Manulife variable peso, dollar bond funds up

MANILA, Philippines - Manulife Philippines has reported that its variable life peso and US dollar bond funds yielded 12-month returns of 13.08 percent and 3.49 percent, respectively.

The two are the most common funds selected for the Affluence variable life insurance product line.

“We are pleased to report that as of May 29, our peso bond fund reached 13.08 percent. Our dollar bond fund yields grew 3.49 percent despite the very challenging market environment over the last 12 months,” Carl Gustini, Manulife Philippines president and chief executive officer, said in a press statement.

The results validates that Manulife’s Affluence product line gives clients an attractive investment option especially clients are looking for a way to diversify their current portfolio over the medium-to-long term period.

The Manulife chief executive attributed the funds’ competitive performance to the investment team’s in-depth market knowledge and strong conviction in its investment decisions.

The investment team is part of a global network of interconnected financial professionals under MFC Global Investment Management, the asset management arm of Manulife Financial.

The insurer’s investment took the contrarian positions that are expected to generate long-term value. The team reportedly always looks for windows of investment opportunities, particularly during periods of elevated risk aversion.

“We continue to hold a positive view on the market over the medium term. In the near term, we expect the emerging prospects of fiscal slippage past the government target to mitigate the downward pressure of lower inflation outlook and stimulative monetary stance on bond yields,” it added.

The peso bond fund seeks to achieve stable and long-term growth by investing in Philippine peso-denominated government securities, high-quality corporate debt securities and/or in pooled fund/s that invest in these securities and other liquid fixed income instruments.

The dollar bond fund seeks to achieve stable and long-term growth by investing in US dollar-denominated sovereign and corporate debt securities and/or in pooled fund/s that invest in these securities and other liquid fixed income instruments.

“Our variable life product line offers a definite value-added proposition compared to other financial products since they also give life insurance protection on top of investment yields,” Gustini added.