Investec Structured Products is looking to launch a range of Ucits structured funds by the third quarter this year.
Head of intermediary sales Gary Dale says the funds will offer different return profiles and are likely to include a closed-ended fund structure and an open-ended structure which will be collateralised – or segregated off balance sheet – to remove counterparty risk.
He says: “We are looking seriously at two, possibly three structured funds launching t the end of the second or beginning of the third quarter in conjunction with one other provider. It is not necessarily going to be three but we think to launch one would be a bit too static.
“We would either build our own Ucits platform or use somebody else’s.
“If we end up doing it ourselves, that is one option but a quicker route to market is to use an established player and there are a few of them.”
Dale says the firm will work with wraps and platforms to distribute the new funds but he does not believe the bigger fund supermarkets hold the key to success. He says: “Ultimately, the better end of the wrap market are best placed to deal with this market.”