Structured products can be risky

Professional Adviser
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While risk-averse investors are being steered toward more structured products as providers tap into their need for a guaranteed return, there are areas where investment newcomers need to be wary

With cautious or risk-averse investors still chasing double-digit returns without taking the inherent risks of stock markets, many advisers can be pushed down the product curve in order to satisfy consumer demand. Add to this the continued nervousness of investors and their lack of confidence in equity markets, which has been supported by the latest reports of falling Isa sales, it is not surprising investors are looking for alternatives. In answer to these calls, providers are jumping on the latest bandwagon and, as a result, we have seen an increase in the launch of structured produ...

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