Public Mutual to launch Islamic equity fund

KUALA LUMPUR: Public Mutual Bhd is launching a domestic Islamic equity fund, Public Islamic Select Treasures Fund (PISTF) that aims to invest in “hidden treasures” and opportunities among small-to-mid cap stocks.

“The fund will invest in syariah-compliant securities with market capitalisation of up to RM6 billion, which have promising growth prospects in the medium to long term,” Public Mutual’s chairman Tan Sri Teh Hong Piow said in a statement.

He said PISTF, which would be launched on Feb 26, was suitable for investors with aggressive risk-reward temperament and could withstand extended periods of market highs and lows in pursuit of capital growth.

Teh said the equity exposure of PISTF would range from 75% to 95% of its net asset value (NAV). The issue price is 25 sen per unit during the 21-day initial offer period to March 17, 2008. The minimum initial investment is RM1,000.

As at Dec 31, 2007, the total NAV of the funds managed by Public Mutual was RM28.4 billion.