Regulated markets. On the other hand, products. These would be made up of all those that do not meet some of the characteristics observed in the previous points. In addition, its use implies a higher risk for the investor and less liquidity, where it may happen that its value is not known until a certain moment. In this sense, derivative examples of this type of product can be found in financial derivatives, options, futures, swaps, warrants, cfds and hedge funds. In general, it will include those products structured by derivatives or with leverage.
For greater depth, i provide the following link provided by the cnmv, on the cataloging of financial instruments as complex or non-complex the e commerce photo editing esma and complex financial products at the level of risks, the esma (european securities and markets authority) proposes a document, where it establishes the dangers involved in investing in complex financial products. Since due to their characteristics they can present both benefits and risks that are difficult to understand. Specifically, in a document known as "risks of investments in complex products" where a wording of the products classified in this category is created.
As we have mentioned before, complex financial products can be seen in convertible bonds, certificates, options, etc. In general, the esma also identifies this type of product in financial derivatives. Let us remember that derivatives are financial instruments , whose value is based on the value of another financial asset, a general asset or an index of interest rates or currencies. In this way, they can be made up of assets with a complex valuation, whose prices are not available to the general public. In turn, in their development, these products can be made up of variables or mathematical formulas to specify a certain profitability or to