Structured investments: for tailor-made solutions
Due to their flexibility and short time to market, structured products offer investors timely solutions in a dynamic market environment. There is a wide range of possible designs to choose from, covering different investment objectives.
We satisfy the most demanding needs of our clients, both private and professional, offering our experience throughout the entire value chain. We offer access to a large number of markets and asset classes with a wide range of existing products and promising investment themes. And in doing so, we develop solutions that can give you benefits.
We take advantage of our technological leadership in point-to-point communication, and at Preferred we have the pioneering market infrastructure for market-maker operations of structured products, which allows you to match products and prices and make transparent comparisons.
Funds:
To help investors diversify their investments, manage their risk and minimize their governance burden, we offer a range of actively managed pools from across the spectrum of asset classes.
For simplicity, we broadly group each of our funds into one of three categories: growth, defensive, and diversified:
- Growth asset solutions: Designed to deliver higher long-term returns, we offer a range of strategies to match different risk and return profiles, including: Unrestricted Active Global Equities, Multi-Factor Global Equities, Global Basic Real Estate, Global Impact, Active Credit and Active Global Fixed Income.
- Defensive asset solutions:designed to preserve capital, with lower investment risk and more stable returns in the short and long term. Strategies include: Diversified liquid credit and low risk bonds.
- Diversified asset solutions:a range of multi-asset funds that support schemes to diversify your portfolio, while seeking attractive levels of investment return with lower volatility. Strategies include: Managed Growth, Diversified Absolute Return, Profitability Seeking Hedge Fund, Defensive Hedge Funds.
All our funds are managed with assets traded over the counter (OTC), which allows us to give more dynamism than on the counter (stock market) operations, allowing us greater liquidity and margin.
OTC transactions are not regulated by any specific body, being bilateral contracts in which the two parties agree on the settlement modalities of the instrument.
All of our funds consider and integrate various environmental, social and governance (ESG) factors, which we believe are beneficial from both a performance and risk perspective.
For more information, request a copy of our detailed product information brochure.
Hedges:
Hedges are alternative investment strategies for leading institutional investors and sophisticated individuals, seeking attractive risk-adjusted returns to meet our clients’ investment objectives.
We provide access to alternative investment strategies through portfolios of hedge funds, registered liquid funds, direct investing, manager seeding and general partner ownership.
- Alliances
We seek to build strategic alliances with our clients, creating solutions designed to meet their specific objectives. Additionally, by forging long-term partnerships with talented investment managers and leveraging our position in the industry, we strive to negotiate attractive terms for our clients.
- Position
Our scale and breadth of relationships, along with Preferred’s global reach, allow us to better identify, evaluate and implement new investments. Our size also gives us the ability to negotiate customized terms and terms with administrators, which directly benefits our investors.
- Hedge fund portfolio solutions
We build custom portfolios of alternative investment strategies. As the market leader in hedge fund solutions, we have built lasting and valuable partnerships with the underlying managers. Our rigorous process for evaluating managers and opportunities is critical to our success.
- Special situations
We invest directly in special situations and other differentiated opportunities that we obtain through our extensive network. The size and scale of our infrastructure, combined with our deep relationships in the industry, give us access to an exciting deal flow and idea generation. They also provide us with considerable resources to research and manufacture new exhibits.
Risk management based on options and futures
With a rich track record in risk management, insurance and derivatives, Preferred offers sophisticated futures and options-based risk management strategies to many of the world’s leading insurance companies and asset managers, as well as individual and professional investors. Typically, these methodologies are delivered through one of four different investment strategies, which can be tailored to meet the specific financial risk management needs of our clients.
- The underlying asset can be a basket of commodities, securities or currencies.
- The basket can be any weighted sum of underlying securities as long as the weights are all positive.
- Can be settled in cash or physically settled – Cash settlement is more common.
+44 20 3936 5373 | 167-169 Great Portland Street, 5th Floor, London, W1W 5PE, UK
+852 5808 1750 | 3A Chater Rd, 10 Floor, The Hong Kong Club Building, Central, Hong Kong