Prospectus My RH Bib F

MASTER PROSPECTUS
Name of the Funds
Date of Constitution
Local
RHB Dynamic Fund
Conventional: RHB Capital Fund
RHB Bond Fund
RHB Malaysia DIVA Fund
RHB GoldenLife Funds
RHB Cash Management Fund 1
15 September 1992
12 April 1995
10 October 1997
3 May 1999
21 February 2005
23 August 2007
Shariah:
RHB Mudharabah Fund

RHB Islamic Bond Fund
RHB Islamic Cash Management Fund
9 May 1996
25 August 2000
30 June 2008
Foreign:
RHB Dividend Valued Equity Fund

RHB Global Fortune Fund
RHB Asian Total Return Fund
RHB-GS US Equity Fund
13 July 2005
8 August 2006
26 February 2007
18 May 2011
This Master Prospectus is dated 15 July 2016 and expires on 14 July 2017.
MANAGER
RHB Asset Management Sdn Bhd (174588-X)
TRUSTEES
CIMB Islamic Trustee Berhad (167913-M)
HSBC (Malaysia) Trustee Berhad (1281-T)
Maybank Trustees Berhad (5004-P)
TMF Trustees Malaysia Berhad (610812-W)
INVESTORS ARE ADVISED TO READ AND UNDERSTAND THE CONTENTS OF THIS

MASTER PROSPECTUS. IF IN DOUBT, PLEASE CONSULT A PROFESSIONAL
ADVISER. FOR INFORMATION CONCERNING CERTAIN RISK FACTORS WHICH
SHOULD BE CONSIDERED BY PROSPECTIVE INVESTORS, SEE RISK FACTORS
COMMENCING ON PAGE 69.
Dear investor,
Thank you for considering to invest with RHB Asset Management Sdn Bhd.
With a full spectrum of investment solutions to meet your specific needs and objectives, we offer a
comprehensive range of conventional and Shariah-compliant funds, ranging from equity to fixed
income and money market funds as well as feeder funds.
You may refer to the pages of Chapter 1: Key Data Section of the respective Funds for a brief
overview of their investment objectives, investment strategies, investors profiles, principal risks of
each Fund and the fees and charges payable. Please refer to the remaining chapters for a complete
understanding of these matters for each Fund.
In order to help you to decide on the Fund that is most compatible with your personal investment
temperament and financial goals, you may contact our authorised agents, participating distributors or
our head office and branches located throughout Malaysia for advice and to deal in the respective
Funds. For information on these participating distributors, please call our help-desk Toll-Free Hotline
number: 1-800-88-3175 at any time during our office hours: Mondays through Fridays from 9.00 a.m.
5.00 p.m. Alternatively, investors may e-mail your enquiries to rhbam@rhbgroup.com or visit our
website, www.rhbgroup.com.
Yours sincerely,
RHB Asset Management Sdn Bhd
HO SENG YEE
Chief Executive Officer
Responsibility Statement
This Master Prospectus has been reviewed and approved by the directors of RHB Asset Management
Sdn Bhd and they collectively and individually accept full responsibility for the accuracy of the
information. Having made all reasonable enquiries, they confirm to the best of their knowledge and
belief, that there are no false or misleading statements, or omission of other facts which would make
any statement in this Master Prospectus false or misleading.
Statements of Disclaimer
The Securities Commission Malaysia has authorised the Funds and a copy of this Master Prospectus
has been registered with the Securities Commission Malaysia.
The authorisation of the Funds, and registration of this Master Prospectus, should not be taken to
indicate that the Securities Commission Malaysia recommends the said Funds or assumes
responsibility for the correctness of any statement made, opinion expressed or report contained in
this Master Prospectus.
The Securities Commission Malaysia is not liable for any non-disclosure on the part of RHB Asset
Management Sdn Bhd who is responsible for the said Funds and takes no responsibility for the
contents in this Master Prospectus. The Securities Commission Malaysia makes no representation on
the accuracy or completeness of this Master Prospectus, and expressly disclaims any liability
whatsoever arising from, or in reliance upon, the whole or any part of its contents.
INVESTORS SHOULD RELY ON THEIR OWN EVALUATION TO ASSESS THE MERITS
AND RISKS OF THE INVESTMENT. IF INVESTORS ARE UNABLE TO MAKE THEIR
OWN EVALUATION, THEY ARE ADVISED TO CONSULT PROFESSIONAL ADVISERS.
Additional Statement
No Units will be issued or sold based on this Master Prospectus later than one (1) year after the date
of this Master Prospectus.
Investors should note that they may seek recourse under the Capital Markets and Services Act 2007
for breaches of securities laws and regulations including any statement in this Master Prospectus that
is false, misleading, or from which there is a material omission; or for any misleading or deceptive
act in relation to this Master Prospectus or the conduct of any other person in relation to the Funds.
The RHB Mudharabah Fund, RHB Islamic Bond Fund and RHB Islamic Cash Management Fund
have been certified as Shariah-compliant by the Shariah Adviser.
TABLE OF CONTENTS
PAGE
DEFINITIONS ....................................................................................................................................... 1
CORPORATE DIRECTORY ............................................................................................................... 5
1.
KEY DATA SECTION ................................................................................................................ 9
1.1
KEY DATA SECTION OF RHB DYNAMIC FUND ............................................................... 9
1.2
1.3
1.4
1.5
1.6
1.7
1.1.1
GENERAL INFORMATION .................................................................................................9
1.1.2
FEES AND CHARGES ......................................................................................................10
1.1.3
TRANSACTION DETAILS ................................................................................................11
1.1.4
OTHER INFORMATION ...................................................................................................12
KEY DATA SECTION OF RHB CAPITAL FUND ............................................................... 13

