Kuala Lumpur, Feb 2 – In an effort to achieve potential income and capital appreciation, CIMB-Principal Asset Management Bhd is launching the CIMB-Principal Preferred Securities Fund by investing in Principal Global Investors-Preferred Securities Fund (PGIPF) over the medium to long-term. PGIPF is a Dublin-based UCITS fund that invests primarily in a portfolio of USD-denominated preferred securities and debt securities.
CIMB-Principal chief executive officer Munirah Khariuddin says, “Preferred securities potentially offer attractive yields, especially in an environment with low interest rates and heightened volatility.”
CIMB-Principal expects a RM300 million subscription of the fund this year whilst the PGIPF is expected to perform above its benchmark.
The Fund has a minimum initial investment of RM5,000 for investments in Ringgit (with minimum additional investment of RM2,000) and USD5,000 for investments in USD (with minimum additional investment of USD2,000).
To date, CIMB-Principal has a total of 63 unit trust funds (of which 19 are Shariah-compliant), 19 wholesale funds, 10 Private Retirement Scheme (PRS) funds and two exchange-traded funds (ETFs).