Market volatility creates problems that challenge the way we think about investing and what it means to build a well-diversified “safe” portfolio. One way you can strive for good returns is protect your downside with Structured Notes. A Structured Note is a corporate bond - usually issued by a bank - that pays out a variable rate of return based on the performance of an underlying asset, typically at maturity. The principal and market return are subject to the issuer’s creditworthiness for the payment of all amounts. The underlying assets could be large, mid, or small cap; international or emerging equities; commodities, interest rates or currencies. And because Structured Notes are designed to achieve a particular investment objective or return profile, they can offer features often unavailable with traditional investments. Those features could include full or limited principal protection, the potential to enhance returns across and within different asset classes, access to hard-to-reach asset classes and the opportunity to earn enhanced periodic, contingent coupon payments. While you do receive some protection from market fluctuations, Structured Notes do trade on the secondary market, so you are taking on additional credit and liquidity risk. To find out more about Structured Notes, call us today.
OakTree Premium Finance
Leveraged Retirement Strategist
Estate Planning, Investment Planning Farmington UT