RM108b al­lo­ca­tion for ex­ter­nal fund man­agers

New Straits Times - - Business -

KUALA LUMPUR: The Em­ploy­ees Prov­i­dent Fund (EPF) out­sourced RM108 bil­lion to ex­ter­nal port­fo­lio man­agers as at De­cem­ber 31 last year, up 10.36 per cent from RM97.86 bil­lion in the pre­vi­ous year.

Chair­man Tan Sri Sam­sudin Os­man said this ac­counted for 14.77 per cent of EPF’s to­tal in­vest­ment as­sets.

The al­lo­ca­tion was in­vested in both eq­uity and fixed-in­come in­stru­ments, he said in a state­ment yes­ter­day.

“As we gear up to­wards be­com­ing a tril­lion-ring­git fund, we will con­tinue to out­source a por­tion of our funds as part of our di­ver­si­fi­ca­tion ini­tia­tive, and to suit­ably lever­age on the knowl­edge and skillsets of ex­ter­nal fund man­agers that com­ple­ment our own in­ter­nal fund man­age­ment ca­pa­bil­i­ties,” he added.

Speak­ing at the EPF Ex­ter­nal Port­fo­lio Man­agers An­nual Awards 2017 on Thurs­day, here, Sam­sudin said the fund would in­crease its ex­po­sure in the mar­kets it in­vested in, es­pe­cially in al­ter­na­tive in­vest­ments and in­fra­struc­ture. As part of its in­vest­ment ob­jec­tive, EPF aims to de­clare no less than 2.5 per cent nom­i­nal div­i­dend on a yearly ba­sis, and at least two per cent real div­i­dend on a three-year rolling ba­sis.

“With about 45 per cent of in­vest­ment as­sets be­ing syari­ah­com­pli­ant prior to the launch­ing of Sim­panan Shariah last year, the EPF now ex­pects to grow these as­sets by at least RM25 bil­lion a year on av­er­age to meet the de­mand of its mem­bers,” he said.

Em­ploy­ees Prov­i­dent Fund chair­man Tan Sri Sam­sudin Os­man (tenth from right) with EPF chief ex­ec­u­tive of­fi­cer Datuk Shahril Ridza Ridzuan (eighth from right), of­fi­cials and win­ners of the EPF Port­fo­lio Man­agers Awards for last year in Kuala Lumpur on Thurs­day.

Newspapers in English

Newspapers from Malaysia

© PressReader. All rights reserved.