Public Mutual Increases Fund Size for Public Select Bond Fund

KUALA LUMPUR 5 June 2007 – Public Bank’s wholly-owned subsidiary, Public Mutual announced that it has increased the fund size of Public Select Bond Fund (PSBF) from 500 million units to 750 million units.

Public Mutual’s Chief Executive Officer Lam Kam Yin said the increase in fund size of PSBF by another 250 million units will allow the company to meet strong market demand.

Launched in November 2005, PSBF is a bond fund that aims to provide annual income through investments in fixed income securities which have a remaining maturity of 7 years and below and money market instruments. “PSBF allows investors access to the bond market which is usually inaccessible to the average investor as it is a market for institutions where the minimum transaction block amounts to RM5 million. The fund invests in a diversified portfolio of bonds, which comprises mainly of corporate bonds to produce returns that are significantly better than fixed deposits,” he continued.

He added that PSBF is suitable for investors who have conservative risk-reward temperament and who seek stability of annual income with some safety of principal.

Public Mutual is the largest private unit trust company in Malaysia and it currently manages 44 funds for more than 1,000,000 accountholders. As at 21 May 2007, the total NAV of the funds managed by the company was RM20.4 billion.