Jun 4 2007, 04:02 PM
QUOTE
CIMB-Principal Launches its First Islamic Structured Fund with Principal Protection
28 May 2007
Print Email
CIMB-Principal Asset Management Berhad today announced the launch of the CIMB Islamic Structured Growth Fund, which offers investors principal protection with the opportunity for capital gain over a 3-year period.
Noripah Kamso, Chief Executive of CIMB-Principal Asset Management Berhad, stated: "The CIMB Islamic Structured Growth Fund is a smart alternative to fixed deposits. It meets the appetite of conservative investors who want to protect their principal investment and yet be granted the opportunity for capital growth. This is contributed by the Fund capturing the best-performing combination comprising of international equity, property and commodity asset classes."
The Fund invests in a 3-year "Best Performer" Islamic structured product to be issued by CIMB Investment Bank Berhad. For the Shariah-compliant equity basket, the performance of the Dow Jones Islamic Market Titans 100 Index on a series of quarterly observation dates over three years will be tracked. The commodities basket will likewise track the performance of WTI light sweet crude oil, zinc, and copper. Finally, the property basket will track the performance of REITs from Singapore and Hong Kong, as well as the world's largest public property company, the Westfield Group in Australia.
Noripah added, "Since this fund is Shariah-compliant, a broader base of investors is eligible to invest in this fund. With zero management fees and an RM10,000 minimum investment we have made structured products more affordable to retail investors. This is compared to traditional structured products which can typically require a minimum investment of RM250,000.
"Products offering principal protection have proved very popular with investors who remain conservative, whether it is a bull or bear market. By combining 3 asset classes into 4 different proportions, the fund is able to optimize potential profit. I urge investors to invest as soon as possible to benefit from these strategy combinations. However, there is a limited window of opportunity. The fund will be launched today, 28 May 2007 and close for new investments on Friday, 6 July, or earlier if the fund is fully subscribed."
The CIMB Islamic Structured Growth Fund is a 3 year closed-ended fund with an application fee of 2.50% of the NAV (net asset value) of each unit. If investors seek to withdraw their investment prior to the maturity of the fund, a withdrawal fee of up to 1.5% may be levied and the principal protection feature will no longer apply. The initial selling price per unit will be RM0.50, and the approved fund size is 400 million units.
Noripah added, "This is the latest addition to our suite of 15 Islamic funds, out of a total of 53 funds managed under the CIMB Group. This fund is an outcome of our conscious efforts to support the government's initiative to deepen the Islamic investment management industry. We particularly appreciate the support given with the 10-year tax exemption on revenue for fund houses who manufacture Islamic products for offshore investors. Offshore foreign investors, particularly those from GCC countries [Gulf Coast Cooperation], are also seeking out Islamic investment products with capital protection."
The CIMB Islamic Structured Growth Fund is distributed by CIMB Bank and CIMB Wealth Advisors Berhad.
anyone invested in this fund?28 May 2007
Print Email
CIMB-Principal Asset Management Berhad today announced the launch of the CIMB Islamic Structured Growth Fund, which offers investors principal protection with the opportunity for capital gain over a 3-year period.
Noripah Kamso, Chief Executive of CIMB-Principal Asset Management Berhad, stated: "The CIMB Islamic Structured Growth Fund is a smart alternative to fixed deposits. It meets the appetite of conservative investors who want to protect their principal investment and yet be granted the opportunity for capital growth. This is contributed by the Fund capturing the best-performing combination comprising of international equity, property and commodity asset classes."
The Fund invests in a 3-year "Best Performer" Islamic structured product to be issued by CIMB Investment Bank Berhad. For the Shariah-compliant equity basket, the performance of the Dow Jones Islamic Market Titans 100 Index on a series of quarterly observation dates over three years will be tracked. The commodities basket will likewise track the performance of WTI light sweet crude oil, zinc, and copper. Finally, the property basket will track the performance of REITs from Singapore and Hong Kong, as well as the world's largest public property company, the Westfield Group in Australia.
Noripah added, "Since this fund is Shariah-compliant, a broader base of investors is eligible to invest in this fund. With zero management fees and an RM10,000 minimum investment we have made structured products more affordable to retail investors. This is compared to traditional structured products which can typically require a minimum investment of RM250,000.
"Products offering principal protection have proved very popular with investors who remain conservative, whether it is a bull or bear market. By combining 3 asset classes into 4 different proportions, the fund is able to optimize potential profit. I urge investors to invest as soon as possible to benefit from these strategy combinations. However, there is a limited window of opportunity. The fund will be launched today, 28 May 2007 and close for new investments on Friday, 6 July, or earlier if the fund is fully subscribed."
The CIMB Islamic Structured Growth Fund is a 3 year closed-ended fund with an application fee of 2.50% of the NAV (net asset value) of each unit. If investors seek to withdraw their investment prior to the maturity of the fund, a withdrawal fee of up to 1.5% may be levied and the principal protection feature will no longer apply. The initial selling price per unit will be RM0.50, and the approved fund size is 400 million units.
Noripah added, "This is the latest addition to our suite of 15 Islamic funds, out of a total of 53 funds managed under the CIMB Group. This fund is an outcome of our conscious efforts to support the government's initiative to deepen the Islamic investment management industry. We particularly appreciate the support given with the 10-year tax exemption on revenue for fund houses who manufacture Islamic products for offshore investors. Offshore foreign investors, particularly those from GCC countries [Gulf Coast Cooperation], are also seeking out Islamic investment products with capital protection."
The CIMB Islamic Structured Growth Fund is distributed by CIMB Bank and CIMB Wealth Advisors Berhad.
any comment?
Quote
0.0424sec
0.77
7 queries
GZIP Disabled