Raiffeisen Asset Management launches second fund with protected capital

Newsroom 26/04/2010 | 11:00

Raiffeisen Asset Management has launched its second open investment fund, Raiffeisen Confort Second Series, the company’s representatives have announced.

The fund uses the investment strategy Constant Proportion Portfolio Insurance (CPPI), meant to protect the capital and used to manage assets by entities that are part of large financial-banking groups. Raiffeisen Confort Second Series intends to capitalize on some of the yields when the stock market rises and to avoid losses when it falls.

“In the context of lower bonus interest rates for the local currency, the new fund addresses those investors who intend to obtain higher earnings and are attracted by the yields offered by the stock market, but at the same time don’t want to take on the losses that might occur if stocks quotations decline,” said Mihail Ion, president of Raiffeisen Asset Management.