Instreet offers protection against falling markets
22 April 2010Boutique fund manager Instreet is expanding its product offering with a new financial product that seeks to assist in hedging an investor’s Australian equity portfolio.
The product, Link DS, adds to the product suite of the Sydney-based manager’s successful Link series. Instreet now has four product classes in the market.
Link DS aims to hedge an investor’s Australian equity portfolio through various market conditions allowing investors to maintain their exposure to the market.
Instreet managing director George Lucas says the Link DS would suit an investor looking for a short-term risk management tool for their investment portfolio.
“Link DS is a useful tool for managing downside risk, as an investor has the potential to hedge their Australian equity exposure,” he said.
“Many investors choose to reduce their overall market allocation in the expectation of market downturns. This can result in investors missing out on return opportunities when the market rebounds.
“Hedging a portion of your portfolio using Instreet Link DS gives investors another option and can allow you to maintain your Australian equity exposure without allocating your portfolio to cash.”
Mr Lucas said Link DS was an investment in a Deferred Purchase Agreement, with its performance linked to the decline in value of the Australian stock market as measured by the S&P/ASX 200 Price Return Index.
This product has received a ‘recommended’ rating by Lonsec Research.
