Unicredit affiliate Structured Invest has opened a capital-protected commodity fund with a target-volatility mechanism. Frank Weingarts, security investments expert at HypoVereinsbank, which is owned by Unicredit, said overall protection is achieved by the product's combination of flexible protection, capital protection and fund wrapper.
Rohstoff Kapitalschutz Fonds SI 12/2019 is a nine-year growth product linked to the DJ-UBS Commodity Index 3 Month Forward, which is based on up to 23 commodities and adjusted annually.
Target index volatility is set between 5% and 15%. Should it rise above the target, index participation will be successively reduced to zero. Maximum index participation is 100%.
This product is available now in Recent Additions (Germany and Austria).