How Asia’s structured products dodged equities sell-off

Dealers deserve praise for improved structures, greater diversification and better risk transfer

Traditionally, an unexpected stock index crash sets alarm bells ringing for structured products traders in Asia. 

The popularity of the products among investors in the region means dealer hedging activity can represent a significant proportion of trading in certain indexes. So when times get tough, dealers often hit the same hedges at once, moving prices against them and leading to losses.

But the extent of the losses after China’s Black Monday in 2015, when dealers of Korean equity-linked

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

If you already have an account, please sign in here.

Register

Want to know what’s included in our free membership? Click here

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: