Eastspring Indonesia in collaboration with Bank DBS Indonesia launches Eastspring IDX ESG Leaders Plus index fund | Bahasa
Eastspring IDX ESG Leaders Plus Mutual Fund is an index mutual fund that places 80%-100% of its investment in stock instruments, with a maximum 20% placed in money market instruments or deposits. In addition, to optimise investment returns, the mutual fund has the flexibility to invest up to 15% in offshore sharia in sectors that support sustainability or have a high ESG application.
The use of the IDX ESG Leaders as benchmark allows for increased selectivity in choosing 30 favored blue chip stocks out of IDX80 based on the best ESG ratings by Sustainalytics (a subsidiary of Morningstar), an independent company that is at the forefront of research into, ratings and analysis of ESG-themed mutual funds that aims to give potential investment growth rates based on the IDX ESG Leaders performance index as the benchmark. Research has shown that solid ESG practices will increase company performance by 88% and 80% of research shows that companies’ stock price performance benefits greatly from improved sustainable practices*. Based on its asset class, this mutual fund is suitable for investors with an aggressive risk profile and long-term investment horizon. Thus, through this mutual fund, customers support the growth of sustainable investment.
Alan J. Tangkas Darmawan, Director President of PT Eastspring Investments Indonesia, explained that the launch of the new mutual fund product, the Eastspring IDX ESG Leaders Plus Index Fund, is an important achievement in sustainable investment in the capital markets in Indonesia and is in line with the commitment of mutual fund industry players who are supported by the Financial Services Authority (OJK) to continue to diversify index-based investment products. “With a selection of stocks that perform financially well in ESG companies registered with the Indonesia Stock Exchange, we are optimistic that this product will be in demand by investors,” Alan said.
Rudy Tanjung, Director of Consumer Banking Group, PT Bank DBS Indonesia, said, “This product completes a series of resilient comprehensive financial products and captures current market trends, specifically sustainable investment. This is part of Bank DBS Indonesia’s commitment as a trusted wealth management partner. We consistently personalise and communicate risks, performance, and potential portfolio strategic improvements to our customers. Therefore, customers can feel confident in making timely and accurate decisions. To facilitate investors, the Eastspring IDX ESG Leaders Plus mutual fund is available on the digibank application by DBS that allows customers to register their Single Investor Identity (SID) numbers and access their transactions 24/7.”
To date, Bank DBS Indonesia has marketed four mutual funds products managed by Eastspring Indonesia, namely Eastspring Investments Yield Discovery, Eastspring Investments Alpha Navigator, Eastspring Investments Value Discovery, and Eastspring Investments IDR High Grade.
“We hope this investment product will be well accepted, thereby increasing the opportunity for investors to diversify their portfolios. We are still committed to developing sustainable investment and improving ESG practices in Indonesia’s capital markets and making product innovations to help customers achieve their financial goals,” Alan concluded.
* (Clark, Feiner and Viehs 2014) www.unpri.org
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About DBS
DBS is a leading financial services group in Asia with a presence in 18 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.
Recognised for its global leadership, DBS has been named “World’s Best Bank” by Euromoney, “Global Bank of the Year” by The Banker and “Best Bank in the World” by Global Finance. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “World’s Best Digital Bank” by Euromoney and the world’s “Most Innovative in Digital Banking” by The Banker. In addition, DBS has been accorded the “Safest Bank in Asia” award by Global Finance for 13 consecutive years from 2009 to 2021.
DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets. DBS is committed to building lasting relationships with customers, and positively impacting communities through supporting social enterprises, as it banks the Asian way. It has also established a SGD 50 million foundation to strengthen its corporate social responsibility efforts in Singapore and across Asia.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit www.dbs.com.
