Structured Product constitutes a large industry and an important part of investment and capital market activity. Structured products are financial instruments designed and created for HNI’s (High Net-worth Individuals) investors for exposure (to something) through a derivative contract. The objective of Structured Product is to eventually offer principal protection with expectation of Equity like returns. The researcher after analyzing the research papers, have found that Structured Product has a long way to go. Structured Product plays a key role for HNI’s with composition of fixed income and derivative component. The significant combination allows the product to maximize the probability of generating expected returns while keeping the risk level in check. The return of an SP (Structured Product) is linked with performance of Nifty. The returns generated can vary according to rise in level of Nifty. This topic has been chosen by researcher to study and experiment various designs and strategy of developing a SP. The research design included conducting interviews, carrying out survey about Structured products, and using the secondary sources to meet the objectives of the research. Grounded Theory Analysis has been used by the researcher to analyze the data. The research may provide the readers with detail working of SP with its Strategy of Investment and expected returns. SP have been around since 2006 in India and is expanding at steady pace with more investors taking notice of their noteworthy performance across these years. Further there is a scope to carry out research on returns of SP by using different derivative component like Foreign currency and commodity market as well and also to increase the performance of SP by generating more returns. Market unpredictability has created a pressing need for products that can not only sustain through the market disorder but also prosper during those phases. So an investor should not only try to prevent the investment from eroding when the market stagnate or fall, but also generate positive returns during that phase. Structured Products(SP) are one such category of products that can be used to generate positive returns across a variety of market Situation.
Structured Product, High net worth individuals (HNI's), Option Trading, Zero coupon bond, Hedging, Principal Protection
International Journal of Trend in Scientific Research and Development - IJTSRD having
online ISSN 2456-6470. IJTSRD is a leading Open Access, Peer-Reviewed International
Journal which provides rapid publication of your research articles and aims to promote
the theory and practice along with knowledge sharing between researchers, developers,
engineers, students, and practitioners working in and around the world in many areas
like Sciences, Technology, Innovation, Engineering, Agriculture, Management and
many more and it is recommended by all Universities, review articles and short communications
in all subjects. IJTSRD running an International Journal who are proving quality
publication of peer reviewed and refereed international journals from diverse fields
that emphasizes new research, development and their applications. IJTSRD provides
an online access to exchange your research work, technical notes & surveying results
among professionals throughout the world in e-journals. IJTSRD is a fastest growing
and dynamic professional organization. The aim of this organization is to provide
access not only to world class research resources, but through its professionals
aim to bring in a significant transformation in the real of open access journals
and online publishing.