Market snapshot

Structured products issuers in the US offered investors more accelerated growth and less reverse convertible products in August. With the notional issuance of accelerated products now far higher than for reverse convertibles this trend appears to be sustainable. In the UK, capital-at-risk kickouts continue to rule the roost.

The shift in preference from reverse convertibles to accelerated growth products in the US continues, with the public issuance figures showing the trend moving into a fourth month. There has also been an increase in the number of review notes issued, while growth products issued in the US have generally tended to have shorter maturities than the same product types made available on the UK market. Despite the desire for shorter tenors, there has been a rise in the popularity of five-year products