Search This Bitch

Loading...

AddThis?

Share |

Friday, January 15, 2010

First State eyes on IDR300 billion AUM

Friday, 15/01/2010 00:00 WIB

First State eyes on IDR300 billion AUM
JAKARTA: PT First State Investments Indonesia targets to reach asset under management (AUM) of mutual fund product, First State IndoEquity Peka Fund, worth at IDR200-300 billion next year.

"The mutual fund product is expected to provide 20 percent investment return per year," said President Director of the First State Legowo Kusumonegoro to press yesterday.

The company will cooperate with Citibank NA Indonesia as the exclusive sales agent for the mutual fund issuance. He said the company also uses bank service as the custodian of mutual fund product.

Legowo said the product, which work as a endowment fund, is hoped will generate contributions to Indonesian philanthropic institutions working in social, cultural, and environmental causes. Philanthropy is deemed s sort of care for others and could be in the form of culture preservation.

The cultural preservation is done by contributing 0.5 percent of the assets to the national philanthropy players.

Legowo said this year the company will allocate the fund to the Kelola organization. The non profit organization here focuses on the development of culture and visual art, dance, music, and theater.

Director of First State Putut Endro Andanawarih convinced the mutual fund scheme here will not burden the investors with investment management cost and does not deduct any of the outstanding fund or investement return.

Chairperson of Kelola Linda Hoemar Abidin said the organization offers competitive annual support for up to 15 performing arts groups throughout Indonesia to produce new work through 'Hibah Seni' program.

She said the organization also supports up to 14 arts practitioners to interns for 3 months at 13 established arts organizations in Yogyakarta, Bandung, and Jakarta through a so-called 'Magang Nusantara' program.

"We hope the aid given by mutual fund could help us develop art in Indonesia more enthusiastically."

VP Retail Banking Head of Citibank Meliana Sutikno said the company is optimistic the mutual fund will be effective and able to lure many investors to allocate their funds as it raises public awareness on environment.

"Mutual fund will provide double benefit to investors, the high long term investment return and environmental care concerns."

He said the endowment fund type mutual fund here is still rare in Indonesia due to the lacking of information to the investors and business of each corporate selling the product.

Chairman of the Indonesian Mutual Fund Managers Association (APRDI) Abiprayadi Riyanto said mutual fund investors of this type is still less in number. "It still needs to develop concern and investor basis." (Bisnis/iaa)
as published in Bisnis Indonesia daily newspaper

0 comments:

Followers

Bisnis Online Free Automatic Backlink Investing Blogs - BlogCatalog Blog Directory