KUALA LUMPUR: Public Mutual Bhd, a wholly-owned subsidiary of Public Bank Bhd, has launched a new equity fund that invests in medium- and small-sized companies listed on Bursa Malaysia in terms of market capitalisation across all sectors.

Dubbed Public Select Treasures Equity Fund (PSTEF), the fund is positioned to achieve high capital growth over the medium- to long-term period.

“The larger mid-cap companies generally have established earnings track record and are major players in their respective industries, while small-cap stocks offer potentially higher growth opportunities due to their smaller earnings base," Public Mutual chief executive officer Yeoh Kim Hong said in a statement yesterday.

Its equity content ranges between 75% and 98% of the net asset value (NAV) of the fund. Up to 25% of the fund’s NAV may also be invested in foreign markets.

PSTEF’s initial issue price is RM0.25 per unit during the 21-day initial offer period from July 22 to Aug 11. The minimum initial investment for the fund is RM1,000 and the minimum additional investment is RM100.

This article first appeared in The Edge Financial Daily, on July 23, 2015.