View more on these topics

Schroders launches new income product

Schroders is launching an income product that uses covered call options to generate a 7 per cent yield on UK large cap stocks.

The income maximiser fund will be managed by Schroders head of structured investments, Richard Lloyd.

The targeted yield is to be gained from a combination of dividends from the 40 stocks held, aiming at 3.5 per cent, and from the return obtained from selling covered call options, between 2.5 and 4.0 per cent.

Stocks for the fund will be chosen by Nick Purves, manager of Schroders’ income fund.

The trade off for higher income from the sale of options means upside potential is limited to 10 per cent per quarter, but the volatility of the fund is lowered by opting for a known return.

Recommended

Completions rise by 8% for Leeds

Leeds Building Society posted profits of 24m in the first half after an 8 per cent rise in mortgage completions to 881m.

Defaqto says Sipp firms are set to rise by a third

The number of providers in the Sipp market could increase by a third in the coming year, independent rating firm Defaqto told Money Marketing Live delegates on Tuesday. In the past year to March alone, the number of providers active in the Sipp market rose by 33 per cent from 40 to 60 and Defaqto […]

JO Hambro sets up US fund for Roe-Ely

JO Hambro Capital Management is setting up an American growth fund to be run by former Tilney fund manager Nick Roe-Ely. The fund launches on October 31 and will have a concentrated portfolio of 30-50 stocks and will be capped at 500m to give Roe-Ely the flexibility needed for his high-conviction, growth-orientated investment style. The […]

Get set for sales boom

There can be few sectors of the market that can expect as dramatic an increase in potential business over the coming decade as annuities. The ABI predicts that the demand for annuities from defined-contribution schemes will rise from 7.2bn in 2002 to 18.1bn by 2012 and demand from closed defined-benefits schemes could explode from 1.4bn […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    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

    Email: customerservices@moneymarketing.com