With the use of derivatives for investment purposes now allowed, structured products are no longer confined to speculative investing
Structured products have generally been associated with the speculative part of investors' portfolios. Structured products are best described as any product that offers access to a certain underlying fund or asset class, or repackages the payout from such an asset. As an example, an investor could invest in a note issued by an investment bank that offers capital participation in the increase of oil prices. If investors are circumspect in using low-risk investments for their liability matching and wealth creation, such a structured product might be the vehicle they choose for their riskier, ...
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