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Good News - Protection and the potential to outperform
Scottish Life International's indicative rates for the next quarter demonstrate that capital protected funds can potentially outperform the index over the short term, whilst balancing risk and reward.

For example, Scottish Life International's Protected UK Index fund with 95% capital protection can provide performance that is geared to the growth in the UK stock market, as measured by the FTSE 100 index.

356.88%
Current indicative profit rate (stock market participation rate) in sterling for the Protected UK Index 95 fund (as at 14/2/05)

Whilst the level of protection offered by this fund means that investors could lose 5% of their capital over the quarter if the stock market fails to grow, it also means potentially they could receive 356.88% of any stock market growth added to their protected amount.

So, for the forthcoming quarter running from 14 March to 17 June 2005, if the FTSE 100 index increased by more than 2.09%, then investors in this fund would see their fund outperform the related stock market!

If returns from the index were low then the portfolio value may be lower as any growth is only added to the protected amount. The Protected UK Index 95 fund is a higher risk fund but offers higher potential reward. safe combination® is suitable for investors who are more risk averse as they can set their protected amount at various levels, balancing risk and reward.

A solution to stock market risk and capital losses
One thing that has become clear is that investors do not want to contemplate a capital loss. Going back into the stock market is fraught with uncertainty but many people still regard equities as the most appealing investment choice for investment growth over the long term.

What if I told you there was an investment whereby you can ensure the clients' initial capital (before charges) is constantly protected, you can decide how much risk and reward you are comfortable with taking and you can lock in and protect market gains? An investment that can tap into the potential upside of the stock market whilst reducing the effect of any downside.

The returns and security of the safe combination® system are directly linked to assets provided by highly rated and financially strong institutions. In the event that they were to default on these investments, investors’ capital may be at risk.

Interested?

To find out more email enquiries@cambrian-int.com

 

 

 
   
   

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