This article written by Fiona Nicolson for our sister publication International Adviser
Investment platform Lightyear has rolled out three high-yield money-market funds for UK retail investors, in collaboration with BlackRock.
The funds are denominated in US dollars, sterling and euros. Fees start at 0.09% and go up to a maximum of 0.3%.
Lightyear said that the funds aim to maintain a net asset value of $/€/£ 1 per share. Any excess earnings generated through interest on the portfolio holdings are to be distributed to investors as dividend payments.
See also: BlackRock rolls out suite of European iBond ETFs
Taavet Hinrikus, co-founder of Lightyear, said: “Lightyear is giving retail investors across major European countries access to a low-risk, high-yield product that’s previously been something only those with $1m or more can get their hands on.”
Martin Sokk, co-founder and chief executive of Lightyear, added: “When we think about the next product to bring to the market, we consider a lot of things. But this one was a ‘no-brainer’: a low-cost way for our customers to diversify their portfolio and earn a steady, high yield.
“We wanted to build something low cost where you have easy access to your money.”
The platform was founded in 2020 and has offices in London and Estonia. Investors in the company include Sir Richard Branson.
–
PA EVENT: Fixed Income, September 14th | RSVP HERE
Hosted at Pan Pacific Hotel
Join us for an in-depth exploration of the fixed-income market, where industry experts will delve into the current landscape, emerging opportunities, and strategies for optimising fixed income portfolios.
Sponsors include Alliance Bernstein, J Safra Sarasin, Premier Miton, RBC Bluebay and Vontobel.
