UITF

Read through to know all about Unit Investment Trust Funds (UITF).

 

About UITFs

Making your money work for you.

We all want to make our money work for us, not the other way around. We’d all rather be enjoying life than always chasing a paycheck.

Investments generate passive income, or money which grows without you doing anything to earn it. Investments allow us to earn, without having to produce the large start-up capital needed in other forms of income-generating means.

 

What are UITFs?

UITF stands for Unit Investment Trust Fund. Basically, the trustee bank pools the investments of different individuals into a consolidated fund, which professional fund managers invest in securities such as time deposits, government and/or corporate bonds and listed stock shares.

The wisdom of investing in UITFs is that there is no need to have a large amount of capital, nor do you have to watch the markets all the time; yet you can still reap the rewards of high-grade investments.

 

Who can invest in UITFs?

Almost everyone of legal age can invest in UITFs. There will always be a UITF that will suit an individual in every life stage or life cycle. Be it as a college student, a young professional, young couple, an established professional and/or employee, a retiree, etc.

Depending on your ability to take on risks for higher potential earnings, investing in a UITF suits you if:

  • You have money set aside for at least 1 year to more than 10 years
  • You are willing and ready to take some amount of risk in exchange for higher returns from ordinary savings
  • You are not so familiar or do not understand passive investments like trading stocks and bonds yet you want to get your feet wet and aim to maximize the potential of your savings
  • You are too busy with career and/or business

Investment Suitability Assessment

    What UITF product should I invest in?

    When assessing which UITF product best suits you, you must consider the following:

    • What is my investment objective?
    • How long am I willing to have my money invested?
    • How much risk am I willing to take on relative to the returns that I am expecting?

    To make the assessment easier, you may refer to the investment suitability assessment below:

    RISK PROFILE CONSERVATIVE MODERATE AGGRESSIVE
    What is my investment objective? Capital Preservation Regular Income Capital Appreciation
    How long am I willing to invest? Short Term Medium Term Long Term
    When do I expect to reap returns? 1 to 3 years 3 to 5 years 5 years and up
    How much risk am I willing to take on? Minimal Fluctuations Fair amount of fluctuations High degree of volatility

    PBCOM Funds

    PBCOM PHP MONEY MARKET FUND 

    For investors with CONSERVATIVE RISK PROFILE

    The primary investment objective of the Fund is to preserve capital and generate income from short-term PHP-dominated securities. The fund aims to provide investors with remaining terms to maturity of not more than three (3) years and has a weighted average portfolio of one (1) year or less.

    FUND TYPE
    PHP MONEY MARKET FUND
    CLASS
    CLASS R
    CLASS E
    CLASS I*
    Description Applicable to Retail clients Applicable to PBCOM Employees only Applicable to Institutional clients
    Minimum Investment PHP 5,000 PHP 500 PHP 20,000,000
    Minimum Additional PHP 1,000 PHP 500 PHP 1,000
    Minimum Holding Period 30 Calendar Days 360 Calendar Days (Applicable only on initial investment of the fund) 30 Calendar Days
    Early Redemption Fee 0.125% p.a. of redemption value Not subject to early redemption fee 0.125% p.a. of redemption value
    Trust Fee 0.50% p.a. 0.30% p.a. 0.25% p.a.
    Redemption Settlement One (1) banking day from redemption date One (1) banking day from redemption date One (1) banking day from redemption date

    *Existing clients with total relationship balance or Assets Under Management of at least PHP 20,000,000 with TWMG under either Investment Managment, Trust or other Fiduciary accounts with minimum allowed investment in any of the Fund of PHP 1,000,000.

     

    PBCOM USD MONEY MARKET FUND

    For investors with CONSERVATIVE RISK PROFILE

    The primary investment objective of the Fund is to preserve capital and generate income from short-term USD-denominated securities. The fund aims to provide investors a vehicle for short-term placement principally in bank deposits and fixed income securities with remaining terms to maturity of not more than three (3) years and has a weighted average portfolio life of one (1) year or less.

    FUND TYPE
    USD MONEY MARKET FUND
    Minimum Investment USD 100
    Minimum Additional USD 100
    Minimum Holding Period 30 Calendar Days
    Early Redemption Fee 0.125% p.a. of redemption value
    Trust Fee 0.375% p.a.
    Redemption Settlement Three (3) banking days from redemption date (T+3)

     

    PBCOM PHP MULTI-ASSET FUND

    For investors with AGGRESSIVE RISK PROFILE

    The primary investment objective of the Fund is to provide participants with medium to long-term capital growth. The Fund invests in a diversified portfolio of fixed income securities, equities and other allowable investments for UITFs. The Fund has at least five percent (5%) to twenty (20%) invested in stocks listed in the Philippine Stock Exchange and a portfolio of medium to long-term deposits and fixed-income securities.

    FUND TYPE
    MULTI-ASSET FUND
    Minimum Investment PHP 5,000
    Minimum Additional PHP 1,000
    Minimum Holding Period 30 Calendar Days
    Early Redemption Fee 0.25% p.a. of redemption value
    Trust Fee 1% p.a.
    Redemption Settlement Three (3) banking days from redemption date (T+3)

     

    PBCOM VALUE EQUITY FUND

    For investors with AGGRESSIVE RISK PROFILE

    The primary investment objective of the Fund is to provide participants with income and long-term capital growth in a portfolio of stocks listed in the Philippine Stock Exchange (PSE). The Fund is invested in substantially, at least 80% of its net asset value, in equities.

