The European asset manager is targeting investors that do not have the appetite for the risks that come with financial market investment.

Amundi has launched a multi-asset structured fund aimed at investors seeking returns with the added comfort of a partial capital protection. 

The Amundi Funds Protect 90 fund aims to achieve moderate growth through an actively managed portfolio, investing across a range of asset classes, industries, geographical areas and currencies. When market conditions are on an upward trend, the fund will invest in riskier assets, such as equities and corporate bonds, and when it shows signs of a negative trend, the managers will focus on less risky assets, such as government bonds and money market instruments.

For investors reluctant to take risk on their capital, Amundi has integrated a partial permanent capital guarantee. The daily capital protection of 90 per cent is locked in at the highest net asset value achieved since the fund inception date so that the level of protection increases each time the fund’s NAV reaches a new high. If markets trend downwards and the fund’s NAV declines, the protection guarantees investors’ capital will not fall below 90 per cent of the highest NAV recorded. The fund will also offer subscription and redemption at any time without penalty to the guarantee.

“In today’s long term, low interest rate environment, savers are caught between a rock and a hard place. With this fund, investors have a new approach to boosting returns without exposing themselves to too much risk. It has broad appeal for investors who, for many reasons, remain cautious, such as those looking to transition into lower risk strategies, or people approaching retirement who cannot afford to risk a fall in the value of their assets,” said Christian Pellis, global head of distribution at Amundi.

The sub-fund, offered within the Amundi Funds flagship Luxembourg SICAV, is available to investors in Austria, France, Finland, Germany, Greece, Italy, Spain.