BPI UITF News
Here's some good news for those who want to invest with BPI's Unit Investment Trust Funds (UITF). I just received information that BPI has reduced the minimum initial investment and maintaining balance amount for their UITFs. You can now invest in Peso-denominated funds with an initial investment of only PHP 10,000, down from PHP 50,000 previously. For Dollar-denominated funds the minimum initial investment is now at USD 500, down from USD 1,000 previously. This is certainly good news as a lot of us can now invest with the Philippine's largest bank even if we only have 10,000 pesos.
The minimum transaction amount for additional contribution and partial redemption has also been reduced from PHP 10,000 to PHP 1,000 for peso-denominated funds, and maintained at USD 200 for dollar-denominated funds.
This will certainly encourage inflow of new money to the funds granting the funds more flexibility and access to more investments. A possible drawback though is the entrance of "weaker hands" in the fund. Investors who are risk averse that would sell right away at any sign of decline in the fund's value. In this regard, if you own units in any BPI UITF and you don't agree with the changes they've introduced, the bank is allowing you to redeem your participations free of any penalty or charges until November 19, 2010.
Learn more about UITFs through these articles:
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