Our June 2009 newsletter featured capital protected products and highlighted some of the pitfalls investors have recently encountered with Threshold Managed/CPPI structures such as Perpetual Protected Investment Series and Macquarie’s Fusion Fund range. Based on the level of enquiry we have had, I feel compelled to revisit Threshold Managed/CPPI capital protection as many of these products are now cash locked (or as good as) with no prospect of achieving a positive return. For many, switching
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cash locked CPPI capital protected product solution
Unlocking Cash Locked Capital Protection
Tackling the shortfall – Where to from here?
Once you have made the decision to move from your CPPI / Threshold Managed Product, for many, the problem is a shortfall on the investment loan. Deciding to redeem your investment early may result in you needing to fund a shortfall between the loan and investment amount.
There have been some efforts to provide an alternative
Perpetual launched their seemingly counter-intuitive “Fund (re-)
Prime Value Growth Fund
Australian equities fund
No Entry Fee, No Adviser Fee
Prime Value Growth Fund
(No Entry or Adviser Fees)
Our March newsletter highlighted our concerns of Government debt problems impacting equity markets and that investors should become more selective in the managers they choose over the coming year.In light of the issues in Europe, we highlighted a preference for Australian Equities, most notably boutique fund managers. We
