Press Release 2016
UOB Malaysia launches new tranche of award-winning structured investment product
Innovative index-linked structured investment replicates institutional fund flow patterns to offer retail investors stable growth and capital protection
Kuala Lumpur, Malaysia, 21 December 2016 - United Overseas Bank (Malaysia) Bhd (UOB Malaysia) has launched the sixth tranche of its award-winning UOB Malaysia Principal Guaranteed EPFR Multi Asset Long Only 5% VT Index Structured Investment (the Structured Investment).
The Structured Investment recently won Deal of the Year at the prestigious Structured Retail Products (SRP) Asia Pacific Awards 2016 . It was selected for its ability to help retail investors benefit from institutional fund flow patterns and to satisfy and to meet customers' investment objectives.
Mr Ronnie Lim, Managing Director and Country Head of Personal Financial Services, UOB Malaysia, said that in light of the volatile market environment, investors are seeking new and innovative solutions to help them grow and protect their wealth. As such, we are seeing more retail customers turn to structured investment products to meet their investment needs.
"This is why we have launched another tranche of our Structured Investment. Previous tranches had been well-received given the Structured Investment's ability to help our customers realise stable returns while offering protection against loss of capital. The Structured Investment is linked to the performance of the CBKIFFH5 Index , an innovative index that tracks institutional fund flow data. This allows retail investors to benefit from the performance and the asset allocation decisions of some of the world's largest and most prominent institutional fund managers," said Mr Lim.
Structured investments that are capital protected or capital guaranteed and linked to the performance of an index offer customers exposure to investment markets, while providing protection against the loss of their capital.
The Structured Investment is a principal guaranteed structured product that seeks to provide stable returns over a two-year investment horizon by replicating the performance of the CBKIFFH5 Index (Commerzbank EPFR Multi Asset Long Only 5% VT Index). The CBKIFFH5 is an investable index that tracks institutional fund flows into and out of global equities and US fixed income markets. Since its inception in May 2007, the index has delivered annualised returns of 5.4 per cent with volatility of five per cent.
The Structured Investment is suitable for conservative investors who want stable capital growth, without risking their principal investment diminishing. The full amount of a customer's initial investment is guaranteed by UOB Malaysia and repayable in full if customers hold the investment until its maturity date on 7 January 2019.
Investors who are interested in the UOB Malaysia Principal Guaranteed EPFR Multi Asset Long Only 5% VT Index Structured Investment may approach any relationship manager at the nearest UOB Malaysia branch. The minimum investment is set at RM50,000 and the offer period runs till 23 December 2016.
1 The SRP Asia Pacific Awards is one of the most prestigious awards in the industry which recognize the best buy-side and sell-side firms across the region, as well as identify the best service providers and distributors. UOB Malaysia Principal Guaranteed EPFR Multi Asset Long Only 5% VT Index Structured Investment won Deal of the Year in September 2016.
2 Commerzbank EPFR Multi Asset Long Only 5% VT Index (Bloomberg Ticker: CBKIFFH5 Index) start date is 17 May 2007 and has been live since 7 July 2015. The Index has up to 30% exposure to Global Equities (US, Europe, Japan, UK, Emerging Markets) and up to 70 per cent exposure to US Fixed Income and has the flexibility to keep up to 100 per cent in cash.
3 Source: Bloomberg, 28th November 2016