At a recent symposium hosted by UOB Kay Hian, Franck Fayard, Head of Marex Financial Products APAC, spoke with (professional) investors about how structured products are evolving alongside today’s market dynamics.
The conversation quickly moved beyond traditional market outlooks. Instead of simply asking where markets are heading, investors are increasingly focused on more specific questions – for example, whether NVIDIA can remain the world’s largest company a year from now.
A market defined by concentration and conviction
One of the defining features of 2026 so far has been the concentration of equity performance in a relatively small group of global leaders, particularly within technology and memory. Within this, memory names – including leading Korean stocks such as Samsung and SK Hynix – have also been an important area of focus for investors. NVIDIA remains central to many portfolios, reflecting the strength and persistence of the AI-driven investment cycle.
Alongside this, broader themes – including electric vehicles, digital assets, and China internet – continue to draw strong interest. These are not just trends but reflect a broadening of investor focus beyond the largest market leaders into a wider and more diverse set of thematic opportunities.
A shift in how investors are using structured products
Traditionally, structured products have been associated with yield enhancement and downside protection. While these objectives remain important, the discussion highlighted a clear evolution.
Investors are increasingly using structured products to express specific views – not just that markets may rise or fall, but how particular assets or themes may behave over a defined period. In practice, this means focusing on scenarios such as whether market leaders can sustain their dominance, how quickly lagging sectors may recover, or where upside may be more asymmetric.
The rise of outcome-based and “prediction-style” strategies
A key theme from the symposium was the emergence of more targeted, outcome-based strategies, sometimes described as “prediction-style” approaches.
These structures allow investors to focus on clearly defined scenarios or outcomes, offering a more precise way to align investments with market views. Rather than broad exposure, the emphasis is on specificity and flexibility.
Balancing protection and participation
Across APAC, demand continues to grow for solutions that combine different objectives: generating yield, managing downside risk, and maintaining exposure to high-growth themes.
This is reflected in continued interest in equity-linked strategies, as well as commodities such as gold and silver for downside protection, and digital assets for more convex return profiles.
Looking ahead
The discussion underscored a broader shift in how structured products are used: they are no longer just tools for income generation, but instruments for expressing investment views with greater precision.
As markets evolve, this combination of thematic investing, innovation in payoff design, and demand for flexibility is likely to remain a key driver of growth in structured products.
Marex Financial Products continues to work with partners and clients across the region to develop solutions aligned with this increasingly sophisticated landscape.
Interested in discussing how these themes could apply to your portfolio?
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