31 January 2016
CIMB-Principal Income Plus Balanced
Fund
A S S E T
MA N A GE ME N T
INVESTMENT VOLATILITY
FUND OBJECTIVE
To provide capital growth over the medium to long-term as well as income distributions.
3-year
Fund Volatlity
3.82
Low
FUND PERFORMANCE in MYR
Lipper Analytcs
15 Jan 2016
290%
270%
FUND INFORMATION
250%
230%
Location
Kuala Lumpur, Malaysia
Domicile
Malaysia
190%
170%
Ringgit Malaysia
150%
MYR 82.63 million
130%
265.61 million units
110%
Fund Currency
Fund Size (MYR)
Fund Unit
210%
Fund
Benchmark
90%
70%
Fund Launch
12 March 1998
50%
Fund Inception (MYR)
12 March 1998
30%
Dealing
Application Fee
Management Fee
Daily (as per Bursa Malaysia trading day)
Up to 5.00% of the NAV per unit
0.08% p.a. of the NAV
MYR 0.3110
Unit NAV (MYR)
Feb-2015
Feb-2014
Feb-2013
Feb-2012
Feb-2011
Feb-2010
Feb-2009
Feb-2008
Feb-2007
Feb-2006
Feb-2005
Feb-2004
Cumulative Performance (%)
YTD 1 Month
Up to 1.85% p.a of the NAV
Trustee Fee
Feb-2003
- 50%
Feb-2002
- 30%
Feb-2001
Fixed Deposit Rate
- 10%
Feb-2000
40% FBM100 + 60% CIMB Bank 1-Month
Feb-1999
10%
Benchmark
Fund
Benchmark
-1.34
-0.51
3 Months
6 Months
0.54
0.56
-0.11
0.01
-1.34
-0.51
1 Year 3 Years 5 Years
1.17
-0.44
8.63
7.24
Since
Inception
18.83
14.58
248.07
150.69
Calendar Year Performance (%)
Fund
Benchmark
2015
2014
2013
2012
2011
2010
3.67
0.79
-1.21
-0.66
6.57
6.37
6.09
5.66
4.29
2.75
15.07
9.93
Most Recent Fund Distributions
Gross (Sen/Unit)
Yield (%)
2016
Jan
2015
Jul
2015
Jan
2014
Jul
2014
Jan
2013
Jan
0.95
2.92
1.10
3.28
1.10
3.05
1.10
3.20
1.10
3.06
1.01
2.91
Note: March 1998 to January 2016.
Performance data represents the combined income & capital return as a result of holding units in the fund for the
specified length of time, based on bid to bid prices. Earnings are assumed to be reinvested.
Source: Lipper
CIMB-PRINCIPAL AWARDS AND ACCOLADES
Currency
MYR
ISIN Code
Bloomberg Ticker
MYU1000AG004
COMINPI MK
CIMB-Principal Asset Management Berhad
10th Floor, Bangunan CIMB, Jalan Semantan
Damansara Heights, 50490 Kuala Lumpur.
Tel: (603) 2084 8888
Fax: (603) 2084 8899
Website: www.cimb-principal.com.my
^Based on the fund's portfolio returns as at 15 January 2016, the Volatility Factor (VF) for this fund is 3.82 and is
classified as "Low" (source: Lipper). "Low" includes funds with VF that are above 1.395 but not more than 6.550. 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.
We recommend that you read and understand the contents of the Master Prospectus Issue No. 19 dated 30 June 2015,
which has been duly registered with the Securities Commission Malaysia, before investing and that you keep the said
Master Prospectus for your records. Any issue of units to which the Master Prospectus relates will only be made upon
receipt of the completed application form referred to in and accompanying the Master Prospectus, subject to the terms
and conditions therein. Investments in the Fund are exposed to country risk, credit (default) and counterparty risk,
currency risk, interest rate risk, risk of investing in emerging markets and stock specific risk. You can obtain a copy of
the Master Prospectus from the head office of CIMB-Principal Asset Management Berhad or from any of our approved
distributors. Product Highlight Sheet ("PHS") is available and that investors have the right to request for a PHS; and
the PHS and any other product disclosure document should be read and understood before making any investment
decision. There are fees and charges involved in investing in the funds. We suggest that you consider these fees and
charges carefully prior to making an investment. Unit prices and income distributions, if any, may fall or rise. Past
performance is not reflective of future performance and income distributions are not guaranteed. You are also advised
to read and understand the contents of the Financing for Investment in Unit Trust Risk Disclosure Statement/Unit Trust
Loan Financing Risk Disclosure Statement before deciding to borrow to purchase units. Where a unit split/distribution
is declared, you 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, the value of your investment in Malaysian ringgit will remain unchanged after the distribution of the additional
units.
