Investec's zeros fund increases structured product weightings

Investec's fund of zeros has upped its weighting in structured products and derivative instruments to 35%. The £59m Investec Capital Accumulator Fund, run by Alistair Mundy, now has 25% in listed structured products such as Merrill Lynch Defined Returns and 10% in artificial zeros, a percentage capped by the fund's trustees. It also holds 15% in cash because Mundy, who joined Investec in August 2000, believes the stock market and many zeros are still overpriced. When prices become more attractive he will look to take opportunities. He is also looking forward to further quality split and...