Since the end of the 1990s a new kind of class of financial instruments became popular, the so-called Structured Products. Structured Products are defined as a combined form of classical investment types with a derivative. They as well have fixed duration. All conditions are defined prior to the issue of the Structured Product and valid over the complete term.
Three different kinds of Structured Products are available:
1. Structured Products with capital protection: As they are an alternative to debenture loans, this category of structured products is characterized by an agreed repayment at the due date. Furthermore an additional return can be earned, if the expected market scenario is taking place. So the attractive return potential, which has far less risks as traditional investments, is one of the biggest advantages of structured products with capital protection.
Three different kinds of Structured Products are available:
1. Structured Products with capital protection: As they are an alternative to debenture loans, this category of structured products is characterized by an agreed repayment at the due date. Furthermore an additional return can be earned, if the expected market scenario is taking place. So the attractive return potential, which has far less risks as traditional investments, is one of the biggest advantages of structured products with capital protection.