UK investors eye capital protection as rates rise and volatility falls
Commodities, emerging markets, capital protection, income and inflation are the buzzwords surrounding UK structured product launches this year as 2011 starts with a bang.
Inflation, commodities and income are the dominant themes in the UK structured products market for 2011. "This year has got off to a brisk start," says Marc Chamberlain, executive director at Morgan Stanley in London. "Autocalls are not pricing, which may well be due to volatility coming off."
With rates moving higher and volatility falling, capital-protected products are returning to the market.
Morgan Stanley has reissued its FTSE Simple Growth Plan for the first time since 2007. "Capital
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