Is there a right time to invest in structured products?

STRUCTURED PRODUCTS

Gary Dale, head of intermediary sales for Investec Structured Products, explains how the rarely employed strategy of structured investments can often work best in sideways or falling markets.

Anecdotal feedback and past evidence suggests that when the market hits or approaches ‘historical highs’, investors and/or advisers become wary of investing in structured products, investments or deposits. It is assumed they prefer either cash based savings or other more traditional investments. Given that traditional investment styles require their underlying benchmarks to rise to generate any growth for the investor, I struggle with this point of view. There is, of course, the dividend debate to consider here, but surely equity investors have more sense than to take on full equity mark...