Tax uncertainty in the run-up to the US elections is bad news for structured products

As pre-election battles focus on the Bush administration's tax cuts and other economic issues, uncertainty regarding future tax levels is persuading many investors to remain in cash.

Capitol Hill in Washington DC
Tax levels remain unresolved in run-up to election

With US Congressional elections due to be held on November 2 amid heated debate about whether to extend the Bush administration's tax cuts, investor uncertainty about future tax levels is having a negative effect on the structured products market.

As the US gears up to vote for members of the House of Representatives and the
Senate, a recent Reuters-Ipsos poll shows that Republicans are likely to take the House while Democrats are likely to retain control of the Senate.

Former US President

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