Investments  

Launch Pad: Structured product

The firm was founded in January 2010 by former Lehman Brothers executives Elton James, Daniel Hawkins and Sebastien Krol, and is now turning its focus to the retail investment space.

The Mariana Global Giants Income Plan is based on the performance of three global stocks, namely Apple, BP and Sony, and pays the coupon irrespective of the performance of the stock.

In parallel with the launch of the plan, Mariana Capital has also introduced an Isle of Man-based single premium whole-of-life insurance bond that allows bond holders to access the performance of the Global Giants Income Plan and enjoy a yearly, 5 per cent tax-free payment.

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Key features

Counterparty: Commerzbank AG

Minimum investment of £5000

50% European barrier for initial capital risk and return

Available through cash Isas, equity Isas, as a direct investment, Isa transfers and Sipps

Initial charge: 3.25% of the net investment

Closing dates for applications is October 31

Managing and founding partner Mr Hawkins said: “We have listened to the needs of advisers and investors alike, and hear that investors who are frustrated by low returns from traditional income products are looking for a tax efficient vehicle, which offers the potential for capital appreciation while allowing decent levels of tax free annual withdrawals.”

IFA Verdict

Ian Lowes, managing director for Newcastle-based Lowes Financial Management, said: “A 7 per cent coupon is quite attractive, especially if it is unconditional, as long as the counterparty remains solvent.

“Commerzbank does not regularly appear in the UK market so it helps to diversify against risk. However there is a risk to capital if an individual stock loses half its value, as the plan will then track that stock. Overall, it could be attractive in a diversified portfolio.”