Trade of the month: Secondary trading

As so few investors are inclined to sell products back to investors this encourages a shortage of liquidity. And the meagre flows, combined with the expense of unwinding small amounts of product, tend to mean that providers are not very interested in developing secondary trading.

Some structured products are listed on the London Stock Exchange, but these are mostly institutional. And it is these investors who have the keenest interest in secondary market trading, partly because they have a great

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