Bahrain-based TAIB Bank is to launch a new derivatives fund focusing on the movement of the FTSE 100 index. The TAIB Thames Fund, managed by London-based Arcanum Investment Management, invests in traded options and is not correlated to market movements. 'The investment strategy is based on a simple premise that a much larger degree of success has been achieved by predicting where a market is least likely to move to, as opposed to where it will move to,' says Iqbal Mamdani, TAIB's chief executive, in a statement. 'The historical track record of the strategy shows an annual return of more than 25 per cent. The fund's strategy enables it to generate positive returns irrespective of the market trend.' The Thames Fund is the seventh mutual fund to be offered by TAIB. The other equity- related funds invest on the Turkish, Indian and US markets.