World exchanges go up and down. Investors jump from panic to euphoria. The market is very volatile. In these circumstances, BPH TFI offers a closed three-year fund with 95-percent protection of the capital. It’s called MARC.
“MARC are the first letters of the countries our fund is connected with: Mexico, Saudi Arabia, Russia and China”, Artur Czerwonski, BPH TFI CEO explained.
The fund is supposed to earn when currencies of these countries appreciate against US dollar, euro and pound.
“Developed countries have a deficit of the current account. Developing countries have bigger exports than imports. In practice, this means that America, the euro zone, or the UK consume too much while countries like Mexico, Saudi Arabia, Russia or China still export more. With time, these unbalances must disappear. This will happen by the appreciation of the currencies of emerging countries”, Grzegorz Letocha from BPH TFI believed.
This is the scenario which has already happened in Poland and Brazil. The Polish zloty has appreciated against US dollar by 25.33 percent since 2007, against euro by 16.24 percent and against GBP by 27.15 percent. Brazilian real has appreciated respectively 14.18 percent, 3.6 percent and 16.2 percent.
The fund will be listed on the Warsaw Stock Exchange which means that it will be possible to sell it before the deadline of three years. It will cost 0.5 percent of the value of the initial investment. The minimal amount is PLN 1,280 (EUR 376).
(PLN 1 = EUR 0.294)