WORLD'S FIRST ASEAN CORPORATE GOVERNANCE FUND LAUNCHED THURSDAY

KUALA LUMPUR, Oct 23 (Bernama) -- Corston-Smith Asset Management Sdn Bhd
and
Hermes Equity Ownership Services (EOS), a leading pension fund investment
adviser from the United Kingdom, have launched the world's first Asean Corporate
Governance Fund.

The managing director or Corston-Smith Asset Management, Shireen Ann
Zaharah
Muhiudeen said the two funds namely, the Asean Corporate Governance Fund and the
Asean Shariah Corporate Governance Fund will invest in long-term equity
opportunities in the South East Asian markets.

"The two funds collectively, are expected to raise as much as RM2.16
billion from institutional funds within the next two years namely in companies
within the Asean region which shows sound financial performance and acceptable
standards of governance," Shireen Ann said during the launch Thursday.

The synergistic partnership, according to Shireen Ann will see Hermes EOS
providing corporate governance advisory services to the fund while
Corston-Smith, an equity specialist asset manager in the Asean region, will be
screening for companies with solid business models and average-to-good
governance and transparency levels.

As for the Asean Shariah Corporate Governance Fund,the Asian Finance Bank
Bhd, a full-fledged foreign Islamic Bank, based in Malaysia has been appointed
as a placement agent.

The Asean Corporate Governance Fund, Shireen Ann, noted, aims to provide a
minimum absolute return through responsible shareholder activism by investing in
20 companies from the Asean region in their portfolios.

Currently, a total of RM100 million worth of assets in the Asean Corporate
Governance Fund was being managed since June.

Shireen Ann said the Asean Shariah Corporate Governance Fund is expected to
receive good response from Middle Eastern investors.

"We are looking at large institutional investors from the United States and
Canada. However, sophisticated investors from Malaysia will also be invited to
participate in the fund," she said.

Speaking at the launch, the chief executive officer of Hermes EOS, Colin
Melvin said the Asean region is relatively untapped by international investors
and this may be atrributed to the perceived risks surrounding these
countries.

"We will be able to bridge this gap by selecting companies with sound
financial performance and acceptable standards of governance," Melvin
said.

-- BERNAMA