Bangkok--9 Jun--KTAM
Khun Somchai Boonnamsiri, CEO of Krung Thai Asset Management Pcl., announced that the company will file for an IPO of K-TAM World Energy Fund with subscription period from June 10th-30th, 2009. KT-Energy fund will invest at least 80 percent of its Net Asset Value in BGF World Energy Fund managed by Blackrock, one of the world largest asset management firms. BGF World Energy Fund has asset under management of around 91 billion Baht (as of April 2009) and it was rated AA by S&P and Old Board Street Research Fund Rating Service (OBSR). The master fund invests primarily in the equity securities of companies worldwide whose predominant economic activity is in the exploration, development, production and distribution of energy. Additionally, the fund may invest in companies seeking to develop and exploit new energy technologies without restriction on market capitalization, geography or investment style.
Khun Somchai Boonnamsiri said that GBF World Energy fund is managed by Robin Batchelor who, in 2001, was named “One of the Top Twenty Fund Managers in the World” by Forbes magazine. The fund is backed by BlackRock’s largest and most experienced dedicated Natural Resources teams in the industry, managing around 600 billion Baht in assets.
KT-Energy Fund is attractive as an investment because it gives investors an opportunity to benefit from high quality energy companies’ stock prices, which depend on companies’ earnings and growth, and increasing energy price. From historical perspective, when the price of energy increases, the price of energy stocks usually rises in the same direction and will rises faster if the sentiment in the stock market is also positive. KT-Energy Fund will benefit from BlackRock’s strong asset management team, from the potential of the companies in the investment portfolio and from demand outstripping supply in the long-run. Currently, the low valuation, compared to prior year, makes the energy sector attractive.
Citibank, as a distributor, by Khun Pavin Rodloytuk, Retail Banking Director said the return of risk appetite has certainly surged equity market forward. Previous experiences suggest that we may be due for a period of consolidation but Citi analysts believe any weakness over the U.S. summer (June - August) should be viewed as buying opportunities.
One of the tactical areas for equities investors in the initial stages of growth is global infrastructure, with spending estimated to average US$2 trillion annually through 2015 with more than half to occur in emerging economies. Emerging market growth is likely to lead global energy consumption growth and create energy infrastructure bottlenecks. As such we see strong cash flow amongst energy majors and sovereign energy companies to accelerate investments in energy infrastructure.
“Again this is one of the interesting ideas investors should always have a disciplined approach to reviewing their portfolio and making investment decisions that reflect their objectives and risk appetites” Khun Pavin concluded.
For more information , Please contact :
Krung Thai Asset Management ( KTAM ) - Saengsiri Netumporn Tel. 0 2670 4900 # 1235
Corporate Affairs department , Citi Thailand - Hassaya Hasitabhan Tel. 0 2232 2904