>High fees help make the risks more tolerable for banks. Depending on complexity, duration and customization, notes typically have fees ranging from 1.5% to 3% embedded into their prices, according to SPi. Over the two- or three-year maturity of a typical product, that could average out at roughly the same annualized cost of an options-based ETF. But since fees are paid upfront and many notes are redeemed early, in reality it’s a lot more profitable.

I can see why they're being sold ...