As Morningstar flags a new global defence supercycle, structured products linked to European and US contractors have increased significantly, with issuance and volumes multiplying in 2025.
A new defence supercycle is taking hold across global markets, driven by rising geopolitical tensions, Nato spending commitments and long-term procurement visibility, according to a recent report from Morningstar. Defence-linked underlyings are emerging as one of the fastest-growing themes in 2025 That macro shift is now translating directly into structured products issuance, with defence-linked underlyings emerging as one of the fastest-growing themes in 2025. SRP data shows a steady surge