Orient Wealth launches innovative investment schemes

Sanjeevi JAYASURIYA

Orient Wealth Limited launched new products and services under the license from Securities and Exchange Commission of Sri Lanka. The company will offer innovative investment schemes to small and large scale investors through three open ended funds.

“Our intention is to create an awareness among the educated people on the importance of saving for the future.

We encourage long term investments and our new products serve this purpose. The Retirement and Child Education plans that are being introduced are critical investments in today’s society where it also could help the country’s development drive,” Orient Wealth CEO S. Jeyavarman said.

The Retirement Savings Plan focuses on offering people the opportunity to accumulate a fund during their active days to create substantial source of fund for their retirement.

Orient Wealth will offer three sub plans from which individuals could select what suits their individual preference and risk appetite, he said.

The Child Education Plan will help parents save for their children’s future education through various investment methods. This plan too offers three sub plans to meet individual choices. The three open ended funds will be managed by Orient Wealth and all investors’ money will be held under the custody of Deutsche Bank AG Colombo as the trustee and custodian.

A trust deed has been signed by the two entities in this regard. The three funds, namely Orient Gilt Edged Fund, Orient Corporate Debt Fund and Orient Equity Fund will primarily invest in gilt securities, corporate debt securities and listed equities at the Colombo Stock Exchange.

The interested customers could now subscribe for Orient Retirement Savings Plan, Orient Child Education Plan and Orient General Investment Plan which are the investments schemes introduced based on the three funds.Orient Wealth is a fully owned subsidiary of Orient Capital Limited which is a 100 percent equity financed company.

The company offers diverse capital market services to individual and corporate clients and has a highly experienced board of directors and senior management. Orient Finance Limited and First Alliance Money Brokers Limited come under the Orient Capital Limited umbrella.

Fitch rates debenture...

Fitch estimates that Seylan's total capital adequacy ratio (total CAR) will improve to 14.90 % by end-2012 if the debt issue raises Rs1 billion. This is based on the agency's assumption that the bank will achieve 16 % annual growth in risk-weighted assets and full-retention of annualised Q112 profits of Rs1.65 billion. Total CAR stood at 14.68 % at end-March 2012.

A perceived weakening of the government's capacity to extend support to Seylan, including a downgrade of the Sovereign rating (‘BB-'/Stable), could lead to a downgrade of Seylan's ratings. Rating upside is limited in the medium-term, given that the bank's stand-alone profile is still weaker than its support-driven rating despite considerable improvements and restructuring since 2008, and is likely to be solely driven by an upgrade of the Sovereign rating.