1.2.1
GENERAL INFORMATION ...............................................................................................13
1.2.2
FEES AND CHARGES ......................................................................................................14
1.2.3
1.2.4
KEY DATA SECTION OF RHB BOND FUND ..................................................................... 17

1.3.1
1.3.2
FEES AND CHARGES ......................................................................................................18
1.3.3
1.3.4
KEY DATA SECTION OF RHB MALAYSIA DIVA FUND ................................................ 21

1.4.1
1.4.2
FEES AND CHARGES ......................................................................................................22
1.4.3
1.4.4
KEY DATA SECTION OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE TODAY25

1.5.1
1.5.2
FEES AND CHARGES ......................................................................................................26
1.5.3
1.5.4
KEY DATA SECTION OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2020 ... 29
1.6.1
1.6.2
FEES AND CHARGES ......................................................................................................30
1.6.3
1.6.4
KEY DATA SECTION OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2030 ... 33
1.7.1
1.8
1.9
1.7.2
FEES AND CHARGES ......................................................................................................34
1.7.3
1.7.4
KEY DATA SECTION OF RHB CASH MANAGEMENT FUND 1 .................................... 37

1.8.1
1.8.2
FEES AND CHARGES ......................................................................................................38
1.8.3
1.8.4
KEY DATA SECTION OF RHB MUDHARABAH FUND ................................................... 41

1.9.1
1.9.2
FEES AND CHARGES ......................................................................................................42
1.9.3
1.9.4
1.10 KEY DATA SECTION OF RHB ISLAMIC BOND FUND ................................................... 45

1.10.1
1.10.2
FEES AND CHARGES ......................................................................................................46
1.10.3
1.10.4
1.11 KEY DATA SECTION OF RHB ISLAMIC CASH MANAGEMENT FUND .................... 49
1.11.1
1.11.2
FEES AND CHARGES ......................................................................................................50
1.11.3
1.11.4
1.12 KEY DATA SECTION OF RHB DIVIDEND VALUED EQUITY FUND .......................... 53
1.12.1
1.12.2
FEES AND CHARGES ......................................................................................................54
1.12.3
1.12.4
1.13 KEY DATA SECTION OF RHB GLOBAL FORTUNE FUND ........................................... 57

1.13.1
1.13.2
FEES AND CHARGES ......................................................................................................58
1.13.3
1.13.4
1.14 KEY DATA SECTION OF RHB ASIAN TOTAL RETURN FUND .................................... 61
1.14.1
1.14.2
FEES AND CHARGES ......................................................................................................62
1.14.3
ii
1.14.4
1.15 KEY DATA SECTION OF RHB-GS US EQUITY FUND .................................................... 65
2.
1.15.1
1.15.2
FEES AND CHARGES ......................................................................................................66
1.15.3
1.15.4
RISK FACTORS ........................................................................................................................ 69

2.1
GENERAL RISKS OF INVESTING IN UNIT TRUST FUNDS ................................................69
2.2
SPECIFIC RISKS WHEN INVESTING IN THE FUNDS ........................................................70
3.
INFORMATION ON THE FUNDS........................................................................................ 102
3.1
INFORMATION ON RHB DYNAMIC FUND ..................................................................... 102
3.2
3.3
3.4
3.5
3.6
3.1.1
FUND OBJECTIVE .......................................................................................................102
3.1.2
INVESTMENT STRATEGY AND POLICY .....................................................................102
3.1.3
PERMITTED INVESTMENT AND RESTRICTIONS........................................................102
INFORMATION ON RHB CAPITAL FUND....................................................................... 105

3.2.1
FUND OBJECTIVE .......................................................................................................105
3.2.2
3.2.3
INFORMATION ON RHB BOND FUND ............................................................................. 108

3.3.1
FUND OBJECTIVE .......................................................................................................108
3.3.2
3.3.3
INFORMATION ON RHB MALAYSIA DIVA FUND ........................................................ 111

3.4.1
FUND OBJECTIVE .......................................................................................................111
3.4.2
3.4.3
INFORMATION ON RHB GOLDENLIFE FUNDS RHB GOLDENLIFE TODAY .... 114

3.5.1
FUND OBJECTIVE .......................................................................................................114
3.5.2
3.5.3
PERMITTED INVESTMENT AND RESTRICTIONS ............................................................114
INFORMATION ON RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2020 ........... 117

3.6.1
FUND OBJECTIVE .........................................................................................................117
3.6.2
INVESTMENT STRATEGY AND POLICY ........................................................................117
3.6.3
PERMITTED INVESTMENTS AND RESTRICTIONS ..........................................................118
3.6.4
AUTOMATIC TERMINATION AND MERGER OF RHB GOLDENLIFE FUNDS RHB

GOLDENLIFE 2020.......................................................................................................119
3.7
INFORMATION ON RHB GOLDENLIFE FUNDS RHB GOLDENLIFE FUND 2030121
iii
3.7.1
FUND OBJECTIVE .........................................................................................................121
3.7.2
3.7.3
3.7.4
AUTOMATIC TERMINATION AND MERGER OF RHB GOLDENLIFE FUNDS RHB

GOLDENLIFE 2030.......................................................................................................123
3.8
3.9
INFORMATION ON RHB CASH MANAGEMENT FUND 1 ........................................... 125

