New Fund: Eastspring Investments Target Income Fund 2
In the current low interest rate environment, investors continue to chase for yields which resulted in strong demand for close-ended bond funds that potentially offers higher return than fixed deposits. Keeping this in mind, Eastspring Investments is launching a new fund. The fund endeavors to provide regular income during the tenure of the fund (3 years), by investing in local and/or foreign debt securities. Investment Strategy A minimum of 70% will be invested in local and/or foreign debt securities, while the remaining of not more than 40% may be invested either in non-rated debt securities and/or debt securities rated below investment grade rating. lower than BBB3 rating by RAM; or below investment grade rating by other rating agencies Although the fund is expected to invest up to 40% in non-rated issuers and/or issuers rated below investment grade, there is a risk that this limit may be exceeded as issuers of investment grade debt securities held within the portfolio m...