Case Study PAB Unit Trust Management Berhad
The Investment Committee lays out strict procedures as to the management of the trust funds. The committee stipulates that if any investment in KLSE goes down by more than 20% than the fund manager must take all necessary steps to force sell the counters and to recover the remaining balance. The...
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| Main Author: | |
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| Format: | Project Paper Report |
| Language: | English English |
| Published: |
1998
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| Online Access: | http://psasir.upm.edu.my/id/eprint/8103/1/GSM_1998_13_.pdf http://psasir.upm.edu.my/id/eprint/8103/ |
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| Institution: | Universiti Putra Malaysia |
| Language: | English English |
| Summary: | The Investment Committee lays out strict procedures as to the management of the
trust funds. The committee stipulates that if any investment in KLSE goes down
by more than 20% than the fund manager must take all necessary steps to force sell
the counters and to recover the remaining balance.
The fund managers are allowed only to purchase approved sectors and counters.
They are definitely not allowed to purchase any shares or counters that are not
approved for. As to other means of investment, as in derivative securities, prior
approval is required before any decisions being made.
Tan Sri Datuk Chang Min Tat is the only independent member in the committee.
The Securities Commissions requires independent members to be at least 1/3 (onethird)
of the total members. The independent member is supposed to represent
interest of the public. Other members in the committee are directly related to the
bank by way of employment. Currently Amanah Saham PHB (ASPHB) has no
cash to invest in stock market since approximately 90% of total fund is already in
the market. The ASPHB records an unrealized loss of RM50 million or 70% of
total investment as at 30 April 1998. |
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