Trilogy trust promises security and yield
Trilogy Funds Management is positioning to launch a new income product specifically aimed at intermediated investors — the Trilogy First Mortgage Income Trust.
Confirming the company’s preparedness to launch the new product, Trilogy’s executive chairman Roger Bacon said it would be comprised of a portfolio consisting of only registered first mortgages, and all loans would be protected by capital loss insurance from Lloyd’s of London.
“This is a good package of security for investors,” he said.
Bacon said Trilogy had taken a sound basic concept and added several enhancements, including an innovative product structure and capital insurance protection, while providing an anticipated trust yield of 7.75 per cent a year, paid monthly.
“It’s an interesting time to be bringing a new income product to the market,” he said. “Investors are very concerned about the security of some property-based income products and perhaps rightly so.
“From our research and also from adviser feedback, the two key features that investors are looking for in an income product are security and yield, in that order,” Bacon said. “If you can provide these two critical characteristics, both investors and advisers will be happy going forward.”
He said he believed it was an opportune time for the release of a new income product in circumstances where the Trust was fully compliant with the Managed Investment and Corporations legislation.
“We envisage it will be advantageous for investors requiring income yield diversification or just a more competitive mortgage trust option,” Bacon said.
AUTHOR
Mike Taylor
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
