The Premier Group has launched a fund that invests in a combination of with-profits funds, commercia...
The Premier Group has launched a fund that invests in a combination of with-profits funds, commercial property and low-volatility hedge funds.
The Premier Balanced fund is domiciled on the Isle of Man and has a minimum investment of $10,000 or euro or sterling equivalent.
There will be a minimum asset allocation of 25% in with-profits and property and a maximum of 50% in these classes. Hedge funds will have a maximum asset allocation of 50%.
The product is designed to take full advantage of improved investment conditions and an upturn in equity markets, while maintaining a risk-averse strategy to achieve growth, without the volatility associated with equity related investments.
With-profits policies include endowments and bonds and will only be purchased from UK Life Offices with a Standard & Poors rating of A- and above. Property investments can include direct ownership or investment in units of pooled property funds. The underlying assets could include offices, retail units, retail, warehouses, light industrial units, residential properties, leisure and housing associations.
Mike Richardson, director of the PBF, said: "The launch of this new fund is a natural extension to our stable of low-risk investment funds. With the global economy showing real and sustainable signs of recovery, it is obvious that investors will begin to return to equities. However, many have had their fingers burnt in recent years and do not have either direct or complete exposure to equities."
The Premier Balanced Fund (PBF) is to be distributed through intermediaries and institutions and will be available as a direct investment or through offshore life company bonds.
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