Re: thoughts on Merril Lynch notes/my meeting with financial advisor
The two detailed descriptions sound possible on this type of stuctured product. 2 other issues with some of these in the past: 1) It may actually have gain restrictions. If the market is up 20%, this product may go up a maximum of 9% or something like that. 2) The product has a built in maturity that may be 5 years out or more. They are also not very liquid in the secondary market. Thus if you want to sell in 1 years or 3 years, you may end up selling it at a loss.
Ask the advisor for the prospectus. Then read it. Then you might have to read it again. OP is right, risk and reward are always related. You can't get very good results without risk and/or giving up liquidity.
-Tom
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