AmInvest introduces its Asia ex Japan Equity Fund (“Fund”), which offers investors potential long-term capital growth by investing in a diversified portfolio of stocks in the Asia region (excluding Japan). The Fund will feed into Baillie Gifford Worldwide Asia ex Japan Fund (“Target Fund”). The Target Fund aims to provide above average returns over the long term by investing in the fastest growing stocks in the Asia region excluding Japan.
Commenting on the launch, Dato’ Sulaiman Mohd Tahir, Group Chief Executive Officer of AmBank Group, said, “The Target Fund invests in companies that are financially sustainable in the long run, and takes into consideration factors such as high quality growth businesses that enjoy competitive advantages in their marketplace, environmental, social and governance matters.”
Ms. Goh Wee Peng, Chief Executive of AmInvest, said, “The Fund is a beneficiary of structural drivers that will continue to support strong growth prospects in China and the broader Asia Pacific region. This is our second fund partnership with Baillie Gifford, the Target Fund’s Investment Manager, who also manages the Target Fund for our Sustainable Series - Positive Change Fund. Baillie Gifford have over 30 years of experience managing Asian region equities. Since its inception in February 2020 until to date, the Target Fund has returned 36.2% and beaten its benchmark by 23.4%.”
There should be material growth for the Fund, as there are more than 3 billion consumers across Asia with a notably large consumer market within the rising Asian middle class. Pre-pandemic data from International Monetary Fund (“IMF”) forecast that the per capital spending power of Chinese consumers will nearly double in US dollar terms over a 5-year period from 2019 to 2024.
Digital penetration and technological change continue to be the key themes for long-term growth opportunities in Asia. Rapid development of technology is creating a fundamental change in market behaviours, with digitalisation driving changes in economic and political systems, businesses, consumer habits and behaviours. The Target Fund actively seeks companies that may have underappreciated growth and those constantly reinvesting for the long-term, either in research or development of capital projects.
The Fund’s base currency is United States Dollar (“USD”). It is being offered for subscription to sophisticated investors in USD, Ringgit Malaysia (“RM”) and in RM-Hedged classes at the initial offer prices of USD1 and RM1 per unit respectively during the initial offer period until 23 March 2022.
AmInvest is the brand name for the fund management business of AmFunds Management Berhad and AmIslamic Funds Management Sdn Bhd. For more details on the Fund’s features and risks, please refer to the AmInvest’s Information Memorandum for Asia ex Japan Equity Fund dated 22 February 2022 via aminvest.com.
