Public Bank to adopt asset allocation strategy with new fund

Public Bank Bhd will will invest in equities and fixed income securities with its new mixed asset fund, PB Dynamic Allocation Fund.

The fund will be managed by its unit Public Mutual and targets capital growth over the medium- to long-term period.

Public Mutual CEO Yeoh Kim Hong said the fund would adopt a tactical asset allocation strategy and has the flexibility to rebalance its asset allocation to take advantage of prevailing market conditions.

“This strategy enables the fund to increase its equity weight and capitalise on investment opportunities when the outlook for equity markets are attractive,"she said.

"It will also allow the fund to reduce its equity weight and adopt a more defensive asset allocation strategy when weaknesses in the equity markets are anticipated,” she added.

The fund may invest up to 98% of the fund's net asset value in selected foreign markets which include South Korea, Hong Kong, Japan, China, Taiwan, Singapore, India, Thailand, Indonesia, the Philippines, Australia, New Zealand, Luxembourg and other permitted markets.

The equity exposure of the fund will range from 30% to 98% of its NAV. The fund is for aggressive investors seeking capital growth through tactical asset allocation strategies.

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