ACEPI (Italian Association of Certificates and Investment Products) has published the usual “Analysis of the Members’ Primary Market” relating to the 3rd quarter of 2023 (Q3 2023).
The July-September period last year shows a new historical high in quarterly volumes placed by ACEPI issuers, equal to 6,229 million euros, which exceeds the two previous absolute records recorded in Q1 and Q2 2023 by 12% and 4% and the average of the quarterly placed of 2022 by 53%. The increase in placed in Q3 2023 further strengthens the growth trend detected in the second half of 2022, the year closed at 16,236 million, with growth of 71% compared to 2021. In a context of uncertainty over monetary policies, the search for protection, without penalizing returns, it is one of the factors that justifies this growing trend. The number of products offered, 355, is down 6% compared to the maximum number reached in Q1, with 376 products, and signals an increase in the average emissions cut.
In terms of breakdown into ACEPI macro-classes, although slightly down (-4% compared to Q2), in Q3 Capital protected products (CPP) continue to represent 70% of issues on the primary market, compared to 23% for conditionally protected capital products (CCPP), which remained constant compared to Q2. The remaining 7% refers to Credit Linked Notes which return to the Q1 figure (3% in Q2) and absorb the 4% decrease in protected capital.
With reference to the types of products, within the CPP, Digital were preferred (80%) over Equity Protection (20%), substantially in line with Q1, when in Q4 2022 the two types of products shared the market in a substantially identical way. For CCPPs, Express products (47%, compared to 12% for Cash Collect, which reached 26% in Q2) were the most issued products. Bonus Caps grow to 40%, after reaching 19% in Q2 and after a 2022 which had recorded reduced numbers for this type (1% in Q3 and 0% in Q4 and a jump to 25% in Q1 of 2023).