Fixed Maturity Plans

A FMP is a portfolio of carefully selected bonds that have matching maturities to the term of the fund.

Investment objective

The objective of the bespoke product is to achieve income and capital preservation over a defined time period and to a set maturity date.

Appeals to investors looking for:

• Return of capital at maturity
• Regular income stream
• Broad diversification
• Decreasing interest rate and spread risk over time
• Professional management
• Liquidity

Features

• Achieve income and capital preservation over the defined term portfolio.
• Approaching Maturity Date the portfolio will be managed so investments match the Maturity Date, by investing in shorter-dated financial instruments.
• Domiciled and regulated in Luxembourg or other jurisdiction as client requests.

Tough times for income investors

Record low or negative yields has left investors with the risk of eroding wealth over time. In the search for yield, investors have to move higher up the risk spectrum, accepting more risk and uncertainty along the way. With market conditions remaining difficult and unlikely to change, what can clients do to source income?

Fixed-maturity portfolios offer a yield pickup by investing in a globally diversified portfolio of bonds with a maximum maturity or expiration date. When the fund matures, investors are repaid their share of its net asset value.

The attraction is a payout structure that is comparable to a single-bond investment, but with greatly reduced single-issuer risk, given the well-diversified portfolios.

If you require more information please call +44 207 99 35 360 or use contact form.