There are many ways to start a career in structured products and ETFs, and a variety of different views of what are good products. In a series of interviews, SRP asks market practitioners to reveal their thoughts about the market and the path they have taken to become part of it.
Bruno Poulin, chief executive officer and founding partner at Ossiam answers the questions.
What sells better, protected or non-protected products?
It depends on what banks have to offer, or to sell. Regulations, a bank's balance sheet and obviously the level of interest rates, whose evolution has dramatically changed the landscape of structured products in the last 10 years: these have an impact on whether guaranteed or not is more attractive. Banks sometimes have an interest in pushing one category over another.
What are the prospects in your market for the next 12 months?
Uncertainty, opportunities and investors continuing to search for returns. In other words, the same as usual! Added to that is the dramatic switch by investors from active to passive investment strategies, but with a permanent need for firms to set themselves apart by delivering exceptional service.
What was your first job?
I was a bond trader in Tokyo working for a French investment bank.
What subject did you study in higher education?
I studied political science and economics at Sciences Po Paris, and finance at ESCP Europe.
Are structured products complex investments?
Not necessarily. Look at ETFs, for example. They are in essence structured products and can still have various levels of simplicity or complexity, depending on the needs of the investor and the underlying assets.
What is the main benefit of buying structured products?
If an investor asked me this question, I would respond with, "Would you buy a car in spare parts?" They can offer a simple solution to specific financial requirements.
Do you buy structured products? If so, which type do you prefer?
ETFs, naturally.
Which is the best structured products market?
The one with the happiest investors, which is usually also the one with a higher level of financial education. You could say Germany is a good example of this.
What's the best structured product you have ever seen?
Reverse floaters and some early CLOs, the 'clean' ones, which matched banks to investors' needs.
Bicycle or taxi?
Both. Depends on luggage, weather and distance. But cycling in the Alps for pleasure, on and off road.
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