TMBAM focuses on product quality

       TMB Asset Management will focus on improving product quality, boosting its provident fund clients and achieving greater synergy with parent TMB Bank.
       Somjin Sornpaisarn, who left One Asset Management to become chief executive of TMBAM effective Sept 1, said the firm would continue to build on its reputation as a leading passive fund manager.
       "TMBAM has an outstanding and strong reputation as a passive fund management company.
       We have a full range of domestic and foreign investment funds. With quality products that are easy to understand and effective service, we have been able to maintain good relations with sales agents," he said.
       TMBAM would build up its provident fund offerings. The company currently offers seven types of funds for employees to choose based on their risk appetite,said Mr Somjin.
       TMBAM manages provident fund assets for 46,000 workers at 329 companies.
       More than half of the members have opted for "Employee Choice" programmes, a classification that allows employees to shift contributions between funds depending on their investment outlook.
       The firm's third key strategy is to boost its ties with TMB Bank, which also has a major shareholding in ING Funds, he said.
       "[TMBAM] has a specific personality,with different competencies and philosophies. We still can stand on our own and compete.
       TMB Bank has two asset management companies under its umbrella, and it might look as if there is a conflict if looking from each firm. But if looking from the customers' view, there is no conflict," he said.
       Mr Somjin declined to comment about whether ING, the largest shareholder in TMB Bank, wants to merge the two fund companies.
       TMBAM deputy managing director Paisal Krutdumrongchai said five of the company's Korean bond funds are nearing maturity, involving assets of 9 billion baht.
       It was uncertain whether the funds would be rolled over, considering that Korean interest rates have begun to fall and opportunities in other countries for sovereign debt are limited, he said.
       Mr Paisal recommended that investors allocate 10% of their portfolio to gold,and gradually build up their holdings in equities.
       TMBAM currently has 133.9 billion baht in assets under management, of which 64.85 billion was held in fixedincome funds and 42 billion in foreign investment funds. Equity funds had just 7.8 billion baht in assets, with provident funds 3.55 billion, retirement mutual funds 3.38 billion and long-term equity 4.49 billion.