InnovestX Ventures into Fund Market, Curates Strong Core Portfolio for Long-Term Returns Amid Global Economic Flux and Geopolitical Tensions

InnovestX Securities Co., Ltd., the investment flagship of SCBX Group, continues to lead in the development of investment products and services. In the first quarter of 2024, it has garnered investor interest, resulting in a fund inflow of over 9 times compared to the 2023 average. This achievement is attributed to three key strengths: 1. Curating robust funds from over 1,800 funds across all asset management companies in an unbiased manner; 2. Providing all-weathered investment advisory that meets the needs of each customer segment and suits market conditions at any given time; and 3. Offering great value through exclusive deals. Recently, InnovestX recommends four robust funds to construct a Core Portfolio, a fundamental portfolio that investors must have to build stability and long-term growth opportunities amidst the uncertain global economic conditions, the declining hopes for reduced interest rates, and concerns over conflicts in the Middle East. These include Global Equity Fund SCBWORLD(A), Global Fixed Income Fund PRINCIPAL GFIXED, Global Property Fund SCBGPROPA, and Gold Fund SCBGOLDH, each offering distinct advantages and potential for long-term growth. Additionally, investors can take advantage of the exclusive deal: waived Front-end Fee when purchasing funds from May 1st, 2024, to June 28th, 2024, only.

Mr. Payon Pongsawaree, Assistant Managing Director of Wealth Products and Strategy of InnovestX Securities Co., Ltd., stated, "Investment Overview for April 2024: The global stock market remains in a state of 'adjustment and revised expectations.' While the overall stock market index is still in a correction phase, investor expectations for interest rate cuts have begun to diminish. This shift follows the retreat of the Fed chair and most Federal Reserve members from their previous stance on interest rate cuts for the year, prompted by unrest in the Middle East, which has further pressured oil prices. In May, InnovestX highlights four key points to monitor: 1. Concerns over 'Sell in May,' a period when international fund managers typically reduce trading volumes due to holidays, resulting in lighter-than-normal trading activity. 2. Worries about the resurgence of inflation, as the Core PCE YoY of the United States stabilizes. 3. The May FED meeting signaling a slower pace of interest rate cuts than previously anticipated, shifting from an expected three reductions to just one or two. However, the delay in reducing the budget deficit has helped alleviate liquidity pressures. 4. Concerns about the slowing pace of operations. With the aforementioned reasons combined with the positive adjustment of several stocks in various markets since the beginning of the year, there is a trend indicating the stock market's tendency to stabilize. Therefore, InnovestX evaluates May as a period where investors need to differentiate between strong and weak markets. Overall, the potential for market consolidation presents an opportunity for accumulating medium-to-long-term investment portfolios (3-6 months and beyond 12 months). Markets of interest for gradual accumulation include the United States and China."

The 4 funds recommended for investment by InnovestX

1. 1.SCBWORLD (A) Global Equity Fund: Investing to become owners of multinational businesses with long-term growth prospects. The SCBWORLD(A) fund focuses on investing in leading global stocks according to the MSCI World index. The top 5 assets in which the fund invests are as follows:
   • Microsoft: A global leader in AI technology and the world's most valuable company, specializing in software development and various technology services.
   • Apple: Renowned for manufacturing and developing cutting-edge electronic devices globally, and notably holding the largest position in Warren Buffett's portfolio.
   • Nvidia: A significant player in the AI chip market, experiencing over 2000% growth in the past 5 years. The company develops and manufactures graphic processing units and virtual processing systems, catering to technology businesses worldwide.
   • Amazon.com: The largest e-commerce and online service provider globally, including the premier Cloud Computing service.
   • Meta Platform: A globally recognized technology and social media company, encompassing Facebook, Instagram, WhatsApp, and ventures into Virtual Reality technology.
2. PRINCIPAL GFIXED Global Fix Income Fund: In today's uncertain economic landscape, fixed-income securities play a crucial role in diversifying portfolio risks. PRINCIPAL GFIXED focuses on investing in fixed-income securities within developed markets, known for their efficiency and high liquidity. Investors benefit from potential returns, especially during periods of high interest rates. One of the cornerstone funds within this category is the PIMCO GIS Income Fund, recognized as the largest global fixed-income mutual fund globally. It prioritizes investments in high-quality fixed-income securities across the world. With a well-established record of accomplishment, this fund has successfully navigated various economic cycles. Managed by a team with extensive experience, it employs a flexible and proactive investment approach to identify fixed-income securities capable of delivering consistent cash flow for the portfolio. Moreover, it adjusts the portfolio composition dynamically to effectively align with prevailing market conditions.
3. SCBGPROPA Global Real Estate Fund: Investing in real estate funds offers opportunities for both capital growth and dividend payouts. SCBGPROPA provides investors with higher liquidity compared to direct real estate investments. It invests in the flagship BGF World Real Estate Securities Fund, diversifying across approximately 60-90 securities related to the global real estate industry. The core fund management team evaluates fundamental factors to identify high-quality securities with appropriate valuations across various global industry groups.
4. SCBGOLDH Gold Fund: Invests in safe-haven assets widely recognized for wealth preservation, particularly during economic and geopolitical crises. Gold prices typically adjust inversely to other assets during times of turmoil. SCBGOLDH invests in the core fund SPDR Gold Shares ETF (GLD) to achieve returns aligned with the movement of gold prices. The fund primarily invests in physical gold bullion, comprising at least 99.5% of the portfolio, and is managed and safeguarded by globally recognized financial institutions like JPMorgan. SCBGOLDH prioritizes risk mitigation, with at least 90% of its invested assets hedged against currency risks.

For investors interested in more details about the funds can visit www.innovestx.co.th/products/fund/mutual-funds. For analyses and investment strategies, visit www.innovestx.co.th/research and on Facebook at InnovestX.