Thu, 06 Nov 1997

MeesPierson launches mutual funds

JAKARTA (JP): PT MeesPierson Finas Investa management launched here yesterday two open-end mutual funds -- MeesPierson Finas Investa Lestari and MeesPierson Finas Investa Pesona.

Izakheeya Mahdi, president of MeesPierson Finas Investa Management said the company expected to generate around Rp 1 trillion (US$307.60 million) from the public.

She said the company had secured around Rp 5.85 billion funds from sponsors including Bank Indonesia's Pension Fund (Rp 2.50 billion), Grand Pacific Limited (Rp 2.35 billion) and Fortis Investment NV (Rp 1 billion) for MPF Investa Pesona.

She said the company had also secured funds worth Rp 9.31 billion from sponsors including Fortis Investment NV (RP 4.81 billion), PT Jamsostek (RP 3 billion) and Bank Rakyat Indonesia's Pension Fund (Rp 1.5 billion) for MPF Investa Lestari.

Mahdi said minimum initial investment for the funds was Rp 200,000 and thereafter an additional investment of Rp 100,000.

"The maximum investment in each fund is Rp 5 million," she said yesterday.

She said MPF Investa Pesona targeted its investments in equity securities with a composition of 80 percent in stocks and 20 percent in fixed income instruments of a portfolio.

She said MPF Investa Lestari would target most of its investment in bonds. "Bonds will account for 80 percent of MPF Investa Lestari investment and the remaining 20 percent in fixed income instruments," she said.

At presence, there are around 74 mutual funds available in the market.

An executive from the Capital Market Supervisory Board (Bapepam) Gus Asmarajaya said the mutual funds had become one of the backbone of the domestic investors in competing with the foreign investors in the capital market.

He said that domestic investors had accounted for almost 50 percent of transaction activities in the capital market now compared to that of meager 30 percent several years ago.

"It means that the mutual funds have actually increased the base of domestic investors in the capital market," he said. (aly)