AXA Investment Management (AXA IM) has registered its AXA Protect fund in Spain in a move to expand its offering for the country's retail investors, building on the success of the product in France.
AXA Protect, which was first launched in France in June 2011, is an actively managed fund with a time invariant portfolio protection (TIPP) methodology structure aimed at workers and pensioners. The fund is part of AXA IM's range of capital-protected funds in France and has collected €22m so far.
"The historical return of these products compared to cash and the fact that they offer a minimum of 90% capital protection has attracted the attention of companies looking for investments for their pension funds," AXA IM product specialist, Raya Bentchikou, told SRP.
Bentchikou added that products based on constant proportion portfolio insurance (CPPI) and TIPP structures are very flexible and allow the addressing of market movements, which is an advantage over non-dynamic structures.
The product's exposure to risky assets can vary between 0% and 70% during the investment term. The product offers every day a minimum portfolio level equal to 90% of the highest level ever reached by the portfolio during the investment period.