A capital future

Capital guaranteed funds

Capital guaranteed funds were the buzzword of last year, as investors scrambled for cover amid plunging stock markets and dismal bank deposit rates. Nowhere was this more apparent than in Hong Kong, where a 25% dive in the Hang Seng Index in 2001 sent volumes of guaranteed funds soaring. But with the economy showing signs of recovery, some bankers believe capital guaranteed products are unlikely to replicate their success of last year. Others, meanwhile, believe more innovation is needed to reta