P-note issuers rejig business model

The P-notes business does not involve financing or funding component

Ashley Coutinho  |  Mumbai 

With participatory notes (P-notes) losing their appeal as an investment vehicle, most banks that issue P-notes to foreign clients are changing their business model.  Most banks have stopped "non-leveraged" aspect of their business, and are focusing only on the part that involves financing, sources said.  The P-notes business does not involve financing or funding component. Here's how it works. Investors approach a bank (P-note issuer) to take exposure to Indian stocks. The bank issues P-notes and hedges itself by executing the trade in India and ...

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P-note issuers rejig business model

The P-notes business does not involve financing or funding component

The P-notes business does not involve financing or funding component With participatory notes (P-notes) losing their appeal as an investment vehicle, most banks that issue P-notes to foreign clients are changing their business model.  Most banks have stopped "non-leveraged" aspect of their business, and are focusing only on the part that involves financing, sources said.  The P-notes business does not involve financing or funding component. Here's how it works. Investors approach a bank (P-note issuer) to take exposure to Indian stocks. The bank issues P-notes and hedges itself by executing the trade in India and ... image
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