TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
HSBC Indonesia provides opportunity for customers to diversify their investment portfolio
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
H
SBC Indonesia, along with Batavia Prosperindo Aset Manajemen (BPAM), have jointly rolled out a mutual fund product, Batavia India Sharia Equity USD (BISE), a solution for affluent investors eager to expand their investment portfolio to Indian markets while adhering to sharia principles.
A report released by HSBC Affluent Investor Snapshot 2024 revealed that of the 500 respondents, the average owns five to six investment products in their portfolio. The Indonesian figure is the highest compared with respondents from other countries. The report also found that 57 percent of the respondents planned to expand their portfolio diversification by investing in other countries.
The International Monetary Fund (IMF), in the July issue of its World Economic Outlook (WEO) publication, disclosed that India’s economic growth had increased to 7 percent this year, above the 6.8 percent that the IMF and WEO had projected earlier. India’s stock market is the fourth largest in the world, offering a highly attractive alternative for global investors that are eager to gain exposure to markets in developing countries with rapid growth potential. This has driven a significant surge in the quality of India’s stocks on the MSCI Emerging Market Index in the past several years.
This is in line with the HSBC Quality of Life Report 2024 in several other countries, including Singapore, United Arab Emirates (UAE) and the United States, where India has become a favorite choice among affluent investors.
“Having seen the high enthusiasm shown by Indonesian investors to leverage diversification of their investment portfolio, we are pleased to have an opportunity to collaborate with BPAM to roll out BISE to HSBC Indonesia customers. This is a testament to our commitment to provide investment product options that can fulfill their personal preferences in order to achieve the goal of portfolio diversification that they desire,” said Lanny Hendra, HSBC Indonesia’s wealth and personal banking director.
“The product that we have launched will complement the diversified offshore mutual fund options that we rolled out previously. Now our customers can easily notice growth potential from the global stock market, especially in India, which is experiencing rapid economic growth,” she added.
“When compared with other major countries in the world, India has recorded the highest economic growth. Bolstered by government reform and a large, productive population, coupled with human resources excellence in the area of information technology (IT), India has evolved into a country with high investment appeal of its own in the Asia-Pacific and other emerging markets. Today, India has become the recipient of new investments and is the world’s primary destination for manufacturing sector relocation,” said BPAM’s president director, Lilis Setiadi.
“By teaming up with Investco, an experienced Technical Adviser in India’s stock market, we are confident that BISE can enrich and leverage the portfolio performance of primary customers of HSBC Indonesia as one of the first distributors of the mutual fund,” she said.
BISE aims to generate potential profit through stock investments in Indian companies that operate in accordance with an investment policy that adheres to sharia principles. BISE has an exposure to the central themes evolving in India such as digitalization, a rise in consumer spending and the resurrection of the manufacturing sector.
Lanny further said that HSBC Indonesia customers could buy into BISE at a minimum of US$10,000 at HSBC Indonesia branches across the country with the assistance of a relationship manager.
“Customers can also buy the mutual fund product through an application, HSBC Mobile Banking, equipped with a feature which assists in the opening of an investment account online,” Lanny pointed out.
Constantly focusing on providing the best service and products in its class to customers has led to HSBC Indonesia earning several accolades in 2024, including Best Wealth Management from the 13th Infobank-Isentia Digital Brand Awards 2024, The International Retail Bank of the Year from ABF Retail Banking Award and Best Wealth Manager in Indonesia from The Asset Asian Awards (AAA) for seven consecutive years.
Source: HSBC
