Indexes of indexes can deliver lower volatility and increased exposure, say providers

dynamic explosion
Indexes of indexes combine strategies or asset classes

The difficulties in creating viable capital-protected structured products when volatility is high and interest rates are low have meant the past 18 months have seen the creation of more indexes of indexes. Market participants say these indexes can help provide cheaper and more readily available capital protection, which appeals to index creators and retail investors alike.

"There is nothing you can do about interest rates, but for the underlying, which is the performance engine, an index of inde

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