MAS names sustainability head; Malaysia’s EPF appoints COO and CFO; GIC PE head for SEA leaves; State Super hires new exec; Hesta appoints chief growth officer, chief Debby Blakey appointed to corporate governance board; ex-BlackRock exec joins IQ-EQ in Singapore; HSBC AM builds direct real estate team; ex-Vanguard head of distribution joins LGIM; Sanne names Singapore head; and more
CIMB's selection criteria slants the ETF towards Malaysian and Sinaporean equities with 11 stocks each, followed by nine Thai stocks, seven Indonesian stocks and a single Philippine stock.
The fund's top-four holdings make up more than a quarter of the ETF, led by DBS with an 8.43% weighting, followed by United Overseas Bank and Maybank with 7.24% each, and Singapore Telecom with 6%. As with all FTSE-created indices, the Asean 40 will be rebalanced every quarter.
According to CIMBÆs group chief executive, Nazir Razak, the rationale behind launching the ETF is to provide both institutional and individual investors with instantly diversified and cost-efficient access to the Asean markets.
ôIt is an important capital markets validation of AseanÆs initiative to create an Asean asset class,ö Razak says. ôThe benchmark index provided total returns of 110.61% over the past five years and the combined GDP of the Asean-5 nations accounts for 91% of AseanÆs GDP.ö
Finance ministers from Malaysia and Singapore have backed the product calling it a significant step forward for international investors to gain access to growth in the Asean economies.
The CIMB ETF will be administered by State StreetÆs investor services operation in Singapore. It will be managed by CIMB-GK Securities and sub-managed by CIMB Principal Asset Management. Citigroup has been appointed market maker and the fund advisor is Barclays Global Investors.
The AU$85 billion ($61.6 billion) Australian super fund has some exposure to indebted property developer Evergrande. Meanwhile, China’s construction finance is part of its core strategy in real estate.
Investors are seeing the risks, but also the opportunities of the logistics sector. Warehousing their fears for the moment, they can see it's a good conduit to high-growth assets.
Insto roundup: GPIF staff say J-Reits more attractive than traditional assets; Hong Kong's strict Spac criteria
EISS Super hit by another scandal; China's CSRC launches consultation on disclosure requirements for new BSE securities; Hong Kong issues consultation paper on Spacs; New World Development partners with China Taiping to focus on Greater Bay Area projects; GPIF employees say Japanese Reits have grown more attractive; Taiwan's BLF invites bid for $1.7 billion mandate; and more
SGX’s new framework for Spacs will likely provide investors with a much-needed channel for direct deals, but the verdict is still out on whether it will bring liquidity to the bourse.