Structured Products

Day One

09.00 - 09.15 Welcome and Introduction

09.15 - 12.00 Introduction to Structured Products and their Uses

• What is a “Structured Product”?
• Investor and Issuer Motives
• Building Blocks

Structured Notes and Bonds

• Capped/Floored FRNs
  • Definitions and uses
  • Mechanics, pricing and hedging
• Leveraged-Capped Floater
• Multi-Callable Capped Floater
• Reverse Floaters
  • Mechanics, pricing and hedging
• Small Exercises

12.00 - 13.00 Lunch

13.00 - 16.30 Structured Notes and Bonds (cont’d)

• Bear Notes
  • Mechanics, pricing and hedging
• CMS-Linked Notes
  • Definitions and uses
  • Mechanics, pricing and hedging
• Range Floaters/”Fairway Bonds”
  • Definitions and uses
  • Mechanics, pricing and hedging
• Callable Snowball Notes
  • Definitions and uses
  • Mechanics, pricing and hedging
• Small Exercises

Day Two

09.00 - 09.15 Recap

09.15 - 12.00 Structured Notes and Bonds (cont’d)

• Targeted Redemption Notes
  • Definitions and uses
  • Construction, pricing and hedging
• Credit-Linked Structures
  • Credit Linked Notes
  • Leveraged Credit Linked Notes
  • ABS, CDOs, and CBOs
• Innovative Interest Rate/Equity Hybrids
  • Interest Swaps Triggered by Equity Level
  • Equity-Linked Swaptions
• Small Exercises

12.00 - 13.00 Lunch

13.00 - 16.30 Equity-Linked Structures

• Overview of Equity-Linked Notes
• Principal-Protected Equity Linked Notes
• Leveraged Upside Structures
• Equity ‘Out-performance’ Bonds
• Discount Certificates
• Equity Reverse Convertibles
• Super Coupon Growth Bond
• Small Exercises

Commodity and Currency Linked Structures

• Commodity-Linked Notes
• Currency-Linked structures
  • Dual Currency Structures
  • Quanto Structures
• Small Exercises

Day Three

09.00 - 09.15 Recap

09.15 - 12.00 Some Advanced and Exotic Structures

• CAT Insurance-Linked Products
• Equity-indexed annuities
  • Asian
  • Lookback
  • High/Low-Water-Mark
• Cliquet (Ratchet) Structures
• Bull-Certificate with Knock-out
• Stepped Indexation
• Up-and-Out Indexation
• Bonus Certificates
• Himalaya Bonds
• Small Exercises

12.00 - 13.00 Lunch

13.00 - 16.30 Regulatory Issues in Buying and Selling Structured Products

• Complying with The Markets in Financial Instruments Directive (MiFID)
  • Client Classification
  • Marketing
  • Information about Firm and Services
  • Client Agreements
  • Suitability and ”Know Your Customer”
  • Appropriateness and Execution-only Services
  • Best Execution
  • Client Order Handling
• What Will Be the Impact of MiFID on the Markets for Structured Products?

Evaluation and Termination of the Seminar