New Fund: CIMB-Principal Global Multi Asset Income Fund

Are you looking for a fund that's truly diversified? Look no further. With this new fund, it offers income from a range of different asset classes comprising of global equities and global fixed income securities.

Furthermore...

You will be investing in a fund which is designed to take advantage of yield opportunities in whichever geography or sector they arise. That's why it's truly diversified and you can even ride on the recovery of US and European markets.

How this fund works?

In order to achieve the objective, the fund will invest at least 95% of the money into Schroder International Selection Fund Global Multi-Asset Income (the Target fund).

So, by investing into this fund, investors are expected to:-

• aims to receive income and potential capital growth over medium-to-long term
• captures income opportunities from global equities and bonds
• unconstrained approach with an active asset allocation strategy and flexibility across asset classes
• Gain from an income seeking risk solution using active risk management with 5%-10% p.a. target volatility

Click here to download the fund prospectus.

The Edge-Lipper Fund Awards 2014: Who's the BEST among all?

For unit trust industry, The Edge-Lipper Fund Awards was an annual event to showcase their best performing funds. It was like Oscar Awards for unit trust fund houses. This year there were a total of 47 awards presented. Who is the BEST ?

Let's refer to below table:

And the BEST Group Awards goes to...

Congratulations to Amanah Mutual Berhad !!!

New Fund: CIMB-Principal Enhanced Opportunity Bond Fund

They say that the only constant in life is 'change'. Well, not always. Hopefully, with this new fund, you will find comfort in its stability. Furthermore, it aims to provide more returns than the current Fixed Deposit rate, and is more stable than equities. Riding on the growth of the Asian countries, investors have the opportunity to diversity their portfolio and increase the returns. This fund is only available until 4 April 2013 !

What is CIMB-Principal Enhanced Opportunity Bond Fund?

It is a close-ended fund that aims to provide investors with total return through investments in a portfolio of debt securities primarily in bonds. The fund seeks to achieve its overall objective by providing total returns consisting of a combination of interest income and capital appreciation. 

Investment Strategy

Under general market conditions, between 70% to 99% (both inclusive) of the Fund’s net asset value (“NAV”) will be invested in non-ringgit debt securities primarily in bonds (including convertible bonds). Of the 99%, up to 40% of its NAV may be invested in unrated securities and high yield securities respectively while the remainder will be invested in investment grade securities. These investment grade securities are issued or backed by governments, government agencies, supranational organizations, corporate or other issuers. At least 1% of the Fund’s NAV will be maintained in the form of liquid assets such as bank deposits for liquidity purpose.

However, in the event of limited non-ringgit debt securities, the fund manager will have the discretion to invest in the ringgit debt securities primarily in bonds with yield at the prevailing market condition, if the fund manager is of the opinion that by doing so is in the best interest of the Fund.

While the Manager intends to adopt a buy-and-hold strategy for the Fund whereby the securities purchased will be held for the tenure of the Fund or to maturity of the securities,

the Manager reserves the right to deal with the securities in the best interest of the Unit holders in the event of a credit rating downgrade.

The Fund is suitable for investors who have three (3) years investment goals and are not planning to have access to their money in the next three (3) years. It is also suitable for investors who are seeking exposure to investment opportunities in debt securities.

Click here to download the fund prospectus

Source: Fund prospectus

New Fund: CIMB Islamic Al-Azzam Equity Fund

Launched on the same day with AmMutual new fund, the CIMB Islamic Al-Azzam Equity Fund is an open-ended fund that aims to achieve consistent capital growth over the medium to long term.

The asset allocation strategy for this Fund is as follows: 

• between 70% to 98% (both inclusive) of the Fund’s NAV will be invested in Shariah-compliant Malaysian equities; and 
• up to 30% of the Fund’s NAV in other Shariah-compliant investments and Shariah-compliant liquid assets, with at least 2% of the Fund’s NAV to be maintained in Shariah-compliant liquid assets.

For this Fund, the investment into Sukuk must satisfy a minimum credit rating of “A3” or “P2” by RAM or equivalent rating by MARC; “BBB” by S&P or equivalent rating by Moody’s or Fitch. In line with its objective, the investment  strategy and policy of the Fund is to rebalance the portfolio to suit market conditions in order to reduce short-term volatility and provide consistency in capital growth.


More on Investment Strategy...

CIMB-Principal combines a top-down asset and sector allocation process with a bottom-up stock selection process. The asset allocation decision is made after a review of macroeconomic trends in Malaysia and other global economies. In particular, CIMB-Principal analyzes the direction of gross domestic  product growth, interest rates, inflation, currencies and government policies.

CIMB-Principal will then assess their impact on corporate earnings and determine if there are any predictable trends. These trends form the basis for sector selection. Stock selection is based on the growth style of equity investing. As such, the criteria for stock selection would include improving fundamentals and growth at “reasonable valuations”. Stock valuation fundamentals considered are earnings per share growth rate, return on equity, price earnings ratio and net tangible assets multiples.

Who is suitable for this Fund? They are investors who: 

• have a medium to long-term investment horizon; 
• want a portfolio of investments that adhere to the Shariah principles; 
• want a diversified portfolio that includes Shariah-compliant equities and Sukuk; and/or 
• are seeking capital appreciation over medium to long-term.

Source: CIMB-Principal Asset Management
Click here to download the fund prospectus