Talk:Principal protected note
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I have edited my contributions to remove all non-relevant information. This description of principal protected notes is comparable to the descripts provided under the investment and economics categories such as mutual funds, equities and structured investment products.
Our goal is to contribute factual information about the structured investment category which has grown in significance in response to volatile market conditions over the last five years. This content has been edited specifically for this use, in agreement with the fair use terms of the Wikipedia environment. Info@onefinancial.com 15:54, 23 February 2006 (UTC)
not really happy with the article; if you have no objections, I will try a re write soon Cinnamon colbert 01:26, 3 July 2007 (UTC)
A PPN is a deal between an investor (you) and a company; you give the company a sum of money (principal); in return the company guarentees to return all of your prinicapl after a period of time (the term) and the company agrees to pay you an aditional sum that depends on some financial activity. For instance, you might agree to give xyz corp 5,000 dollars for 5 years; in return, they will give you 5,000 dollars at the end of 5 years, and a sum that depends on the price of oil in fiveyears.
The rationale for PPN is as follows: there are many complex investments that you would like to invest in (such as the price of oil in five years vs the price of the ruble), but, as a small investor with limited knolwedge and money, you cannot invest in this sort of thing. With the PPN, a large company offers you a variety of these exotic investments.
Looked at coldly, PPNS are largely a financial gimmick; they are complex opaque things that an ordinary person can't understand; for instance, most independent financial advisors stress that minimizing fees is important; the fees charged ina PPN are hard to understand.\\
this is sort of the skeleton of an article on ppns; the criticsm section needs to be stronger. note the lack of jargon - if you are lookking for a model on how to write about financial thinkgs, check our Ric Edelmans new rules of money, now out of print (I have no interest in Mr edelman, he is just a great wordsmith).Cinnamon colbert (talk) 18:15, 16 December 2007 (UTC) for instance, article does not point out that the ppn is an opaque document, with unknown layers of fees, the simpler approach of simply putting your money into a bond, and buying an option has much to recommend it
Definition
[edit]Can we start the article with a concise definition please? Thanks.
Can this man sense
[edit]Please? [[User talk:Xme|<span style="color:#006600">Xme - More?</span>]]''</sub></font> (talk) 14:30, 12 December 2007 (UTC)