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Structured products on the rise, says Keydata

Keydata Investment Services is launching a new core investment to its dynamic growth plan as it recognises a growing interest for structured products.

The product offers investors 12 times any growth of the FTSE 100 index up to a maximum 84 per cent over six years with a 50 per cent tracking capital protection to mitigate any potential losses.

Keydata says recent market volatility has highlighted the need for investors to adopt a core satellite risk strategy in the equity portfolios.

Investing in the dynamic growth plan allows allocation to riskier equity funds with the knowledge that money is protected against further corrections and potential fund manager underperformance in investment funds is offset by accelerating growth.

Issue 20 of this plan will have a limited window, opening for six weeks from October 1 to November 14.

The plan is listed on a recognised exchange and is therefore able to accept Pep, Isa and pension investments through Sipp and Ssas wrappers.

The closing date for Pep and Isa transfers is on October 31 due to increased administration time. Intermediary commission is 3 per cent of the amount invested.
 
Sales director Mark Owen says: “Structured products are a low cost way of balancing risk within a portfolio. Owning an investment that creates good returns from modest market growth allows an investor to allocate money to active fund managers with the comfort that 7 per cent growth will increase capital by 84 per cent through a dynamic growth plan.”

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