3.8.1
FUND OBJECTIVE .........................................................................................................125
3.8.2
3.8.3
INFORMATION ON RHB MUDHARABAH FUND ........................................................... 127

3.9.1
FUND OBJECTIVE .........................................................................................................127
3.9.2
SHARIAH ADVISER ......................................................................................................127
3.9.3
EXTERNAL INVESTMENT MANAGER ...........................................................................127
3.9.4
3.9.5
3.10 INFORMATION ON RHB ISLAMIC BOND FUND........................................................... 130

3.10.1
FUND OBJECTIVE .........................................................................................................130
3.10.2
SHARIAH ADVISER ......................................................................................................130
3.10.3
3.10.4
3.11 INFORMATION ON RHB ISLAMIC CASH MANAGEMENT FUND ............................ 133

3.11.1
FUND OBJECTIVE .........................................................................................................133
3.11.2
SHARIAH ADVISER ......................................................................................................133
3.11.3
EXTERNAL INVESTMENT MANAGER ...........................................................................133
3.11.4
3.11.5
3.12 INFORMATION ON RHB DIVIDEND VALUED EQUITY FUND .................................. 136

3.12.1
FUND OBJECTIVE .........................................................................................................136
3.12.2
3.12.3
3.13 INFORMATION ON RHB GLOBAL FORTUNE FUND ................................................... 139

3.13.1
FUND OBJECTIVE .........................................................................................................139
3.13.2
3.13.3
3.13.4
INFORMATION ON ALLIANZ GLOBAL HIGH PAYOUT FUND ........................................140
3.14 INFORMATION ON RHB ASIAN TOTAL RETURN FUND ........................................... 160

3.14.1
FUND OBJECTIVE .........................................................................................................160
iv
3.14.2
3.14.3
3.14.4
INFORMATION ON UNITED ASIAN BOND FUND ...........................................................161
3.15 INFORMATION ON RHB-GS US EQUITY FUND ............................................................ 183

3.15.1
FUND OBJECTIVE .........................................................................................................183
3.15.2
3.15.3
3.15.4
INFORMATION ON GOLDMAN SACHS US EQUITY PORTFOLIO ....................................184
3.16 GENERAL INFORMATION.................................................................................................. 196

3.16.1 INVESTMENT PHILOSOPHY................................................................................................196
3.16.2
INVESTMENT APPROACH .............................................................................................197
3.16.3
RISK MANAGEMENT STRATEGIES ...............................................................................198
3.16.4
POLICY ON GEARING AND ASSETS OF THE FUND ........................................................199
3.16.5
SHARIAH METHODOLOGY AND SHARIAH INVESTMENT GUIDELINES .........................199
3.16.6
VALUATION OF ASSETS ...............................................................................................204
4.
PERFORMANCE OF THE FUNDS ...................................................................................... 207
4.1
PERFORMANCE OF RHB DYNAMIC FUND.................................................................... 207
4.2
4.3
4.4
4.1.1
AVERAGE TOTAL RETURNS OF THE FUND ..................................................................207
4.1.2
ANNUAL TOTAL RETURNS OF THE FUND ....................................................................208
4.1.3
DISTRIBUTION RECORD ...............................................................................................208
4.1.4
PORTFOLIO TURNOVER RATIO (PTR) .........................................................................209
4.1.5
ASSET ALLOCATION ....................................................................................................209
PERFORMANCE OF RHB CAPITAL FUND ..................................................................... 210

4.2.1
4.2.2
4.2.3
4.2.4
4.2.5
PERFORMANCE OF RHB BOND FUND ............................................................................ 213

4.3.1
4.3.2
4.3.3
4.3.4
4.3.5
PERFORMANCE OF RHB MALAYSIA DIVA FUND ...................................................... 216

4.4.1
4.4.2
4.5
4.6
4.7
4.8
4.9
4.4.3
4.4.4
4.4.5
PERFORMANCE OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE TODAY ... 219

4.5.1
4.5.2
4.5.3
4.5.4
4.5.5
PERFORMANCE OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2020 ......... 222

4.6.1
4.6.2
4.6.3
4.6.4
4.6.5
PERFORMANCE OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2030 ......... 225

4.7.1
4.7.2
4.7.3
4.7.4
4.7.5
PERFORMANCE OF RHB CASH MANAGEMENT FUND 1 .......................................... 228

4.8.1
4.8.2
4.8.3
4.8.4
4.8.5
PERFORMANCE OF RHB MUDHARABAH FUND ......................................................... 231

4.9.1
4.9.2
4.9.3
4.9.4
4.9.5
4.10 PERFORMANCE OF RHB ISLAMIC BOND FUND ......................................................... 234

4.10.1
4.10.2
4.10.4
vi
4.10.5
4.11 PERFORMANCE OF RHB ISLAMIC CASH MANAGEMENT FUND........................... 237

4.11.1
4.11.2
4.11.3
4.11.4
4.11.5
4.12 PERFORMANCE OF RHB DIVIDEND VALUED EQUITY FUND................................. 240

4.12.1
4.12.2
4.12.3
4.12.4
4.12.5
4.13 PERFORMANCE OF RHB GLOBAL FORTUNE FUND .................................................. 243

4.13.1
4.13.2
4.13.3
4.13.4
4.13.5
4.14 PERFORMANCE OF RHB ASIAN TOTAL RETURN FUND .......................................... 246

