Lion Global Investors Limited (LGI), one of the largest asset management companies in Southeast Asia, has launched  the LionGlobal All Seasons Fund (Fund).

Designed primarily for Singapore-dollar investors, the Fund allows investors to invest in a globally-diversified, balanced portfolio of funds and exchange-traded funds (ETFs) at an uncommonly low Total Expense Ratio (TER).

For the actively-managed fund, the fund comes with a very-low TER capped at 0.5% per annum (p.a.). This means for every US$1,000 invested in the Fund, only $5 would go into cost2 of investment. One component of the TER is the annual management fee, which at 0.25% p.a., is significantly lower than other actively-managed funds with a global investment mandate.

LGI’s Chief Executive Officer, Gerard Lee, commented: “The LionGlobal All Seasons Fund was brought into existence primarily to create a simple, accessible and low-cost investment solution for investors at large. The term ‘all seasons’ is symbolic of the fact that the Fund is designed to better weather all economic cycles. Research has shown that a lower TER is likely to lead to better returns over the long-term as a high cost of investment eats into investment returns. With the TER of the Fund capped at 0.5% p.a., investors will incur a lower cost of investment and this would increase their odds of earning better returns from their investment.

“Through the funds and ETFs in the portfolio, investors can easily gain exposure to global equities and bonds. The Fund would appeal to long-term investors seeking a low-cost, well-diversified investment. Given LGI’s heritage and 32-year strong presence in the market, we are able to leverage our size to lower the costs from the underlying LGI funds that the Fund invests in, thereby resulting in a low TER.”