UnionBank High Net Worth Intermediate-Term Peso Fixed Income Portfolio
|Launch Date:||July 1 2016|
|Currency of Participation:||Philippine Peso|
|Minimum Investment:||PHP 10,000,000.00|
|Return Objective:||The UnionBank High Net Worth Intermediate Term Peso Fixed Income Portfolio is a peso-denominated bond fund designed to provide high net worth individual & corporate investors higher returns than traditional fixed-income savings products.|
1. Credit Risk - LOW
2. Market Risk – LOW
|Initial NAV per Unit:||PHP 100.00|
|Time Horizon:||All individuals of legal age and corporations with a short to medium investment horizon
- Minimum Holding Period: Not Applicable
- Early redemption fee: Not Applicable
|Regulatory:||Subject to Bangko Sentral ng Pilipinas regulations governing the creation, administration and investments of Unit Investment Trust Funds as outlined in BSP Circular 447 Series of 2004 and Section UX410 of the Manual of Regulations for Banks.|
|Tax:||Subject to regular withholding tax of 20% on interest income.|
|Acceptance & Withdrawal Procedure:||Investments into the fund may be accepted on any banking day, at the prevailing NAV per unit. All investments and withdrawals should be processed before 2:30 PM. Withdrawals will be funded one (1) banking day after the date of transaction.|
|Account Opening Procedures|
|Accounts may be opened at any UnionBank branch|
|Only cleared funds from an UnionBank savings account are acceptable for investment|
|Investments and withdrawals may be made at any UnionBank branch|
All Unit Investment Trust Funds (UITFs) are regulated by the Bangko Sentral ng Pilipinas. UITF investments are not insured with the PDIC and do not carry a guaranteed rate of return. Past performance is not necessarily a guide to future performance. Gains and losses are solely for the account of the investor. A copy of the BSP-approved UITF Plan is available for inspection by any UITF investor.
*Modified Duration - is the percentage price change of a fixed income instrument for a given change in the level of interest rates. Duration of 1 means that the price of a fixed income instrument is expected to change by 1% for every 100 basis point (1%) shift in the level of interest rates. The higher the duration of an instrument, the higher its risk (all other factors kept equal).
Interest rates have an inverse relationship with fixed income prices so that an increase in interest rates generally leads to a decrease in fixed income prices and vise versa.