4.14.1
4.14.2
4.14.3
4.14.4
4.14.5
4.15 PERFORMANCE OF RHB-GS US EQUITY FUND ........................................................... 249

4.15.1
4.15.2
4.15.3
4.15.4
4.15.5
5.
HISTORICAL FINANCIAL HIGHLIGHTS OF THE FUNDS.......................................... 252
5.1
RHB DYNAMIC FUND........................................................................................................... 252
5.2
5.1.1
EXTRACT OF STATEMENT OF COMPREHENSIVE INCOME ............................................252
5.1.2
EXTRACT OF STATEMENT OF FINANCIAL POSITION ....................................................252
RHB CAPITAL FUND ............................................................................................................ 253

5.2.1
vii
5.2.2
5.3
5.4
5.5
5.6
5.7
5.8
5.9
RHB BOND FUND ................................................................................................................... 254

5.3.1
5.3.2
RHB MALAYSIA DIVA FUND ............................................................................................. 255

5.4.1
5.4.2
RHB GOLDENLIFE FUNDS RHB GOLDENLIFE TODAY .......................................... 256

5.5.1
5.5.2
RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2020 ................................................ 257

5.6.1
5.6.2
RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2030 ................................................ 258

5.7.1
5.7.2
RHB CASH MANAGEMENT FUND 1 ................................................................................. 259

5.8.1
5.8.2
RHB MUDHARABAH FUND ................................................................................................ 260

5.9.1
5.9.2
5.10 RHB ISLAMIC BOND FUND ................................................................................................ 261

5.10.1
5.10.2
5.11 RHB ISLAMIC CASH MANAGEMENT FUND.................................................................. 262

5.11.1
5.11.2
5.12 RHB DIVIDEND VALUED EQUITY FUND........................................................................ 263

5.12.1
5.12.2
5.13 RHB GLOBAL FORTUNE FUND ......................................................................................... 264

5.13.1
5.13.2
5.14 RHB ASIAN TOTAL RETURN FUND ................................................................................. 265

5.14.1
5.14.2
viii
5.15 RHB-GS US EQUITY FUND .................................................................................................. 266
6.
5.15.1
5.15.2
FEES, CHARGES AND EXPENSES ..................................................................................... 267

6.1
CHARGES .....................................................................................................................267
6.2
FEES AND EXPENSES ...................................................................................................271
6.3
TOTAL ANNUAL EXPENSES INCURRED BY THE FUND IN THE PRECEDING FINANCIAL

YEAR ...........................................................................................................................276
6.4
MANAGEMENT EXPENSE RATIO OF THE FUND FOR THE PAST THREE (3) FINANCIAL
YEARS (WHERE APPLICABLE).....................................................................................279
6.5
POLICY ON REBATES AND SOFT COMMISSIONS ..........................................................281
6.6
GOODS AND SERVICES TAX .......................................................................................281
7.
TRANSACTION INFORMATION ........................................................................................ 282
7.1
PRICING................................................................................................................................... 282
7.1.1
COMPUTATION OF SELLING PRICE ..............................................................................282
7.1.2
COMPUTATION OF REPURCHASE PRICE.......................................................................283
7.1.3
PRICING ERROR POLICY ..............................................................................................284
7.1.4
SELLING AND REPURCHASE PRICE OF TRANSACTION.................................................284
7.2
TRANSACTION DETAILS .................................................................................................... 285
7.3
MODE OF DISTRIBUTION................................................................................................... 289
7.4
ADDITIONAL INFORMATION ........................................................................................... 290
8.
9.
7.4.1
ANTI-MONEY LAUNDERING POLICY ...........................................................................290
7.4.2
MATERIAL CONTRACTS ..............................................................................................290
SALIENT TERMS OF THE DEED ....................................................................................... 291

8.1
RIGHTS OF UNIT HOLDERS ..........................................................................................291
8.2
LIABILITIES AND LIMITATION OF UNIT HOLDERS .......................................................291
8.3
MAXIMUM FEES AND CHARGES PERMITTED BY THE DEED ........................................292
8.4
EXPENSES PERMITTED BY THE DEED ..........................................................................296
8.5
RETIREMENT, REMOVAL OR REPLACEMENT OF THE MANAGER .................................297
8.6
POWER OF THE MANAGER TO REMOVE OR REPLACE THE TRUSTEE...........................297
8.7
RETIREMENT, REMOVAL OR REPLACEMENT OF THE TRUSTEE ...................................298
8.8
POWER OF THE TRUSTEE TO REMOVE OR REPLACE THE MANAGER ...........................298
8.9
TERMINATION OF THE FUNDS......................................................................................298
8.10
MEETINGS OF UNIT HOLDERS .....................................................................................299
THE MANAGEMENT AND ADMINISTRATION OF THE FUNDS ............................... 300

9.1
THE MANAGER ............................................................................................................300
9.2
BOARD OF DIRECTORS ................................................................................................300
ix
10.
9.3
KEY PERSONNEL .........................................................................................................302
9.4
FUNDS UNDER THE MANAGEMENT OF THE MANAGER ...............................................303
9.5
SUMMARY OF FINANCIAL POSITION OF THE MANAGER .............................................305
9.6
FUNCTIONS OF THE MANAGER ....................................................................................305
9.7
THE INVESTMENT COMMITTEE ...................................................................................306
9.8
THE INVESTMENT TEAM .............................................................................................308
9.9
MANAGERS DISCLOSURE OF MATERIAL LITIGATION ................................................308
9.10
THE SHARIAH ADVISER ...............................................................................................308
9.11
THE EXTERNAL INVESTMENT MANAGER....................................................................312
9.12
MANAGERS DELEGATES ............................................................................................313
THE TRUSTEES OF THE FUNDS ....................................................................................... 315
10.1 MAYBANK TRUSTEES BERHAD ....................................................................................... 315

