FSA gives Meteor all clear over Lehmans; New products planned

Meteor Asset Management has been given the all-clear over its marketing and sales of Lehman-backed structured products, allowing it to begin launching a range of open-ended funds.

Managing director, Graham Devile, says the FSA has not raised any concerns about the way Meteor sold structured products, including its literature.

The clearance means Meteor avoids following other independent structured product providers into administration. Arc Capital & Income, DRL and NDFA have all gone into administration after FSA reviews. Meteor has expressed an interest in buying parts of the latter two firms.

The upcoming launches include a Clean Energy fund, which will provide financing for new projects, and a pair of property vehicles.

The Clean Energy portfolio will launch in the next few weeks and invest in small to medium-sized projects in developing countries, which generate electricity in an environmentally friendly way.

Returns are based on these projects’s electricity generation and carbon credits, which can be traded to raise money.

Minimum investment on the Guernsey-domiciled fund will be £15,000-£20,000, with an AMC of 2%.

Meteor has outsourced management of the fund to consultant Dr Tauni Lanier, who launched the Dow Jones Sustainability indices. It has also established a four-person committee with experience of climate change and emerging markets.

Meanwhile, separate residential and commercial property funds are slated for launch in the early part of 2010, in response to demand for the sector.

Devile is currently in discussions with a number of high profile property specialists about managing the funds.