Sun Life’s Dynamic Fund

Filipinos who are eager to take advantage of the Philippines’ promising economic outlook and positive financial markets have the means to do so with the latest offering of Sun Life Asset Management Company Inc. (SLAMCI), the Sun Life Prosperity Dynamic Fund.

“The Sun Life Prosperity Dynamic Fund is a one-decision mutual fund which considers the best trade opportunities in the market and employs a tactical approach to asset allocation, promptly adapting to market conditions by switching from fixed-income investments to equities and vice-versa, as needed,” goes Sun Life’s press release.

Ma. Goretti Jimenez, head of Agency Sales, SLAMCI; Valerie Pama, president, SLAMCI; and Michael Enriquez, chief investments officer, SLOCPI.

“This is for investors who would like to make the most of their money through stocks and bonds, but don’t have the time or expertise to do so,” said SLAMCI President Valerie Pama during a press conference with Ilonggo media and bloggers last July 22, 2014.

“When markets move, our clients need not worry about reallocating their funds themselves. Our team of expert fund managers will do it for them.”

She added that this is a suitable choice for those who would like to invest for wealth accumulation, education funding, and retirement.

Investors who are looking for a long-term horizon and risk appetite that ranges from moderate to high will find a perfect fit in the Sun Life Prosperity Dynamic Fund.

But, those interested should better hurry. The Sun Life Prosperity Dynamic Fund is capped at P2 billion AUM (asset under management) and the company has reached a little over P1 billion already.

“So, we might be closing the fund in the next several weeks. It’s a first-come, first-served basis,” said Charina Fuentes, head of Strategic Development and Training.

Fuentes explained that the minimum investment is P50,000 while the minimum subsequent investment is P10,000.

Charina Fuentes, head of Strategic  Development and Training, SLAMCI

MUTUAL FUND VS. BANK SAVINGS DEPOSIT

Pama advised Ilonggos to also look into mutual fund investment and not rely on bank saving deposits alone.

She admits that Ilonggos are very conservative and would like to put their money in the bank. “But, bank interest rates get lower. They are not enough for your purchasing power because of inflation,” she said.

“When you partake of a fund, you are already diversified. A pooled fund means that you are already enjoying a managed fund,” she said.

“There is a fund that is suitable for you. We have funds that have an initial investment of only P5,000. It depends on how you measure your risk or how much price movement you can take. Then, you can allocate how much you can use for an equity fund,” she said.

MARKET OUTLOOK

Meanwhile, Michael Enriquez, chief investments officer of Sun Life of Canada Philippines, Inc. (SLOCPI) sees more economic progress for the country this year and next year.

“In 2013, the market was flat. However, in 2014, it went up to 16 percent. In fact, we have overtaken United States markets already. This is because of the strong support of local investors and recognition of foreign investors,” he said.

“The key driver is the strong gross domestic product (GDP) growth. We are looking at a 6.2 GDP growth for the second quarter, thanks to our strong consumption, steady remittances from overseas foreign workers and the BPO sector. OFWs have contributed 20 to 25 billion dollars while the BPO sector, 20 billion dollars in 2013,” he added.

“The Philippine equity market has progressed as well. It is now the second-best performing market next to India, thanks to the strong Philippine economy. We expect an 8 percent growth in the equity market,” he further said.

Enriquez said that in the next few months, he expects the equity market to have some correction, making this period the best time to invest in a mutual fund./