Volatility helps German structurers offer attractive returns
The problems in the eurozone are unleashing volatility across the continent's indexes, thereby making it easier for bankers in Germany to offer good coupons on autocallables
Retail investors in Germany are expressing interest in autocallable products as current high equity volatility levels make it possible to provide attractive returns, according to German bank West LB.
The correlation between the Dax and the Eurostoxx 50 means that the problems in the so-called Pigs countries (Portugal, Italy, Greece and Spain) are having an effect on other eurozone countries' indexes.
"You see the same thing in the Dax as you see in the Eurostoxx 50 and S&P 500," says Alexander
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