Innovation is at the core of the JPMorgan message that impressed the judges. Its pioneering efforts include a proposed new asset class in structured credit, Managed Credit Synthetic Portfolio Insurance (SPI) - principal protected notes with exposure to long/short credit fund performance.
The product is a clever combination of recent developments in credit and principal protected notes, such as managed CSO tranches, a long/short strategy wrapped in a fund format and principal protection through SPI and highly rated collateral. And it offers multiple levels of active credit management: portfolio composition; combination and notional tranches; long or short position; and cash flows riskiness and timing.
According to Oldrich Masek, global co-head of structured credit at JPMorgan: “JPMorgan differentiates itself by being a leader in every segment of the credit market, both as an innovator and a top class liquidity provider. It is committed to developing the credit market in a robust framework and ensuring efficient market functioning during volatile and normal market conditions.”
