A GROUND-BREAKING new fund has attracted more than £100 million of investment – just six months after its launch.
Wealth management specialist Mattioli Woods said it was delighted with the milestone chalked up by its Structured Products Fund, which was the financial sector’s first initiative of its kind.
The company believes the fund’s easy-to-understand format and lower costs have made it popular with clients.
Mattioli Woods’ Head of Structured Products, Mark Fuller, said: “When it was launched it was the only one of its type available to retail investors.
“For that reason, it was impossible to be entirely sure how it would be received. However, the level of investment in its first six months has conclusively shown it to be a great success”.
He added: “We hope we can continue to attract new money to the fund which, we believe, underlines our philosophy of being a 21st century financial services business built on enterprise and integrity, delivered with passion.
“Buying and selling units in the fund is as easy as buying and selling shares, which was a deliberate step on our part to make the fund more user-friendly and to demystify structured products for clients” .
Mr Fuller and Mattioli Woods’ Investment Director Ben Wattam are both managers of the fund.
Mr Wattam said: “The first six months haven’t been the best conditions for us to start, but we believe we’ve got a portfolio which is on target to meet the fund’s goals.
“It’s got a great balance which, in our opinion, will produce a return irrespective of whether markets go up, down or sideways”.
Chief Investment Officer Simon Gibson said: “With interest rates on cash and bonds so low, a targeted return of cash plus 6 per cent per annum over a rolling three-year period resonates with clients.
“Our steady approach results in a smoother return profile whereby we’ve got a good level of diversification against potential risks”.