Having once been the jewel in the structured products crown, banks' retail autocallable businesses have had a rough ride in the past year as tumbling Asian and European indexes have put the brakes on reinvestment into the products. One dealer estimates volumes are down by a fifth and those that are investing are receiving depressingly low coupons.
But dealers are fighting back by tweaking one troublesome pricing input – forward dividends – leading to savings that can be passed on to end-clients
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