Structured products demand in Taiwan hit by low volatility

Taiwan insurers shun structured products amid low volatility and rates

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Stubbornly low volatility levels combined with interest rates at multi-year lows have caused a decline in the use of structured instruments by Taiwanese insurers, according to market participants. The European Central Bank announced a negative rates policy on June 5 when it cut the interest rate on the deposit facility to –0.10% from 0% for commercial banks parking cash at the ECB. In the US, Federal Reserve chair Janet Yellen signalled in May that the US central bank was in no rush to

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