Principal protected notes
Product performance
The three products reviewed this month all have a strike date of 11 December 2009. The products are valued weekly and the results are shown along with the performance of the underlying asset. All three products are fairly typical of products that are…
Market snapshot
Tim Mortimer of Future Value Consultants reviews the product preferences in the US and UK structured products markets
Balancing correlation
Credit Suisse is offering US investors a 5.5-year structured product that is based on a basket that is balanced by the inclusion of the iShares Barclays Tips Bond Fund ETF. As well as proving to have low volatility, the fund is not correlated to the…
Product performance
Based on the FTSE 100, this month FVC compares the virtues of three products structures common to the UK market that link to the FTSE 100
UBS fines for misselling structured products could be first of many
UBS has come under fire in a series of court cases in the US for inappropriate sales of Lehman Brothers principal-protected notes and a failure to inform retail investors properly of the risks involved. More cases are likely.
Structured Products Americas: More mis-selling fines to follow, Finra warns
The US industry's own regulator says its mis-selling investigation may lead to more fines for US companies.
Product performance
Comparing the performance of principal-protected, accelerated growth and reverse convertible products, and analysing the pricing of the Dunbar Bank Zurich Triple Account
Volatility capped access to funds
ING Bank is offering Swedish investors a product that has the classic benefits of allowing access to an unusual and potentially risky underlying while changing its return profile. The product is based on the East Capital Russia Fund, giving local…
Product performance
Comparing principal-protected, accelerated growth and reverse convertible products with September 2009 strike dates
Counting the cost of counterparty risk
A few years ago no-one worried about counterparty credit risk. Then a year ago that was all anyone cared about. As markets begin to settle down, the shake-up could have longer-term implications for the structured products market. By John Ferry
Retrospective: A simple plan
Barclays Bank issued a straightforward minimum return product just before the financial crisis, linked to the performance of the FTSE 100 index. Ensuing volatility and widening CDS spreads show why such products are rare in today’s markets
Interest rates call
HSBC is offering US investors a 10-year investment in interest rates that pays 7% in year one and potentially as much in following years. The product is wrapped in a certificate of deposit, but investors may lose out if HSBC exercises its call at five…
Product performance
We compare principal-protected, accelerated growth and reverse convertible products with June 2009 strike dates