The fund, promoted and distributed by Compass Global Wealth, is targeting returns of 5% to 15%. It has a minimum investment of £1,000 or $1,000 and boasts mark to market pricing, weekly liquidity and actively managed asset allocation.
It is aimed at the investor, via financial advisers, seeking medium to long-term capital growth for a moderate level of risk and will limit exposure to no more than 10% for each underlying counterparty.
Clive Moore, director of Compass Global Wealth, said a key element of the fund was that it invested in assets that are priced on a mark to market basis which offered liquidity and gave investors the opportunity to sell their holdings at a known price without long notice periods or dealing suspensions: “It means the fund price always reflects the value at which underlying investments can be sold,” he said.
Structured products have traditionally had an investment term that ties in investors and has made them nervous of investing in them. Moore said they had addressed this and investors in his fund can sell their holding “at true market price at any time”.
The Structured Product Fund will be regulated in the Isle of Man to provide investors with reassurance that the activities of the fund are monitored, he said.
