Fundsupermart launches Singapore's first equity fund index
Unit trust investors will now be able to track how their equity funds are performing with the launch of a new fund index by one of the leading online distributors of unit trusts in Singapore, Fundsupermart (FSM).
The FSM All-Equity Fund Index (FEFI), which tracks 228 equity funds on the FSM platform, is the first of its kind in the local unit trust industry.
Updated on a daily basis with the information publicly available on Fundsupermart's website, the FEFI is equal-weighted so that each fund in the index contributes equally to the overall index return.
"In order to avoid the duplication of returns which are denominated in Singapore dollars, no more than one fund class will be represented in the index. The fund class selected is the one with the longer performance history," said Wong Sui Jau, General Manager of FSM in Singapore and Malaysia.
"The FEFI will be beneficial to investors as it provides a basis for comparison when they want to know if their portfolio is doing well or not. In addition, over the long run, the FEFI should reflect the performance of actively managed funds," he added.
Year-to-date performance *
 |
Top 5 Equity Funds |
Name |
Returns (Yr to date)* |
AllianzGI Global Internet |
10.2% |
DWS Noor Prec Metals |
7.9% |
First State Glb Resources |
6.7% |
UOB United Gold & General |
5.2% |
LionGlobal Philippines |
4.4% |
Bottom 5 Equity Funds |
Parvest Convg Europe |
-31.2% |
FLF Eq Utilities World |
-31.2% |
FLF Eq Finance World |
-31.2% |
Parvest Europe Financials |
-28.8% |
UOB United Global Capital |
-27.1% |
*As of end-Feb 2009 |
Currently, about 40% of the index is made up of Asian equity funds while global funds account for about a quarter of the index. The FEFI was incepted at 1,000 points on 31 December 2008 and will be reviewed semiannually to incorporate or eliminate constituent funds.
Other than in Singapore, Fundsupermart.com has also launched the FSM All-Equity Fund Index in Hong Kong and Malaysia.
Mr Wong believes that the new index will help create better awareness of the unit trust industry in the region over the long run. He added that the FEFI is only the first of a full series of fund indices that FSM is launching.
"Given the sufficient range of fixed income funds, FSM intends to launch a bond fund index in the near future. Bond funds are an important but often overlooked asset class, and we hope that the availability of a bond fund index will provide investors with useful information on the returns which can be obtained," said Mr Wong
For more details of the FSM All-Equity Fund Index (SG), please go to
www.fundsupermart.com.sg
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