LISBON (Thomson Financial) - Banco BPI has closed an 88 mln eur property fund and will return subscribers' loaned funds on Oct 2, followed by a final quarterly interest payment the next day, the bank said in a statement published on its website.

According to an official source at the bank, the decision to close the BPI Renda Trimestral fund was made "given the current financial market conditions, the uncertain short-term perspectives for interest payments, and to protect investors without them incurring any losses", Diario Economico reported.

The official source highlighted that the fund consists mainly of low-risk government and European company bonds, but also includes some mortgage credit and "is highly liquid and involves a quarterly interest payment", Diario Economico added.

Jornal de Negocios noted that the fund has around 6,000 subscribers and that its total value has dropped 6.9 pct to 88 mln eur from 94.6 mln eur since the beginning of August. chico.laxmidas@thomson.com scl/cm2

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