Skandia combats low interest rates with credit-linked notes
Skandia is one of the key UK providers of structured funds, and recently teamed up with Investec to deliver a structured product through its portfolio bond scheme. Investment marketing manager Alistair Campbell talks to Vita Millers about the outlook for the market
Names can be deceiving. Skandia started out by selling structured products in Scandinavia, but the distributor now focuses largely on structured funds in the UK.
One of the ways in which the company manages to structure funds with appealing coupons is by using credit-linked notes, according to Alistair Campbell, Southampton-based investment marketing manager at Skandia. "These securities provide investors with an enhanced fixed return but also expose the investor to additional credit risk," he
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