Evolutionary portfolio planning with structured products

Calculating attitude to risk is far from an exact science, especially as investor attitudes change over time, but structured products can help advisers to create highly individual portfolios for their clients

Structured products are far better understood than a decade ago. However, they still represent only a fraction of new UK investments. As the market evolves, providers must work harder at building understanding and trust so advisers will consider structured products as part of the portfolio planning process for all of their clients. On one level, structured products respond to well established customer demands that have not changed for decades. With-profit investors readily bought into the model of smoothed returns despite the complexity and lack of transparency associated with this process...