FSA Review – poses more questions?

Identifying your target clients and designing solutions to their problems/needs does not sound like rocket science. Nor does having a robust process for testing and bringing them to market and ensuring they do what it says on the tin. Yet the FSA take the view in the final guidance on Retail Product Development and Governance* […]

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What is a structured fund?

Funds are types of collective investment scheme that pools money from many investors to purchase securities. They are often available to the public, governed by regulations and managed by investment professionals. Funds may invest in equities, bonds, cash and depending on the type of fund derivatives, commodities and property. Structured funds share many of the […]

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What is a structured deposit?

A traditional fixed rate deposit pays a fixed interest rate at the end of a pre-agreed period. A structured deposit works the same way except that the interest rate varies with the price of an asset. The asset may be a basket of equities, index, fund, currency, commodity or property market. For example, a five […]

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What are structured notes?

A structured note is a type of bond issued by a bank or a company. A traditional bond repays the principal invested at maturity and a fixed or variable interest rate during its life. Whereas, the interest rate or repayment amount for a structured note is determined by reference to the price of an asset. […]

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What are covered warrants?

A traditional warrant is a security issued by a company whereby the owner has the right to buy shares in that company for a fixed price (the strike price) on a pre-agreed date (the expiry date). The purchaser pays a premium for the warrant and the maximum loss is limited to this premium. Whereas, the […]

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What are options?

An option is a contract between two parties whereby the owner acquires the right to receive (a Call Option) or deliver (a Put Option) an asset at a pre-agreed price (the Strike Price) or the cash equivalent of the difference between the Strike Price and value of the asset (the Determination Price), upon a pre-agreed […]

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Structured product use set to grow in 2012

Research carried out by Money Management and due to be published in the June edition, showed that advisers expect clients to put more money in structured investments products in the next 12 months. FT Adviser reported that almost a third of respondents said they don’t intend to use the products over the coming year. However, […]

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Surveying client needs

Most companies will regularly canvass their clients views on proposals for new products. They will also obtain feedback on their existing services. This approach makes perfect business sense and defining and testing your target market is now a regulatory requirement from the FSA. Structured Investment Solutions can enable you to gain a deeper understanding of […]

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What structured investments are

An investment that pays a return based on the performance of an asset. The asset may be an equity, index, fund, bond, currency, commodity or property market. The term of the investment can run from one month to ten years or more. The rationale for investing in those assets being that historically they have outperformed […]

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