KUALA LUMPUR, 8 June 2009 – Uncertainty in the global economic climate has led investors to confine themselves to "safe havens" such as government bonds, highly-rated private debt securities as well as sukuk. In the same mien, the recent issuance of RM35 billion of bond by the Malaysian Government is to finance its expansionary fiscal policy despite the country’s budget deficit climbing up to 3.6 per cent of 2009’s Gross Domestic Product ("GDP") indicates a demand for the asset class. In view of the environment, HwangDBS Investment Management Berhad ("HwangDBS IM" or "the Company") is pleased to offer investors a golden opportunity to take advantage of the progressing bond market with the launch of the HwangDBS Fixed Maturity Income Fund I ("FMIF I" or "the Fund").

Speaking at the launch, HwangDBS IM Chief Executive Officer and Executive Director, Mr. Teng Chee Wai said, "There are no definite signs of economic recovery in the near term despite the recent surge in market participation. For those who remain wary, investing in investment grade rating bonds present an attractive option as they are generally more liquid and easily substituted. Given that the uncertainty of the current economy crisis is expected to continue until the end of the year, investors should consider investing in short term, income-yielding options like FMIF I, where the aim is to distribute the first income at the end of the first anniversary and thereafter on a semi-annual basis until maturity."

Bonds have historically provided a higher total return and have generally been much less volatile than stocks. To this end, FMIF I provides a feasible access to the bond market, allowing investors to meet their short to medium term investment objectives affordably. In order to provide higher returns to investors, FMIF I will invest in a multitude of foreign and local fixed income instruments, primarily in bonds such as sovereign issued bonds, private debt securities, convertible bonds and other fixed income instruments. These securities will provide income by way of coupon payments at intervals which are predetermined.

Teng added, "Generally, the Fund will adopt a hold-to-maturity investment strategy and select fixed income securities which closely match the Fund’s maturity of a short tenure of three (3) years. Where appropriate and should the opportunity arise, FMIF I may selectively adopt a more active trading strategy to enhance returns to unit holders. This may entail selection of fixed income securities of a shorter or longer than the remaining duration of the Fund to its maturity date."

As one of the more established and reliable names in Malaysia, HwangDBS IM has progressively expanded their capabilities to manage both corporate and retail funds in the last eight (8) years. FMIF I will be the first in a series of funds that will cater to needs of investors in the current low-interest rate environment.

In essence, FMIF I, is a close-ended bond income typed fund with a short maturity period of three (3) years. The Fund is targeted at low-risk type investors with short to medium investment horizons and are seeking regular income distributions. FMIF I targets to obtain four (4) per cent per annum coupon payout at the first anniversary and thereafter on a semi-annual basis until maturity. There is potentially an additional Bonus Coupon of two (2) per cent at maturity payable to the Fund.

In closing, Teng said, "We pride ourselves for being stringent when it comes to our investment portfolio. As of end April 2009, HwangDBS IM continues to hold a strong track-record of NO history of defaults to date, across all fixed income portfolio."

Fund Facts:

The minimum initial investment is RM1,000 and minimum additional investment is RM100. FMIF I has an approved fund size of 100 million units retailing at RM1.00 per unit during the Offer Period. The Fund aims to provide regular income distribution for three (3) years and will be made available through only three (3) distributors, namely Citibank Bhd, EON Bank Bhd and Standard Chartered Bank Malaysia Bhd. and their respective branches nationwide.