KAF Dana Alif Fund Report - August 2017

Transcription

1. 7 .02 Moderate 15 July 2017 KAF DANA ALIF (KDL) AUGUST 2017 The Fund aims to provide Unit holders with a steady and consistent dividend income over the medium to long-term investment period. It is intended that the returns will be further enhanced through capital appreciation of investments. THE FUND IS SUITABLE FOR INVESTORS WHO: • • SECTOR ALLOCATION* AS AT 31 JULY 2017 Have a medium to long-term investment horizon and reasonable risk tolerance; and Prefer to invest in Syariah-compliant securities. MANAGER’S COMMENTS Regional markets were mixed in July. The Dow Jones Industrial Average rose to record highs as payrolls and second quarter Gross Domestic Product (GDP) rose more than estimates. Eurozone markets remained relatively flat during the month of July. The Shanghai Composite Index gained after the Peoples’ Bank of China injected funds through reverse-repurchase agreements while the International Monetary Fund increased its GDP estimate for 2018. Japan’s Nikkei fell after the Bank of Japan pushed back the projected timing for reaching its targeted inflation rate. The KL Composite Index fell 0.21% to 1,760 points after1Malaysia Development Bhd., the state investment company, said it failed to make a $603 million payment to Abu Dhabi’s sovereign wealth fund because of a delay it faced in receiving the funds. The FBM Emas and Syariah indices lost 0.37% and 0.82% to 12,553 and 12,718 points respectively. Average value traded on the exchange fell 20.58% to RM1.9 billion daily on lower foreign fund activity. Crude oil prices surged 8.97% to US$50.17 per barrel as US crude output fell amid field maintenance in Alaska and tropical storm Cindy. Gold prices rose 2.25% to US$1,269 per ounce as the dollar weakened. Crude palm oil prices gained 0.94% to RM2,625 per metric ton as domestic stocks and output fell. The ringgit was unchanged at RM4.29 to the dollar. The emergence of the Eurozone economy remains to the biggest surprise in 2017 despite the fears of populist electoral threats at the start of the year. The Eurozone growth expanded in the 2nd quarter of 2017 as economic output rose by 2.1% compared to the same quarter last year. The strong economic data releases from the Eurozone area might have stemmed expectations that European Central Bank (ECB) will likely to begin its tapering process in 2018. We intend to increase our exposure to the manufacturers that have high exposure to the European region, capitalizing on the European economic recovery and the recent Euro’s surge. We would like to reiterate our bullish stance on the construction, consumer staples and export-oriented sector. *As percentage of NAV. Asset exposure is subject to change on a daily basis. Source: KAF Investment Funds Berhad. Distribution History Year 2010 2011 2012 2013 2014 2015 2016 Distribution (sen) 4.00 3.50 3.50 3.50 3.50 2.00 2.00 FUND PERFORMANCE ANALYSIS AS AT 31 JULY 2017 NAV - NAV prices. Cumulative return over the period (%) INVESTMENT STRATEGY The strategic limit on asset allocation of the Fund is as follows : • Shariah-compliant equities : Minimum 40% and maximum 60%. • Sukuk and Islamic liquid assets : Minimum 40% and maximum 60% FUND DETAILS AS AT 31 JULY 2017 Manager Trustee Fund Category Fund Type Launch Date Unit net asset value (NAV) Fund size Units in Circulation Financial Year End Min. Initial Investment Min. Additional Investment Benchmark Sales Charge Repurchase Charge Annual management fee Annual trustee fee Redemption payment period Distribution policy KAF Investment Funds Bhd Universal Trustee (Malaysia) Bhd. Balanced (Islamic) Fund. Income & Growth Fund. 26 February 2003. RM0.6826 RM35.735mil 52.347mil 30 September. RM1,000.00 RM100.00 60% FTSE Bursa Malaysia EMAS Shariah Index (“FBSI”) & 40% Malayan Banking Bhd (“Maybank”) one (1) month General Investment Account (“GIA”) rate. Up to 6.50% of NAV per unit. None. 1.50% per annum of NAV. 0.08% per annum of NAV, subject to a minimum fee of RM18,000. Within 10 days after receipt of the request to repurchase. The distribution policy will be consistent with the Fund’s objective. Hence, distribution of income will be incidental. % 1 Month 3 Months 6 Months 1 Year 3 Years KDL 1.74 4.85 14.38 19.68 15.03 5 Years 30.94 Benchmark -0.39 -0.88 3.00 3.82 1.21 14.80 Source: ExNovo Fund Analytics Portal by Perkasa Normandy Managers Sdn Bhd. LARGEST HOLDINGS* AS AT 31 JULY 2017 Abu Dhabi National Energy Company PJSC IMTN Manjung Island Energy Bhd IMTN Lebuhraya Duke Fasa 3 Sdn Bhd IMTN Cocoaland Holdings Bhd Chin Well Holdings Bhd 5.78% 5.63% 4.46% 4.39% 4.14% *as percentage of NAV. Disclaimer: Based on the Fund’s portfolio returns as at 15 July 2017, the Volatility Factor (VF) for this Fund is 7.02 and is classified as “Moderate” (source: Lipper). “Moderate” includes Funds with VF that are between 6.225 to 8.225 (source: Lipper). The VF means there is a possibility for the Fund in generating an upside return or downside return around this VF. The Volatility Class (VC) is assigned by Lipper based on quintile ranks of VF for qualified Funds. VF is subject to monthly revision and VC will be revised every six months. The Fund’s portfolio may have changed since this date and there is no guarantee that the Fund will continue to have the same VF or VC in the future. Presently, only Funds launched in the market for at least 36 months will display the VF and its VC. A Product Highlights Sheet (“PHS”) highlighting the key features and risks of the Fund is available and investors have the right to request for a PHS. Investors are advised to obtain, read and understand the PHS and the contents of the Master Prospectus dated 15 January 2017 and its supplementary(ies) (if any) (“the Master Prospectus”) before investing. The Master Prospectus has been registered with the Securities Commission Malaysia who takes no responsibility for its contents. Amongst others, investors should consider the fees and charges involved. Investors should also note that the price of units and distributions payable, if any, may go down as well as up. Where a unit split/distribution is declared, investors are advised that following the issue of additional units/distribution, the NAV per unit will be reduced from pre-unit split NAV/cum-distribution NAV to post-unit split NAV/ex-distribution NAV; and where a unit split is declared, investors should be highlighted of the fact that the value of their investment in Malaysian Ringgit will remain unchanged after the distribution of the additional units. Any issue of units to which the Master Prospectus relates will only be made on receipt of a form of application referred to in the Master Prospectus. For more details, please call 03-2171 0559 for a copy of the PHS and the Master Prospectus or collect one from any of our authorised distributors. The Manager wishes to highlight the specific risks of the Fund are specific stock risk, interest rate risk, credit/default risk and reclassification of Shariah status risk. These risks and other general risks are elaborated in the Master Prospectus. This factsheet is prepared for information purposes only. It does not have regard to the specific investment objectives, financial situation and the particular needs of any specific person who may receive it. Past performance is not necessarily a guide for future performance. Returns may vary from year to year. Head Office: Level 11, Chulan Tower, No. 3, Jalan Conlay, 50450 Kuala Lumpur General Line: (603)-2171 0559 Fax: (603)-2171 0583 Website: www.kaf.com.my