Sunday 13 November 2022
KBank Private Banking (KBank Private Banking) recommends investment strategies in alternative assets. to increase the ability to generate returns and portfolio diversification during the global economic downturn Revealing that alternative investments are receiving more attention Nearly 30% of wealthy individuals in Thailand plan to increase investment weighting and structured bonds Show outstanding performance since inception of the year
Dr. Tripon Phumiwasana, Senior Managing Director, Private Banking Business Head, Private Banking Group, Kasikorn Bank, said: “The capital market throughout 2022 has been continuously volatile. With yields on nearly every major asset falling sharply, the MSCI World Index is already down 20%. This year is also the third time in 30 years that yields on stocks and bonds have declined simultaneously. And for the first time both assets have dropped by up to 20%. Diversification into non-market assets is therefore one of the main strategies that KBank Private Banking continually recommends to customers. To reduce volatility and increase the opportunity to generate returns for your investment portfolio.
Alternative assets are now attracting increasing interest from investors. A recent survey by Lombard Odier (Lombard Odier) * indicates that in the past. Capital market volatility, which can lead to negative returns, is a major concern for wealthy people in Thailand, with over 50% of them adjusting their investment portfolios. using the services or advice of investment advisors and almost 30% plan to invest more in alternative assets in the near future
As an investment advisor and specialist, KBank Private Banking is committed to offering innovative alternative investments. It focuses on a variety of options to meet different customer needs, such as risk and investment duration. The recommended alternative assets consist of six product categories:
1. Alternative funds with flexible investment strategies (Quantitative Hedge Fund) invest in a variety of assets. And aim to generate positive returns in all market conditions. ASP-LEGACY-UI The highlight is a strategy for capturing second trading signals with algorithms. This translates into outstanding risk-adjusted returns.
2. The Global Private Equity Fund is an alternative asset product that has been consistently popular. Due to low volatility of K-GPE19A-UI and K-GTPE20A-UI funds recommended by KBank Private Banking to clients. capable of generating fund inception returns of up to 47.83% ** and 25.67% **, respectively, and the latest K-GPE22B-UI fund, which has the strength to invest in a variety of industries , over 50 enterprises last October It is considered the first global private equity fund in Thailand capable of raising capital of billions of baht.
3. The Global Private Real Estate Fund is an asset class that can generate stable cash flows from the opportunity to earn substantial rental income. KBank Private Banking recently introduced the UGREF.-UI fund, which invests directly in over 9,000 real estate projects and earns over 30,000 quality tenants and diversifies its portfolio across manufacturing, commercial and residential sectors. The fund is expected to generate year-to-date returns of 8.33%***
4. Fund to raise investment to provide credit to the corporate sector. Without going through a financial institution (private credit fund) it is a direct credit to the corporate sector. to increase liquidity The strength of this type of direct loan will increase the opportunity to receive returns in the form of floating interest (floating rate) in an interest rate environment. which will produce greater returns than investing through traditional fixed income funds. KBank Private Banking has partnered with Lombard Odier to introduce this type of fund for the first time in Thailand. and preparing for the initial public offering later this November
5. Thai Private Real Estate is an investment in off-market real estate. or unlisted infrastructure such as office buildings, electricity and telecommunications in Thailand.
6. Knock-In Knock-Out (KIKO) Structured Notes are assets that increase the likelihood of generating good returns during tight market movements. And able to provide returns in the form of constant monthly interest. Additionally, investors may also choose to reference the performance of the entire Thai basket of stocks. In the past, funds recommended by KBank Private Banking could produce an average expected return of 11-13% per year.
“In a state where inflation has become a long-term problem, with the global economy set to enter a recession in 2023, investing in alternative assets will become even more important to increase the chances of generating returns. Currently, this type of product has a wide range of options.Suitable for different investor goals, KBank Private Banking keeps striving to introduce alternative investment products.covers both domestic and international and in line with the investment theme of the future to be a way to survive for investors in the future,” Dr. Tripon finally said.
