View more on these topics

New product, new name for Arc

Structured product provider Arc Capital & Income – formerly Nvesta – has brought out its first product under its new name.

The Bull & Bear tracker is designed to provide investors with a return above their original capital in both rising and falling markets.

The plan is linked to the FTSE 100 index for a term of six years,. If the index rises over the term, investors will receive 100 per cent of this growth. On the other hand, if the index falls, investors will receive a return equivalent to this fall, capped at 50 per cent.

Investors will receive only their original capital back in two circumstances – if the final index level is the same as the starting level, or if the index falls by more than 50 per cent but does not recover to at least its starting level by the end of the term.

According to the Structured Retail Products adviser website, this product is unique. Although Birmingham Midshires recently launched a five-year FTSE 100 linked bull/bear product, this is now closed.

The bull and bear concept could be regarded as the equivalent of an each way bet and may have appeal for cautious investors who are not sure about the direction of the stockmarket over the next six years. The Arc product may also attract interest due to its full capital protection

However, some investors with a more positive view of the UK stockmarket may prefer a product with higher growth potential if the index grows. In this case, the Barclays FTSE 100 capital protected investment note may be more appealing.
This product offers 140 per cent of the growth in the FTSE 100 index at the end of the six-year term, plus a full capital return. However, if the index were to fall after six years, investors with the Barclays product would receive only their original capital after six years.


Brown ignored warnings on £5bn a year pensions raid

Chancellor Gordon Brown’s £5bn a year pensions raid has finally come back to haunt him with the revelation that he ignored repeated warnings from his own officials about the long term damage it would have on savings.

The bright side

Personal accounts have been vilified by some but others see it is an opportunity.

Euro call for cash scheme to help Equitable victims

The Government must devise and implement a scheme to compensate policyholders affected by the collapse of Equitable Life, says a damning European Parliamentary committee draft report.As revealed in last week’s Money Marketing, the committee finds the Government guilty of severe regulatory failings which contributed to Equitable’s near collapse.The report accuses the Government of a light-touch […]

Harris Associates' view on the UK’s vote to leave the EU

By David Herro, Partner, Deputy Chairman, Portfolio Manager and Chief Investment Officer of International Equity at Harris Associates Britain’s vote to exit the European Union has led to significant uncertainty across global markets. We believe market impact of this uncertainty, though severe, is more of a shorter-term phenomenon which will provide an opportunity for long-term […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm