The Gov. Jose B. Fernandez, Jr. Center for Sustainable Finance (JBF Center) presented the findings of the study, Assessment of the Asset Management Industry in the Philippines: The Case of the Mutual Fund Sector in a webinar on August 12, 2021.
This study is the second phase of the three-phased study on the Philippine asset management industry that the JBF Center is conducting through the support of CFA Society Philippines and Fund Managers Association of the Philippines (FMAP).
The mutual funds industry in the Philippines has been dubbed by FMAP as the most transparent and participative investment option in the country. It has seen significant growth in number of investors and accounts as well as the level of professionalism and sophistication in the sector. Despite these developments, however, the mutual fund industry still lags behind its counterparts in the pooled investment funds category, particularly the Unit Investment Trust Fund (UITF) and Variable Unit Linked (VUL) insurance. The roadblocks to the success of the mutual fund industry include the regulations governing the sector that limit some of the offerings and operations of the mutual fund companies in the country, making it difficult to push mutual funds to potential investors.
The study and discussion aimed to assess the supply and demand side of the sector by evaluating the market landscape and key characteristics of the mutual fund sector in the Philippines; determining current problems faced by the key players of mutual fund in the Philippines; assessing the profile of the mutual fund investors in the Philippines; evaluating the level of understanding among Filipino retail investors about mutual funds; assessing the perception among investors and non-investors towards mutual fund; determining the level of awareness of investors towards socially responsible mutual funds; and recommending strategies to address the challenges and weaknesses of the mutual fund sector in the Philippines.
The paper was presented by Arlene Gutierrez, an Assistant Professor at the Department of Agribusiness Management and Entrepreneurship, and concurrently the Associate Dean of the College of Economics and Management at the University of the Philippines, Los Baños, where she was awarded the 2020 UPLB Outstanding Teacher Award (Junior Category). Ms. Gutierrez received her BS Agribusiness Management degree from the same school, and her Master in Business Administration degree (with distinction) from the Asian Institute Management in 2015.
The presentation was followed by a lively panel discussion and Q&A moderated by JBF Center Executive Director, Dr. Felipe O. Calderon. The panel was joined by Michael Ferrer, President and Managing Director of ATR Asset Management Inc.; Camilo Carl Roque, Director I of Insurance Commission’s Technical Services Group; Marvin Fausto, President of COL Investment Management, Inc.; Ephyro Luis Amatong, Commissioner of Securities and Exchange Commission; and J Vincent Daffon, President of Fund Managers Association of the Philippines.
The webinar was attended by 270 participants.
Follow the JBF Center Facebook group and watch the webinar here
Download the Mutual Fund Study here
The JBF Center for Sustainable Finance provides venues for research and discussion of issues in the banking and financial services industry and relentlessly pursues strategies that improve the skill set of Asian financial managers. We are always finding ways to come up with programs and activities for a meaningful exchange of insights and ideas to support local and private banking practice. Should you have any specific topics that you would like for us to conduct a research/study or facilitate a forum on or for any further inquiries, please email us at jbfcenter@aim.edu.