19-04-2013, 04:03 PM
(19-04-2013, 02:18 PM)AlphaQuant Wrote:(19-04-2013, 02:00 PM)revolta Wrote: Is equity link notes save?
most equity linked notes consist of a zero bond and options. Depending on how it is structured, the issue can be principal protected or not. (meaning you may or may not get your principal back at maturity)
It is certainly not safe since neither yield nor principal recovery is guaranteed.
IMO, it is not safe as investment, but safe as hedging tool.

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