10.1.1
FINANCIAL POSITION ...................................................................................................315
10.1.2
EXPERIENCE IN TRUSTEE BUSINESS ............................................................................315
10.1.3
10.1.4
KEY PERSONNEL .........................................................................................................315
10.1.5
DUTIES AND RESPONSIBILITIES OF THE TRUSTEE .......................................................316
10.1.6
DELEGATE OF THE TRUSTEE .......................................................................................316
10.1.7
TRUSTEES STATEMENT OF RESPONSIBILITY ..............................................................317
10.1.8
MATERIAL LITIGATION AND ARBITRATION ................................................................317
10.2 HSBC (MALAYSIA) TRUSTEE BERHAD .......................................................................... 319

10.2.1
10.2.2
10.2.3
10.2.4
PROFILE OF KEY PERSONNEL ......................................................................................319
10.2.5
10.2.6
10.2.7
ANTI-MONEY LAUNDERING AND ANTI-TERRORISM FINANCING PROVISIONS ...........320
10.2.8
STATEMENT OF DISCLAIMER.......................................................................................320
10.2.9
TRUSTEES DISCLOSURE OF MATERIAL LITIGATION ..................................................320
10.2.10
CONSENT TO DISCLOSURE...........................................................................................320
10.2.11
TRUSTEES DELEGATE ................................................................................................321
10.3 CIMB ISLAMIC TRUSTEE BERHAD ................................................................................. 322

10.3.1
10.3.2
10.3.3
10.3.4
KEY MANAGEMENT STAFF .........................................................................................323
10.3.5
10.3.6
STATEMENT OF RESPONSIBILITY BY THE TRUSTEE ....................................................324
10.3.7
MATERIAL LITIGATION AND ARBITRATION ................................................................324
10.3.8
TRUSTEES DELEGATE ................................................................................................324
10.3.9
TRUSTEES OBLIGATION .............................................................................................324
10.4 TMF TRUSTEES MALAYSIA BERHAD............................................................................. 325

10.4.1
10.4.2
10.4.3
BOARD OF DIRECTORS OF THE TRUSTEE.....................................................................326
10.4.4
PROFILE OF KEY PERSONNEL ......................................................................................326
10.4.5
10.4.6
10.4.7
TRUSTEES DISCLOSURE OF MATERIAL LITIGATION AND ARBITRATION ...................327
10.4.8
TRUSTEES DELEGATES...............................................................................................327
11.
RELATED-PARTY TRANSACTION AND CONFLICT OF INTEREST ........................ 328
12.
TAX ADVISERS LETTER ON THE TAXATION OF THE FUNDS AND UNIT

HOLDERS ................................................................................................................................ 331
13.
EXPERTS REPORT............................................................................................................... 335
14.
CONSENT ................................................................................................................................. 336
15.
APPROVALS AND CONDITIONS ....................................................................................... 337
16.
DOCUMENTS AVAILABLE FOR INSPECTION .............................................................. 340
DIRECTORY OF OUTLETS FOR PURCHASE AND SALE OF UNITS .................................. 341

MASTER APPLICATION FORM & UNIT TRUST LOAN FINANCING RISK DISCLOSURE
STATEMENT
xi
DEFINITIONS
In this Master Prospectus, the following abbreviations or words shall have the following meanings
unless otherwise stated:
Bursa Malaysia
The stock exchange managed and operated by the Bursa

Malaysia Securities Berhad.
Business Day
A day on which either the Bursa Malaysia is open for trading

or banks in Kuala Lumpur are open for business. The
Manager may declare certain business days to be a nonbusiness day although Bursa Malaysia and/or the banks in
Kuala Lumpur are open for business, if some foreign markets
in which the Funds are invested in are closed for business.
Deed
DF, CF, BF, MDF, DVEF, ATRF, GFF, CMF and USEF
Master deed (conventional funds) dated 12 June 2008 (as
amended via its supplemental master deed (conventional
funds) dated 25 August 2008, second supplemental master
deed (conventional funds) dated 12 December 2008, third
supplemental master deed (conventional funds) dated 19 June
2009, fifth supplemental master deed (conventional funds)
dated 26 April 2010, sixth supplemental master deed
(conventional funds) dated 28 June 2010, ninth supplemental
master deed (conventional funds) dated 7 March 2012, tenth
supplemental master deed (conventional funds) dated 13 April
2012, fifteenth supplemental master deed (conventional funds)
dated 30 April 2013, sixteenth supplemental master deed
(conventional funds) dated 24 September 2013, seventeenth
supplemental master deed (conventional funds) dated 2 March
2015, eighteenth supplemental master deed (conventional
funds) dated 20 May 2015) and nineteenth supplemental
master deed (conventional funds) dated 3 August 2015 and
any other supplemental deeds as may be registered with the
Securities Commission Malaysia from time to time.
MF, IBF and ICMF
Master deed (Shariah funds) dated 12 June 2008 (as amended
via its first supplemental master deed (Shariah funds) dated 19
June 2009, second supplemental master deed (Shariah funds)
dated 18 November 2009, third supplemental master deed
(Shariah funds) dated 23 November 2009, fourth supplemental
master deed (Shariah funds) dated 13 April 2012, fifth
supplemental master deed (Shariah funds) dated 28 May 2012,
seventh supplemental master deed (Shariah funds) dated 30
April 2013, eighth supplemental master deed (Shariah funds)
dated 24 September 2013, ninth supplemental master deed
(Shariah funds) dated 2 March 2015 and tenth supplemental
master deed (Shariah funds) dated 20 May 2015) and any
other supplemental deeds as may be registered with the
Securities Commission Malaysia from time to time.
GLF
Master deed (umbrella funds) dated 12 June 2008 (as
amended via its first supplemental master deed (umbrella
funds) dated 25 August 2008, second supplemental master
deed (umbrella funds) dated 19 June 2009, third supplemental
master deed (umbrella funds) dated 30 April 2013, fourth
supplemental master deed (umbrella funds) dated 24
September 2013, fifth supplemental master deed (umbrella
funds) dated 2 March 2015 and sixth supplemental master
deed (umbrella funds) dated 20 May 2015) and any other
supplemental deeds as may be registered with the Securities
Commission Malaysia from time to time.
Deposits
Unless stated otherwise, deposits refer to any deposit with a

