United Signals has entered the Swiss retail structured products market with a new tracker certificate developed in conjunction with Neue Helvetische Bank, which is a white label partner of Saxo Bank.

The Frankfurt-based financial technology company’s Dynamic certificate comprises different strategies from “proven investment experts” combined into one index, and was launched to expand the financial technology company’s managed accounts platform where clients can directly invest in strategies of “financial experts” in different asset classes, said Daniel Schaefer (pictured), founder and chief executive officer of United Signals.

“Clients are also able to invest via a certificate tracking the performance of a basket comprising various total return strategies with a focus on different asset classes such as equities, bonds, currencies, precious metals and commodities,” said Schaefer. “With the diversification, the investor benefits from different asset classes, markets and risk profiles, all bundled into a single security.”

The underlying portfolio includes discretionary as well as automated trading strategies (trend following, counter trend, breakout, sentiment) that are actively managed and based on total returns, “and can therefore profit in both – rising as well as falling market phases”, said Schaefer.

The company will monitor the portfolio within the certificate and has the ability to adjust its components. “The product provides a very cost-effective way to get exposure to different strategies, including equities, FX, ETFs and futures,” said Schaefer. “Investors can see the index allocation on our website in real time. This is another advantage for investors as highlighted by the market volatility of the past months and the big losses on exchanges worldwide.”

The product has remained in a positive range over the last couple of weeks when financial markets were falling, according to Schaefer. “[This] shows that the strategy is an alternative for those seeking products that are uncorrelated to capital markets,” said Schaefer. “We also want to provide our know-how and platform with its sophisticated risk management system to asset managers. They can create baskets and products under their own brand.”

The technology can also accommodate passive investments and the company is looking to set up partnerships to include these products, known as robo adviser solutions, according to Schaefer.

The company is not using structured products in the index. “The partnership with Neue Helvetische Bank fits well for both companies, as we provide the technical capabilities to leverage their issuing/structuring resources,” said Schaefer. “We have experience in structured products as we used to create and distribute structured certificates for Landesbank Berlin on single strategies.”

The initial focus is on professional investors and high-net worth individuals, but “as the solution is fully automated it is easy to use for all types of investors.”

United Signals’ cooperation with Neue Helvetische Bank and Saxo Bank, said Schaefer, will allow the issuance of further certificates under the company’s brand or in the name of asset managers.

The actively managed certificates are traded on Swiss exchange Six Structured Products and are available for investors at most banks and brokers. Distribution is only permitted in Switzerland, although Schaefer said that the German market remains a target, as well as other European markets. “We want to increase our product range and coverage,” said Schaefer. “In terms of wrappers, we are not limited and we are also open to accommodating funds or notes.”

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