Back to: Structured Investments

Structured Investments provide an alternative to investment opportunities that are traditionally available to retail investors across all asset classes

They cover a diverse set of investment categories outside traditional bonds and shares and can be considered as having a typically higher risk/ return profile, or other features that provide some complexity to the investment

They are a form of direct investment where the investment decision generally rests with the individual and not a professional funds manager

Some may be "one off" products with limited availability

The benefits of adding structured investments to my portfolio

How do structured products compare to other products?
A standard balanced portfolio is often made up of a mix of cash, fixed interest, property and equities. Many Structured Investment products can be categorised within these asset classes. The key difference is, by taking on some increased risk, Structured Investments can offer the opportunity for higher returns.

The table below illustrates how structured investment products could be allocated within a standard balanced portfolio.

Asset classes	Cash	Fixed interest	Property	Equity
Standard products	Term Deposits	Bank Bills Government bonds	Listed Property Trusts Investment property	IPOs Managed funds
Structured alternatives	Performance Deposits	Credit Linked Notes	Unlisted Property Syndicates Development Funds	Private Equity Placements Hybrid Equities Equity Derivatives Hedge funds Infrastructure
% Allocation of a balanced portfolio	10%	33%	12%	45%