The US equity market proved resilient in 2018, rebounding from a volatile first half to post 8.1% returns on the S&P 500 as at the end of the third quarter. Despite stronger relative market performance, dispersion between stocks and growing concerns about downside risk were key themes for structured product investors.

In response to increasingly trying market conditions, BNP Paribas demonstrated its ability to adapt in an agile manner by delivering timely investment ideas, innovative structures, and an engaging platform.

For example, the bank heavily promoted its high conviction theme “Tech in a safe way” to enable investors to continue riding the sector’s growth through novel payoffs with conservative features to remain exposed to secular opportunities. Through its premium research and structuring platform, BNP Paribas was able to engage private banking clients on a wide array of investment ideas, including the exploitation of stock dispersion, thematic baskets related to US tax reforms, cost-efficient S&P 500 hedging solutions, and long-term value approaches through a price-efficient index.

In addition to swift and relevant adjustments to its structured product and research offering, BNP Paribas also extended its coverage of the asset class by capturing US trading hours through a seamless collaboration with its US-based office covering private banks.

“The resilient performance of US equities relative to the rest of the world led to a healthy demand among Asian HNWIs,” said Gloria Yu, head of equity derivatives flow, WM&FO, global markets APAC at BNP Paribas. “As we are moving towards the end of the cycle, we will continue to monitor market conditions in order to offer our clients innovative solutions in a timely manner.”

BNP Paribas’ ability to adjust its proposition — be it product, research, or platform — garnered critical acclaim from private banks in 2018 and underlined its billing as Asia’s Best Structured Product Provider – US Equities.