financial institution which are not embedded or linked to
financial derivative instruments.
Employees Provident Fund Board
Malaysian Employees Provident Fund Board established

under section 3 of the Employees Provident Fund Act 1991.
EPF or KWSP
Malaysian Employees Provident Fund set up under section 24

of the Employees Provident Fund Act 1991 or Kumpulan
Wang Simpanan Pekerja.
EPF Members Investment Scheme
The investment schemes approved by the Minister charged

with responsibility for matters relating to the Employees
Provident Fund Board, subject to such terms and conditions as
he thinks fit, which the Employees Provident Fund Board
may, subject to any regulations and rules made under the
Employees Provident Fund Act 1991, authorize an application
for investment, made by a member of the EPF, partly any
amount standing to the credit of such member of the EPF.
ERISA
The Employee Retirement Income Security Act of 1974, as

amended from time to time.
External Investment Manager
RHB Islamic International Asset Management Berhad, as the

investment manager with the responsibility of managing the
investments of MF and ICMF as delegated to it by the
Manager/Management Company.
FBM KLCI
FTSE Bursa Malaysia KLCI Index.
Fund (respectively) or
Funds (collectively)
RHB Dynamic Fund (DF); or

RHB Capital Fund (CF); or
RHB Bond Fund (BF); or
RHB Malaysia DIVA Fund (MDF); or
RHB GoldenLife Funds (GLF); or
RHB GoldenLife Today (GLF Today); or
RHB GoldenLife 2020 (GLF 2020); or
RHB GoldenLife 2030 (GLF 2030); or
RHB Cash Management Fund 1 (CMF); or
RHB Mudharabah Fund (MF); or
RHB Islamic Bond Fund (IBF); or
RHB Islamic Cash Management Fund (ICMF); or
RHB Dividend Valued Equity Fund (DVEF); or
RHB Global Fortune Fund (GFF); or
RHB Asian Total Return Fund (ATRF); or

RHB-GS US Equity Fund (USEF).
GST
Goods and services tax.
IFD-i
Maybank Islamic Berhads Islamic Fixed Deposit-i.
Latest Practicable Date
30 April 2016.
Law of 17 December 2010
Luxembourg Law of 17 December 2010 on undertakings for

collective investment, as amended.
Long term
5 years and above.
Luxembourg Supervisory Authority
Luxembourg Commission de Surveillance du Secteur

Financier.
Master Prospectus
This master prospectus for the Funds dated 15 July 2016

which expires on 14 July 2017.
Manager/Management Company
RHB Asset Management Sdn Bhd (174588-X).
Medium term
3 to 5 years.
MSCI
Morgan Stanley Capital International Inc., a provider of equity

(international and United States of America), fixed income
and hedge fund indices.
MSCI World (Net)
MSCI index of world or global stocks maintained by MSCI

and a common benchmark for world or global stock funds.
Net Asset Value (NAV)
The net asset value of the respective Fund is determined by

deducting the value of all of a Funds liabilities from the value
of all of that Funds assets, at the valuation point.
Net Asset Value per Unit
The NAV of the Fund at a particular valuation point divided

by the number of Units in circulation at the same valuation
point.
Performance Benchmark
The benchmark against which the performance of a Fund can

be measured.
Portfolio Turnover Ratio
The ratio of the average sum of acquisitions and disposals of a

Fund for the year to the average value of that Fund for the
year calculated on a daily basis.
The portfolio turnover ratio of the Fund is determined as
follows:
(Total acquisitions of the Fund for the year + Total disposals
of the Fund for the year) / 2
Average value of the Fund for the year calculated on a daily
basis
RAM
RAM Rating Services Berhad.
Repurchase Charge
The fee payable by an investor for his/her redemption of

Units. It is represented as a percentage of the NAV per Unit.
RHB GoldenLife Funds
The umbrella fund comprising of the following sub-funds:

RHB GoldenLife Today;
RHB GoldenLife 2020; and
RHB GoldenLife 2030.
RM or Ringgit Malaysia
The lawful currency of Malaysia.
Sales Charge
The fee payable by an investor for his/her purchase of Units. It

is represented as a percentage of the NAV per Unit.
SACSC
Shariah Advisory Council of the Securities Commission.
Securities Commission
Securities Commission Malaysia.
Securities Laws
The Capital Markets & Services Act 2007 and unless

expressly stated otherwise, include any regulations, orders,
notifications or other subsidiary legislation made under those
laws.
SGD
Singapore dollar, the lawful currency of Singapore.
Shariah Adviser
RHB Islamic Bank Berhad (appointed for MF, IBF and