Page 1 of 2
31 January 2016
CIMB-Principal Income Plus Balanced
Fund
A S S E T
MA N A GE ME N T
FUND MANAGER'S REPORT
PORTFOLIO ANALYSIS
The Fund fell 1.34% in January, and underperformed
the benchmark by 0.83%. Fixed income outperformed,
but equities underperformed. Equities were hit by the
weaker performance in exporters as a result of stronger
MYR
in
January
2016.
For
fixed
income,
main
contributors
were
from
power,
quasi-government ,
construction and banking related bonds.
ASSET ALLOCATION
Fixed Income
63.30%
Equities (Local)
34.07%
Cash
2.63%
100.00%
Total
Equities had a rocky start in 2016 as the FTSE Bursa
Malaysia Kuala Lumpur Composite Index ("FBMKLCI")
shed 1.46%. Key global events in January were: 1)
Discussion about recession risk 2) Bank of Japan’s
negative interest rates stance 3) Oil prices dipping
below USD30/barrel 4) Russia floating proposals for
joint oil production cuts with OPEC 5) US Federal
Reserve interest rates path may be less steep. The
question is whether markets are reverting to the asset
reflationary theme, boosted by central banks’ dovish
stance.
Locally,
Malaysia
announced
the
2016
recalibrated budget outlining 11 measures to commit to
the 3.1% fiscal deficit. The headline forecasts are: 1)
Fiscal deficit target maintained at 3.1% to Gross
Domestic Product (GDP); 2) Brent crude oil priced at
USD30-35 from USD48/barrel and
3) GDP growth
revised down to 4.0-4.5% from 4.0-5.0%. Key measures
for fiscal consolidation include the refarming of telco
spectrum and cutting employees Employees Provident
Fund contribution by 3% to stir private consumption.
Implementation of key projects such as MRT, LRT, HSR,
Pan-Borneo and RAPID will proceed. The Government
stressed that they will neither impose capital control nor
peg the Ringgit (MYR). During the month, the MYR
strengthened 3.41% to 4.148.
SECTOR BREAKDOWN
We think the current strength in MYR is not sustainable.
Hence, we continue to like Exporters, but will rotate into
lower Price Earnings Ratio, high growth names. We like
Construction
companies
for
infrastructure
plays.
We
underweight Telcos as the sector could be de-rated over
spectrum refarming and keen competition. We also
underweight Banks due to slowing loans growth and
weaker asset quality. For fixed income, we prefer
selective
corporate
bonds
from
the
primary
and
secondary market with higher coupon for better yield
enhancement.
Fixed Income
63.30%
Trading / Services
10.55%
Finance
7.54%
Industrials
6.44%
Construction
2.61%
Technology
2.22%
Mutual Fund
1.80%
IPC
1.50%
Plantations
0.84%
Consumer
0.37%
REITS
0.20%
Cash
2.63%
100.00%
Total
RISK STATISTICS
TOP HOLDINGS
Beta
1.12
1 Golden Assets Intl Fin Ltd
Malaysia
AA3s
9.36%
Information Ratio
0.32
2 Tanjung Bin Energy Issuer Bhd
Malaysia
AA3
6.39%
3 Sarawak Energy Bhd
Malaysia
AA1
6.16%
4 Bank Muamalat Malaysia
Malaysia
A3
6.08%
5 Syarikat Prasarana Negara Bhd
Malaysia
GG
6.01%
6 Alliance Bank M Bhd
Malaysia
A2
4.85%
7 Eversendai-Corp Bhd
Malaysia
A2
4.71%
8 Temasek Eksklusif Sdn Bhd
Malaysia
AA3s
4.23%
9 Sports Toto Malaysia Sdn Bhd
Malaysia
AA-
3.65%
Sharpe Ratio
-0.15
3 years monthly data
10 Tenaga Nasional Bhd
Total
Malaysia
3.47%
54.91%
Page 2 of 2