Fixed income to remain key investment opportunity

KUALA LUMPUR: Malaysian investment companies are cautiously optimistic that the local fixed-income market will remain as a key investment opportunity in 2014 amid expectation that Bank Negara may raise interest rate in the second half of this year.

UOB Asset Management (M) Bhd director and head of fixed income Chang Kang Shyang said the fund manager expected the central bank to announce new a interest rate which would be an increase of between 0.25% and 0.5% (25 to 50 basis points) from the current 3%.