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Ryan Rogowski, head of Harewood Solutions, said the structure of the fund would offer investors exposure to the S&P 500 index and protection through AAA-rated government bonds.

He said: "The US Enhanced Income fund not only offers a high and sustainable income stream, but it can also form part of an investor's defensive equity strategy, providing for a more seamless transition back into equity markets."

Mr Rogowski said the fund aimed to generate a gross yield of 8 per cent per year through dividends on the S&P 500 and returns from selling call options.

The fund - which will take the form of a Guernsey-domiciled protected cell company - will be quoted on the London Stock Exchange, offering investors daily liquidity.

Mr Rogowski said the strategy allowed the fund to capture positive equity market performance and provide the fund's NAV with some protection in falling markets.

Like other Harewood funds, the US Enhanced Income fund is backed by counterparty BNP Paribas collateralised with G7 AAA-rated government bonds to mitigate credit risk.

Mr Rogowski added: "This is an excellent way of gaining exposure to US equities, an asset class in which it is notoriously difficult to find an actively managed fund that has consistently outperformed.

"Nonetheless, something rather more than a straight passive fund, with its vulnerability to market swings, is called for."

The new fund follows in the wake of its absolute return commodity Comac and Enhanced Income fund launches earlier this year.