JP Morgan has issued a one-year bonus structure linked to the performance of the common stock of Caterpillar. The product is a growth product and pays a minimum fixed return even if the underlying asset finishes below its initial level (provided a barrier of 70% has not been breached). Principal is at risk if the barrier is breached during the term and the stock price fails to recover at least to its initial level.
A typical bonus product has a contingent payment, some downside risk and often ha
The week on Risk.net, July 7-13, 2018Receive this by email