As investment advisors we have a wide variety of tools with which we can build client portfolios. Most investors are very familiar with traditional mix of investment tools: stocks, bonds, and cash equivalent investments. Over the last ten years investment alternatives have exploded in the marketplace. Exchange Traded Funds (ETFs) and Real Estate Investment Trusts (REITs) have now become mainstream investment choices, offering access to a wide variety of commodities and real estate. 

The clients of Buena Vista Investment Management, in our Custom Investment Program, now have access to a new tool to diversify their portfolios; Structured Investments. 

As background, Structured Investments have long been popular in Europe and Asia.  Individuals can purchase these investments at their local post office or bank in increments as low as $1,000.  Generally, Structured Investments can help you achieve three primary objectives: investment returns with little or no principal risk, higher returns in a range-bound market with or without principal protection, as well as alternatives for generating higher yields in a low-return environment. They also provide you with an opportunity to access asset classes, such as commodities and foreign currencies, which in the past were primarily available to institutional investors.

We use two specific structured products in our client portfolios: Buffered Return Enhanced Notes (BREN’s) and Principal Protected Notes.  To purchase these investments for our clients we use the trading desks at Schwab Institutional and JP Morgan.

Please click on the links below to learn more about Structured Investments

Building a Case for Structured Investments - by J.P. Morgan

Buffered Return Enhanced Notes - by J.P. Morgan

Principal Protected Investments - by J.P. Morgan