Structured products are synthetic investment instruments specially created to meet the needs that cannot be met from the cash financial instruments available in the markets. Structured products can be used: as an alternative to a direct investment; as part of the asset allocation process to reduce risk exposure of a portfolio; or to utilize the current market trend.

Combinations of derivatives and financial instruments create structures that have significant risk/return and/or cost savings benefits, that may not be otherwise achievable in the marketplace. Structured products are designed to provide investors with highly targeted investments tied to their specific risk appetite, return requirements and market expectations.

These products are created through the process of financial engineering, i.e. by combining underlyings like shares, bonds, indices or commodities with derivatives. Derivative securities such as options, forwards and swaps are determined by (respectively, derive from) the prices of other securities. Structured products is not a principal-protected product. its value is solely dertermine by the market value of underlying asset. It is possible to lose part of its interest revenue or principal, or even have to convert the original asset into other asset, according to the prior agreement.