Asia Fixed Income – Local Currency Category
Nikko Asset Management Co., Ltd. (Nikko AM) was selected in the AsianInvestor Asset Management Awards 2023 for an Asset Class Award in the Asia Fixed Income - Local Currency category by AsianInvestor, one of Asia’s leading publications for the asset management industry.
AsianInvestor recognised Nikko AM’s Asian Local Currency Bond Strategy, which is actively managed seeking to generate medium to long-term capital appreciation by investing primarily in local currency denominated bonds issued by sovereigns, quasi-sovereigns, banks and corporates of Asian countries (China, Hong Kong, India, Indonesia, Malaysia, Philippines, Singapore, South Korea, Taiwan, and Thailand). AsianInvestor selected the winners based on 2022 performance against widely tracked benchmarks, according to data from consultancy Mercer’s universe of tracked strategies, with funds registered in at least one location in Asia Pacific. The strategy is available in Singapore and Japan.
Nikko AM Head of Asian Fixed Income Liang Choon Koh commented, “I would like to congratulate the team for this award. This is the latest achievement in our over 30 years of managing Asia Fixed Income, and demonstrates our in-depth understanding of the Asia Fixed income market to provide top notch solution for our clients.”
Edward Ng, who is the Lead Manager for Asian Local Currency Bond strategy remarked, “2022 was a tumultuous year for financial markets. Our consistent investment framework and longstanding experience in the Asia local currency bond segment helped us navigate through this difficult period, and enabled us to provide capital preservation for our clients.”
Past performance of the managers or funds is not necessarily indicative of its future performance.
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Invested principal is not guaranteed, and the investor may incur a loss when the market transaction price or the fund’s base value (NAV) fall below the invested principal amount. All gains and losses stemming from management of the fund are attributed to the investor (beneficiary). This fund is different from bank deposits.
Different investment trusts invest in different asset classes, markets, and countries, and contain different investment restrictions, so the details of their risks differ accordingly.
Important Information on Investment Advisory Agreements and Discretionary Investment Agreements
The investments effected under discretionary investment agreements and advice rendered under investment advisory agreements covers primarily equities, bonds and/or other securities whose price fluctuates (subject also to exchange-rate fluctuation risk if denominated in foreign currencies). Accordingly, the estimated value of client assets under management fluctuates and may fall below the principal investment.
The main risks pertaining to investment advisory agreements and discretionary investment agreements are 1) price fluctuation risk, 2) liquidity risk, 3) credit risk, 4) exchange-rate fluctuation risk, 5) country risk, 6) derivative risk, 7) risk unique to alternative strategies.
Information on Fees and Charges Payable by Clients
- Investment Advisory and Other Service Fees: In consideration of the investment advisory agreement or discretionary investment agreement, the maximum investment advisory fee chargeable will be set by multiplying the outstanding balance of invested assets (an initial investment amount of at least 500 million yen is required) by 3.3% (3.0% net of tax) per annum, depending on the contract period. Certain agreements may include conditions charging a performance fee in addition to the fixed service fee.
- Other Expenses: Other expenses that may be incurred include brokerage commissions on securities included in portfolios.
If investment trusts are included under a discretionary investment agreement, the following expenses may be incurred: trust fees charged to administer the investment trust, an exit charge, service fees upon subscription and redemption, brokerage commissions on transactions in portfolio securities, securities custody fees, administrative expenses, audit expenses, fund establishment related expenses, interest on loan borrowings, stock borrowing expenses, etc.
Important Information to Note
- As the performance fee and Other Expenses will change depending on the investment strategies and/or investment status, the rates or maximum amounts applicable thereto cannot be indicated in advance.
- The risks, fees and charges described above vary according to the details of specific agreements and other factors. Before entering into an agreement, please read the delivered prospectus carefully.