KUALA LUMPUR: Public Bank’s unit, Public Mutual, launched the Public Healthcare-Global Equity Fund (PHGEF) on Tuesday.
It said the global equity fund will invest primarily in the healthcare sector as well as other sectors with long-term growth prospects in the global markets.
PHGEF aims to invest 75% to 98% in equities, with up to 98% in foreign assets.
Public Mutual’s CEO Yeoh Kim Hong said investors seeking to tap into global healthcare trends as well as the long-term potential of the global markets may consider investing in PHGEF.
“PHGEF will invest at least 30% of its net asset value in healthcare-related stocks and collective investment schemes, with the balance in other sectors with resilient growth and long-term structural trends, ” she said.
Public Mutual said generally, the growth prospects of the healthcare industry are expected to be underpinned by the growth in global healthcare spending, increasing life expectancy and rising demand for higher-quality healthcare.
According to Global Healthcare Outlook 2020 by Deloitte, global healthcare spending is estimated to grow at a compounded annual growth rate (CAGR) of 5% between 2019 and 2023, driven by a growing and ageing population as well as the greater accessibility of healthcare treatment.
Moreover, pharmaceutical and biotechnology companies as well as companies that manufacture medical equipment and devices stand to benefit from the current Covid-19 pandemic.
Over the long run, revenues of these companies should be supported by the increase in healthcare expenditure.
The initial issue price for PHGEF is 25 sen per unit during the 21-day initial offer period from Tuesday until Nov 9.
The minimum initial investment is RM1,000 while the minimum additional investment is only RM100. The sales charge during this offer period is 4.50%.
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