MRC = Multi Reverse Convertible

A Multi Reverse Convertible Note is a reverse convertible on several underlying assets, typically on the worst-performing asset.

MRC Notes are among the most popular yield enhancement products in Switzerland and are suited for investors who are anticipating a sideways or slightly upward trending market. 

The holder of an MRC gives up the potential upside exposure to the underlying asset in exchange for an enhanced coupon. The holder of the product remains exposed to the downside exposure.

The enhanced coupon of the MRC is paid in any case. Because of this, the product will always outperform its underlying to the downside. The product will also outperform if the underlying does not rise by more than the coupon. Hence, the ideal market scenario for MRCs is the prospect of a sideways trending market.