Design And Analysis Of Structured Wealth Management Product Linked To Shanghai Stock Exchange 380 Index

In recent years,with the steady advancement of interest rate liberalization,China is slowly entering the era of low interest rates,and the yields of various financial products are also steadily declining.Coupled with the promulgation of new asset management regulations and new financial management policies in 2018,China’s large asset management industry has begun to be subject to stricter supervision.The supervision requires that wealth management products must break through the redemption,which has led to a decline in the yield and number of issuance of wealth management products.On the one hand,commercial banks’ urgent need for product design and product innovation is correspondingly increasing;on the other hand,investors have personalized needs in terms of capital preservation and profitability in the context of the declining actual investment yield.The stock index-linked structured products with institutional functions have huge market demand.In this context,in order to meet the needs of issuers and investors at the same time,based on the study of similar products,this article has designed a stock index-linked structured wealth management product.This product is a stock index linked structured product,which can be defined as a combination of fixed income securities and derivatives,or can be simply expressed as a combination of bonds and options.It has the characteristics of floating income with capital preservation,which can enable investors to obtain floating income when the index market trend is correct,and at the same time protect the principal when the prediction is wrong,and avoid market risk.The premise and focus of product design is the rationality and feasibility of the product.Based on market analysis,this article understands the current market situation and customer needs,locates the product’s customer group,and then begins the design and analysis of specific solutions.The core of the scheme design is the options part.The option-linked underlying assets(Shanghai Stock Exchange 380Index)predicted by descriptive statistics and technical analysis methods of historical data are the slow bull market.Therefore,the design of the options part adopts the bullish target of the Shanghai Stock Exchange 380 Index.A class of digital options.It is the purpose of empirical analysis to set up the necessary test parts and steps to ensure the rationality of the product design.The empirical analysis of products is divided into two parts: product pricing analysis and risk-return analysis.As a type of portfolio product,the theoretical value of the stock index-linked structured product consists of bond value and option value,so product pricing is divided into bond pricing and option pricing.Bonds are priced at a discount rate of three-month Treasury bonds using discounted cash flow methods;options are based on the risk-neutral pricing principle,Ito’s lemma,and Monte Carlo simulation pricing methods,and then priced with the help of MatlabR2016 a software.In the risk-benefit analysis section,the article describes the product’s profit situation and probability distribution analysis based on the product’s return function and the results of Monte Carlo simulation,and uses the sensitivity analysis method to test the risk factors of the product.In order to highlight the uniqueness and innovation of the structured financialproducts linked to the Shanghai Stock Exchange 380 index designed in this paper,four similar structured financial products linked to the stock index in the market are also selected for comparison.In addition,the structural deposits in the bank market have developed rapidly in the past two years.These products are similar in structure to this product and belong to the structural products of the bank,but there are also differences in the classification of categories and specific functions.This paper analyzes the similarities and differences between them.Finally,this paper gives the product promotion strategy and related Suggestions.The success of the product promotion strategy is directly related to the success or failure of the entire product design process.