RHBAM expects to achieve RM100 million in Assets Under Management within a year of its Fund’s debut
Kuala Lumpur – RHB Asset Management Sdn Bhd (“RHBAM”), a wholly-owned subsidiary of RHB Investment Bank Berhad, today announced the launch of the RHB Global Equity Premium Income Fund (the “Fund”), a first-of-its-kind fund in Malaysia that feeds into an actively managed exchange traded fund (“ETF”), presenting investors with consistent income opportunities and appreciation potential with lower volatility, as it combines active equity investment with options overlay strategy.
The combination presents a conservative global equities exposure and aims to generate a regular and higher income stream, capturing both equity dividends and options premiums.
The Fund, a wholesale feeder fund, invests in J.P. Morgan Asset Management’s (“JPMAM”) JPMorgan Global Equity Premium Income UCITS ETF (“Target Fund”, ticker: JEPG), an actively managed outcome-oriented ETF strategy that invests in global equities.
“The ETFs market globally has grown by more than 25% since December 2022 to reach a new record of almost USD11.5 trillion at the end of 2023 1 . This makes it one of the fastest growing investment products globally,” said Mohd Fauzi Bin Mohd Tahir, Chief Investment Officer of Equity, RHB Asset Management.
“Investors are always looking to participate in the global equities space, with lower volatility and at the same time offering a consistent high-income stream. Having identified this gap, we have been searching for better investment opportunities for our customers. To this end, we are very excited to work with our business partner, J.P. Morgan, to meet Malaysian investors’ demand with this unique investment strategy,” he added.
“The RHB Global Equity Premium Income Fund offers investors an alternative to traditional income generating asset classes and potentially higher income stream, with the aim of delivering a 7% – 9% 2 annual income distribution, paid monthly. This potentially higher regular income stream is made possible with the active management of the underlying ETF. We expect to achieve RM100 million in Assets Under Management within twelve months from its launch,” said Fauzi .
Supreet Bhan, Head of Southeast Asia Funds, J.P. Morgan Asset Management, said, “As one of the world’s largest managers of active ETFs by AUM 3 , we are excited to introduce one of our market- leading active ETF strategies in a feeder fund format to Malaysian investors, in partnership with RHBAM. Combining equities with options overlay, this strategy aims to strike a balance between yield, capital growth, and risk to meet investors’ growing demand for diversified income sources without taking on undue risk.”
RHBAM offers a full range of financial solutions spanning investment management advisory, product development and trustee services. It provides customised solutions across conventional and Shariah-compliant products to address the needs of institutional, corporate, wholesale and retail investors. These solutions include equities, fixed income, mixed assets, cash management and alternative investments tailor-made in structures covering discretionary and non-discretionary mandates, private retirement schemes, private funds, and structured investments.
Subscription to the Fund is open to sophisticated investors. For more information on the RHB Global Equity Premium Income Fund, please visit any RHB Premier Centre or contact your Premier Relationship Manager.
Issued on behalf of RHB Bank Berhad by the Corporate Communications & Media Relations Division.
For media enquiries, please contact Agnes Ong at [email protected] or 012-672 4245.
Customers may call RHB’s Customer Contact Centre at 03–92068118 for enquiries into its products and services.
About the RHB Banking Group
The RHB Banking Group, with RHB Bank Berhad as the holding company, is one of the largest fully integrated financial services group in Malaysia. The Group’s core businesses are structured into five main business pillars, namely Group Community Banking, Group Wholesale Banking, Group Shariah Business, Group International Business, and Group Insurance.
Group Community Banking comprises Retail Banking and SME Banking, while Group Wholesale Banking comprises Group Investment Banking, Group Corporate Banking, Group Treasury & Global Markets, Group Asset Management, Commercial Banking, Transaction Banking, and Economics.
All five Strategic Business Groups offer their financial solutions through RHB Bank Berhad and its main subsidiaries – RHB Investment Bank Berhad, RHB Islamic Bank Berhad and RHB Insurance Berhad, while its asset management and unit trust businesses are undertaken by RHB Asset Management Sdn. Bhd. and RHB Islamic International Asset Management Berhad. The Group’s regional presence now spans eight countries including Malaysia, Singapore, Indonesia, Thailand, Brunei, Cambodia, Vietnam and Lao PDR.
For more information, please visit www.rhbgroup.com
About J.P. Morgan Asset Management
J.P. Morgan Asset Management, with assets under management of USD 3.2 trillion (as of March 31, 2024), is a global leader in investment management. The company’s clients include institutions, retail investors, and high-net-worth individuals across all major markets worldwide. J.P. Morgan Asset Management offers global investment management in equities, fixed income, real estate, hedge funds, and private equity. More information is available at www.jpmorganassetmanagement.com.
JPMorgan Chase & Co. (NYSE: JPM) is a leading financial services firm based in the United States of America (“U.S.”), with operations worldwide. JPMorgan Chase had USD 4.1 trillion in assets and USD 337 billion in stockholders’ equity as of March 31, 2024. The Firm is a leader in investment banking, financial services for consumers and small businesses, commercial banking, financial transaction processing and asset management. Under the J.P. Morgan and Chase brands, the Firm serves millions of customers in the U.S., and many of the world’s most prominent corporate, institutional and government clients globally. Information about JPMorgan Chase & Co. is available at www.jpmorganchase.com.
