MUMBAI (Commodity Online): JPMorgan Asset Management India Private Limited (JPMAMIPL) has announced the launch of JPMorgan JF ASEAN Equity Off-shore Fund, an open ended fund of funds scheme. The fund is open for subscription from 10 June 2011 to 24 June 2011. The fund performance will be benchmarked against the MSCI South East Asia Index (Total Return Net).
The primary investment objective of the Scheme is to provide long term capital growth by investing predominantly in JPMorgan Funds – JF ASEAN Equity Fund, an equity fund which invests primarily in companies of countries which are members of the Association of South East Asian Nations (ASEAN).
ASEAN represents 5 core countries – Singapore, Thailand, Indonesia, Malaysia, Philippines and 5 peripheral countries – Vietnam, Brunei, Lao PDR, Cambodia and Myanmar. The region boasts some of the fastest growing and rapidly urbanizing countries in the world. With a steady economy, burgeoning middle class, growing tourism and resilient financial sector, ASEAN adds up to something big. The underlying fund has invested over 90% of its funds in Singapore, Thailand, Indonesia and Malaysia (as on 31st March 2011), according to a press release.
Speaking at the launch, Christopher Spelman Chief Executive Officer, JPMAMIPL said, “Our India strategy has been focused on positioning ourselves as the fund manager of choice when an investor thinks about investing internationally while simultaneously strengthening our domestic equity and fixed income offering. No single market has been able to consistently outperform other markets year after year. There are several global markets that offer good returns as well as lower risk and volatility. That is why we believe an investor should have a diversified portfolio with investments spread across various global markets.”
Elaborating on the fund, Adam Matthews, Managing Director & Head of Asia CPM team, J.P. Morgan Asset Management said, “We believe ASEAN offers one of the most compelling investment opportunities in the region. Apart from the wealth of natural resources, countries in this region have low debt levels, strong population growth with positive implications on consumption and increased infrastructure spending. We expect the ASEAN bloc to be the 6th largest globally by 2025.”
“We are confident that Asia will outperform over the medium to long term, but within Asia we believe that ASEAN offers an exciting investment opportunity and we are proud to be the first fund house in India to offer this promising region to domestic investors. Any investor who wants to expand his portfolio into an area that offers true diversification and has the potential for strong risk adjusted returns should definitely consider investing in ASEAN,” added Christopher Spelman.
