MANILA, Philippines — Manufacturers Life Insurance Co. Philippines Inc. (Manulife) has launched a new fund which provides policyholders an opportunity to invest in exchange-listed real estate investment trusts (REITs) in the Asia-Pacific region.
Named as the Asia-Pacific Property Income (APPI) Fund, the US dollar-denominated fund gives exposure to REITs in Singapore, Hong Kong, Australia, Thailand, and Malaysia.
It is a feeder fund that invests in Manulife Asset Management and Trust Corp.’s (MAMTC) Asia Pacific REIT Fund of Funds.
“APPI gives investors a chance to diversify their portfolios. It is also a very good instrument to hedge against inflation. With APPI, customers can grow their investments, be protected with life insurance coverage, and even enjoy semi-annual payouts,” said Ryan Charland, president and chief executive officer of Manulife Philippines.
The fund will be available to customers with single-pay variable insurance products, including the Manulife Affluence Gold, Manulife Affluence Max Gold, and Manulife Affluence Max Elite.
It is also available through Manulife China Bank Life Assurance Corp.’s (MCBL) variable insurance products, namely the US Dollar MCBL Enrich Max and the US Dollar MCBL Platinum Invest Elite.
Manulife said investors could enjoy twice-a-year income payouts, potential long-term capital appreciation, access to a diversified real estate portfolio, and liquidity.
REITs are investment instruments which work similar to mutual funds. They pool investors’ money, which are used to purchase shares in real estate assets such as malls, hotels, and office buildings, among others.
Manulife said these instruments enable average investors to put their money in assets that will otherwise be unaffordable or inaccessible if they were investing on their own. REITs earn from rental income on the real estate properties they invest in.
“We develop innovative solutions like this to make it easier for Filipinos to make financial decisions that will help improve their lives,” Charland said.