Dura Capital, a new UK Financial Conduct Authority-authorised retail structured product business, has launched in the UK. The compan was registered at the UK companies house by Russell Catley (pictured), John Fox, Singh Johal, and Luke Reeves on May 2017 and will use 'the institutional structuring capabilities of Catley Lakeman Securities (CLS), which has originated over £8.5bn of securities and structured products funds, in more than 1,150 individual securities since 2008', according to the filing.
"This is a very limited pre-launch pending the full rollout," said a source close to the company.
The company's website states that Dura Capital is a 'new, innovative structured investment product provider founded in March 2018' with the mission of 'reinvigorating the retail structured product market... Our management team draws on a wealth of experience across investment structuring, management, administration and distribution,' stated the company. 'Our mission is to help create wealth in our investors' lives through our four main values: simplicity, accessibility, value and support.'
The structured products on offer are intended to fill a gap in the UK market by 'enhancing the IFA experience by using clear, competitive pricing and utilising our online platform to provide improved pre and post-sales support to IFAs'. The company is in negotiation with a number of global, systemically-important bank issuers, 'some of which are new to the UK retail market or have not issued product in the UK retail market for some time'.
Dura is currently offering two structured notes hedged by Credit Suisse including the bank's FTSE 100 Defensive Autocall Plan 1, a six-year, soft-protected knockout structure linked to the UK benchmark that will mature early paying a 7.20% per period elapsed from year one if the underlying is at or above its strike level, and the same bank's FTSE 100 Autocall Plan 2, also a knockout structure which will pay 9.25% per period elapsed if the underlying is above its strike levels at any of the observation dates. Both products feature a 60% capital-at-risk downside barrier at maturity, and will be open for subscription until April 5, 2018.
The new company will also provide research and support services, including platforms, due diligence, (Mifid 2) suitability, factsheets, ongoing adviser support and a dedicated regional sales team as well as risk reports provided by Future Value Consultants.
The administrator of Dura Capital structured plans is Opal with LGBR Capital as distributor, and BNY Mellon as custodian. Dura is planning to run a number of CPD-accredited adviser roadshows in the second quarter of 2018.
Catley Lakeman Securities was launched in 2008 by former Citi equity derivatives executives Russell Catley, Andrew Lakeman and Tom May.
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