Market cap and custom indices such as decrement and volatility control continue to drive activity, innovation and complexity as well as value to investors in the structured products market, according to panellists on the first day of SRP’s flagship Europe 2022 conference.
The construction of indices is heading towards personalisation in general, according to Amna Hadziabdic, executive director and derivatives product manager at MSCI. The shift is primarily driven by the clients’ need for customisation in addition to access to trendy themes such as ESG, which instead requires standardisation, added Norbert Van Veldhuizen, head of equity index product, Emea at FTSE Russell. There is an incredible number of choices for ESG indices in the market, but the lack