ICMF).
Short term
Less than 3 years.
Trustee
CIMB Islamic Trustee Berhad in respect of MDF, MF and

IBF.
HSBC (Malaysia) Trustee Berhad in respect of BF, GLF
Today, GLF 2020, GLF 2030, CMF, ICMF, DVEF, ATRF
and GFF.
Maybank Trustees Berhad in respect of DF and CF.
TMF Trustees Malaysia Berhad in respect of USEF.
Unit
Means a unit of the Fund and includes fractions of a unit of

the Fund.
Unit Holder
In relation to a Fund, the person registered as the holder of a

Unit (including persons who are jointly registered) in that
Fund.
USD
United States dollar, the lawful currency of United States of

America.
CORPORATE DIRECTORY
MANAGER
REGISTERED & PRINCIPAL OFFICE
19th Floor, Plaza OSK
Jalan Ampang
50450 Kuala Lumpur
Hotline: 1-800-88-3175
Tel: 03-2164 3036
Fax: 03-2164 4226
E-mail: rhbam@rhbgroup.com
Website: www.rhbgroup.com
BRANCHES
Kuala Lumpur Office
B-9-6, Megan Avenue 1
No. 189, Jalan Tun Razak
50400 Kuala Lumpur
Tel: 03-2171 2755
Fax: 03-2770 0022
Kuantan Office
B 32-34, 2nd Floor, Lorong Tun Ismail 8
Sri Dagangan II
25000 Kuantan, Pahang
Tel: 09-517 3611
Fax: 09-517 3612
Penang Office
64-D, Level 5, Lebuh Bishop
10200 Penang
Tel: 04-264 5639
Fax: 04-264 5640
Kota Bharu Office

No 3953-H, 1st Floor
Jalan Kebun Sultan
15350 Kota Bharu, Kelantan
Tel: 09-741 8539
Fax: 09-741 8540
Butterworth Office
2677, Jalan Chain Ferry
Taman Inderawasih
13600 Prai, Penang
Tel: 04-390 0022
Fax: 04-390 0023
Kota Kinabalu Office

Lot No. C-02-04, 2nd Floor
Block C, Warisan Square
Jalan Tun Fuad Stephens
88000 Kota Kinabalu, Sabah
Tel: 088-528 686/692 Fax: 088-528 685
Ipoh Office
4th Floor, 21-25,
Jalan Seenivasagam, Greentown
30450 Ipoh, Perak
Tel: 05-242 4311
Fax: 05-242 4312
Miri Office
Lot 1268, First Floor
Centre Point Commercial Centre
Jalan Melayu
98000 Miri, Sarawak
Tel: 085-422 788
Fax: 085-415 243
Melaka Office
581B, Taman Melaka Raya
75000 Melaka
Tel: 06-284 4211
Fax: 06-292 2212
Kuching Office
Lot 172, Section 49, K.T.L.D
Jalan Chan Chin Ann
93100 Kuching, Sarawak
Tel: 082-245 611
Fax: 082-242 712
Batu Pahat Office

53, 53-A and 53-B Jalan Sultanah
83000 Batu Pahat, Johor
Tel: 07-438 0271
Fax: 07-438 0277
Johor Bahru Office
2nd Floor, 21 & 23,
Jalan Molek 1/30, Taman Molek
81100 Johor Bahru, Johor
Tel: 07-358 3587
Fax: 07-358 3581
MANAGERS DELEGATE
RHB Bank Berhad
Level 10, Tower One, RHB Centre
Jalan Tun Razak
50400 Kuala Lumpur
Tel: 03-9287 8888
Fax: 03-9287 6507
In respect of MF and ICMF:
EXTERNAL INVESTMENT MANAGER
RHB Islamic International Asset Management Berhad
19th Floor, Plaza OSK, Jalan Ampang
50450 Kuala Lumpur
Tel: 03-2178 9555 Fax: 03-2161 3299
In respect of MDF, MF and IBF:
TRUSTEE
CIMB Islamic Trustee Berhad
Registered Office
Level 13, Menara CIMB
Jalan Stesen Sentral 2, Kuala Lumpur Sentral
50470 Kuala Lumpur
Tel: 03-2261 8888 Fax: 03-2261 0099
Website: www.cimb.com
Business Office
Jalan Stesen Sentral 2, Kuala Lumpur Sentral
50470 Kuala Lumpur
Tel: 03-2261 8888 Fax: 03-2261 9889
TRUSTEES DELEGATE
CIMB Bank Berhad (as custodian)
Registered Office
Jalan Stesen Sentral 2
Kuala Lumpur Sentral
50470 Kuala Lumpur
Tel: 03 - 2261 8888 Fax: 03 -2261 8889
Website: www.cimb.com
Business Office
Jalan Stesen Sentral 2
50470 Kuala Lumpur
Tel: 03-2261 8888 Fax: 03-2261 9892
In respect of BF, GLF Today, GLF 2020, GLF 2030, CMF, ICMF, DVEF, ATRF and GFF:
TRUSTEES DELEGATE (local)
The Hongkong And Shanghai Banking
Corporation Limited (as custodian) and assets
held through):
HSBC Nominees (Tempatan) Sdn Bhd
No 2, Leboh Ampang
50100 Kuala Lumpur
Tel: 03-2075 3000 Fax: 03-2179 6488
TRUSTEE
HSBC (Malaysia) Trustee Berhad
13th Floor, Bangunan HSBC,
South Tower, No 2
Leboh Ampang
50100 Kuala Lumpur
Tel: 03-2075 7800 Fax: 03-2179 6511
TRUSTEES DELEGATE (foreign)
HSBC Institutional Trust Services (Asia) Limited
6th Floor, Tower One
HSBC Centre, No 1, Sham Mong Road
Kowloon, Hong Kong
Tel: 852-2822 1111 Fax: 852-2810 5259
In respect of DF and CF:

