Cloudy skies prompt launch of new rainbow product

London and Capital has launched a capital guaranteed multi-asset rainbow plan which offers exposure to equities, commodities and property. It uses a lookback feature which will weight the classes differently according to their performance, offering investors diversification and capital protection.

The product will allocate 50% to the best performing asset class in the basket, 30% to the second best performer and 20% to the laggard. Exposure to equity is achieved through equal allocation to the Nikkei 225, the DJ Eurostoxx 50, the FTSE 100 and the S&P 500 indexes.

The commodity element of the basket achieves exposure using the Dow Jones AIG Commodity Excess Return index. The property exposure is divided equally between the Tokyo Stock Exchange Real Estate Investment Trust index and the FTSE