Affin Hwang AM launches Dana Malaysia

KUALA LUMPUR: Affin Hwang Asset Management Bhd (Affin Hwang AM) has launched the Affin Hwang Dana Malaysia (AHDM) fund aimed at achieving a total return target of 30 per cent by investing in a concentrated portfolio of domestic equities.

AHDM is a close-ended wholesale fund that seeks to achieve capital appreciation over its three-year tenure with a one-year extension option, subject to an early maturity trigger, Affin Hwang AM said in a statement yesterday.

Chief marketing and distribution officer Chan Ai Mei said the fund would seek to capitalise on mispricing opportunities in the market through high-conviction ideas and the company’s own proprietary in-house knowledge and experience as home-grown fund managers with extensive coverage of the local market.

“Since inception, the company’s Malaysia Absolute Return Strategy has delivered annualised returns of over 15.1 per cent per annum or total returns exceeding ten-fold by over 95 per cent. “We see opportunities emerging from the shifting market landscape as reforms and growth policies may spur the interest of both domestic and foreign investors,” she added.

Chan said in addition, there is also ample domestic liquidity trapped in the market, as institutional funds were highly cashedup when markets turned more volatile this year.

“When the new government is able to show more progress in terms of reforms and articulate its economic growth policy, the local market may stage a healthy rebound, underpinned by the return of foreign flows and the deployment of domestic liquidity.

“Hence, we hope the fund would be able to benefit in this shifting investment landscape,” she added.

The fund is available for subscription for a period of not more than 45 days from Aug 1, 2018, with the initial offer price being RM1 per unit, with a minimum initial investment amount of RM100,000.