Recently, Securities Commission (SC) announce plans to amend the guidelines on unit trust funds in Malaysia. The ammendment will allow for greater flexibility and choices to meet investors needs.
The amendments will facilitate the creation of multi-class structure unit trust funds. This means that single unit trust fund will be able to offer multiple classes of units over a single investment pool, with each class of units having different features such as the fees and charges imposed and the currency in which it is denominated.
Multiple currencies offerings will encourage unit trust funds to be distributed overseas and facilitate investment by foreign investors and also for local investors who want foreign exposure.
The ammendment also will allow investors to choose whether they prefer paying an upfront fee with lower annual fees or higher annual fees in lieu of an upfront fee.