A capital lifeline?

"The importance of the structured products business' fundraising capacity for banks is very difficult to quantify," says Emmanuel Naim, head of equity structured products at Societe Generale in Paris. "I wouldn't say there has been a major shift into structured products because of their capital-raising capacity, but it is true that this is extremely advantageous for banks right now." One of the attractions of using structured products as a funding source for banks is diversification. Raising