Merrill Lynch has introduced an investment product which allows investors to put funds into top European stocks. Euro certificates are securities designed to track the performance of 20 blue-chip euro stocks, including the likes of Renault, Daimler Chrysler, ING and Heineken. The stocks are selected by Merrill Lynch using data compiled by the Institutional Brokers Estimate Service which incorporates research from more than 800 brokers and banks.

The stocks held in the certificate are reviewed and re-composed every two months to take account of new opportunities and reduce the exposure for investors and will not generate any additional costs, according to Merrill Lynch. The minimum investment is €100 (£79) and investors can subscribe for the certificates through either ICC Investment Bank or Davy Stockbrokers before April 1st.

Merrill Lynch expects initially to raise €250 million euros in the certificates which are also being offered to investors by a consortium of European banks. The certificates carry an element of risk as investors will fully participate in the gains and losses of the index.