REPRESENTATIVE Arthur Yap (3rd District, Bohol) has urged fund managers to help build a financial structure that focuses on agriculture for the 40 percent of Filipinos living below the poverty line, so that the country could sustain its strong economic growth.
In a keynote speech at 10th Annual Convention of the Fund Managers’ Association of the Philippines (FMAP), on the island-resort of Boracay, Yap stressed that no sector should take advantage of another in the Philippines, a country of more than 100 million.
“So there is a need to create a regulatory framework that would breed inclusive development for all sectors,” he told more than 100 fund managers at the convention, which was held at the Lind Hotel, on March 10 – 12.
The country’s GDP growth accelerated to 6.8 percent in 2016 from 5.9 percent a year earlier. Economic experts have said that 70 percent of the GDP growth was derived from private consumption, which grew by 6.9 percent from 6.3 percent. For this year, GDP growth is seen to moderate to 6.4 percent and recover to 6.6 percent by next year.
Yap also stressed the need to be prudent in developing further the economy by utilizing and improving existing services before deploying new capital to build more capacity.
This is where, he said, he hopes the FMAP, an organization of local equity and fixed income fund managers tasked to uplift the investing public economically, will participate to help and do its part in building the nation.
Inspired by the ongoing changes in fund management, this year’s convention, led by FMAP President Deanno Basas and members of the Board of Trustees and the Board of Senior Advisers, took the theme “Investing in the New Era.”
The event kicked off with Basas’ opening remarks, where he provided updates on the proposed Collective Investment Schemes, the Institutional Investors’ Corporate Governance Award 2016, the Bond Index, and updates on circulars of the Bangko Sentral ng Pilipinas (BSP).
With the FMAP thriving over the past 20 years despite going through financial crises, Basas said, the association’s growing and dynamic membership will ensure sustainability and relevance for years to come.
Thus, he encouraged the growth of membership from the current 298 from 39 institutions.
Kedarnath Udiyavar, president of the Indian-based Intellect Design Arena Ltd, a global platform for consumer banking, said global markets are undergoing tremendous change because of constantly rising expectations of stakeholders, disruptive digitization, and increasing competition.
But he warned against disruptive technology amid markets that are looking to go totally digital. He cited India as an example, giving a bird’s-eye view of the types of mutual funds available and the regulatory safeguards in place in the world’s second-most populous country.
This situation, he stressed, is something that might spill over to other emerging markets like the Philippines.