Manulife Asset Management to make Singapore their regional hub

Manulife Asset Management will make Singapore its regional hub as it seeks to tap on the area's surging economies, said Mr Michael Dommermuth, the firm's president and head of Asia. It will move the management of the Asian multi-currency fixed income funds from Hong Kong to Singapore and has appointed Mr Endre Pedersen to run the unit.

Singapore will also be the firm's new base for its portfolio of Indian equities. This will be led by Mr Rana Gupta, as newly appointed senior portfolio manager.

The initiatives will increase the asset size managed here from $3.4 billion to about $10 billion once regulatory approval has been secured. This is expected within six months.

Mr Dommermuth said: "In our view, this asset size reaches a critical mass of sustainability, and will serve as an excellent platform for us to grow."

Manulife Asset Management operates in six Asean countries and has assets under management of $12 billion. Across Asia, which includes China, South Korea and Japan, the figure is US$51 billion ($64 billion).

To cater to retirement products, Manulife will no longer employ just the usual strategy of achieving a target return, but will also introduce products that pay high dividends and are less volatile. He said this is one of the reasons why it is focusing on building its fixed income capabilities, which are complementary to the retirement market.

Manulife also intends continuing with its focus on Indian equities despite the country's relatively weaker economic growth.

Read full article: http://www.straitstimes.com/premium