Structured products
WHAT IS THIS? Structured products are investments that have multiple components. For retail investors, the most common form is a bond plus an option – these tend to be standardised, sold in small tickets and large volumes. Managing the risks of large structured products portfolios is one of the biggest challenges dealers face.
Almost all SIV assets now sold off, Fitch says
The structured investment vehicles (SIVs) at the heart of the credit crisis have now disposed of 95% of their $400 billion in assets, according to analysis released today by credit rating agency Fitch Ratings.
CDS premiums boost option participation in structured products
Participation rates and coupons in structured products are being boosted by premiums from credit default swaps (CDS) sold on sovereign and corporate entities, say dealers.
Editor's letter
This issue marks the fifth anniversary of Structured Products magazine. To commemorate this landmark, we have looked back over every issue since our launch and constructed a timeline featuring some of the most interesting stories and events, as well as…
Nordic horizons
Markets in the Nordic region have been far from immune from the troubles that have hit structured products across Europe. But speakers and delegates at the Structured Products Nordic Region conference spoke of light on the horizon - despite the pressing…
How we got here
Structured Products editor Richard Jory and launch editor Paul Lyon describe the magazine's development from its early days, while Incisive Media managing director Matthew Crabbe explains how and why the magazine came to life
Combining CDSs and equities
Duggan Asset Management is offering exposure to equity and credit markets with its new capital-protected simple growth product. As well as access to an unusual asset class - credit default swaps - participation is linked to the DJ Eurostoxx 50
Five years and six options
Barclays Bank has issued a five-year product that allows investors to choose the level of protection required and achieve a higher participation rate if they opt for a lower level. Each of six versions of the product has an option on the FTSE 100
Structured products online
Total unique visitors (30 days to July 10): 16,175
Market snapshot
Tim Mortimer of Future Value Consultants looks at the pricing issues for structured products in different markets and provides his trade of the month
Commercial property plays
Morgan Stanley surprised many people in July 2008 when it plumped for a commercial property-based product. With lower volatility than was on offer from the FTSE 100, it made for a relatively generous offer of returns that took 65% of the starting level…
Delighted with deposits
Newcastle Building Society has been gradually building up its structured deposit business, including the launch of a new intermediary services arm in 2008. With the FTSE 100 index climbing and deposits backed by the government, the society is right to be…
The sovereign guarantee
Even in an era of government-backed banks, it is clear that investors do not equate a public stake with investment security. Those looking for watertight investments have been left with two options - structured deposits or collateralised plans. Will…
Toughing it out
Equity derivatives
Regulatory backlash
Editor's letter
Irregularities mean that Keydata will not be sold as going concern, PwC
Keydata Investment Services Ltd (KIS) will not be sold as a going concern due to irregularities uncovered by insolvency administrator Pricewaterhouse Coopers (PwC).
Meteor launches Prima Growth Plan 16
Meteor, the UK distributor, has launched the sixteenth version of its Prima Growth Plan which has been issued by AAA-rated Rabobank. The kick-out style product has the potential to pay a 10% coupon after one year, paying the return on its first…
US Wrap: Strong issuance run stalled by Doughnut Friday
Issuance in the US structured products market ground to a halt on Friday - the second blank day in a fortnight. The number of deals has been increasing lately on the back of increased confidence, although providers have still been looking to external…
Keydata placed in administration by FSA - update
Keydata Investment Services Ltd has been placed into a speedy administration by the UK Financial Services Authority on the grounds that it is insolvent. All new business has been suspended and a temporary suspension of payments on policies has been…