March 11, 2014 00:00 By Sasithorn Ongdee The Nation
Krungsri Asset Management (KSAM), the country's seventh-largest fund-management firm by assets size, expects to see a 24-per-cent jump in total assets under management (AUM) to Bt240 billion this year in keeping with its leadership in the equity-mutual-fu
“This year, the company aims to increase its market shares in equity mutual funds, long-term mutual funds and retirement mutual funds to keep its leading position in these segments,” said KSAM chief executive officer Chatrapee Tantixalerm.
Currently, KSAM has a 4-per-cent market share of the country’s mutual funds, seventh among the 24 asset-management firms. The largest firm accounts for AUM of Bt1 trillion.
He said the company would expand the base of its fixed-income funds through the 600 nationwide branches of its parent company Bank of Ayudhya. Besides offering fixed-term funds every week, KSAM would also provide new products in line with market sentiment.
Moreover, Chatrapee said KSAM would launch more funds with a policy of investing in overseas markets after foreseeing signs of a world economic recovery.
“We will expand our customers’ base by 28 per cent or 54,000 new accounts to around 200,000 accounts this year. Some of that will be sought from the network of Bank of Tokyo-Mitsubishi UFJ, parent of Bank of Ayudhya,” he said.
Prapas Tonpibulsak, chief investment officer of KSAM, said one of the company’s outstanding funds was KF-Europe, which was launched last May and has witnessed 20-per-cent growth, with a current assets size of Bt1.8 billion.
He said KSAM now had exposure of only 3 per cent of its investments in overseas market such as the BRICS countries (Brazil, Russia, India, China and South Africa) and Japan.
KF-Europe is aimed at investing in funds managed by Allianz Global Investors. Ben Tai, head of distribution at AGI, one of the world’s leading asset-management firms, said the company’s investment strategy would focus on selected bottom-up equities rather than either the global or sectoral level.
AGI, which is a global operation, has allocated around 70 per cent of its total investment portfolio into equities and the rest in fixed come. By region, about 60 per cent of the portfolio is invested in the European markets.
Tai said AGI was an active fund manager that created returns that outperformed the market. It also focuses on those equities with structural rather than cyclical components and looks for long-term investments of three to five years.