HLG Unit Trust Bhd Seeks to Increase Fund Size of Newly Launched HLG Global Resources Income Fund
Kuala Lumpur, November 30 – In response to overwhelming demand to its newly-launched global fund, HLG Unit Trust Bhd intends to increase the fund size of the HLG Global Resources Income Fund by 200 million units, pending approval from Securities Commission.
The HLG Global Resources Income Fund which was launched November 13 2006, had its initial fund size of 800 million units 88% subscribed within 13 business days (17 calendar days) of its launch, charting a sales total of RM350.1 million as of yesterday.
“With the pending approval of the additional 200 million units, we are able to cope with market demand and the strong response from our investors,“ says Richard Lin, Executive Director and Chief Executive Officer of HLG Asset Management Sdn Bhd.
The HLG Global Resources Income Fund - designed for investors seeking global exposure into the natural resources sector - received overwhelming response from the very beginning. “The swift take up of our units are indicative of increased interest in global funds. The encouraging response also reflects investors’ confidence in the Hong Leong brand and our track record in fund management,” says Richard Lin.
HLG Global Resources Income Fund is a balanced fund where its main objective is to provide regular income and seek long-term growth of capital. The Fund will invest in global equity securities of companies involved in the extraction, processing, transportation and distribution of natural resources of any kind in any part of the world. A portion of the Fund will also be invested into Malaysian fixed income securities to seek regular income and stability of capital.
“Our partners and distributors, Hong Leong Bank Berhad, United Overseas Bank (Malaysia) Berhad, Standard Chartered Bank Malaysia Berhad, Affin Bank Berhad, and our Direct Fund Distributors, were key in the success of the Fund,” he added.
The HLG Global Resources Income Fund is the 20th Fund in HLG Unit Trust’s portfolio of funds. Currently, HLG Unit Trust Bhd already manages a diverse product range that includes a selection of Islamic Shariah-compliant unit trusts, growth funds, equity funds, balanced funds, sectoral funds as well as bond funds.
The HLG Global Resources Income Fund is the third fund launched by HLG Unit Trust Bhd this year that received an overwhelming response. Earlier this year on February 28 2006, HLG Unit Trust Bhd launched the HLG Asia-Pacific Dividend Fund, its first regional fund. The Fund was closed for subscription when the total approved fund size of 600 million units of the HLG Asia-Pacific Dividend Fund was fully subscribed within 17 business days (23 calendar days) of its launch. The success was repeated with HLG Global Healthcare Fund, launched on April 18 2006. The Fund was closed for subscription when the total approved fund size of 800 million units was fully subscribed within 8 business days (10 calendar days) of its launch.
As at November 28 2006, HLG Unit Trust Bhd has a combined total fund size of RM 2.1 billion.
About HLG Global Resources Income Fund
HLG Global Resources Income Fund is a balanced fund where its main objective is to provide regular income and seek long-term growth of capital. The Fund also aims to protect against inflation and monetary instability by investing into a diversified investment portfolio containing a mixture of fixed income securities and equity securities.
The Fund will invest in global equity securities of companies involved in the extraction, processing, transportation and distribution of natural resources of any kind in any part of the world. A portion of the Fund will also be invested into Malaysian fixed income securities to seek regular income and stability of capital.
The HLG Global Resources Income Fund is designed for investors who are seeking a regular income stream and stable investment returns. The Fund is also suitable for investors who are seeking diversification in their investment holdings through global exposure as well as potential for long-term capital appreciation from investments in the global resources sectors.
Market exposure for the HLG Global Resources Income Fund would be a minimum of 50% in the foreign markets and a maximum of 50% locally. The asset allocation for the Fund would be between 40%-60% in equities and between 40%-60% in fixed income securities.
Minimum initial investment for HLG Global Resources Income Fund is RM 1,000 while the minimum additional investment is RM 100.
About Hong Leong Group Malaysia
From its humble beginnings as a trading company in 1963, Hong Leong Group Malaysia has expanded steadily in tandem with the growth of the nation of Malaysia through entrepreneurship, investment foresight and innovation to its present size and position with core businesses rooted in key sectors. Based in Malaysia, the Group today controls 14 listed companies in various stock exchanges around the world with a total market capitalisation circa USD 11 billion and over 500 operating subsidiaries and associate companies. The Group's globally diversified core businesses are firmly rooted in the key sectors of financial services, manufacturing & distribution and property development & investment.