HLG Unit Trust sees growth despite slowdown

 

HLG Unit Trust Bhd (HLG UT) says all its unit trust funds have grown this year despite the poor stock market performance.

"We are in a net positive this year. Our fund size has grown despite market redemption," said HLG Asset Management Sdn Bhd executive director and chief executive officer, Richard Lin.

HLG UT, a unit of the Hong Leong group, manages some 35 trust funds, that collectively have a fund size of RM2.5 billion as of October 31 2008.

The company targets to boost its fund size to RM6 billion by mid-2011, via fresh launches, increasing sizes and presence of existing funds.

With this in mind, it entered into a strategic partnership to sell its unit trust funds using the country's biggest bank, Malayan Banking Bhd's distribution channels.

"We are confident that with Maybank's vast network and established brand, as well as HLG UT's track record in the fund management industry, we are able to provide value to an extended customer base of investors," Lin told reporters at the signing ceremony in Kuala Lumpur yesterday.

The agreement allows Maybank to be an Institutional Unit Trust Adviser (IUTA) of HLG UT.

Maybank is the 10th IUTA to have joined HLG UT's stable of IUTA distributors.

As a start, Maybank will distribute HLG Syariah Inflation Select Fund as well as HLG Global Value Fund.

HLG UT is looking to offer another four to five of its existing products through Maybank's distribution channel.