31 January 2016
CIMB-Principal Balanced Income Fund
A S S E T
MA N A GE ME N T
Available under the EPF Members Investment Scheme.
INVESTMENT VOLATILITY
FUND OBJECTIVE
To seek long-term growth in capital and income by investing in all types of investments.
3-year
Fund Volatlity
6.44
Low
FUND PERFORMANCE in MYR
Lipper Analytcs
15 Jan 2016
400%
350%
FUND INFORMATION
300%
Location
Kuala Lumpur, Malaysia
Domicile
Malaysia
Ringgit Malaysia
Fund Currency
Fund Size (MYR)
MYR 282.23 million
Fund Unit
377.68 million units
250%
200%
Fund
Benchmark
150%
100%
Dealing
Application Fee
Management Fee
Trustee Fee
Daily (as per Bursa Malaysia trading day)
Up to 6.50% of the NAV per unit
YTD 1 Month
0.05% p.a. (Next RM20 million)
Fund
Benchmark
0.04% p.a. (Next RM20 million)
Calendar Year Performance (%)
0.03% p.a. (Next RM20 million)
0.02% p.a. (Next RM20 million)
0.01% p.a. (Any amount in excess of
RM100 million)
Fund
Benchmark
-2.02
-0.90
Gross (Sen/Unit)
Yield (%)
Jun-2015
Jun-2014
Jun-2013
Jun-2012
Jun-2011
Jun-2010
Jun-2009
Jun-2008
Jun-2007
Jun-2006
3 Months
6 Months
0.08
0.45
0.28
-0.79
-2.02
-0.90
1 Year 3 Years 5 Years
1.85
-2.19
14.63
6.07
Since
Inception
26.08
13.50
308.33
131.16
2015
2014
2013
2012
2011
2010
5.41
-0.35
-2.76
-2.51
11.97
8.06
8.15
6.97
4.81
2.55
18.77
13.78
Most Recent Fund Distributions
MYR 0.7472
Unit NAV (MYR)
Jun-2005
- 100%
Cumulative Performance (%)
Up to 1.50% p.a. of the NAV
0.06% p.a. (First RM20 million)
Jun-2004
- 50%
Jun-2003
Fixed Deposit Rate
Jun-2002
60% FBM100 + 40% CIMB Bank 1-Month
Jun-2001
0%
Jun-2000
Benchmark
50%
Jun-1999
10 August 1995
Jun-1998
Fund Inception (MYR)
Jun-1997
10 August 1995
Jun-1996
Fund Launch
2015
Oct
2014
Oct
2013
Nov
2012
Aug
2011
Oct
2010
Sep
5.00
6.57
5.20
5.95
5.17
6.07
4.88
6.03
4.40
5.46
3.00
3.66
Note: August 1995 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
MYU1000BR009
BHLBPSI 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 6.44 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 credit (default) and counterparty 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 Balanced Income Fund
A S S E T
MA N A GE ME N T
Available under the EPF Members Investment Scheme.
FUND MANAGER'S REPORT
PORTFOLIO ANALYSIS
The Fund lost 2.02% in January 2016, underperforming
the benchmark by 1.12%. Equity performance was
dragged down by profit-taking activities on selected
exporters in the technology and glove sectors, among
others. For fixed income, the main contributors were
from sovereign, plantations and power related bonds in
the Fund.
ASSET ALLOCATION
Equities (Local)
55.91%
Bond (Local)
35.60%
Cash
8.49%
100.00%
Total
Equities had a rocky start in 2016 as the FTSE Bursa
Malaysia Kuala Lumpur Composite Index ("FBMKLCI")
shed 1.46% to close at 1,667.80. The 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%. During the
month, the MYR strengthened 3.41% from 4.294 to
4.148.
SECTOR BREAKDOWN
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 we expect the sector to de-rate
over spectrum refarming and keen competition. We also
underweight Banks as we expect slowing loans growth
and weaker asset quality. For fixed income, we will
continue to maintain trading stance on government
securities and overweight on corporate bonds with
preference for primary and secondary issuances which
have repriced for yield enhancement.
Bond/Sukuk
35.86%
Trading / Services
17.63%
Finance
11.88%
Industrials
11.22%
Technology
3.65%
IPC
3.65%
Construction
3.27%
Plantations
2.43%
Consumer
1.47%
Properties
0.45%
Cash
8.49%
100.00%
Total
RISK STATISTICS
TOP HOLDINGS
Beta
1.22
1 Public Bank Bhd - Local
Malaysia
5.59%
Information Ratio
0.99
2 Tenaga Nasional Bhd
Malaysia
5.22%
Sharpe Ratio
0.21
3 Malayan Banking Bhd
Malaysia
3.75%
4 Petronas Gas Bhd
Malaysia
5 Malaysian Government
Malaysia
6 Time Dotcom Bhd
Malaysia
7 Govt Investment Issues
Malaysia
GB
2.45%
8 Golden Assets Intl Fin Ltd**
Malaysia
AA3s
2.40%
9 Golden Assets Intl Fin Ltd**
Malaysia
AA3s
2.39%
3 years monthly data
10 Axiata Group Bhd
Total
Malaysia
2.58%
GB
2.50%
2.50%
2.24%
31.62%
*Same issuer with different maturity date and coupon rate
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