MPL adds income option to its Traded Policies Fund
Managing Partners NewsJuly 8th, 2009
New income share class offers 5% per annum plus capital growth
LONDON, 08.07.2009 - Managing Partners Limited (MPL), the boutique fund manager, has launched the first income share class in its Traded Policies Fund, giving retail investors an income of 5% per annum with the prospect of capital growth.
The new Sterling Income share class provides a 5% annual income free from redemption penalties. The income will be issued quarterly at a rate of 1.25% by redemption of shares.
TLPs are US-issued whole of life policies sold before their maturity date to allow the original owners to enjoy some of the benefits during their own lifetimes. By building diversified portfolios of them and carrying out the right actuarial analysis, fund managers can use them to deliver steady, incremental returns that are uncorrelated to other financial asset classes.
Jeremy Leach, Managing Director of MPL, commented: “There is a real gap in the market for funds that deliver an attractive income with a reasonable prospect for capital growth. People need a reasonable income from their investments and they cannot live on the 0.5% or less interest they can expect from the banks. Based on an overall annual return of 9% in the Traded Policies Fund, even with 5% income per annum the capital value is still rising by 4%.”
The Traded Policies Fund was an outstanding performer in 2008. The GBP Growth share class in the fund, which is available to retail investors, returned 10.47% net of all charges in the 12 months to 1 January 2009. Over the 12 months to 1 June 2009, the GBP Growth share class delivered 9.78%.
The minimum direct investment in the fund is £35,000 but the fund can also be accessed via insurance bonds or SIPPs for £2,500.
For further information on Managing Partners Limited range of funds, call 0203 397 0525 or visit (www.managing-partners.com).