Kasikorn Asset Management plans to launch 21 new funds in seven categories next year, aimed at making the company one that can provide every type of fund.

"The funds will be launched to fill the gaps in our customers' investment needs," said Kasikorn Assets' managing director Wiwan Tharahirunchote.

Apart from the routine short-term fixed-income funds launched regularly every month, Kasikorn Asset plans to launch three new fixed-income funds, in which the investment policy will be different from the existing ones. The timing of the launch is expected to close the time gap created when other short-term fixed income funds mature.

Kasikorn Asset recently forged an alliance with Golden Land Property Development to set up a property fund, in which Mayfair Marriott Executive Apartments will be the underlying assets. The fund is expected to be launched in February. Currently both parties are working out the details of the deal.

The fund will be Kasikorn Asset's first property fund. Wiwan said two other property funds were in line to be launched next year.

Among the 21 new funds planned for launch next year, eight will be mixed funds and one in equity.

Although the tax-deduction privilege for Long Term Equity Funds (LTFs) will not be renewed, the firm plans to launch at least one LTF before the promotion period is over.

Three years ago, then-Finance Minister Somkid Jatusripitak initiated the idea to provide tax-deduction privileges for those who invested in LTFs. The Revenue Department responded but decided that the promotion would end in June next year. Investors who invest in LTFs prior before the end of June will still receive the tax incentive.

Kasikorn Asset also plans to launch four foreign investment funds but the details have not been disclosed.

It is about to partner with a securities firm in the bidding to become the Stock Exchange of Thailand's Exchange Traded Fund, an open-ended collective investment scheme. Typically, ETFs try to replicate a stock-market index. The SET is now working on creating the index for this fund.

The company yesterday launched its sixth Retirement Mutual Fund, called K Equity RMF (KEQRF), which is its first equity RMF in which up to 25 per cent of the total net asset value can be invested in securities aboard.

Two of Kasset Assets' five other RMFs are flexible funds, in which the investment portfolio consists of fixed-income tools, equity and cash. The remaining three are fixed-income RMFs in which the investment policy is different in its details.

KEQRF is the second RMF in the industry to ask for approval from the Securities and Exchange Commission to open the room for investment in foreign countries.

Wiwan added that KEQRF was also designed to be able to invest in derivatives.

The subscription period for this fund will end on Thursday. The minimum initial investment is Bt5,000.

The firm has also launched its first "structure note linked" mutual fund, the K Principle Protection 1/52 Fund. The subscription period starts on Tuesday and runs until December 25. The minimum investment is Bt10,000.

As of December 8, the country's biggest mutual-fund player had Bt169.44 billion in assets under management, up 27 per cent from the end of 2005. It aims to grow at least 10 per cent next year.

Piyarat Setthasiriphaiboon

The Nation