Fund Management
Market Rally Leads UK Manager To Delay Product Launch

Jubilee Financial Products, the UK-based investment boutique, delayed the strike date of four new investment products until 25 September, believing that by then the market will be lower.
The products were due to be launched on 7 August, but the recent runaway bull run led to the company rescheduling the launch, as the products take advantage of growth in the FTSE 100 Index, the company said in a statement.
“If we are right, this will ultimately reward investors,” said JFP's senior partner Ian Millward.
“Trying to call the market is generally a pretty dangerous game to play – but just occasionally there are times when it is the right thing to do,” he said.
JFP believes that the bull run will come to a halt in September when traders return to their desks after the summer break and confront the realities of higher unemployment and reduced consumer confidence.
“It has been an extraordinary recovery considering the near total collapse of the global financial system just a few short months ago," said Mr Millward.
“But the rally is not supported by recent economic data. Trading volume is effectively over 40 per cent down on the same time as last year, so this rally does not appear to be driven by any great conviction or weight of money."
“Our longer term view is that there will be significant investment opportunities, but in the short term there is little to suggest that this is anything more than an unsustainable collective sigh of relief.
However, Mr Millward added that JFP will not attempt to call short term market movements on a regular basis.
At the beginning of July, WealthBriefing reported that JFP launched a new structured product, named Optimised Growth Plan, which is designed to minimise timing risk while there is still a chance of further falls in the UK market.
Jubilee Financial Products is an asset manager authorised and regulated in the UK, serving European and Middle Eastern investors.