This book is essential in understanding, investing and riskmanaging the holy grail of investments - structured products. Thebook begins by introducing structured products by way of a basicguide so that readers will be able to understand a payoff graphic,read a termsheet or assess a payoff formula, before moving on tothe key asset classes and their peculiarities. Readers will thenmove on to the more advanced subjects such as structured productsconstruction and behaviour during their lifetime. It also explainshow to avoid important pitfalls in products across all assetclasses, pitfalls that have led to huge losses over recent years,including detailed coverage of counterparty risk, the fall ofLehman Brothers and other key aspects of the financial crisisrelated to structured products. The second part of the bookpresents an original approach to implementing structured productsin a portfolio.
Key features include:
* A comprehensive list of factors an investor needs to take intoconsideration before investing. This makes it a great help to anybuyer of structured products;
* Unbiased advice on product investments across several assetclasses: equities, fixed income, foreign exchange andcommodities;
* Guidance on how to implement structured products in a portfoliocontext;
* A comprehensive questionnaire that will help investors todefine their own investment preferences, allowing for a greaterprecision when facing investment decisions;
* An original approach determining the typical distribution ofreturns for major product types, essential for productclassification and optimal portfolio implementation purposes;
* Written in a fresh, clear and understandable style, with manyfigures illustrating the products and very little mathematics.
This book will enable you to better comprehend the use ofstructured products in everyday banking, quickly analyzing aproduct, assessing which of your clients it suits, and recognizingits major pitfalls. You will be able to see the added value versusthe cost of a product and if the payoff is compatible with themarket expectations.
Andreas Bluemke
Finance & Investments Finanz- u. Anlagewesen Investments & Securities Kapitalanlage Kapitalanlagen u. Wertpapiere