KUALA LUMPUR: AmanahRaya Investment Management Sdn Bhd (ARIM) has temporarily suspended subscriptions, redemptions and switching of units in three funds under its management amid increased redemption requests and heightened credit risk involving certain investments.
The suspension, effective yesterday, affects the AmanahRaya Syariah Trust Fund (ARSTF), AmanahRaya Syariah Income Fund (ARSIF) and AmanahRaya Unit Trust Fund (ARUTF).
ARIM said the measure was taken in accordance with regulatory requirements to manage liquidity constraints, protect unitholders' interests and ensure fair and equitable treatment.
The suspension would allow the fund manager to assess liquidity, review investment valuations and determine the appropriate course of action, while reducing the need to sell assets at substantial discounts that could erode the value of unitholders' investments.
ARIM said it was monitoring the affected investments and engaging with the issuer, sukuk trustee and respective fund trustees.
Investment valuations would be assessed in line with applicable policies, fund documents and regulatory requirements.
The fund manager stressed that the suspension related specifically to dealings in the three funds and did not, by itself, establish an issuer default or a realised investment loss.
It added that any material developments concerning the affected investments would be communicated after verification and assessment.
ARIM also said it recognises the impact on unitholders and will review the suspension regularly in consultation with the respective fund trustees.
"Updates, including any extension or resumption of dealings, will be issued through official notices and ARIM's authorised communication channels.
"We remain focused on responsible fund management, appropriate oversight and the interests of all unitholders," it said.
© New Straits Times Press (M) Bhd