Adviser-led discretionary fund manager (DFM) P1 Investment Management has launched a structured product managed portfolio service in conjunction with independent structured product firm CUBE Investing.
The service will offer a portfolio approach to structured products rather than the more traditional method of selecting individual structured notes. P1 managing director James Priday (pictured) described this as "a completely new approach to structured product investing".
"Advisers have recently been taking a more 'portfolio-based approach' for clients and outsourcing more to DFMs," he added. "This option to use a diversified structured product portfolio should result in less risk for advisers and their clients."
Priday said the service would provide "an efficient and effective way" to invest in structured products, explaining the products within the portfolios were institutional structured notes that can be traded daily and, as they do not carry plan manager charges, have lower costs.
The model portfolios will be managed on a discretionary basis and monitored and rebalanced on an ongoing basis. The service is provided at a price of 0.75% for account values up to £1m, and 0.25% thereafter.
'Gap in the market'
Priday said: "The demand for structured products has increased significantly over the past decade and this new proposition has already been well received by advisers and their clients. We have developed this service to fill a real gap in the market for a portfolio approach to structured product investing."
CUBE Investing CEO David Stuff added: "Structured investments have offered investors good and steady returns in the past and we think this will continue to be the case in the future.
"The P1 managed portfolio service offers clients exposure to a diversified selection of institutional products. Our specialist analysis helps P1 identify the products that have an attractive mix of risk and return."Earlier this month Investec launched a structured product service aimed at wealthier clients of financial advisers, with a minimum investment level of £250,000.
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