The first steps, believed to be involved in the highly enantioselective copolymerization of styrene and carbon monoxide to poly[l -oxo-2-phenylpropane-1,3-diyl] with phosphinodihydrooxazole-palladium(I1) complexes, were investigated. The insertion of carbon monoxide into [Pd(Me)(P^N)(solvent)] TfO ( P A N = (S)-2-[2-(5H-benzo[h]phosphindol-5-yl)phenyl]-4-benzyl-4,5-dihydrooxazole (1)) and of styrene into [Pd(COMe)(PAN)(solvent)] TfO were highly regioselective (alkyl and acyl substituents rrans to N); moreover, the olefin insertion took place with essentially complete enantioface discrimination.The alternating copolymerization of olefins with carbon monoxide has attracted much attention in recent years as a consequence of the foreseen and, indeed, realized commercialization of 'carilon', a terpolymer containing ethene and propene [I]. Numerous model studies of the steps believed to be responsible for chain growth at the cationic Pd catalyst during the copolymerization process, namely the formation of alkyl and acyl substituents, have been published [2]. In addition to systems containing monodentate ligands [3], palladium complexes, modified by C,-symmetric ligands [4] using ethene or norbornene as the olefin substrate, were usually the subject of these investigations. C,-Symmetric ligands have not been studied to such an extent [4c][5], but revealed useful for recognizing the migration of the alkyl group in the step corresponding to the acyl formation [6]. Only two studies have been published on the insertion reaction of prochiral olefins, namely 4-(tert-butyl)styrene [7] and propene [8]; in particular, the latter approached the problem of enantioface selection during the copolymerization process using a chelate C,-ligand. This aspect is important not only to control the copolymerization process in a largely enantioselective way [9] for producing optically pure copolymers [lo], but also because of its similarity with the Ziegler-Natta catalysis [ l l ] and for the possible role of catalytic systems, similar to those systems described in the present paper, in polymerization processes using alk-I -enes [12].Catalysts containing enantiomerically pure bis-dihydrooxazole [ 131 or hybrid (dipheny1phosphino)dihydrooxazole ligands [ 141 give highly isotactic, optically active poly[ 1 -oxo-2-phenylpropane-1,3-diyl]. The investigation of the terpolymerization of ethene and styrene using the latter catalytic systems provided some evidence that a similarly very high enantioface selection may take place during styrene insertion, independently of the nature of the last inserted olefin unit (either ethene or styrene) [I 51. We report on model studies which help to clarify the mechanistic aspects of this highly enantioselective process with the above-mentioned hybrid ligand.