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lets look at how principal protected nodes work now principal protected nodes basically if an investor invests on a principal protected node the investor benefits from any gain in the value of a specified portfolio without the risk of any losses so lets look at a small example and then we can look at how we could structure a principal protected node assume that youre working for a particular financial organization and you want to structure a particular principal protected note and sell it to a client so lets assume that youre planning to sell the principal protected note for twenty thousand dollars so the way it works is the client will invest twenty thousand dollars and lets assume the length of the note is four years time so the note will mature in four years time now the terms of the note is that the principle itself is protected so no matter what happens in the market the client will still receive the principal of twenty thousand dollars at the end of four years time and plu