US Wrap: Providers opt for external credit

Providers were looking to independent credit agencies to issue structured products as the US structured products market hit mid-week. Both Goldman Sachs and Morgan Stanley teamed up with Eksportfinans to issue their latest products, which included an accelerated growth structure and a reverse convertible note.

Goldman Sachs also issued an accelerated growth note using its own paper, which gives exposure to the iShares MSCI Emerging Markets Index Fund. It lasts 18 months and gives 150% participation in the fund's performance. A downside buffer of 10% is incorporated, but participation beyond this is set at 111.11%.

Issuance favoured reverse convertibles, which were mainly issued by Barclays Bank. Apple equity, which was the most popular reverse convertible underlying in 2007, appears to be making a