KUALA LUMPUR: UOB Asset Management (Malaysia) Bhd has launched the United Global Healthcare Fund to provide retail investors opportunities for long-term capital growth through investments in global medical healthcare stocks.
The fund which was first launched in Singapore in 2000 and now it is available to Malaysian retail investors under the Asean Collective Investment Scheme (CIS) Framework.
Its objective is to achieve capital appreciation by investing in securities issued by companies in the development, manufacturing or distribution of healthcare products, equipment and/or services.
The fund invests in medical products, health services, pharmaceuticals and biotechnology. It is suitable for retail investors with a moderately aggressive risk profile.
UOBAM (Malaysia) CEO Lim Suet Ling said the growth of the global healthcare sector is being driven by rapid technological innovation and changing demographics.
“The healthcare sector is benefitting from advances in biopharmaceutical and medical technology. The ageing population in many countries will also continue to drive the demand for more and better healthcare products and services, ” she said.
Lim said she expected continued innovation to drive growth in the sector, citing a regulatory environment that remains accommodating to new treatments and advances in healthcare.
She pointed out the healthcare industry is a defensive sector that typically remains resilient across market cycles as healthcare companies have strong balance sheets and demand for their services remains stable even during periods of economic slowdown.
Historically, the healthcare industry has held up in times of market turmoil and the United Global Healthcare Fund has outperformed the Healthcare Index since its inception in 2000.
The fund has delivered an annualised return of 9.04% since 2000 and has consistently outperformed its benchmark, the MSCI All Countries World Healthcare Index.
The fund is managed by UOB Asset Management Ltd and sub-managed by Wellington Management Singapore Pte Ltd.
The fund is available in Ringgit, Singapore Dollar and US Dollar with an initial minimum investment of RM1, 000, S$1, 000 and US$1, 000 respectively. It is available at all United Overseas Bank (Malaysia) Bhd branches and other selected distributors.