Structured deposit

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Revision as of 17:08, 24 August 2016 by imported>Doug Williamson (Create the page. Source: MoneyFacts http://moneyfacts.co.uk/guides/investments/what-is-a-structured-deposit-product/)
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A retail investment product which offers:

  • Guaranteed return of the principal invested; and
  • Limited upside participation in a higher risk investment, often an equity index, for example the FTSE 100.


The provider hedges its risk by using part of in the investment proceeds to buy call options on the index (or other higher risk investment).


See also