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European Dividend Futures - What Do You See This Year?
Dividends are a really fun market and it's a market I think not a lot of people know about unless you're specialized in the space. The reason it exists comes back to those structured products that we were talking about where almost all of the time when you buy a structured product that say pays you that 7% coupon, unless one of the underlying indices goes down a lot. And so effectively that creates this risk to dividend exposure that banks then need to recycle back into the market - which gave rise to dividend futures.