Structured products have been around in one form or another for over forty years, and whilst there has been some negative commentary around certain specific, unfortunate events, we at Seymour Sinclair consider the sector to be in good health and consistently demonstrating a positive impact on our clients’ portfolios.
The first half of 2022 saw the maturity of 433 retail structured products. Between January and June 2022, all but one matured successfully, achieving a positive return for investors, collectively earning an average annualised return of 6.7% across an average term of 3.13 years.
Over the last year we have seen growth in the market, with 2022 projected to have the largest number of structured products issued in the UK. This years’ fortunes can be ascribed to recovering markets, product maturities and greater interest from clients who see value in the terms offered and enough potential return generated by continued volatility in the market.
There are many structured investments and structured deposit plans to consider. They add a new dimension to investing and it is a familiar adage that to manage risk successfully you need to have a diverse portfolio.
In summary we see that the UK market is in a buoyant state with many different investment banks and distributors serving investors.
