Low rates enhance appeal of autocallables beyond core Asia market
Product born in 1990s Japan's low yield environment set for global stage
The numbers tell their own story. Issuance of equity-linked autocallable structures in Korea since 2009 has been nothing short of staggering. In January and April this year, volumes exceeded 10 trillion won ($8.7 billion) for the first time; this represents a 20-fold increase since January 2009, when issuance stood at $435 million.
In Japan, too, volumes of these products have been increasing each year. In the uridashi (public) market, both March and May saw volumes exceeding ¥250 billion ($2
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