Canada Life is targeting the high net worth market by linking its offshore investment bond to Man In...
Canada Life is targeting the high net worth market by linking its offshore investment bond to Man Investment Products' Man Glenwood fund of hedge funds.
As reported in Investment Week last week, Canada Life is aiming to distribute the bond solely through intermediaries to the wealthier end of the market.
The minimum investment in the bond is £10,000. Charges for the wrapper will vary but will typically be around 1.5% up front, in addition to annual charges.
Andy Marks, UK sales director at Canada Life, said: 'The bond could link to other hedge fund providers in future but we chose Man because it is a FTSE 100 company with a great brand.'
The bond forms part of the Optimising Wealth Management Opportunities (OWMO) programme Canada Life is currently rolling out in the UK.
The group's range of bond products includes its Single Premium Investment Bond, with an initial fee of 5% and an annual management charge of 1%, and a Trustee Investment Bond for Sipp and Sass trustees.
The Man product, Man Glenwood Multi-Strategy GB Ltd, is the fund of hedge funds group's first sterling-denominated fund.
Listed in Luxembourg, it offers investors the chance to put money into Man's $4.5bn absolute return portfolio via investments in the bond.
Glenwood is split between 14 hedge fund strategies and has more than 70 managers in the portfolio. From inception in 1987 to May 2002, it has returned 12.1% annualised with 6.4% volatility, against returns of 8.9% with 15.2% volatility for world stocks.
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