Bangkok--25 Feb--Manulife Asset Management
Manulife Asset Management (Thailand) has announced the upcoming launch of the Manulife Strength – Global Asset Allocation FIF (MS-GAA or "the Fund"), an open-ended Foreign Investment Fund (FIF) designed as a "one-stop, hassle-free solution" for investors who may not be able to closely follow global market conditions, lack sufficient information to rebalance their portfolios or re-allocate their assets following global market changes. The fund is under SEC (TH)'s review and approval process. The initial public offering (IPO) for the Fund is targeted to be held during 1-8 March 2016 with a minimum initial subscription amount of THB 500,000.
"Global market sentiment has been gloomy with high volatility for all asset classes, and will continue well into 2016," said Tor Indhavivadhana, Chief Executive Officer of Manulife Asset Management (Thailand). "Asset allocation strategies will play an even more important role for retail, and high net worth investors and our new fund offers a one-stop, hassle free solution."
Manulife Asset Management is a leader in asset allocation solutions globally, with a total of USD 104 billion of asset allocation solutions as of end of December 2015 managed worldwide by investment professionals averaging over 15 years of investment experience.
"The global asset allocation strategy becomes more popular for both institutional and retail clients who are seeking for consistent returns with lower risk," said Peter Warnes, Head of Portfolio Solutions Group, International. "This Fund is designed as an all-weather solution that requires no market-timing skills on the part of investors. Our clients only need to decide between the target income and risk tolerance levels that the fund offers."
Tor further added, "It is time to look beyond single asset class investment solutions. The performance of individual assets can vary widely depending on market conditions. Diversification can balance the risks inherent to different asset classes vis-a-vis changing economic cycles and market conditions, potentially helping to stabilise returns."
MS-GAA is a feeder fund investing in the units of Manulife Global Asset Allocation - Growth Fund (Class A-MDis USD) (or "Master Fund"), managed by Manulife Asset Management (Singapore) Pte. Ltd. The Master Fund's structure is similar to the Fund of Funds investing in the mutual funds that are both active and passive managed funds (e.g. Index Fund and ETFs), cautiously selected by Manulife's Investment teams. These selective underlying funds are either managed by Manulife or other management companies who specialise in such asset classes in order to construct the most optimal portfolio for investor's investment solutions.
The Master Fund aims to meet its objective by diversifying into various asset classes in global markets with the target asset allocation of up to 60% into schemes with underlying investments primarily in equities and REITs, if any. The rest of the assets of the Fund are invested into cash and schemes with underlying investments primarily in Fixed Income, Commodity and/or money market instruments.
Manulife's investment teams will monitor the market conditions and conduct the re-allocation in each asset class for the best solutions and optimal returns to investors in such period. The Master Fund has generated the returns since inception (13 March 2015 to 31 January 2016) at -3.92% in USD term or approximately +4.29% in THB term (Source: Morningstar (Thailand))"
Manulife Strength – Global Asset Allocation FIF (MS-GAA) will be set up as an Accredited Investor Fund (AI Fund) with a minimum initial subscription at THB 500,000. MS-GAA contains 3-multi classes: A-class (capital appreciation), D-class (dividend) and R-class (auto-redemption). During the IPO period, only A and R classes are planned to be launched, with D-class to be launched at a later date. The A-class will emphasise generating returns via capital appreciation while the R-class will aim to provide monthly income stream via an auto redemption mechanism. The target paying out rate can be adjusted, based upon the master fund's target distribution rate. For subscription in MS-GAA during the IPO period (1-8 March 2016), clients will get Manulife Accident Death and Dismemberment (ADD) valued 130% - 260% of subscription amount (terms and conditions apply).
For more information, please call Manulife Asset Management (Thailand) on 0-2246-7650 press 2 or 0-2354-1001 or one of the selling agents.