AmInvest launches Global Dividend Fund for sophisticated investors

AmInvest chief executive officer Datin Maznah Mahbob

KUALA LUMPUR: AmInvest has launched the Global Dividend Fund targeted at sophisticated investors seeking regular income and long-term capital growth plus exposure to global equities.

The fund, a collaboration with global asset manager, Fidelity International, will provide investors access to active performing funds.

AmInvest chief executive officer Datin Maznah Mahbob said the Global Dividend Fund would feed into Fidelity Funds which would invest in a variety of global equities.

“For investors who are not worried about the market’s volatility, the current bearish market can be viewed as an opportune time to invest as dividend yields would have risen given the fall in stock prices.

“Dividend yielding stocks are a favourable way to generate income which could potentially beat inflation,” Maznah said at the launching ceremony in Kuala Lumpur on Wednesday.

She described the fund as timely as the ringgit today stood at its firmest level of about 3.85 against the US dollar.

AmInvest quantitative strategies and solutions senior vice-president Ratnakar Kota said the target fund had outperformed its benchmark and peers during both bull and bear markets with an annual return of about 10% versus its benchmark and peers’ average return of about 4% for a four-year period.

“To-date, the existing target fund’s income distribution has consistently increased since its inception in Jan 30, 2012 while the Global Dividend Fund targets to pay out quarterly income distribution,” said Ratnakar.

He said fund managers of the target fund would select companies that has a simple business model, healthy balance sheet, transparent financial statement, ability to generate reliable earnings across different stages of the business cycle and sensible capital allocation.

Meanwhile, Fidelity head of intermediary sales (South-East Asia) Chin Szu Yi said based on the ongoing global economic recovery for the year, equity dividends was the way forward for investors.

“It is expected to generate income as it offers an attractive yield more than traditional income-generating assets like bonds.

“But unlike bonds, equities also offers the prospects of real capital growth,” said Chin. - Bernama