PETALING JAYA: Manulife Investment Management (M) Bhd has launched the Manulife Shariah PRS-Golden Asia Fund, a non-core fund for Malaysia’s Private Retirement Scheme (PRS).
The fund, currently the only PRS fund in Malaysia that will invest in a portfolio of Islamic collective investment schemes (CIS), aims to provide capital appreciation through exposure into China and India markets.
The fund will invest a minimum of 95% of the fund’s net asset value (NAV) in a portfolio of Islamic CIS. It will also invest in at least two Islamic CIS at all times with investment objective that is similar to the fund. The remaining NAV of the fund will be invested in Islamic liquid assets such as cash, Islamic money market instruments, general investment accounts and/or Islamic deposits with financial institutions for liquidity purposes.
Manulife Investment Management CEo Jason Chong said despite recent talks of potential interest rate hikes around the world, different markets are in different economic cycles as they recover from the impact of Covid-19. Therefore, it expects overall rates to remain low in the coming years relative to historical long-term averages, posing a challenge for pre- and current retirees in Malaysia to accumulate adequate retirement savings through conventional avenues, such as bank deposits.
“Manulife Investment Management provides investors differentiated investment solutions that could generate sustainable returns to their retirement portfolios. With the addition of Manulife Shariah PRS-Golden Asia Fund to our Manulife PRS Series, we aim to offer retirement savers in Malaysia more options to grow their retirement assets according to their risk appetite, personal preference, and goals, whilst meeting their need for syariah-compliant investments,“ Chong said in a statement today.
Manulife Investment Management head of retail wealth distribution Ng Chze How said the fund will potentially create additional returns for investors by delving into the growth opportunities in the China and India markets, which are considered drivers of global economic growth.
“These two markets each have their key initiatives: China’s ‘New Infrastructure’, and India’s ‘Make in India’. Both economies are driven mainly by domestic growth, benefiting from government support and local consumption, hence less exposed to external vulnerabilities,” Ng said.
The fund is suitable for PRS members who seek capital appreciation with investment focus in the China and India market, have a long-term investment horizon and seek to invest in a syariah-compliant investment.
