AMONG the first off the mark under the new rules for investing in the

Lloyd's of London insurance market -- full details of which are expected

to be published later this week or early next -- is a new investment

trust, to be sponsored by Rea Brothers and UBS, and to be quoted on the

London Stock Exchange.

Lloyd's rules now permit limited-liability corporate entities to

underwrite in the market, though the fine print has yet to be studied

and intending investment vehicles will have to comply with this.

Underwriting policy and insurance activities for Finsbury Underwriting

Investment Trust are to be managed by Wren Underwriting Agencies

Limited, a leading Members' Agent at Lloyd's, and the investment

portfolio is to be managed by Finsbury Asset Management Limited,

specialist investment trust managers.

Finsbury Underwriting Investment Trust will deliberately limit its

size to #35m with the intention of underwriting up to an overall premium

limit of #60m.

This ensures that capacity can be utilised in a carefully selected

range of syndicates to maximise return.

Among the key points, liability is limited to the amount invested,

investment-trust status provides tax efficiency, quoted status provides

liquidity, and the relatively small size of fund is designed to achieve

a pre-tax return superior to that envisaged by the Lloyd's business

plan.