As the number of custom and proprietary underlyings increases, we look at the performance of two of the most popular underlying indices in the US market developed by investment banks.
The US structured products market has thousands of products linked to benchmark indices and individual stocks. Proprietary indices are an important alternative and two of the most popular choices are momentum strategy indices - the JPMorgan ETF Efficiente 5 Index and the Goldman Sachs Momentum Builder Multi-Asset Class Index. A momentum strategy bases investment or weightings within a portfolio on recent performance. The rationale is that observed trends will continue and therefore the index s