KUALA LUMPUR: Maybank Asset Management Group Bhd (Maybank AM), which registered a 21% growth in its assets under management (AUM) last year, wants to maintain the same growth momentum this year and push its AUM past the RM20 billion mark.

As at March 31, 2015, Maybank AM, the asset management arm of Malayan Banking Bhd (Maybank) (fundamental: 1.5; valuation: 1.45), had total AUM of RM15.2 billion. 

“We are looking at that same number again [21% growth] this year and we have various strategies to achieve that, one of which is the Maybank Bosera Greater China Asean Equity i-Fund,” Maybank AM chief executive officer (CEO) Nor Azamin Salleh told reporters after the launch of the fund yesterday.

He said although the group is looking to gain a foothold in the Philippines and Vietnam, the group is still focused on growing its presence in Thailand and Indonesia.

Maybank Asset Management Sdn Bhd sales and marketing regional head Christopher Geh said the group aims to grow its AUM in Malaysia, the Philippines, Thailand, Singapore and Indonesia.

“This year will be challenging but there are a lot of opportunities. Through the Maybank Bosera Greater China Asean Equity i-Fund, we are looking to raise RM70 million to RM100 million in the next one year in Malaysia. We are also planning to grow our retail business [and introduce some] Islamic funds. We are [also] looking at strategic partnerships and collaborations,” said Geh.

Nor Azamin said the group is targeting its syariah-compliant assets to reach RM9 billion in 2015, up from the current RM6.6 billion.

In a presentation earlier, Maybank AM equities regional head Robin Yeoh said Southeast Asian markets are most likely to consolidate in the next three months due to the recent downturn that could be seen in the economic data of various countries.

“Asean markets were soft over the past two weeks. They are expected to pick up once infrastructure spending in Indonesia and Thailand is implemented,” said Yeoh.

He said the consolidation of Asean market will probably see Malaysia in the same region of growth that it has seen over the past few months, as there is a lack of catalysts locally.

“The upside of the Malaysian market will be capped. After the consolidation phase is over, Malaysia can probably go up as well. It (the Malaysian market) has not gone up much [in the past few months]. The Malaysian market is currently up 4% to 5%, at the most,” he added.

However, he said the Asean region remains an attractive investment destination due to dynamic economic growth, rising population and favourable demographics, with a large population of younger people.

On the Chinese market, Bosera Asset Management (International) Co Ltd deputy CEO Conrad Cheng said the valuation of some sectors in the Chinese market is “a bit stretched” and that there is now a cautious outlook on the Chinese market in the short term.

Still, owing to other factors such as the easing of monetary policy and major infrastructure projects, the long-term outlook for the Chinese market is still bullish, said Cheng.

Note: The Edge Research’s fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations. Go to www.theedgemarkets.com for more details on a company’s financial dashboard.

This article first appeared in The Edge Financial Daily, on May 6, 2015.