The Design Of Structured Financial Products, Innovation And Risk Management

Structured financial product of commercial banks is a new financial product, which combines the features of fixed return securities and financial derivatives. It will meet demands of different investors and is the substantial part of financial product. Nowadays, derivative instrument market is needed to support structured financial products, and the investment status of commercial bank is not established. It still has more capacity to develop.This paper firstly analyzes the current situation of structure product, from expire gains rate and the rate of market possession; then anlalyses the features of structure exists through gathering some data.Following that, this paper points out the existing problems of structure products and proposes some innovative advices including product design and institutional environment. In the end, the risks confronting investor are classified and giving some advice about how to reduce the risks.