shorting a stock, employing any listed options strategy is by definition governed by a finite duration. The most severe risks associated with general options trading are total loss of capital invested and delivery/assignment risk, all of which can occur in a short period.
Investor suitability
The use of standardized options and other related derivatives instruments are considered unsuitable for many investors. Investors considering such strategies are encouraged to become familiar with the "Characteristics and Risks of Standardized Options" (an OCC authored white paper on options risks). U.S. investors should consult with a FINRA Registered Options Principal. For detailed information regarding the risks involved with investing in listed options:
http://www.theocc.com/about/publications/character-risks.jsp
The use of standardized options and other related derivatives instruments are considered unsuitable for many investors. Investors considering such strategies are encouraged to become familiar with the "Characteristics and Risks of Standardized Options" (an OCC authored white paper on options risks). U.S. investors should consult with a FINRA Registered Options Principal. For detailed information regarding the risks involved with investing in listed options:
http://www.theocc.com/about/publications/character-risks.jsp
Price objective basis & risk
Deutsche Telekom (DTEGF / DTEGY, B-2-7, EUR17.42/US$19.45)
Our price objective for DT is EUR18.0/sh (US$19.62) and is derived from our Sum-of-the-Parts analysis.
Deutsche Telekom (DTEGF / DTEGY, B-2-7, EUR17.42/US$19.45)
Our price objective for DT is EUR18.0/sh (US$19.62) and is derived from our Sum-of-the-Parts analysis.
Each business is valued via DCF (except MtM for TMUS and OTE ) using a 7.0% WACC and 1.00% terminal growth rate for Domestic and Western Europe assets (and 8.0% WACC/1% term growth for Eastern Europe assets) and cross-checked using implied valuation multiple analysis.
Our Domestic business valuation reflects DT's solid positioning in both fixed (FTTC rollout) and mobile (superior network quality, integrated business model).
Upside risks to our PO are any asset sales (US, non-integrated assets in Austria or NL) and revenue upside from T-Home's TV push.
Downside risks to our PO are higher than expected mobile impact coming from new Drillisch tariffs or failure to turnaround good US operational trends into more profitable revenue streams.
Analyst Certification
We, Benjamin Bowler, Clovis Couasnon and Frederic Boulan, CFA, hereby certify that the views each of us has expressed in this research report accurately reflect each of our respective personal views about the subject securities and issuers. We also certify that no part of our respective compensation was, is, or will be, directly or indirectly, related to the specific recommendations or view expressed in this research report.
We, Benjamin Bowler, Clovis Couasnon and Frederic Boulan, CFA, hereby certify that the views each of us has expressed in this research report accurately reflect each of our respective personal views about the subject securities and issuers. We also certify that no part of our respective compensation was, is, or will be, directly or indirectly, related to the specific recommendations or view expressed in this research report.
Special Disclosures
BofA Merrill Lynch is currently acting as Financial Advisor to Royal Dutch Shell PLC in connection with its proposed sale of its UK North Sea assets to Chrysaor LTD, which was announced on January 31, 2017.
BofA Merrill Lynch is currently acting as Financial Advisor to Royal Dutch Shell PLC in connection with its proposed sale of its UK North Sea assets to Chrysaor LTD, which was announced on January 31, 2017.
Bank of America
Merrill Lynch
Global Equity Volatility Insights | 06 June 2017 29
HOUSE_OVERSIGHT_023603
Merrill Lynch
Global Equity Volatility Insights | 06 June 2017 29
HOUSE_OVERSIGHT_023603
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