Walker Crips doubles down on consistency over yield as defensive demand builds

Walker Crips Structured Investments delivered another solid year in 2025, bringing 264 products to market with an estimated issuance of US$522m, as the firm doubled down on a disciplined, risk-focused approach to structured solutions.

Structured products are, at their core, risk management tools designed to improve the likelihood of good client outcomes - Joe Simpson

The UK distributor worked with a broad panel of investment banks, with HSBC (US$175m), Santander (US$151m) and Morgan Stanley accounting for the largest shares of issuance. The product mix remained heavily concentrated on FTSE 100-linked structures, which represented 230 products and US$472m of volume, alongside smaller allocations to the Eurostoxx 50, S&P 500 and Nikkei 225.

Autocallables continued to dominate the firm’s offering, accounting for 235 products (US$458m), while digital and barrier reverse convertibles played a marginal role. The vast majority of structures were capital-at-risk, with only 34 products offering full capital protection.

According to Joe Simpson, the firm’s performance reflects a long-standing commitment to consistency and discipline rather than a pursuit of yield at any cost.

“Consistency, both in outcomes and in how we design our products,” he said, pointing to a track record of more than 1,755 matured plans since 2009 with no capital losses. “That track record is the result of maintaining a disciplined, conservative approach rather than chasing headline rates at the expense of risk.”

_{Joe Simpson (left) and Sean Lam of Walker Crips at the SRP Europe 2026 Awards ceremony in London on 17 March. Far right Pablo Conde of SRP.}

Simpson added that scale has also been a differentiating factor, enabling the firm to secure competitive terms from large, well-rated counterparties without compromising on structure. “Ultimately, these are risk management solutions… designed to give advisers’ clients the best possible chance of a positive outcome.”

Defensive demand

The current environment is proving supportive for structured products, particularly defensive strategies. Simpson highlighted strong and growing demand for defensive and step-down autocalls, driven by a combination of market dynamics and demographic trends.

“After a prolonged period of market growth, combined with heightened geopolitical uncertainty, advisers and clients are increasingly focused on protecting accumulated gains while still seeking attractive returns,” he said.

Demographics are also playing a role, with a growing proportion of UK investors approaching retirement and becoming more sensitive to sequencing risk. As a result, structured investments and deposits are increasingly being used as core portfolio tools rather than tactical allocations.

This shift is also bringing new participants into the market. Simpson noted “renewed engagement from advisers who have not used structured products for many years,” alongside a new generation seeking to incorporate defined-outcome solutions into client portfolios.

Structural shift

Market conditions across 2025 and into early 2026 have further reinforced this trend. Higher interest rates and elevated volatility have enabled more attractive payoffs, improving both return potential and downside protection.

“At the same time, uncertainty in markets has increased adviser engagement,” Simpson said, particularly around defensive autocalls and capital-protected deposits. “In this environment, defined-outcome investing is becoming more compelling.”

Beyond cyclical factors, Simpson pointed to deeper structural changes shaping the industry. The limitations of traditional portfolio models highlighted during the market dislocations of 2022 have encouraged advisers to explore alternative approaches.

“There is a growing recognition that relying solely on traditional portfolio models… may no longer be sufficient,” he said.

At the same time, post-financial crisis improvements in regulation, governance and transparency are gaining broader acceptance. “Structured products are increasingly viewed as transparent, well-governed investment solutions rather than niche or misunderstood instruments.”

Scaling with discipline

At a firm level, Walker Crips has focused on expanding its product range across indices, counterparties, maturities and risk profiles, while maintaining a consistent philosophy.

“We’ve built a genuinely comprehensive and accessible product range… so advisers can find appropriate solutions for a wide range of client needs,” Simpson said. “Importantly, we’ve achieved this without compromising our core philosophy.”

That philosophy centres on risk management rather than yield maximisation. “Every solution is built as a risk management tool first, with the objective of improving client outcomes.”

This approach is reflected in demand trends, with defensive autocalls with step-down features seeing the strongest growth. These structures allow investors to lock in gains while maintaining exposure to further upside, aligning with current client priorities.

Capital-protected deposits are also gaining traction, particularly in the current rate environment, and are increasingly used within decumulation strategies.

Regulation as reinforcement

Regulation continues to play a supportive role in market development. Simpson described frameworks such as Consumer Duty as reinforcing best practice rather than creating friction.

“Consumer Duty has reinforced the importance of transparency, fair value, and clearly defined target markets,” he said, noting that Walker Crips works with independent providers to validate product value and make this information available to advisers.

“For firms already operating with strong governance, regulation has largely formalised existing practices rather than requiring fundamental change.”

Looking ahead, Simpson remains confident in the outlook for structured products, driven more by structural than cyclical factors.

“Advisers are increasingly seeking investments with defined outcomes and clearly understood risk characteristics,” he said. “Structured products are, at their core, risk management tools designed to improve the likelihood of good client outcomes.”

Walker Crips was recognised at the SRP Europe Awards 2026 in London in mid-March with multiple accolades including Best  Distributor & Best Performance UK, and Best  Distributor & Best Performance UK & Ireland. Click the link to view the full list of winners.

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