UOB Asset Management (Malaysia) (UOBAM (Malaysia)) is optimistic that the global economy will rebound from the downturn triggered by the COVID-19 pandemic, as central banks are expected to maintain low interest rates this year. To help retail investors ride on the economic recovery, the asset management firm has launched the United UWealth Pop Fund (UUWPF or the Fund), a multi-asset solution that invests in a diversified portfolio of equity and fixed income funds and exchange-traded funds (ETFs).
Lim Suet Ling, Chief Executive Officer of UOBAM (Malaysia), said, “To drive economic recovery and to keep it on a safe trajectory, central banks globally are expected to maintain their ultra-easy monetary policies and are unlikely to increase interest rates. By investing in a diversified multi-asset portfolio, retail investors can benefit from the yield of fixed income assets and the potential for capital returns on equities.”
Suitable for retail investors with a moderate risk profile, the UUWPF seeks to provide annual income dividends and capital appreciation over a medium- to long-term investment horizon. The Fund uses a fund-of-funds (FoF) strategy , investing at least 80% of its net asset value (NAV) into equity and fixed income funds and ETFs, instead of investing directly in securities such as stocks and bonds. The balance is invested into liquid assets such as money market instruments and deposits.
Through UOBAM’s robo-advisory algorithm, which integrates the firm’s proprietary capital market assumptions, the portfolio managers optimise the UUWPF’s investments with an efficient allocation across sectors and geographies, such as the United States, Europe and Asia including Japan and Malaysia. The investments within the portfolio chosen are liquid, well-diversified and have low fees to maximise returns for retail investors.
“By combining our robo-advisory technology with periodic rebalancing by our portfolio managers, we can ensure efficient management of the UUWPF, one that is aligned with market movements. This way, the investment portfolio will provide steady income streams and potential capital gains, while remaining resilient even in times of market volatility,” said Lim.
The UUWPF is exclusively distributed by UOB Kay Hian. Alvin Tan, CEO of UOB Kay Hian Wealth Advisors, said, “We aim to deliver professionally-managed, customised and best-in-class total financial solutions to meet each investor’s personal needs through our investment platform. Our platform consists of diversified wealth management solutions with a full range of products such as unit trusts, private retirement schemes, fixed income, bonds and structured products. The partnership with UOBAM (Malaysia) supports our objective to become a leading independent wealth advisory firm in Asia.”
The UUWPF is available in Malaysian Ringgit, with an initial minimum investment of RM1,000. For more information about the Fund, please visit www.uobam.com.my.