UK Brokerage Launches Managed Accounts for Private Clients

Ian Allison

10 August 2006

Sucden Private Client Services, the wealth management division of the UK-based brokerage firm, has launched two new managed accounts for private clients, the Index Option Account and the Equity Option Account. The Index Option Account aims to provide an opportunity for clients over a range of investment strategies on FTSE 100 Index Options, whilst capping their risk exposure to a maximum of 7.5 per cent in any given month. The Equity Option Account allows investors to potentially generate income without necessarily owning the underlying stock. There are two possible income streams, the equity option premium and dividend income where the stock is taken up. Both new accounts offer competitive commission rates, with no related management charges or initial fees to pay, said Sucden. Mark Greenaway, head of Sucden Private Client Services, said "The new managed accounts service is aimed at clients who have identified the benefits of options trading, but do not have the time to track the markets themselves. The accounts also address the needs of clients who want exposure to the potential of enhanced returns through the options market, but want their risk to be known at all times."