18 Feb, 2008
Published: 10:41 Monday 18 February 2008
By: Nicholas Paler, Investment Reporter
defensive version of Schroder's Income Maximiser fund which can use
put options to provide protection in falling markets is to be
rolled out to investors in March.
The Schroder UK Income Defensive fund will invest in an actively
managed portfolio of 30-50 large and mid cap stocks which pay high
and sustainable dividends.
Headed by Richard Lloyd, manager of the existing fund, the new
version will continue to use derivative instruments to generate
additional income, while it will also buy put options to create a
defensive cushion against market falls.
Lloyd said: 'With the Schroder UK Income Defensive fund, we have
expanded our range of equity income products.
'Investors can now access a more defensive product that is
particularly important in times such as these, when concerns about
the economy are weighing on equity markets.'
The fund's offer period runs from the 3 March to 7