| Investment Objective |
The Fund seeks income* whilst providing capital preservation**.
Any material changes to the investment objective of the Fund would require Members’ approval.
* Income distribution (if any) will be reinvested into the Fund. ** The Fund is neither a capital guaranteed fund nor a capital protected fund. Therefore “capital preservation” does not mean that members’ capital is guaranteed or protected. |
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| Fund Category | Core (Conservative) | |
| Investment Strategy |
The Fund seeks to achieve its objective by investing in local and/or foreign diversified portfolio of
primarily sukuk, as well as Islamic money market instruments and Shariah-compliant equities.
At least 80% of the Fund’s NAV will be invested in sukuk (which have a minimum rating of BBB3 or P2 by RAM or an equivalent rating by MARC) and Islamic money market instruments, of which a minimum 20% of the Fund’s NAV will be invested in Islamic money market instruments. Notwithstanding, the Fund may invest up to 5% of its NAV in unrated sukuk. The Fund may also invest in Shariah-compliant equities, which are limited to a maximum of 20% of the Fund’s NAV. The Fund may also invest in Islamic collective investment schemes as permitted under the Deed and Guidelines. The Fund will employ both top-down and bottom-up approach to evaluate its investments in Shariah-compliant equities and sukuk. In the top-down approach, the fund manager will evaluate the global growth and economic outlook in Malaysia. In the bottom-up strategy, the fund manager will rely on fundamental research where the financial health, industry prospects, management quality and past track records of the companies are considered. The trading of both the Shariah-compliant equities and sukuk will be based on the market conditions and also the judgement of the fund manager and also guided by the internal policies of the PRS Provider and the investment committee of the PRS Provider.
Note: Investment into one or more collective investment schemes is permitted in the following
circumstances:
(a) from launch of the Scheme, the value of a Fund’s investment in any of a collective investment scheme must not exceed 95% of the Fund’s NAV; (b) upon reaching RM200 million NAV, the value of a Fund’s investment in any of a collective investment scheme must not exceed 40% of the Fund’s NAV; and (c) that the investment objective of the collective investment scheme is similar to the Fund. |
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| Asset Allocation |
Shariah-compliant equities | Maximum 20% of the Fund’s NAV in Shariah-compliant equities. |
| Sukuk and Islamic money market instruments | Minimum 80% of the Fund’s NAV in sukuk and Islamic money market instruments (with minimum 20% of the Fund’s NAV in Islamic money market instruments) and up to 5% of the Fund’s NAV in unrated sukuk. | |
| Cash or cash equivalents | Up to 5% of the Fund’s NAV in Islamic liquid assets for liquidity purpose. | |
| Performance Benchmark |
A composite of Maybank 1-Month GIA rate (80%) and FBM EMAS Shariah Index (20%). The composition of the
benchmark is reflective of asset allocation of the Fund. It is a statistical measure of its overall
performance over time.
Please note that the risk profile of the Fund is not the same as the risk profile of the performance
benchmark.
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| Member Profile |
This Fund is suitable for Members who
** The Fund is neither a capital guaranteed fund nor a capital protected fund. Therefore
“capital preservation” does not mean that Members’ capital is guaranteed or protected.
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| Risks Disclosure |
Interest rate risk, Liquidity Risk, Credit and Default Risk, Stock-specific Risk, Islamic Collective Investment Scheme Risk, Currency Risk, Reclassification of Shariah Status Risk | |
