The Fund aims to provide investors with regular income through investments in global fixed income instruments.
Bond feeder (Wholesale)
23 May 2016
The Fund is suitable for you, if you:
seek income through investment in a portfolio of global fixed income instruments;
have a medium to long-term investment horizon; and
have a moderate risk tolerance.
The Fund will be investing a minimum of 80% of the Fund’s NAV into the Target Fund and a maximum of 20% of the Fund’s NAV into money market instruments, fixed deposit with Financial Institution and/or liquid assets.
We may take temporary defensive positions that may be inconsistent with the Fund’s principal strategy by reducing its investment into the Target Fund and raise liquidity levels of the Fund during adverse market conditions to protect the Unit Holders’ interest. In raising the Fund’s liquidity levels, we may also invest into collective investment schemes that are able to meet this objective.
We may substitute the Target Fund with another fund that has a similar objective with the Fund, if, in our opinion, the Target Fund no longer meets the Fund’s investment objective. However, this is subject to the Unit Holder’s approval before any such changes are made. We may use derivatives, such as foreign exchange forward contracts and cross currency swaps, mainly for hedging purposes. Cross currency swaps and/or foreign exchange forward contracts may be used to hedge the principal and/or the returns of the foreign currency exposure of any of the Class(es) against the Base Currency of the Fund. The employment of derivatives under these circumstances is expected to reduce the impact of foreign currency movements on the Fund’s NAV, irrespective of the currency classes. While the hedging strategy will assist with mitigating the potential foreign exchange losses by the Fund, any potential gains from the hedging strategy will be capped as well. The Fund may also employ derivatives for investment purposes to enhance the returns of the Fund by taking a view on the underlying asset or currency, and establish a long position to gain a specific underlying exposure. The Fund may also employ derivatives for investment purposes to enhance the returns of the Fund by taking a view on the underlying asset or currency and establish a long position to gain a specific underlying exposure. The types of derivatives envisaged for investment purposes include forwards and swaps which are over-the-counter or traded on centralized exchanges.
Subject to the availability of income, the Fund endeavours to distribute income on a quarterly basis, after the end of its first financial year.
The Fund’s asset allocation range is as follows:-
A minimum of 80% of the Fund’s NAV to be invested in the Target Fund; and
A maximum of 20% of the Fund’s NAV to be invested in money market instruments, fixed deposits and/or liquid assets.
Minimum Initial Investment
Minimum Additional Investment
Minimum holdings of units
If the balance of your investment (i.e. total number of Units) is less than the minimum holding of Units, you will be required to make an additional investment in order to meet the required minimum balance of investment. Otherwise, we may withdraw all your holding of Units in the Fund and pay the proceeds to you.
FEES & CHARGES
Sales Charge per Unit
Up to 3.00% of the initial offer price of a Class during the initial offer period, thereafter, on the NAV per Unit of a Class.
Annual Management Fee
The management fee is up to 1.45% of the NAV of the Fund per annum, and is calculated using the Fund’s Base Currency (before deducting the management fee and trustee fee). The management fee is accrued daily and payable monthly.
The trustee fee is up to 0.06% per annum of the NAV of the Fund (excluding foreign custodian fees and charges), and is calculated using the Fund’s Base Currency (before deducting the management fee and trustee fee). The trustee fee is accrued daily and payable monthly. In addition to the annual trustee fee, the Trustee may be reimbursed by the Fund for any expenses properly incurred by it in the performance of its duties and responsibilities.
A RM5.00 transfer fee will be levied for each transfer of Units.
Not applicable as the switching facility is not available for this Fund.