Unhappy with-profits investors offered way out

Without profits: Hong Kongers invested in UK insurers'' dud schemes are offered an alternative by Circus Capital.

Circus Capital, a UK- and Hong Kong-based asset manager and provider of structured products, is offering new alternatives to Hong Kong and European clients stuck in low-performing with-profits funds offering by several British insurance companies offshore.

These are schemes sold by insurance companies that are 'with profits' because the asset managers smooth out returns, but because they are not marked to market on a daily basis, their actual performance is not transparent to investors.

These schemes were hot in the late 1990s, when the Nasdaq guided equity markets skyward and normally staid with-profits schemes were returning as much as 10% annually.

It...

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222