TMB Open Architecture adds Tisco as a partner

TMB is the first Thai bank to adopt this model so that retail customers can have more choice in investment together with risk appetite. 

Ramlie believes the expertise of Tisco Asset Management will add flexibility in adjusting an investment portfolio based on the situation in the stock market and will help increase the confidence of retail clients.

“We are offering Mid/Small Cap Equity, which is a mutual fund that Tisco will select in listed companies based on market capitalisation. The market cap of each listed share is not more than Bt50 billion. The listed companies that Tisco will invest in must outperform, have reasonable valuations and generate healthy returns,” she said.

To retail investors who prefer to put their money in mutual funds investing in foreign equities in order to diversify risk, TMB is recommending Global Quality Growth, a fund that mainly invests in the Wellington Global Quality Growth Fund managed by global fund Wellington Management Company LLP. The fund was launched in 2015 and has generated return on investment of 2.78 per cent, against minus 5.42 per cent of the MSCI World Index. TMB launched the TMB Open Architecture in 2014, and in the first year of operation 187,000 customers signed up before the number increased to 220,000 in 2015. 

TMB’s AUM as of 2015 was Bt183 billion, up by 18.56 per cent from 2014, while the industry grew by 6.68 per cent.

The bank hopes its AUM this year will grow by no less than 20 per cent, of which 30 per cent will be contributed by asset management partners.

She said the market this year is more volatile following Britain’s vote to leave the European Union. Moreover, the downturn in interest has persuaded retail investors to move from deposit products to high-return instruments. Mutual fund and foreign equities are the choice for them. However, the bank recommends that retail investors balance their portfolio based on their risk appetite, she added.