Hedge fund tools may see revival in Asia
Monday, January 5, 2009 : PermalinkInquirer.net – Global asset management firm Bank of New York Mellon sees the Asia-Pacific region leading the revival of hedge fund instruments, such as the so-called structured products, despite the stigma from the financial meltdown that started in the United States.
"Over time, there will be a world-wide return to structured products. They have gotten a bad name with this crisis, for good reason. They are, however, an important investment vehicle for financial institutions," BNY Mellon chair for Asia Pacific Christopher Sturdy told the Inquirer.
A structured product is a pre-packaged investment instrument based on derivatives, such as a single security, a basket of securities, options, indices, commodities, debt issuances, foreign currencies and to a lesser extent, swaps.