The Merill SICAV plc has launched its first sub-fund, the Merill Total Return Income Fund, aimed at both retail and institutional clients. The Merill Total Return Income Fund will have an initial seed capital of Euro 15 million.
The Merill SICAV plc is incorporated and licenced as an open ended collective investment scheme, registered in Malta, qualifying as a Maltese UCITS in terms of the UCITS Directive. The Fund is self-managed but has delegated the day to day investment management of the sub-fund to Jesmond Mizzi Financial Advisors Limited, who will also promote and distribute the Fund.
The Fund will address long-term investment objectives by diversification of assets and providing regular income, by investing primarily in investment grade bonds, local bonds, other debt securities, money market instruments and equities. The fund may invest up to 35 per cent of the fund’s assets in securities and money market instruments that are issued or guaranteed by any single European Union Member State, or by public international bodies where one or more Member States belong. Up to 15 per cent of the fund’s assets may be invested in local corporate issues of debt securities. The fund will invest directly in local and international shares. The Fund will also be investing in other bond and equity funds.
Jesmond Mizzi, a director of the Merill SICAV stated that the fund is aimed at those investors who want to spread their investments in local government stocks, local bonds and equities as well as international bonds and shares, and because local investors prefer investing mainly in bonds the fund will mainly invest its assets in such securities. However the fund can also invest up to 30 per cent of the assets in local and international equities.
The Fund will pay a quarterly income and investors can either invest a lump sum or on a regular basis as a savings plan. As an introductory offer, initial fees for the Merill Total Return Income Fund are discounted to 1.25 per cent for all applications received until February 12, 2016.