Why retail investors like complexity - but only go with it as long as it delivers

Structured products can be complex but their performance has a direct link with market size as products with high past returns are helping the market to grow, according to a new research paper by Donghwa Shin (picture) , Ph.D. candidate at the department of economics and Bendheim Center of Finance at Princeton University. Shin’s research, Extrapolation and complexity, has found that when investors buy products they rely on past returns rather than analysing specific product details. &ldq