EastWest Ageas will launch ESG fund

EastWest Ageas Insurance, the insurance arm of EastWest Bank, will launch an environmental, social and governance (ESG) fund as an investment tool under its growth plan.

In a media briefing on Thursday, EastWest Ageas chief operating officer Rowena Empalmado said the ESG Fund will be available through investments in global exchange traded funds (ETFs).

ESG funds support businesses that deploy eco-friendly practices and help protect vulnerable groups from climate change and other socioeconomic inequalities, while ETFs are pooled securities that can be bought and sold like stocks.

Empalmado said the ESG Fund provides clients another option to diversify their investments and reduce risks of losses. She shared that clients have gain substantial returns on the company’s existing funds, namely the Asian Equity Fund and the Dollar Fund which invests both in fixed-income securities and equities.

Based on the company’s study last year, she said only three out of 10 Filipinos are prepared for retirement due to lack of savings and alternative sources of income.

$53-T ESG funds investments 

Bloomberg Intelligence said investments in global ESG funds could exceed $53 trillion by 2025 amid the sprouting sustainability projects in the US, Europe and China.

EastWest Ageas chief executive officer Sjoerd Smeets said the company is optimistic more Filipinos will avail of its products as it maximizes digital tools and human agents for faster service and proper product for each client.

“The real growth is now kicking in. If I look in the last two months, we’re growing our top line by 30 percent above last year,” he said.

EastWest Ageas also introduced Life Essentials which has life protection and critical illness support.

“This will provide a lump sum for one of the 48 critical illnesses covered. It’s good to have financial support so savings can be used for other expenses,” Empalmado said.

“It also has a rider so that when there’s permanent and total disability, future premiums can be waived,” she added.

Empalmado also discussed Future Assure which has life protection and a built-in investment product.

EastWest Ageas now has 250,000 clients and around 460 agents. EastWest chief distribution and marketing officer Gregory Martin said the company plans to grow over 3,000 in three years.

“Our agency is already now gaining traction. We’re also building agency houses in Ortigas, Pampanga and Bicol to train agents,” he said. 

EastWest Ageas is a partnership between EastWest Bank and Belgium-based Ageas which has been serving clients in Asia and Europe for 200 years.