NTUC Income (“Income”) and Fullerton Fund Management Company Ltd (“Fullerton”) announced today a proposed strategic partnership to appoint Fullerton as the investment manager of a portfolio of Income assets estimated at SGD23 billion.
As part of the proposed partnership, FFMC Holdings Pte. Ltd. (“FFMC”), the holding company of Fullerton, will issue new shares to Income. Upon completion of the transaction, Income will own a significant minority stake in FFMC, while Temasek remains the majority shareholder. Completion of the proposed transaction is subject to regulatory approvals and other customary closing conditions.
Ken Ng, Income’s Chief Executive Officer said, “As a responsible and forward-looking organisation, Income is always looking out for opportunities to create more value for our policyholders. We believe this proposed partnership with Fullerton is in our best interest to leverage economies of scale and tap the established and deep investment expertise of our combined investment capabilities to serve our policyholders better.”
Commenting on the proposed strategic partnership, Png Chin Yee, Head, Financial Services, at Temasek said, “We welcome Income as a new shareholder in Fullerton Fund Management Company. We are confident that the proposed partnership will further strengthen Fullerton’s position as an Asian and emerging market specialist, and deepen the capabilities that both organisations have to serve their client base.”
Jenny Sofian, Fullerton’s Chief Executive Officer shared, “We are privileged to receive this strong validation from Income to be their trusted partner in investment management. As an investment specialist with aspirations to be a leader in asset management, we are very excited about working alongside Income and leveraging the potential opportunities that this proposed partnership will bring. Our priority is to ensure the continued delivery of strong investment performance and the highest level of service to our clients.”
Proposed Partnership taps complementary expertise of Income and Fullerton investment teams
To ensure continuity in the management of both Income’s and Fullerton’s assets, relevant Income fund management personnel will join Fullerton. The combined depth and experience of the investment team will enhance Fullerton’s competitive positioning and is set to benefit current and future customers of Income and Fullerton.
Both companies will benefit from operational synergies, as well as proven and complementary investment and management capabilities. The increase in scale will also complement the companies’ commitment to attract and retain investment talent.