Rizal Commercial Banking Corp. (RCBC) is offering a new product which allows clients to invest in the equities markets in the US, including companies in the S&P 500 index.
With a minimum of $200, RCBC clients can invest through the RCBC US Equity Index Feeder Fund (RUEIF) which will invest at least 90 percent of its funds in Blackrock Fund Advisors’ (BFA) iShares Core S&P500 Exchange Traded Fund (IVV).
Blackrock is the world’s largest asset manager with assets under management (AUM) of $8.68 trillion as of end-2020.
On the other end, the IVV tracks the investment performance of the S&P500 Index, widely regarded as the best single gauge of large-cap US equities, by investing in such corporate giants as Tesla, Apple, Microsoft, Amazon, Facebook and other leading US companies.
The initial investment amount is one of the lowest and most affordable in the Philippines and has no holding period and with a short settlement date of four banking days after the redemption transaction.
Aggressive clients in terms of their investments could see potentially higher returns for their funds in the RUEIF through capital growth.
RCBC said investing in RUEIF is also a good opportunity for clients to diversify their investment portfolios and have exposure to global markets.
Investing in RUEIF is also made easier by the bank as it is available online, wherein customers need only to enroll in the fund by logging-in to the RCBC online banking retail website.
After successful enrolment, clients could access and monitor their investment using the RCBC Mobile app.
The bank also offers a wide range of UITFs.
UITFs are pooled funds from individuals and institutions that are invested in different financial instruments with an initial investment, the minimum amount required to start investing in UITFs with RCBC is only P5,000.
The RCBC Trust and Investment Group oversees investments for UITFs, investment management accounts, and trust accounts, among others. It manages P127 billion worth of assets as of end 2020.
With additional report: Lawrence Agcaoili, The Philippine Star
Image sources: fnlondon.com, The Philippine Business and News, RCBC