    FUND TYPE
    PBCOM VALUE EQUITY FUND
    CLASS
    CLASS R
    CLASS I*
    Description Applicable to Retail clients Applicable to Institutional clients
    Minimum Investment PHP 5,000 PHP 20,000,000
    Minimum Additional  PHP 1,000 PHP 1,000
    Minimum Holding Period 30 Calendar Days 30 Calendar Days
    Early Redemption Fee 0.25% p.a. of redemption value 0.25% p.a. of redemption value
    Trust Fee 1.50% p.a. 0.75% p.a.
    Redemption Settlement Three (3) banking days from redemption date (T+3) Three (3) banking days from redemption date (T+3)

    *Existing clients with total relationship balance or Assets Under Management of at least PHP 20,000,000 with TWMG under either Investment Managment, Trust or other Fiduciary accounts with minimum allowed investment in any of the Fund of PHP 1,000,000.

    Unit Investment Trust Fund Performance

    FUND TYPE NAVPU, Mar 31, 2024 Year-on-year performance Year-to-date performance
    PBCOM PHP Money Market Fund (Class R) 166.7075 4.56% 1.14%
    PBCOM PHP Money Market Fund (Class E)* 103.6983 N/A 1.19
    PBCOM PHP Money Market Fund (Class I) 102.5789 N/A 1.21
    PBCOM USD Money Market Fund 103.3372 1.98% 0.46%
    PBCOM PHP Multi-Asset Fund 120.6538 5.26% 2.29%
    PBCOM Value Equity Fund             (Class R) 143.3913 8.09% 7.47%
    PBCOM Value Equity Fund             (Class I) 113.3649 N/A 7.67

     

    *Only available for PBCOM Employees

    **Computation is based on inception date (October 14, 2022)

    Key Information and Investment Disclosure Statement

    PBCOM PHP Money Market Fund
    PBCOM USD Money Market Fund
    PBCOM PHP Multi-Asset Fund
    PBCOM Value Equity Fund

    Declaration of Trusts

    Declaration of Trust of PBCOM PHP Money Market Fund
    Declaration of Trust of PBCOM USD Money Market Fund
    Declaration of Trust of PBCOM PHP Multi-Asset Fund
    Declaration of Trust of PBCOM Value Equity Fund

    Audited Financial Statements

    PBCOM PHP Money Market Fund - AFS
    PBCOM USD Money Market Fund - AFS
    PBCOM Best Balanced Fund - AFS
    PBCOM Value Equity Fund - AFS

    Historical NAVPU

    Terms and Conditions

    • Trust Products are not deposit accounts and NOT insured by PDIC for P500,000.00. Trust assets are separate from bank’s assets. In case of bank closure, the Trust assets of the clients remain in the portfolio and may be sold/withdrawn or transferred to a successor Trustee bank at its market value. 
    • Yields are not guaranteed. Bonds and fixed income assets may have their respective indicative yields depending on maturity. However, these assets are valued at the end of each trading day for price transparency. All investments (except for cash and/or time deposits) are valued at market prices (MTM); therefore, yields may change upward or downward depending on daily price movement.
    • All Income/losses are for the account of the client.   Investments have their inherent risks. The higher the risk, the higher the return potential. It is important for a client to manage his own risk by choosing the appropriate investment that would suit or match his risk profile.  The Trustee is not liable for any loss unless upon willful default, bad faith or gross negligence. Investor must read the complete details of the fund in the UITF’s Plan, make his/her own risk assessment, and when necessary, seek an independent/professional opinion before making an investment.
    • Historical performances are purely for reference purposes and are not a guarantee of similar future results. Prices may go up or down depending on several socio-political & economic factors and market sentiment. Analysts can only forecast or project based on data and possible scenarios but cannot accurately predict future outcome.
    • Cooling-off period. Pursuant to BSP Circular No 1160, the investor, if he/she is a natural person, is entitled to cancel his/her investment within two (2) banking days (“Cooling-Off Period”) from the date of the agreement. This provision shall cover UITFs that have underlying investments with a remaining term equal to or beyond one (1) year including, but not limited to government securities and corporate bonds. All discretionary pre-termination penalties such as holding period fees shall be waived. If the investor wishes to exercise his/her right to cancel the investment, the investor shall inform the Trustee via written notice to cancel which must be duly received by the Trustee within the prescribed Cooling-Off Period. As a result of the cancellation of the participation, the investor hereby agrees that any difference in the NAVPU shall be borne by the investor. After the expiration of the Cooling-Off Period, the investor understands and acknowledges that the right to cancel the investment under the aforementioned BSP circulars shall also expire, and any termination shall be governed by the terms and conditions of the agreement on cancellation, including pre-termination fees and penalties, if any, shall apply.

    IMPORTANT ANNOUNCEMENT

    UITF AMENDMENTS ADVISORY - PBCOM Money Market Funds
    PBCOM UITF Multi-Class Advisory
    Amendments to the Declaration of Trusts of PBCOM Unit Investment Trust Funds
    Amendments to the Declaration of Trust of PBCOM PHP Money Market Fund
    Amendments to the Declaration of Trust of PBCOM Best Balanced Fund
    Amendments to the Declaration of Trust of PBCOM MMF and VEF
    Amended Declaration of Trust - PBCOM Money Market Fund
    Amended Declaration of Trust - PBCOM Value Equity Fund
    Appendix I - PBCOM Value Equity Fund
    Declaration of Trust – PBCOM USD Money Market Fund
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