The fall in markets during the final few months of 2018 has had an impact on the performances of the MMPI Escalator suite of investments during 2018 Q4. Series 14; Series 15; Series 22 and Series 26 all rolled over to their next observation dates in 2019 Q2.
It remains the case that just 4 of MMPI’s investment products out of a total of 50 maturities, stretching back over 9 years, have returned less than 100% of the initial capital invested and these were pre-determined downsides at 5% – 10% of the initial capital.
Capital security is very important for investors. In the cases cited above the protection is provided by either BNP Paribas; Societe Generale or Credit Suisse, three of Europe’s best capitalised banks. They currently have top-quality credit grades and stable ratings, which are well ahead of the Irish banks.
We realise that the MMPI Escalator Series of investments is not for everybody. But the investments do represent an excellent opportunity to beat deposit returns. There is additional risk associated with the Escalator Series and this needs to be adequately borne in mind and understood.
As always we recommend that potential investors should read the product brochure where a full list of WARNINGS is provided. Specific professional advice, offered by MMPI in private consultation, should always be sought in relation to individual circumstances.
MMPI will continue to take soundings from investors as to their investment preferences. To-date, investors have been most concerned about achieving income in a low interest rate environment. Many now realise that deposit returns are not keeping pace with inflation and that this position is unlikely to change in the next few years.
Investors are also concerned about access to funds in case of emergency or where personal circumstances take an unexpected turn. Investments in the MMPI Escalator Series have a nominal 5-year term but each investment also contains daily liquidity. This means that the funds may be redeemed at any time during the investment term. Some early redemptions may mean that investors will not get back all of the money they invested but there are plenty of other examples where investors, requiring access to funds, are in a position to receive 100% of their initial capital plus additional positive growth.
Should you require further details about any aspect of the MMPI Escalator suite of investment products please call the office on (01) 66 88 322 or e-mail invest@mmpi.ie. Full details are available on our website at https://www.mmpi.ie/investments/investment-products/
