According to an article published on Bloomberg , the...
Latest articles on Markets
Structured products design can be influenced by market conditions: levels of interest rates, dividends and volatility drive the retail and institutional flow. But the flow of structured products can also influence market conditions, mainly volatility and dividends. The below articles will tackle some of those phenomena.
Will The Winter Be Colder In Germany ?
This year the stock market has told us that Germany is over exposed to Russia versus the rest of...
S&P500 vs US Stocks: The Story Of Two Skews
Singles Skew Up Structured products on US underlyings have been mainly written on the big tech...
Spot Down / Vol Down
"Spot down / Vol down" is the name of the game in 2022. It is a puzzle for many volatility...
Where Has S&P500 Skew Gone?
Many things have collapsed this year but for vol traders, the most striking collapse has been the...
Volatility KnockOut Puts : Pay For The Way The Market Is (Not) Moving
We wrote recently about the temptation of the 3-month 95% put on SPX, that rarely pays out....
Spread VIX versus V2X
The spread V2X (European VIX) and VIX is something vanilla traders look at often. VIX is the well...
SX5E Dividends: Beware The Ides Of March ! 2022 vs 2020
Mid-March 2020 was a turning point for structured products dealers exposed to long term SX5E...
VXX Is Closed And That Is Good News
Last week, Barclays announced that it has stopped the sales and new issuance of its Exchange...
Products
Decrement Indices: You Are Warned!
The Central Bank of Ireland reiterates its warning on decrement indices In a letter sent to finance professionals in...
Nestlé, Roche, Novartis : Swiss curse or Swiss blessing?
Being a structurer is a great job: it means coming with payoffs or themes that make sense, that are attractive and...
The VKO Puts Makes Citi Equity Derivatives House Of The Year 2022
🏆 Citi has been named Equity Derivatives House of the year 2023 by Risk.net . In particular, Citi was rewarded for its...
Derivates
Gentlemen: How Should You Split The Bill?
Here is a question that divides etiquette specialists and offer gentlemen two options only: be a chivalrous sexist and...
The 60/40 Portfolio and Structured Products: Are Autocallables Equity or Bond?
Investors have piled up on equity autocallables in the past years to collect...
Worst of 2…3…4…5? How many are too many?
The industry practise is to build BRCs or autocallables on the worst of 3 assets. Rarely do we see worst of 2. But it...