Man Investments has launched Man RMF Multi-Style, a capital guaranteed structured product which aims to use the investment selection expertise, asset allocation and risk management skills of RMF.
Man RMF Multi-Style Ltd is offered in USD, EUR and CHF class bonds. The USD and EUR class bonds will aim to deliver medium-term annualised growth of around 13-15% for an annualised volatility of 7-9%.1 The CHF class bonds will target annualised growth of around 12-14% for an annualised volatility of 6-8% over the medium-term.
The Man RMF Multi-Style Ltd portfolio will invest in five complementary hedge fund styles (equity hedged, event driven, global macro, managed futures, relative value) spread across a number of managers. The product aims to perform independently of traditional stock and bond investments.
RMF is one of Man Investments’ core managers, having become part of the Man Group in May 2002. Man says that the versatile investment model RMF has developed means it has the flexibility to create a broad spectrum of portfolios differentiated mainly by the extent of diversification and exposure they offer to particular styles, strategies and managers. In addition, says Man, one of RMF’s key strengths is its ISO-certified investment process, which helps reduce investment risk and increases the probability of delivering consistent and repeatable outcomes.
“By providing this innovative product, we are now able to deliver to a wider investor population access to RMF’s unique asset allocation and portfolio construction model that until recently had been offered principally to institutional investors,” says Christoph Moeller, managing director and head of global sales and marketing for Man Investments. “Combined with Man’s innovative product structuring expertise, we are able to offer this new and exciting product which has the potential to add diversification and enhance the risk/return profile of investors’ existing portfolios.”
Man RMF Multi-Style Ltd incorporates a principal protection structure that guarantees investors the return of at least 100% of their initial investment at maturity. In addition, provisions have been made to include a profit lock-in feature which, subject to trading performance, has the potential to elevate the level of the guarantees at maturity by locking-in a portion of net new trading profits following periods of sustained profitability. The operation of both the guarantees and the profit lock-in feature are subject to the terms and conditions of the capital guarantees provided by Bank of America, London Branch.
Man RMF Multi-Style Ltd will be available to investors from 9 February to 19 March 2004 with a possible extension to the offer period.