ABN Amro has notified holders of Guru Notes that their investment has cashed out. The CPPI note, whose name refers to financial 'wizards' Warren Buffet, Peter Lynch, John Templeton and Charles E Merrill, had risky assets linked to a basket of funds comprising Berkshire Hathaway, Fidelity Europe Growth, Franklin Mutual Beacon Fund, Merrill Lynch World Gold Fund. It was due to mature in 2011.
The note is the third ABN Amro product to have cashed out in recent weeks. The Dutch bank, whose pending merger with Fortis Bank Netherlands, the nationalised Dutch arm of the Belgian-Dutch financial group, was finally given the go ahead by finance minister Wouter Bos last Friday, announced at the end of October that Rente Booster Certificaat (due 2014) and Commodity Opportunity Note (due 2014) had cashed out.
SRP's Dutch database currently lists 37 tranche CPPI products available to retail investors, worth €1.5bn.
These products appear in the Dutch database.