Financial services firm JB Global plans to unveil a capital-protected product over the commodities index developed by investment guru Jim Rogers.
“We’re teaming up with Jim to put a capital-protected investment over his RICI (Rogers International Commodities Index),” JB Global chief Justin Beeton said of the RICI Enhanced Global Index.
Rogers co-founded the legendary Quantum Fund in the 1970s with George Soros. Quantum rose 4700 per cent over 10 years. In 1980, at the age of 37, he retired and set off on a motorbike trip around the world. That trip was the catalyst for Rogers’ views on commodities.
He is now based in Singapore as the chairman and founder of Rogers Holdings.
The RICI Enhanced Global Index is a composite excess-return commodity index designed to enable investors to benefit from the scarcity of commodities, the commodity cycles, convenience yields and roll returns. The index is made up of food and other soft commodities, precious metals, energy and natural resources.
Rogers has said the centre of financial power was shifting from Wall Street and the City, London’s financial district, to agriculture and mining. “The power is shifting again from the financial centres to the producers of real goods. The place to be is in commodities, raw materials, natural resources,” he said.
JB Global Investment Services, a privately-owned investment services company, offers capital-protected products. Last year, it issued $230 million worth, covering investment themes including fast-growing emerging markets, United States property, Australian shares and Warren Buffett’s Berkshire Hathaway.
The company had about $600 million under management, Beeton said.
JB Global and Rogers would be speaking at seminars in August in Brisbane, Sydney and Melbourne, and advisers would be invited to bring clients.
“We want to give advisers and their clients the Jim Rogers international viewpoint on the economy, commodities and China, and how they can gain exposure to the growth of the commodities market with the added benefit of capital protection,” Beeton said.
