Public Mutual launches e-AI fund, focus on tech sector

PeAITF is the first sector-focused equity fund under the e-series of funds which invests primarily in the technology sector leveraged to the high-growth artificial intelligence (AI) field.

KUALA LUMPUR: Public Mutual launched a new fund called Public e-Artificial Intelligence Technology Fund (PeAITF) on Tuesday.

Public Mutual, a unit of Public Bank, said PeAITF is the first sector-focused equity fund under the e-series of funds which invests primarily in the technology sector leveraged to the high-growth artificial intelligence (AI) field.

“Positioned as a global equity fund, the fund may invest up to 98% of its net asset value (NAV) in foreign markets, including the US, Europe and Asia Pacific.

“To achieve long-term capital growth, the fund will invest 75% to 98% of its NAV in equities and equity-related securities, with the balance invested in liquid assets, ” it said in a statement.

Within the fund’s equity investments, at least 50% will be invested in stocks related to AI technology and the balance will be invested in other technology stocks.

According to International Data Corporation (IDC), the size of the global AI market is expected to reach US$98.40bil in 2023. AI-related spending is one of the fastest-growing segments within the information technology (IT) sector.

Public Mutual’s CEO Yeoh Kim Hong said: “With PeAITF, investors have the opportunity to participate in the secular growth trend of AI technology across the US and global markets.”

She pointed out the use of AI has expanded to cater to all major industries including banking, financial services & insurance (BFSI), retail and transportation, among others.

The Covid-19 pandemic has also accelerated the adoption of AI technology within the healthcare industry. PeAITF will focus on technology companies leading the AI revolution within the semiconductors, enterprise software, IT services, networking and communication services segments, among others.

The fund is available exclusively online via Public Mutual Online (PMO) platform with a minimum initial and additional investment amount of only RM100 and the sales charge is as low as 3.75%.

The initial issue price for PeAITF is 25 sen per unit during the 21-day initial offer period from Tuesday to Sept 7.

Public Mutual manages RM89.7bil in funds as at end June.