Canadian Structured Products Issuance Reaches CAD 38.01Bn YTD (+26.2% YoY) as Principal at Risk Notes Growth Offsets GIC Contraction.
Key Highlights
* Segment Mix: Structured Notes reached CAD 28.89Bn YTD (+50.9% YoY) while GIC volumes fell to CAD 9.12Bn (-17.2% YoY), confirming a decisive rotation out of capital-protected deposits.
* Product Mix: Income-oriented structures lead at 43.88%, ahead of capital protected (34.07%) and growth (22.05%), reflecting demand for yield alongside sustained interest in downside protection.
* Structure Mix: Single-underlying formats dominate at 82.2% YTD, with baskets at 17.4% and worst-of structures marginal at 0.4%, indicating a clear preference for simplified payoff profiles.
* Payoff Structures: Barrier Phoenix (41.8%) and Barrier Digital Plus (19.2%) together represent approximately 61.0% of issuance, with Capped Protected Participation (17.8%) secondary.
* Underlying Trends: Proprietary and portfolio-based indices lead, with SOLCD265 (7.9%), Zenitude Aggressive Guaranteed Portfolio (5.2%) and SOLBEW30 (5.1%) ahead of traditional benchmarks such as the SPX Index (3.0%).
Market Overview
May 2026 confirms the continued expansion of the Canadian structured products market, with year-to-date volumes reaching CAD 38.01Bn (+26.2% YoY, from CAD 30.13Bn in 2025). Growth is concentrated in Structured Notes, which reached CAD 28.89Bn YTD (+50.9% YoY) including CAD 6.13Bn in May alone (+84.4% YoY), while GIC volumes declined to CAD 9.12Bn YTD (-17.2% YoY), confirming a decisive rotation out of capital-protected deposits. Within Notes, Principal at Risk formats account for approximately 85.4% of issuance at CAD 24.66Bn YTD (+56.1% YoY), with Principal Protected Notes contributing CAD 4.23Bn (+27.0% YoY). The product mix remains yield-led, with income structures at 43.88% ahead of capital protected at 34.07% and growth at 22.05%. Structurally the market stays anchored in single-underlying formats (82.2%), with baskets at 17.4% and worst-of exposure marginal at 0.4%, pointing to continued preference for targeted exposures over correlation-driven yield. Payoff construction is dominated by Barrier Phoenix (41.8%) and Barrier Digital Plus (19.2%), together close to 61.0% of issuance. Proprietary indices continue to lead the underlying side, with SOLCD265 (7.9%) well ahead of traditional benchmarks such as the SPX Index (3.0%), while equity-linked strategies remain dominant across indices (69.1%) and single stocks (23.1%). Overall, May reflects a yield-driven, risk-tolerant market, combining accelerating Notes issuance, contracting deposit volumes, and sustained reliance on custom index design.
Methodology & Notes
This report is based on SPi's proprietary database of structured products distributed in Canada. Figures reflect best-effort estimates based on available market data at the time of publication.
Disclaimers
Data Disclaimer (Best Effort / Completeness)
The information presented in this report is based on data collected from a variety of public and proprietary sources. While reasonable care has been taken to ensure accuracy, the data may be incomplete, subject to revisions, or may not capture the entirety of the market. SPi makes no representation or warranty, express or implied, as to the accuracy, completeness, or timeliness of the information.
General Disclaimer
This document is provided for informational purposes only and does not constitute investment advice, an offer, or a recommendation to buy or sell any financial instrument or to adopt any investment strategy. The views expressed are those of SPi at the date of publication and are subject to change without notice. Past performance is not indicative of future results.
SPi accepts no liability for any loss arising from the use of this report or its contents.
