Indexes
A ripening market
Market dynamics and the chequered history of structured investments in South Africa have recently favoured vanilla products featuring capital protection. But some local issuers are gaining traction with more sophisticated offerings. John Ferry reports
The Thomson test
A restructuring of debt by Paris-based media and electronics firm Thomson has provided an early test for the small bang protocol. The initial stages of the settlement process highlighted a number of outstanding issues, not least the treatment of index…
DGCX to launch commodity indices
The Dubai Gold & Commodities Exchange (DGCX) will use its futures prices to create commodity indices for the global investment banking and fund industry in the Middle Eastern region.
All four one
MSS Investments has enlisted the Swedish Export Credit Corporation as issuer of a six-year capped growth product linked to the performance of a basket of global indexes based on infrastructure, equities, fixed income and emerging markets
Sixteen again
Arc is offering a sterling-denominated play on emerging markets - specifically the iShares MSCI Brazil Index Fund ETF and Hang Seng China Enterprise Index - which promises returns of 16% for each year of its five-year term if no kickout occurs
Index innovation - Standard & Poor's
The strategic markets approach has served Standard & Poor's (S&P) well over the past 12 months, specifically the index provider's Risk Control Indexes, Currency Beta Series, Asian Thematic Indexes and S&P 10 and S&P 40 indexes
Battling the benchmark
In 2007, investors demanded more active commodity indexes to capitalise on the bull run in the asset class. But benchmarks and beta offerings alike were hit by last year's drawdown. Will this lead investors to abandon directional offerings in favour of…
Environmental exploitation
Recessions usually spell bad news for the environment. Promises of investment in clean energy and sustainable technology wither away as mediocre returns drive investors to count the cost of easing their conscience. But today's burgeoning green sector…
Asia comes of age
Dealers are increasingly offering exchange-traded funds (ETFs) to retail investors to give them access to asset classes and instruments traditionally not available to them. At the same time, regional exchanges are trying to bolster their ETF business. Is…
Thomson restructuring causes headache for CDS index tranches
Market participants are uncertain how to deal with index tranche products referencing the iTraxx credit default swap (CDS) indexes following the restructuring credit event at French media company Thomson, which was a member of the indexes.
US Wrap: ABN Amro continues slow trickle of reverse convertibles
ABN Amro is continuing its slow and steady release of reverse convertible notes into the US market, launching a structure linked to General Electric stock. It pays an annualised rate of 9%, with a barrier of 70%. If the stock falls below this barrier and…
UK Wrap: Cater Allen lone presence with double digit headline rate
Cater Allen Private Bank was the only issuer with a product in the UK market last week, offering a headline rate of 37% for its FTSE-linked product. The plan comes with two maturity options - either three and three quarter years or five-and-a-half years…
Direxion continues leveraged trend with real estate ETFs
Direxion has launched two new exchange-traded funds (ETFs) which give three times leveraged exposure to the MSCI US Real Estate Index. The Direxion Daily Real Estate Bull 3x Shares offers 300% of the daily upside performance of the index, whereas the…
Société Générale launches new listed income product
Société Générale has issued a new listed plan, which guarantees to pay an income higher than a traditional savings account. The FTSE Income Protection 3000, which is listed on the London Stock Exchange, provides investors with a fixed income of £17, or 1…
Gap trade interest could salvage dealer risk recycling channel
Renewed interest in gap risk trades might resurrect the defunct trading channel previously used by structured products issuers as a means to recycle unwanted gap risk, say dealers.
Investec opens latest suite of products to investors
Investec is offering a new set of capital protected FTSE-based plans covering growth and income products, as part of its 10 th collection.
UK Wrap: Risk appetite returns in new plan launches
Risk appetite returned to the UK last week with the launch of a slew of 'at risk' plans. Leading the pack was a asset manager Jubilee, with its Optimised Growth Plan 1, which also gives accelerated growth.