Kuwait’s Burgan Bank is offering a new investment product in conjunction with alternative investment manager, Man Investment Products Limited (Man). Burgan 220 Plus Guaranteed is an opportunity for investors in Kuwait to access a successful alternative investment structure developed by Man.
The alliance between Burgan and Man means that Man will structure and manage the product and Burgan will underwrite the bond issue and market it to investors in Kuwait. The product is available in dollar-denominated bonds and will target medium-term annualized growth of 18-20 percent, while aiming to restrict the associated level of risk to a level comparable with the long-term average for world stocks. The offer of bonds is for a limited period, and applications must be received by July 25.
There are no up-front fees to the investor, meaning that all the capital invested will be put to work for them. Furthermore, investors in the product will benefit from increased investment exposure of $160 for every $100 they invest, as well as the security of a capital guarantee provided by Barclays Bank. This ensures investors the return of at least the face value of the bonds they hold at maturity, subject to relevant terms and conditions. Another characteristic of the product is a profit lock-in feature, which would allow a portion of net new trading profits to be locked in following periods of sustained profitability. The effect of this would be to enhance the level of the capital guarantee over time. — (menareport.com)
© 2002 Mena Report (www.menareport.com)
