​KAsset launches four SSFs in four styles Investors recommended to take advantage of tax saving and gradually invest for long-term gain

KASIKORN ASSET MANAGEMENT Co., Ltd. (KAsset) has introduced four Super Saving Funds (SSFs), i.e., K-FIXEDPLUS-SSF, K-STAR-SSF, K-GINCOME-SSF and K-CHANGE-SSF, to stay in step with the New Normal and meet long-term saving goals.

Mr. Vasin Vanichvoranun, KAsset Executive Chairman, said that the Super Savings Fund Extra (SSFX) launched by the company in early April has received good response from investors. Overall, however, the amount of SSFs purchased by investors remains relatively low to date, due to the recent surge in the SET Index and investors’ concerns regarding the COVID-19 pandemic. Believing that the investment atmosphere could see a turnaround sooner rather than later, KAsset has unveiled four SSFs including K-FIXEDPLUS-SSF and K-STAR-SSF which will be offered to the general public on May 8, and K-GINCOME-SSF and K-CHANGE-SSF to be issued from May 11 onwards. 
Mr. Vasin added that the four newly issued SSFs are another share class; they are different from the existing funds though both groups aim for effective management and outstanding performance of each asset class. The new SSFs have an investment policy that is in step with the “New Normal”. For effective portfolio management, investors may mix these funds based on their risk appetite. K-FIXEDPLUS-SSF focuses on high quality fixed-income funds with medium- to long-term maturities issued domestically and abroad under an active investment management strategy, and is suitable for risk-averse or novice investors. Meanwhile, K-GINCOME-SSF focuses on asset diversification with investment in more than 2,500 assets under the management of well-versed experts to ensure consistent income. This fund has a policy of dividend payout not more than four times a year and is designed specifically for investors with a medium risk appetite. 

For investors with a higher risk appetite, K-SUPSTAR-SSFX and/or K-STAR-SSF are recommended. The two funds have an identical investment policy, focusing on leading Thai companies with the potential for long-term growth. Tactical trading, which is used for gaining profits in all circumstances, is the same tactic adopted for managing K-STAR-A(R) – an outstanding Thai equity fund that has regularly generated satisfactory returns and has earned a five-star Morningstar rating in the Overall Rating category (as of March 31, 2020). In addition, K-CHANGE-SSF is advised for high-risk investors seeking profits from foreign stocks. This fund invests in global companies that are noted for social and environmental sustainability while reporting high growth. K-CHANGE-SSF invests via the Baillie Gifford Positive Change Fund – Class B accumulation (GBP), which also has a five-star Morningstar rating (as of March 31, 2020).

The overall investment climate is expected to improve on account of easing lockdown measures and accommodative monetary policies of major central banks. Meanwhile, most investors around the world remain cautious in their moves. However, markets may remain highly volatile due to short-term pressures, and continue to move in line with the prevailing situation of the COVID-19 pandemic and relief measures that are subsequently issued, as well as the operating results of listed companies in the first quarter of 2020. Investors must closely monitor all near-term factors affecting economic recovery, which will depend on each nation’s respective ability to control the spread of COVID-19, successful development of a COVID-19 vaccine, and the efficiency of  measures that are launched by each government in a significantly faster manner than in the past, said Mr. Vasin. 

Mr. Vasin added that this period is the right time for gradual investment in SSFX and SSF, so as to gain long-term profits and tax benefits. Investors with a high risk appetite should invest in SSFX to the maximum limit within June 20, 2020, in order to obtain additional tax saving of 200,000 Baht (not including investments in SSF), and then allocate their investment to SSF that is tax deductible up to 30 percent of taxable income, or not more than 200,000 Baht. However, investors must hold the investment units for at least 10 years from the purchase date, and the capital gains will benefit from tax exemption only if investors comply with the established terms and conditions.

Investment in SSFX and SSF of KAsset can start with only 500 Baht, and can be made via K PLUS, K-My Funds, KBank and selling agents. Interested investors may obtain a prospectus at the aforementioned channels. For each 50,000 Baht of investment, cash back of 100 Baht will be granted (up to 400 Baht/person), available until June 30, 2020, under KAsset’s terms and conditions. For any inquiries, please contact the KAsset Contact Center, tel. 02-673-3888.

Investors should understand the characteristics of products, conditions of returns, risks and tax information detailed in the prospectus before making an investment decision. K-FIXEDPLUS-SSF has forex risk hedging of not less than 90 percent of foreign investment value, and its investment is concentrated in the industrial sector; thus, investors risk a substantial loss of investment funds. K-GINCOME-SSF and K-CHANGE-SSF have forex risk hedging of not less than 75 percent of foreign investment value. As the funds are not fully hedged for forex risk, forex losses or gains may be incurred by investors, or they may receive a redemption amount that is less than the initial investment amount. ​