MANILA - A unit of listed financial services firm ATR KimEng Financial Corp. (ATRKE Financial) is set to reorganize its asset management business as part of the group's plans to expand its presence in the industry.

In a disclosure to the Philippine Stock Exchange, ATRKE Financial said its subsidiary, ATR KimEng Capital Partners Inc. (ATRKE Capital), will rename its 2 asset management units and increase their capital.

ATRKE Capital's ATR KimEng Direct Investments will be renamed ATR KimEng Asset Management Holdings Inc., and its authorized capital will be increased to P140 million.

Likewise, its unit Mutual Fund Management Company of the Philippines (MFMCP) will be called ATR KimEng Asset Advisors, with an authorized capital of P100 million.

When combined, the 2 units will be known as the ATR KimEng Asset Management Group, to be headed by former ING Investment Management Regional General Manager Michael Ferrer.

"This will ensure that clients are able to capture emerging opportunities in the global markets and build well-diversified portfolios. ATR KimEng's asset management business will adopt globally accepted investment standards, processes and best practices, while employing sophisticated investment strategies and risk management techniques designed to deliver superior risk-adjusted returns," Ferrer said.

With the reorganization, ATRKE Capital will then sell its 83% stake in MFMCP to ATRKE Direct Investments, which will be the entity that will subscribe to new shares int hte new ATRKE Asset Advisors.

At present, the whole ATR KimEng Group manages and administers over P5 billion in Assets Under Management (AUM), consisting of mutual funds, trust assets, insurance portfolios, and real estate for proprietary and third party clients.

"ATR KimEng's expansion of its asset management business is an integral part of our strategy of building a leading position in the capital markets, and brings synergies with our insurance and real estate businesses," ATR KimEng Group President and Chief Executive Officer Manuel Tordesillas said.