StanChart Launches Leveraged Finance Platform In Malaysia

Robbie Lawther

13 April 2017

has launched a form of leveraged financing called Wealth Power.

It is the first foreign retail bank to offer leveraged financing in the region, the bank said in a statement. Wealth Power aims to help investors amplify their potential investment, in the same currency by between one and a half to nine times, depending on the investment assets invested.

The platform will allow investors to channel their investments into bonds, unit trusts, structured investments and insurance products for higher potential return. Investments can be traded in seven foreign currencies.

Wealth Power is exclusive to priority clients of Standard Chartered. It will guide investors to achieve optimum investment experience by selecting the right product, understanding how leverage functions, product risk rating and investors’ client investment profile, the bank said in a statement.

One of its products is the newly-launched CIMB-Principal US Mortgage Fund, which is benchmarked against the Barclays Mortgage-Backed Securities Index for performance measurement.

The other products that can be paired with Wealth Power are retail bonds, structured instruments and PruHeritage, which will be launched soon.

“Wealth Power is a credit facility that will allow investors to amplify their investment capital to maximise investment exposure in order to achieve financial goals and generate greater regular income stream,” said Pramod Veturi, managing director and head of wealth management. “We are delighted to add another arsenal to Standard Chartered’s already full suite of investment products that has global exposure to leverage investor’s returns while keeping a tight lid on the risk.

“As investment risks are also magnified, it is critical investors work with a bank that offers advisory services on the selection of products suitable for such facility”.