Structured Notes >>>
Distortions between bonds and derivatives that BNP Paribas SA and JPMorgan Chase & Co. say will be a feature of European markets in 2013 helped push sales of credit-linked structured notes to a four-year high last year. Click here to continue reading.
Deutsche Bank AG and Natixis are selling more structured notes tied to carbon permits, or emission allowances, as the market is more than twice as volatile this year as the Euro Stoxx 50 Index. Click here to continue reading.
Investors are turning to secondary markets to buy notes that pay fixed interest rates before switching over to a floating benchmark, as securities issued more than a year ago offer better terms than new issuance. First-time sales in the U.S. of fixedto-floating rate securities were $29.1 million in November, according to data compiled by Bloomberg. That’s less [...]
U.S. investors are buying 65 percent more notes linked to a basket of U.K., European and Japanese stock indexes this year, spurred by a 12 percent average gain in the benchmarks since May. Banks have sold $908 million of U.S. notes tied to the Euro Stoxx 50 Index of the 50 largest euro-area companies, the U.K.’s FTSE 100 Index, and Japan’s Tokyo Stock Price Index, known as the Topix [...]
A decline in Brazil’s real and a ratings upgrade for Nigeria are spurring sales of structured notes tied to emerging market sovereign debt, while issuance of similar securities linked to euro-area nations dries up. Click here to continue reading.
Sales of U.S. structured notes tied to the share price of Apple Inc. climbed to $1.47 billion this year, on the verge of overtaking the London interbank offered rate as the second most commonly linked underlying. Investors bought $357.2 million of notes in 104 offerings tied to the world’s most valuable company in October, the biggest sales month since January 2010, according to data compiled by Bloomberg. That compares with $19 [...]
Banks are adding additional links to credit risk in the structured notes they sell, seeking to offer higher returns while taking advantage of a record bond rally. UBS AG, Credit Agricole SA and Royal Bank of Scotland Group Plc sold $51.6 million of hybrid notes in the past two months that were tied to both debt [...]
Third-quarter sales of structured notes in the U.S. fell to the lowest this year as a new round of quantitative easing and the lead-up to the November presidential election damped market volatility. Investors bought $9.37 billion of the securities, down 4.3 percent from the previous quarter, according to data compiled by Bloomberg. It was the second-lowest three-month period for issuance since at least the beginning of 2010, exceeding only [...]
U.S. sales of structured notes linked to commodities have plunged 41 percent this year, led by a drop-off in securities tied to copper, an industrial metal viewed as an economic barometer. Issuance of commodity-linked notes fell to $2.04 billion during the first nine months, from $3.44 billion during the year-earlier period, according to data compiled by Bloomberg. Securities linked [...]
Deutsche Bank AG sold the second- largest U.S. structured note this year, tied to the 50 biggest euro-area companies, after the European Central Bank president announced an unlimited bondbuying plan to support the euro. The German bank issued $429.6 million of 18-month securities on Sept. 14, according to a prospectus filed with the U.S. Securities and Exchange Commission. Investors bought $478.9 million of U.S. notes linked to the Euro [...]