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VCAM Launches Asean-5 ESG Opportunity Fund

VCAP Asset Managers Sdn Bhd’s (VCAM) has launched its Asean 5 ESG Opportunity Fund, a dual currency open-ended wholesale fund, with a minimum initial investment sum of US$80,000 (RM356,000) or RM300,000 and above.

VCAM, a unit of ValueCap Sdn Bhd, noted in a release last Friday the initial offer period for the open- ended wholesale fund ends on Jan 29, 2017.

The fund is targeted at strengthening VCAM’s position as a key player in the region in promoting sustainable and responsible investing.

“The fund comprises of two classes of units, the US dollar class units and the ringgit class units, allowing investors greater flexibility to participate in the fund,” VCAP’s statement read.

The fund’s base currency to be used to calculate the daily net asset value (NAV) is in US dollars.

Since its launch, the Malaysian ESG Opportunity Fund, which tracks the FTSE4Good Bursa Malaysia Index as its reference benchmark, has demonstrated attractive returns with the current NAV per share as at Jan 13, 2017, at RM1.1274 or 12.74%, outperforming the index by 5.36% for the same period.

“The fund is best suited to sophisticated investors who are interested in investing in a sustainable manner, with a medium-to long-term investment horizon,” VCAM CEO Shan Kamahl Mohammad noted.

He said responsible investing, which includes ESG (environmental, social and governance)-themed investing, continues to gain momentum worldwide with a combination of investment managers, asset owners, and other investment-related organisations representing US$62 trillion in assets under management, being signatories of the UN Principles for Responsible Investment as of April 2016.

He added VCAM believes Asean will see an increased inflow of sustainability-themed money.

As such, Shan Kamahl said VCAM’s investment team is positioned with the right expertise, backed by a sound in-house research team, to help investors achieve their investment objectives.

“At the same time, we believe having a US dollar class in addition to the ringgit class, places us in a strong position to attract investors globally who may be looking to add sustainable Asean-5 investments to their larger global investment portfolios,” he said.

VCAM’s investment team offers investors the opportunity to incorporate sustainable investments in Asean-listed equities and fixed income securities into their larger investment portfolios.

This is the second ESG fund for VCAM, following the launch of its Malaysian ESG Opportunity Fund in July 2015.

ValueCap is part of the government’s initiative to rebuild the country’s economy following the 1997 financial crisis.

Apart from VCAM, it has the other subsidiary i-VCAP Management Sdn Bhd, which is also involve in fund management activities.