Pacific Mutual sees choppy market with greater volatility

PETALING JAYA: Pacific Mutual Fund Bhd expects a choppy market with greater market volatility ahead amid the fast approaching 14th general election.

However, Pacific Mutual CEO and executive director Teh Chi-cheun noted that the impending general election might cause a slowdown in activities as investors and businesses await the dissolution of Parliament and the various political posturing and campaigning.

“That said, for the local bourse, there are pockets of opportunities in this environment.”

He foresees a continued market uptrend given the strong global and local economic data, which has translated into decent market performance to date in 2018 following a good run in 2017.

Teh said policies and political issues that could cause markets to be volatile include rising trade tensions albeit the base case assumption is no full-blown trade war, the impact of interest rate hikes in the US, tapering in Eurozone, changes in the US administration, Brexit negotiations and geo-political risk be it the Middle East, Russia or North Korea.

Separately, Pacific Mutual announced income distributions amounting to RM15.8 million for investors of seven of its funds.

It declared annual income distributions of 5 sen per unit for Pacific Pearl Fund; 2.5 sen per unit for Pacific Dana Aman; 1.7 sen per unit for Pacific Dana Murni; and 2.5 sen per unit for Pacific Focus China Fund.

The company also declared quarterly distribution of 0.4 sen per unit for Pacific Cash Fund. Monthly distributions were declared for Pacific Cash Deposit Fund at 0.3 sen per unit and Pacific OCBC Cash Fund at 0.25 sen per unit for the month of March 2018.