Emerging Markets Optimiser: January 2010

The Emerging Markets Optimiser is a compelling investment proposition which aims to provide investors with a simple access to one of the world's foremost growth sectors.

With returns linked to a leading index Fund, the Optimiser offers exposure to 22 major emerging markets. Through the application of a straightforward risk adjustment strategy - dynamic allocation - the Optimiser aims to harness sector growth potential whilst managing market volatility, resulting in smoother enhanced performance. What’s more, investors will have comfort that, irrespective of how the Optimiser performs, capital is fully protected.

The Optimiser will appeal to risk averse investors who acknowledge the growth potential of emerging markets, but would prefer access without the risks ordinarily associated with investing in the developing world.

Current offer in summary:

• Six-year investment
• Linked to the iShares MSCI Emerging Markets Index Fund, which offers exposure to 22 major emerging markets
• Dynamic allocation strategy - exposure to the index is raised when volatility is lower than expected and reduced when volatility is higher, effectively smoothing performance
• Investors' exposure to the strategy is set at 90%
• Exposure capped at 150%
• Full repayment of the capital invested at maturity – irrespective of Index performance
• Invests in assets issued by Barclays Bank PLC – Rated AA- by Standard & Poor’s and Aa3 by Moody's.
• Eligible for ISA investment including transfers – although the capital gains tax treatment of the Plan gives you the option of using your clients’ ISA allowance elsewhere
• Eligible in most cases for pension portfolio investment within a SIPP or SSAS investment
• Suitable for Corporate, Trusts and Charities investment
• Early withdrawal is possible but may reduce the initial investment
• 3.5% commission (this can be sacrificed upon request on a one for one basis)

For more detail on product rationale and scope for investment click here.

If you would like to find out more about using this investment in your clients’ portfolios, please call us on 0800 234 6023 to arrange to speak to one of our Business Development Managers.