Martin Lee @ Sg
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Pinnacle Notes 2 Default

It has been more than two years since the collapse of Lehman Brothers that triggered a mass default of structured notes sold in Singapore.

Even up to today, some investors who thought they had bought into “safe” investment products are discovering the ugly truth behind the products they had been sold.

Just two weeks ago, Morgan Stanley announced that their Pinnacle Notes 2, a credit-linked note, is likely to go into mandatory redemption.

When that happens, investors of the note will lose a significant part of their capital.

With the outcome of all cases that were settled with Fidrec kept confidential and MAS’s stance of not publishing regulatory actions of a private nature, it is no surprise that affected investors are finding it hard to decide on their course of action.

It tells a lot when people prefer to go to forums to seek advice from strangers rather than approach our regulators.

Leave a Comment:

Benny says 9 years ago

Morgan Stanley’s creation: structured products, Pinnacle Notes continued to collapse outside media coverage, with the latest Series 2 failure just announced and investors lost all their capital.
So many misled Singaporeans have been ruined financially & can only swallow their bitter tears to take their revenge when the time comes.

sureesh says 9 years ago

Among the credit linked notes only series 5 is still alive, but the notes are entendable until 2014 I think.

Dork says 9 years ago

This is really a legalized scam. How many series are still in action?
1, 2, 3, 6, 7, 9, 10 are all out.

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