AEBP president Ian Fish said with this direct access, customers can realize the benefits and advantages of the UITF, including the potential to generate yields higher than the traditional time deposits. UITFs are pooled trust funds in acceptable currencies like the Philippine peso and US dollar, operated by a trust entity and made available by participation. It is similar to the CTF but has distinct advantages from which the individual investor can gain benefits.
The Bangko Sentral ng Pilipinas (BSP) earlier took the initiative to ensure that the products offered to the public are those that are truly worthy of their trust and investments. Under the BSP directive, banks are required to wind down all CTF or shift these into UITF by Oct. 1, 2006.
AEBP’s products, the Peso Cash Plus and Dollar Wealth Plus Accounts, will provide access to peso and US-dollar-denominated funds.
"The recent developments in the Philippine trust market poses distinct opportunities for its investors. In particular, the individual investor needs to be empowered with the right information so that he can move to protect and maximize his interests," Fish said.
Despite aggressive product promotions, he admitted that the expansion of their branch network is not yet in the offing.
"At the moment, we believe three branches are enough to service our needs. Maybe in the future we may consider," he said.
In case they would consider branching out, he said they would look at putting branches in Caloocan and Alabang. At present, its branches are located in Makati, Binondo and Greenhills.
American Express has a long established and rich presence in the Philippines. Its first office in Asia was set up in 1916 in Escolta.