FPM establishes second strategic pillar / Frankfurt fund boutique, together with DWS, launches Germany's first "SICAV", expanding FPM's investment style by adding derivatives

Frankfurt am Main, Germany (ots) - FPM Frankfurt Performance
Management AG is widening its range of activities: In addition to the
successful fundamental-analysis-based advice, the fund boutique will
now also offer investment in derivatives. TOP 25 S, as FPM's first
fund of this kind, is different not only because its investment
strategy represents a departure from the company's existing
philosophy ¬- it is also the first retail fund in Germany with
outside management to be launched within the legal form of an
"Investmentaktiengesellschaft", or investment fund corporation.

This "InvestmentAG" serves as the parent company of the fund. The
fund, Top 25 S, is thus effectively a sub-fund of the InvestmentAG
(such a sub-fund is technically referred to in German legislation as
a "Teilgesellschaftsvermögen", or "sub-pool of assets"). The legal
form of the investment fund corporation is the equivalent of
Luxembourg's SICAV and is now permitted in Germany since the
amendment of the Investment Act at the end of 2007. Like its
Luxembourg counterpart, the InvestmentAG allows the rapid, efficient
creation of additional sub-funds. "The launch of Germany's first
InvestmentAG highlights the fact that the expansion of the Investment
Act to allow investment fund corporations with third-party management
was a necessary and appropriate step forward. The new product will
greatly enhance Germany's strength as a financial centre," says
Rüdiger H. Päsler, managing director of BVI, the German fund industry
association.

With TOP 25 S, FPM continues to focus on German equities, but uses
an approach to stock selection that breaks new ground for the fund
advisory firm. Instead of a single fund manager, a team of five
analysts systematically selects the 25 most promising German
companies. A systematic stop-loss mechanism limits possible share
price losses.

Additional opportunities are unlocked through the derivatives
strategy. For example, when the team expects a market recovery, it
amplifies the upside potential through option positions to generate
higher returns. In the case of declining share prices, the risks are
hedged accordingly. The basis for the portfolio managers' decisions
is the historical market behaviour of the DAX®, as well as the FPM
Market Indicator, which measures business sentiment at regular
intervals. This reduces the investment horizon to twelve months or
less.

The objective of the new derivative strategy is to achieve a
significant outperformance. TOP 25 S is thus more
opportunity-oriented than the existing FPM products, which generally
follow a long-term, benchmark-independent investment strategy. It is
designed for institutional clients, such as asset managers and family
offices, but is also open to experienced retail investors. In TOP 25
S, FPM is installing a second strategic pillar on an equal footing
with the existing investment approach. "Our intention with this new
initiative is not only to enhance performance, but also to expand our
investor base," comments FPM co-founder Manfred Piontke.The
administrative management of TOP 25 S is provided by DWS, the leading
German fund provider and long-standing FPM partner. Since FPM's
founding in 2000, DWS has been managing the boutique's three existing
funds: FPM Funds Stockpicker Germany Large Cap, FPM Funds Stockpicker
Germany Small/Mid Cap and FPM Funds Stockpicker Germany All Cap.

ABOUT FPM FRANKFURT PERFORMANCE MANAGEMENT AG

FPM Frankfurt Performance Management AG was formed in 2000 by fund
managers Manfred Piontke and Martin Wirth. As a specialist, the
company focuses exclusively on the German stock market, advising
funds and institutional investors on their equity investments in
Germany. Assets under management are currently about EUR 300 million.

Originaltext: FPM Frankfurt Performance Management AG
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Pressekontakt:
FPM Frankfurt Performance Management AG
Freiherr-vom-Stein-Strasse 11
60323 Frankfurt am Main
www.fpm-ag.de

Markus Dahlheimer
Member of the Management Board
Telephone: +49 (69) 79 58 86 13
Fax: +49 (69) 79 58 86 14
E-mail: markus.dahlheimer@fpm-ag.de