UOB Asset Management sees quadrupling in SMEs investing online

MORE corporates are going online to invest, according to UOB Asset Management (UOBAM), with the number of users in Singapore, Malaysia and Thailand shooting up 330 per cent over the last 18 months.

Their total assets under management (AUM) on UOBAM Invest - its digital investment portal for corporate investors - also surpassed S$1 billion.

About 60 per cent of UOBAM Invest users were new customers to the banking group, and many are small and medium enterprises.

The growth may reflect the increasing demand from corporate investors for round-the-clock access to digital solutions, the bank said.

Such tools also allow flexibility for corporate clients to make real-time changes to their investments and personalised portfolios.

Carecci Salvatore, owner of the Pasta Fresca Da Salvatore chain of Italian restaurants, said: "The UOBAM Invest digital investment portal is well-designed, user-friendly and secure. I do not have to worry about which region or asset class to invest in as UOBAM Invest generates customised portfolios and optimises the returns-to-risk ratio based on my requirements."

"There is an opportunity cost for choosing the wrong asset classes, especially when we need to focus on running our business in these challenging times. UOBAM Invest takes out the guesswork."

Since the start of this year, the number of transactions made on the UOBAM Invest online portal to date has been more than 60 per cent of all those made in the whole of 2020.

UOBAM has also seen strong demand from corporate investors for bond funds that offer stable returns, said the bank.

Its flagship United SGD Fund, which focuses on global short-term, high quality investment-grade bonds, had AUM of more than S$200 million on UOBAM Invest as at June 30, 2021.

"Technology has enabled us to innovate our investment management services and to offer our Asian-focused experience and expertise to more corporate investors through the UOBAM Invest online portal," said Thio Boon Kiat, chief executive officer of UOBAM.

"Backed by our strong understanding of investors across the region, we designed the digital portal to help corporate investors manage their discretionary investments simply, smartly, and securely. The growth in users and AUM is testament to our commitment to meet investors' needs and we plan to launch UOBAM Invest in more markets progressively."

UOBAM Invest for corporate investors was launched in Singapore in 2018 and in Malaysia and Thailand in 2020.

UOBAM Invest's Digital Adviser, which the bank says is the first robo-advisory service dedicated to corporate investors in Singapore and Malaysia, features an algorithm-based portfolio planner. With it, users can invest in customised portfolios of UOBAM's funds and global exchange-traded funds. Corporate investors can also choose the Fund Direct service to build and manage their own portfolio of funds.

UOBAM has also made available more funds that allow corporates to invest in the environment, social and governance - or ESG - theme. These include the United Sustainable Credit Income fund and the United Sustainable Asia Top 50 fund.

In addition to offering the UOBAM Invest digital investment portal for corporate investors, UOBAM also has a mobile robo-advisory app dedicated to individual investors located in Singapore and Thailand.

"We have been enhancing our digital capabilities across various channels, products and services group-wide to offer our best-in-class solutions to more customers, including offering them the ease and convenience of self-serve online investing," said Wee Ee Cheong, deputy chairman and chief executive officer, UOB.

"UOBAM's innovation and deep asset management expertise built up over more than three decades enriches the digital connectivity and suite of investment solutions we offer to our customers to help them achieve their short- and long-term financial goals."

UOBAM is a wholly owned subsidiary of UOB. Established in 1986, it has been managing collective investment schemes and discretionary funds in Singapore for more than 30 years.

As of April 30, it managed 59 unit trusts in Singapore and together with its subsidiaries, managed about S$38.2 billion in clients' assets.

UOBAM Invest has won multiple awards in recent years including "Best Fintech Innovation in Asset Management" in Malaysia and Singapore in 2021 and 2020 respectively, as well as "Best Digital Wealth Management" in Thailand, at the Asia Asset Management Best of the Best Awards. UOBAM was also named Asia Fund House of the Year at the AsianInvestor Asset Management Awards 2021 for the third consecutive year.

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