Kenanga i-Enhanced Cash Fund Report - May 2021

Transcription

1. May 2021 Market Review and Outlook Money Market Review Bank Negara Malaysia (BNM) kept the Overnight Policy Rate (OPR) unchanged at 1.75% on 4th March as it considers the current monetary policy stance to be appropriate and accommodative. BNM expects Malaysia's economic growth to pick up in 2021 as latest indicators point towards improvements in external demand and continued consumer spending. The international reserves of BNM amounted to USD109.3 billion as at 15th April 2021. The reserves position is sufficient to finance 8.8 months of retained imports and is 1.2 times total shortterm external debt. Money Market Outlook Malaysia's economic growth is expected to pick up in 2021, underpinned by improving global growth, various stimulus measures, as well as successful virus containment and vaccine rollouts that will boost both consumer and business sentiments. While near-term growth prospects may be affected by the re-introduction of stricter lockdown rules towards end-April, the impact is expected to be less severe than experienced previously. Meanwhile, domestic headline inflation rose 1.7% year-on-year in March (February: 0.1%) due to the rebound in fuel prices compared to last year. Headline inflation is likely to trend higher in 2021, with a temporary spike in 2Q2021 due to the low base effect, before moderating thereafter. Underlying inflation is expected to remain subdued amid continued spare capacity in the economy. Looking ahead, BNM is expected to remain data-dependent with a focus on the overall outlook for inflation and domestic growth. We expect BNM to keep the OPR unchanged over the near term, to enable a sustainable economic recovery amid persistent downside risks to growth. Money Market Fund Strategy The Fund will continue to invest in in Shariah-based deposits. The investment strategy will involve actively managing the maturities of each investment to the extent possible to enhance the returns of the Fund. The Fund will also be actively managed to meet potential liquidity requirements of the Fund. Kenanga Investors Berhad Company No: 199501024358 (353563-P) Level 14, Kenanga Tower 237, Jalan Tun Razak 50400 Kuala Lumpur Tel: 03-2172 3000 Toll Free: 1800-88-3737 www.kenangainvestors.com.my 1 Strictly for Clients of Kenanga Investors Berhad
2. Kenanga i -Enhanced Cash Fund 3-year Fund Volatility 0 .2 May 2021 Very Low Lipper Analytics 10 Apr 2021 FUND PERFORMANCE (%) FUND OBJECTIVE Aims to provide investors a regular stream of income and high level of liquidity to meet cash flow requirement while maintaining capital preservation. % Cumulative Return, Launch to 30/04/2021 50 45 40 35 Fund Category/Type Fixed Income (Islamic) / Income 30 25 20 Launch Date 02 August 2007 15 10 5 Trustee CIMB Commerce Trustee Berhad Jun 20 Dec 20 Apr 21 Jun 19 Dec 19 Jun 18 Dec 18 Jun 17 Dec 17 Jun 16 Dec 16 Jun 15 Kenanga i-Enhanced Cash : 39.16 Dec 15 Jun 14 Dec 14 Jun 13 Dec 13 Jun 12 Dec 12 Jun 11 Dec 11 Jun 10 Dec 10 Jun 09 Benchmark Maybank 1-month GIA Rate Dec 09 Jun 08 Dec 08 Aug 07 Dec 07 0 Maybank 1-month GIA Rate : 45.03 Source: Novagni Analytics and Advisory Designated Fund Manager Lee Sook Yee CUMULATIVE FUND PERFORMANCE (%) Period 1 month 6 months 1 year 3 years 5 years Since Launch Sales Charge Nil Annual Management Fee 0.50% p.a. Annual Trustee Fee 0.02% p.a. # Fund 0.08 0.54 1.22 6.99 13.54 39.16 Benchmark 0.08 0.50 1.08 6.69 14.19 45.03 CALENDAR YEAR FUND PERFORMANCE (%) Period 2020 2019 2018 2017 2016 Fund 1.68 2.91 2.94 2.97 3.14 NAV PER UNIT * RM 1.0945 All fees and charges payable to the Manager and the Trustee are subject to the goods and services tax /sales and services tax/other taxes of similar nature as may be imposed by the government or other authorities from time to time. Benchmark 1.41 2.63 3.21 3.29 3.94 HISTORICAL FUND PRICE * Since Inception Date Highest RM 1.1115 27-Sep-16 Lowest ASSET ALLOCATION (% NAV) * RM 1.0000 2-Aug-07 SECTOR ALLOCATION (% NAV) * April 100.0% March 100.0% February 100.0% Short T erm Islamic Deposits and Cash 100.0% Liquidity 1 2 3 4 5 TOP MONEY MARKET PLACEMENTS (% NAV) * ALLIANCE ISLAMIC BANK BHD CIMB ISLAMIC BANK BHD MIDF AMANAH INVESTMENT BANK HONG LEONG ISLAMIC BANK MBSB BANK BHD # Source : Lipper, 30 April 2021 FUND SIZE * RM 25.86 million Redemption Charge Nil # 17.79% 17.79% 17.79% 15.50% 11.16% Date 26-Apr-21 24-Mar-21 22-Feb-21 DISTRIBUTION HISTORY * Gross Distribution RM Yield (%) 0.10 sen 0.09% 0.10 sen 0.09% 0.10 sen 0.09% Unit Split - * Source: Kenanga Investors Berhad, 30 April 2021 Based on the fund’s portfolio returns as at 10 April 2021, the Volatility Factor (VF) for this fund is 0.24 and is classified as “Very Low”. (Source: Lipper). “Very Low” includes funds with VF that are 0.000 and less than or equal to 3.645 (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. The Master Prospectus dated 29 March 2019 and the Supplemental Prospectus (if any), its Product Highlights Sheets (“PHS”) or Supplemental Disclosure Document (“SDD”) (if any) have been registered with the Securities Commission Malaysia, who takes no responsibility for its contents. The fund fact sheet has not been reviewed by the SC. A copy of the Master Prospectus, Supplemental Prospectus (if any), SDD (if any) and the PHS are obtainable at our offices. Application for Units can only be made on receipt of application form referred to in and accompanying the Master Prospectus and/or Supplemental Prospectus (if any), SDD (if any) and PHS. Investors are advised to read and understand the Master Prospectus, its PHS and any other relevant product disclosure documents involved before investing. Investors are also advised to consider the fees and charges before investing. Unit prices and distributions 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. Where a unit split is declared, investors should note that the value of their investment in Malaysian Ringgit will remain unchanged after the distribution of the additional units. A Fund’s track record does not guarantee its future performance. Investors are advised to read and understand the contents of the unit trust loan financing risk disclosure statement before deciding to borrow to purchase units. Kenanga Investors Berhad is committed to preventing Conflict of Interest between its various businesses and activities and between its clients / directors / shareholders and employees by having in place procedures and measures for identifying and properly managing any apparent, potential and perceived Conflict of Interest by making disclosures to Clients, where appropriate. The Manager wishes to highlight the specific risks of the Fund are interest rate risk, credit and default risk, reinvestment risk and counterparty risk.