Swiss manager Vontobel has entered the French market for leveraged products by listing a range of leverage certificates and knock-out products on Euronext derivatives market in Paris.
The initial product offering, that consists of knock-out warrants and constant leverage certificates on the leading French, European and US indices and equities, will be extended in the coming weeks, enabling private and institutional investors in France to execute individual trading strategies in line with their individual risk profiles.
Bank Vontobel Europe AG, the German subsidiary of Vontobel Holding AG, will be responsible for the distribution, quoting and trading of the certificates issued by Vontobel Financial Products GmbH in Frankfurt.
The French derivatives market on Euronext is mainly based on leveraged products. Vontobel assesses that whereas the constant leverage certificates market share weigh around 20% of total turnover, knock-out products cover roughly around 40% of the market.
“Vontobel will operate from the very beginning on more than half of the French market. As a highly competitive market, France is a substantial opportunity for the European expansion of Vontobel structured products business,” the firm stated.
“Developing and selling structured products is at the heart of Vontobel’s DNA. We have 30 years experience in this sector. Investors can rely on its strong know-how as well as on its well-known agility and fast-growing expansion on the Swedish, Finnish and Italian markets. Its interactive trading platform as well as cost-efficient processes and innovative platforms are a key factor of its European success,” commented Roger Studer, head of Vontobel Investment Banking.
It is understood Vontobel will expand to other European markets. The company is set to list its products on Euronext Netherlands on 26 January.