> For the complete documentation index, see [llms.txt](https://t-blocks.gitbook.io/t-blocks-documentation/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://t-blocks.gitbook.io/t-blocks-documentation/instrument-types/equity-linked-notes.md).

# Equity-Linked Notes

Equity-linked notes are secured debt instruments whose return is linked to the equity value or performance of an underlying asset held within the SubFund.

**Structure.** The SubFund acquires or receives an economic interest in an underlying asset (e.g., equity in a real estate holding company, shares in an operating company, or a participation in a development project). The SubFund issues notes to investors. The notes are secured by the SubFund's assets and their return is linked to the performance of the underlying equity position.

**Return mechanism.** Returns may be structured as fixed coupon, floating coupon linked to asset performance, equity participation (profit share), or a combination. The specific return mechanism is defined in each SubFund's Specific Management Regulations.

**Security.** Notes are secured by the assets of the SubFund, which are ring-fenced under the Securitisation Law 2004. In addition, specific security interests (pledges, assignments, charges) may be granted over the underlying assets in favour of noteholders.

**Typical use cases.** Real estate development equity, operating company growth capital, infrastructure equity participations.

**ISIN.** Each equity-linked note issuance is assigned an ISIN, enabling settlement through regulated and unregulated security exhanges, and integration with standard banking custody.