Nick Johal: Four risks associated with structured products?

So are structured products too good to be true? After all, the historical returns are compelling, with limited chance of capital loss and returns in the region of 6% to 8% a year for autocalls, while interest rates in the UK remain at, or close to, historical lows. Some recent media attention has focused on the compelling risk-adjusted returns and benefits of adding structured products to a portfolio of investments. With low interest rates and after a 10-year equity bull market, these investments are able to deliver equity-like returns with a high probability of achieving them. The secto...