Investec will stop offering new structured product plans in the UK retail market as the company ramps up focus on discretionary fund management and managed portfolio services on platforms.
In an update today (February 10) Investec confirmed that from April it would not launch any further retail structured product plans in the UK market and the next launch of new plans, taking place from February 15, would be its last.
The company said all existing plans would be unaffected by the decision and would continue to function as set out in its brochure, including client rights with regards to encashment.
An Investec spokesperson said: "Investec will continue to support all existing plans as they continue over the coming years.
"Investec’s decision to cease offering new retail structured products is a reflection of its shift in focus to its core services for financial advisers: discretionary fund management and managed portfolio services on platforms."
Structured products are a fixed-term investment vehicle linked to an index such as the FTSE 100 or a specific investment, usually with the promise of a return of capital provided certain criteria are met such as the index not falling below a certain level during the product's term.
Investec recently joined the string of providers removing value added tax from managed portfolio services, lowering the cost of the service for advisers.
Its MPS range relaunched in September to meet adviser demand and is available on most adviser platforms.