19 Jan China stocks rout exposes risk from US$30 billion of little-known leveraged ‘snowball’ derivatives
Posted at 07:45h
in Asia
Snowball products have been gaining popularity among investors seeking high-yielding assets. As long as the underlying indices the products track trade above the predetermined level set in the prospectus, holders are paid bond-like coupons, typically around 10 per cent annually. But if the products breach...