Seeking green shoots
Issuance and risk appetite appear to be increasing in the US market. But is this just froth or does it represent a genuine step towards recovery? Sophia Morrell assesses how confident institutional and retail clients are feeling
Back in January, the once buoyant US structured products market faced an uncertain future. By the end of 2008, products had been savaged by volatile equity markets and the credit catastrophe of Lehman Brothers’ collapse, and the outlook for any structure much riskier than a Federal Reserve-backed capital-protected certificate of deposit (CDs) looked gloomy.
But now, with the re-emergence of reverse convertibles and even leveraged downside, there are signs that providers are willing to start
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