Director of LFX Inc. Datuk Dr. Awang Adek Hussin said this would be a continuing trend with more listings of various types of instruments in the future.
"LFX is looking forward to more listings and increased participation by Issuers, Listing Sponsors, Trading Agents and investors at large."
"For then, LFX will truly achieve its goal to facilitate the influx and mobilisation of funds through its listings. Therefore, I urge all participants to consider the many benefits of LFX and the Labuan International Offshore Financial Centre (IOFC) in general," he said.
Dr. Awang Adek was speaking at the listing ceremony of five Insinger funds on LFX in Labuan. Insinger is an Anglo-Dutch banking organisation listed on the Luxembourg Stock Exchange. The five Insinger funds listed on LFX are: -
- Insinger de Beaufort Multi-Manager Equity Class A shares
- Insinger de Beaufort Multi Manager Balanced Class A shares
- Insinger de Beaufort Multi Manager Asia Ex Japan shares
- Insinger de Beaufort European Bond Class B shares
- Insinger de Beaufort Zeus (OS) Fund
"We feel confident that Malaysian fund managers will find the offering provides thorough global diversification which will enhance their own funds' performance whilst reducing volatility."
"Our intention is to promote the Labuan listed funds regionally and to build on Labuan's reputation as the region's premier offshore financial services centre," Baron Frederik said.
Dr. Awang Adek said the listing is of mutual benefit to LFX and Insinger.
"For Insinger, a listing on LFX will enhance the profile of Insinger and its funds to the Asian Region, thus completing its standing from one end to the other end of the world. This will generate new interest and greater information for more investors in this region."
"For LFX, the listing of the Insinger funds, will expand the range of instruments listed on LFX which in turn should garner more interest and activity in LFX," Dr. Awang Adek added.
Dr. Awang Adek said another positive development for LFX and the investment community in the Labuan IOFC is the recent approval from Bank Negara Malaysia for resident fund managers and unit trust managers to invest up to US$5 million each in LFX listed securities.
"With this, local fund managers and unit trust managers now have an alternative avenue for investing their funds and will be able to diversify their investment portfolio."
"This, we hope, will stimulate liquidity in LFX, and consequently attract more listings on LFX," he said.
Director General of Labuan Offshore Financial Services Authority (LOFSA) Noorazman A. Aziz expects the listing of the Insinger funds to set the stage for even more listings of financial instruments, both primary and secondary, on LFX.
"The increased activity on the Exchange will certainly benefit the Labuan offshore community and go a long way in contributing towards developing Labuan as a premier IOFC in the region," he said.
The range of instruments available on LFX has expanded with the listing of the Insinger funds. The first listing on LFX was a conventional bond issue - the secondary listing of US$250 million floating rate secured notes issued by 1st Silicon (Labuan) Inc. in June 2001. Next, the primary listing of the serial Islamic Lease Sukuk, an Islamic financial instrument, which saw the quotation of two series of Sukuk raising a total of US$150 million for Kumpulan Guthrie Bhd in January 2002. With the secondary listing of the five Insinger open-ended funds, there are now 8 listings on LFX.
Wholly owned by the Kuala Lumpur Stock Exchange (KLSE), LFX is an international offshore financial exchange that facilitates the listing of a multitude of multi-currency instruments including equities, investment funds, debt instruments, insurance related instruments and other categories of instruments as defined by the requirements of issuers and investors.
