Morgan Stanley has linked its latest retail product offering to the broader FTSE 250 index. This has been used only once before for a structured product, by Barclays International back in 2000, according to StructuredRetailProducts.com.
The product, which opened on April 14 and closes on April 29, offers investors 110% of the upside of the index, calculated with an Asian tail of the final year of investment. Maturity is in 2011 and the product has a 100% capital guarantee.
Since the equity m