forgot password? register now

remember me

You are here: Home > What are Structured Investments? > Why Structured Investments?

SI Key Indices

Index Name	Prev. Close
JPM Efficiente USD Index	104.51
S&P 500	1,344.90
Dow Jones Industrial Average	12,862.23
DJUBS Commodity Index	145.54
SGI Fed Model US Index	980.81

Why Structured Investments?

We believe there are two main reasons why Structured Investments can be used to help accomplish a variety of investment objectives. They are (1) Access and (2) Customization.

Access
The packaged nature of structured investments allows investors to invest in certain geographic markets or asset classes which might otherwise be accessed only through the use of options or futures markets or altogether restricted to foreign individuals. In some cases, access is to a particular investment or trading strategy which would otherwise require significant portfolio rebalancing and quantitative analysis. By investing in a note or deposit issued by a bank, the investor is taking advantage of the breadth of trading capabilities that a bank has relative to those of an individual. In addition, some investments would require a minimum size to implement on a cost effective basis. The packaging and offering of structured investments to a broad investor base provides the necessary scale.

Customization

Dials

Because each investor is unique in their tolerance for risk, their financial goals and the market views, “one-size fits all” investments do not always meet an investor’s objective. For example, an investor planning retirement in five years will potentially have a lower risk tolerance for equity investing than an individual in the early years of their career. However, both individuals may desire the potential for high positive returns which equities can provide. Equity index linked certificates of deposit would provide a return linked to the appreciation of an equity index while providing principal protection at maturity. The CD may provide a lower participation in the appreciation of the equity index than a direct purchase of a portfolio of diversified equities or an equity index fund, but for the soon to be retiree, with a shorter horizon to make up for any losses in the value of their portfolio, return of principal at maturity may be worth sacrificing some upside. Some investors may be seeking to monetize a market view to generate high periodic yield in exchange for sacrificing any potential upside in the underlying asset. Others are willing to accept a longer investment horizon or some risk to principal in return for greater participation in the underlying asset. Structured investments allow an investor to focus (or "dial-in") on the risks that they are willing to accept in exchange for potential returns that they seek.

Read more about common risk considerations associated with structured investments.

Financial Professionals

Continuing Education
Secondary Offerings
Resources & Tools
Blog

Trading Desks

Broker-Dealer Advisors

RIAs

Issuers

New Issues^*

Bank of America Corp.
Callable Yield Note 2/15/2013

Goldman Sachs Bank USA
Income Generator 2/28/2019

Goldman Sachs Bank USA
Participating Index Linked 2/28/2019

Goldman Sachs Bank USA
Income Generator 2/28/2018

Goldman Sachs Group, Inc.
Participating Index Linked 8/31/2017

Goldman Sachs Group, Inc.
Buffered Digital 3/4/2014

Goldman Sachs Group, Inc.
Fix Rate Callable 8/10/2014

Goldman Sachs Group, Inc.
Step Up Callable 2/15/2021

Goldman Sachs Group, Inc.
Range 2/15/2027

Goldman Sachs Group, Inc.
Trigger Note 9/2/2014

HSBC USA Inc
Step Up Callable 2/16/2017

JP Morgan Chase
Income Generator 2/28/2018

JP Morgan Chase
Buffered Return Enhanced Note 2/28/2014

JP Morgan Chase
Classic 5/17/2012

JP Morgan Chase
Classic 8/17/2012

JP Morgan Chase Bank, N.A.
Participating Index Linked 8/31/2018

JP Morgan Chase Bank, N.A.
Income Generator 2/28/2017

JP Morgan Chase Bank, N.A.
Income Generator 2/28/2018

JP Morgan Chase Bank, N.A.
Income Generator 2/28/2019

Royal Bank of Canada
Fixed to Floating Rate 2/15/2019

Royal Bank of Canada
Classic 5/15/2012

Royal Bank of Canada
Classic 8/15/2012

Royal Bank of Canada
Buffered Return Enhanced Note 8/29/2013

Union Bank, N.A.
Cliquet 2/29/2016

Union Bank, N.A.
Cliquet 2/28/2017

Wells Fargo & Company
Fixed to Floating Rate 2/15/2017

Wells Fargo Bank, N.A.
Participating Index Linked 8/27/2018

Wells Fargo Bank, N.A.
Digital Plus Performance 2/28/2018

^*Please see important disclaimers regarding these offerings.

Newsletter

Please register to receive the Structured Investments Newsletter.

This site is for Financial Professionals only.