Capital Protected Funds are funds that offer capital protection through the fixed income securities in the fund portfolio, while providing a return in parallel with the participation ratio of the investors through the option that make up the investment strategy of the fund.
Our bank offers alternative-yield products at certain periods by issuing Capital Protected Funds that will constitute an alternative for our customers in line with their market expectations.
- They constitute an alternative for investors who want to take advantage of variable-yield investment instruments in the market without taking capital risk
- Capital Protected Funds, if held till maturity, aim to provide capital protection within the scope of the “best effort principle”.
- Unlike other conventional mutual funds, capital protected funds are established for a specific term, and periodically offered to investors during the demand collection periods.
- If held till maturity, in addition to capital protection, they offer the opportunity to obtain returns from the value change in various investment products in proportion with the participation ratio specified.