Insights into the process of designing AMCs
Since their introduction, Actively Managed Certificates (AMCs) have become a significant component of the European financial market. As a structured product, legally classified as debt securities, they hold a counterparty risk for the investor that is comparable with other structured financial products. AMCs are securitised, which gives the holder the right to cash repayment or the delivery of an underlying asset. As the buyer, the investor becomes a creditor of the issuer and thus dependent in terms of the type and amount of repayment, which is subject to different parameters.
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