UCPB gains from UITF pool

MANILA, Philippines - UCPB reported a strong performance for its pooled investment funds gathered from individual and institutional clients in the first three months of the year amid external headwinds.

Ma. Elena Sarmiento, senior vice president and chief trust officer at UCPB, said unit investment trust funds (UITFs) showed resilience and performed remarkably well in the first quarter despite the challenges faced by a volatile market.

UITFs are pooled investment funds gathered from individuals and institutions, managed by trust departments of banks granted trust licenses by the Bangko Sentral ng Pilipinas.

“The performance of these UITFs reflect the depth of UCPB Trust Banking Group’s fund management expertise in capturing investment opportunities that maximize returns even under uncertain market conditions,” she said.

The UCPB Balanced Fund (UBF) ranked second-best in its category, while the UCPB High Dividend Fund (UHDF) placed third in its class in the same period.

Sarmiento said the UCPB Equity Fund (UEF) and UCPB Philippine Index Equity Fund (UPIEF) topped their respective categories in the first quarter.

The UEF, which fund managers invest primarily in listed shares of stock, grew 6.93 percent year-to-date as of March 30.

On the other hand, the UPIEF, which is substantially invested in shares that comprise the Philippine Stock Exchange composite index, saw its investments rise 7.97 percent. Invested primarily in equities that payout cash dividends, the UHDF rose 6.44 percent.

“If you invested P10,000 in UPIEF at the start of the year, your investment would have grown to P10,797 at the end of March, a yield that you won’t realize with other fixed-income short term placements,” she said.

The performances of the UEF, UPIEF, and UHDF outperformed industry benchmarks as well. Equity funds, where UEF is categorized, have a benchmark of 6.72 percent, while Equity Index Tracker Funds, which UPIEF is classified, has a benchmark of 6.86 percent.

The benchmark for High Dividend Equity Funds, where UHDF belongs to, is 6.24 percent. Meanwhile, the UBF saw its gains at 4.31 percent as of March 30. UBF invests in equities, fixed-income securities, and bonds.

Aside from the four UITFs, UCPB offers other trust products or services including other UITFs that cater to the different risk appetites of investors.