Study Of Volatility Feature Of Earnings Of Structured Financial Product

Along with the transformation and development of the modern economy,people's strength improved greatly with wealth,wealth strength ascension is corresponding to the general public demand for diversified investment channels.But what diverse investment channels face is the choice of a narrow investment market,the traditional bank deposit has apparently couldn't keep up with yield requirements of investors,stock,financial derivatives such as excessive investment and earnings volatility does not conform to the sane investor risk appetite.In this case,the risk is relatively modest and can lead to higher steady income of bank financial products to take personal investment market.Bank financial products often give a person with appropriate risk and steady gains,but by the fixed income securities and financial derivatives constructed in comparison to the "alien" structured financial products,because of its part in financial derivatives linked to stocks,bonds,index,such as uncertain risk target,make its earnings more volatile.Volatility,it is a risk,research structured financial products,earnings volatility is the study of structured financial products deviation between theoretical income and actual income and its source.But through the financial product market analysis of data on structured financial products,we found that the polarization of income: yield is second to none,it yields ranking is also its bottom,the highest yields and the lowest yield difference can reach more than 7%.In order to study the present the yield performance of reason,the paper clarify and solve the logic and problems as follows: first,the analysis of structured financial products reflect where structural,research what is its composition,found from financial derivatives was included,itself inherent earnings volatility;Second,to analyze what the pricing principle is,and whether it is based on its composition,it is found that its pricing design depends on the pricing of the two parts of its financial assets;Design is reasonable,then,analyzes the pricing and if there is a discount or premium phenomenon,find the reasons for the existence of such phenomenon is enough,design reasonable pricing;And again,the design and analysis of the pricing earnings volatility characteristics of contact,found that the pricing is designed to contain the structural inherent earnings volatility of financial product pricing is designed,so the highest yields and the lowest yield larger difference is understandable,arguably due to its inherent earnings volatility of financial derivatives,the polarization of income volatility characteristics is also doomed.But as a result of such products,external marketing to make a lot of unreasonable gradientdoes not match the investor risk investment,yield performance failed to give full play to its risk,making the product polarization earnings volatility characteristics amplified.What needs to be improved is a more accurate pricing design,a more reasonable set of return spreads,and a more transparent product outside marketing.The research idea of this paper is relatively clear,on a specific empirical type equity-linked products,through the monte carlo method for pricing design theoretical projections for revenue,and through the substitution model,the theory of comparative study on the price and the price if there is a discount or premium phenomenon,and the theory of expected yields highest type linked to the stock of wealth management products real yields more on the quality evaluation.Based on this idea combining data analysis,the status quo of the structured financial products market in China for its polarization earnings volatility characteristics of the cause and the remaining problems,and ultimately come to optimize our Suggestions about the design of structured financial products pricing and general advice to investors.