Barclays housing market product redeploys mortgage options from ’90s

Barclays Bank last month launched a product that gives investors principal-protected exposure to the UK housing market. The security comes with a full capital guarantee and, although Barclays declines to comment on the source of the option that links it to housing prices, market sources say the firm uses the call options that some UK lenders embedded in retail mortgage products in the 1990s.

An investment in the Barclays’ House Price Index (HPI) Tracker Bond is split into two separate account

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: