This article was created in partnership with SGX. The views and opinions expressed are Beansprout's objective and professional opinions.

What happened?

With global stocks being volatile in recent weeks, we received questions on whether there are financial instruments for us to manage our portfolios in different market scenarios. In particular, some investors were keen to find out if there are products that allow us to invest in stocks at a lower target entry price, while earning a potential distribution in the meantime.  We were hence curious to find out more about Autocallable Certificates, a type of Structured Certificates payoff which was launched on the Singapore Exchange in August last year.  According to the SGX, Structured Certificates provide new ways for investors to trade beyond the existing suite of direct stocks, ETFs and leverage products, providing them opportunities to manage risks or enhance yields in a rangebound market. SGX is the...