Malaysian babies to benefit from ADAM50

Permodalan Nasional Bhd (PNB) will be implementing the Amanah Dana Anak Malaysia (ADAM50) with an allocation of RM500 million for five years, beginning Jan 1, 2018.

Group chairman, Tan Sri Abdul Wahid Omar said ADAM50 would benefit an estimated 2.8 million Malaysian infants born between Jan 1, 2018 and Dec 31, 2022, who would receive 200 free incentive trust fund units. The funds would be credited automatically into the unit trust managed by Amanah Saham Nasional Bhd (ASNB), a wholly-owned subsidiary of PNB, he said in a statement today.

"The ADAM50 involves two funds, namely Amanah Saham Bumiputera (ASB) for Bumiputera babies and Amanah Saham 1Malaysia (AS 1Malaysia) for non-Bumiputera babies," he said in response to the Budget 2018 unveiled by Prime Minister Datuk Seri Najib Tun Razak today.

"The 200 incentive units and all dividends received on this initial amount can only be redeemed when the child reaches 18 years of age.

"Additionally, as part of PNB's effort to encourage additional investments in the infants' account,parents or guardians of non-Bumiputera infants can invest in up to 50,000 units," he added.

Abdul Wahid said, for Bumiputera unit holders, PNB proposed to increase the investment limit of Akaun Remaja ASB from 50,000 units to 200,000 units, subject to compliance requirements. - BERNAMA