CIMB-Principal China Recovery Structured Fund

Today CIMB officially launches the new structured product namely CIMB-Principal China Recovery Structured Fund.

Story write up taken from Bernama

KUALA LUMPUR, April 20 (Bernama) -- CIMB-Principal Asset Management Bhd expects its newly-launched fund, CIMB-Principal China Recovery Structured Fund, to provide higher returns than the current fixed-deposit rate despite uncertainties in the global markets.

Chief executive officer J. Campbell Tupling said the fund rides on China's economic recovery.

"Sentiments in China are slowly improving with its US$585 billion stimulus plan. Positive developments are visible in major sectors encompassing infrastructure, housing, innovation, health and education.

"This will enable China to chart high growth potential," he said at the launch of the fund.

Tupling said the fund has an approved fund size of 300 million units with an initial offer price of 50 sen per unit.

He said at least 95 per cent of the fund's net asset value will be invested into China's recovery structured product while the remaining in liquid assets.

"The fund aims to provide investors with regular income over the tenure of the fund and may potentially provide higher returns than the current fixed-deposit rate," he added.

Minimum investment for the fund is RM10,000. The fund is open for investment for 45 days and closes on June 3.

-- BERNAMA