TRUSTEE
Maybank Trustees Berhad
8th Floor, Menara Maybank
100, Jalan Tun Perak
50050 Kuala Lumpur
Tel: 03-2078 8363 Fax: 03-2070 9387
Website: http://www.maybank2u.com.my
TRUSTEES DELEGATE (local and foreign)
Malayan Banking Berhad (3813-K)
(Maybank Securities Services)
Registered Office
50050 Kuala Lumpur
Tel: 03-2074 8158 Fax: 03-2070 0966
Business Office
50050 Kuala Lumpur
Tel: 03-2074 8158 Fax: 03-2070 0966
In respect of USEF:
TRUSTEE
TMF Trustees Malaysia Bhd
10th Floor, Menara Hap Seng
No. 1 & 3, Jalan P. Ramlee
50250 Kuala Lumpur
Tel: 03-2382 4288 Fax: 03-2026 1451
TRUSTEES DELEGATE (local & foreign

custodian)
Standard Chartered Bank Malaysia Bhd (as
Custodian)
Level 16, Menara Standard Chartered
30, Jalan Sultan Ismail
50250 Kuala Lumpur
Tel: 03-2117 7777 Fax: 03-2711 6060
BOARD OF DIRECTORS
1. Mr Patrick Chin Yoke Chung
(Independent Non-Executive Chairman)
2. Encik Abdul Aziz Peru Mohamed
(Senior Independent Non-Executive Director)
3. Ms Ong Yin Suen
(Non-Independent Managing Director)
4. Mr Chin Yoong Kheong
(Independent Non-Executive Director)
5. Dr Ngo Get Ping
(Independent Non-Executive Director)
MEMBERS OF INVESTMENT COMMITTEE

1. Dato Khairussaleh Ramli
(Independent Chairman of Committee)
2. Mr Patrick Chin Yoke Chung
(Independent Committee Member)
3. Dato Abdul Rahman Ahmad
4. Mr Ong Seng Pheow
CHIEF EXECUTIVE OFFICER

Mr Ho Seng Yee
SHARIAH ADVISER
RHB Islamic Bank Berhad
Registered Office
Level 10, Tower One
RHB Centre
Jalan Tun Razak
50400 Kuala Lumpur
Tel : 603-92878888 Fax: 603-92806507
PRINCIPAL BANKER
RHB Bank Berhad
Jalan Tun Razak
50400 Kuala Lumpur
Tel: 03-9287 8888 Fax: 03-9287 6507
Business Office
Level 11, Menara Yayasan Tun Razak
200, Jalan Bukit Bintang
55100 Kuala Lumpur
Tel : 603-2171 5000 Fax: 603-2171 5001
TAX ADVISER
KPMG Tax Services Sdn Bhd
Level 10, KPMG Tower
8, First Avenue, Bandar Utama
47800 Petaling Jaya
Selangor
Tel: 03-7721 3388
AUDITORS OF THE MANAGER &

AUDITORS OF THE FUNDS
PricewaterhouseCoopers
Level 10, 1 Sentral
Jalan Travers
50706 Kuala Lumpur
Tel: 03-2173 1188 Fax: 03-2173 1288
FEDERATION OF INVESTMENT MANAGERS

MALAYSIA (FIMM)
19-06-1, 6th Floor, Wisma Tune
No. 19, Lorong Dungun
Damansara Heights
50490 Kuala Lumpur
Tel: 03-2093 2600
E-mail: info@fimm.com.my
Website: www.fimm.com.my
COMPANY SECRETARY
Azman Shah Md Yaman (LS No. 0006901)
Jalan Tun Razak
50400 Kuala Lumpur
SOLICITORS
Wei Chien & Partners
Level 29, Tower A,
Vertical Business Suite,
Avenue 3 Bangsar South,
No. 8 Jalan Kerinchi,
59200 Kuala Lumpur.
Tel: 03-2783 9622
INSTITUTIONAL UNIT TRUST ADVISERS

RHB Bank Berhad
Level 10, Tower One
RHB Centre
Jalan Tun Razak
50400 Kuala Lumpur
EMPLOYEES PROVIDENT FUND (EPF) or

KUMPULAN WANG SIMPANAN PEKERJA (KWSP)
Bangunan KWSP
Jalan Raja Laut
50350 Kuala Lumpur
Tel: 03-2694 6566/7566/8566/9566 Fax: 03-2694 8433
Website: www.kwsp.gov.my
CHAPTER 1: KEY DATA SECTION

1.
DF
KEY DATA SECTION
Investors are advised that the following section is only a summary of the Funds salient information
and investors should read and understand the whole Master Prospectus before making any investment
decisions.
1.1
KEY DATA SECTION OF RHB DYNAMIC FUND
1.1.1
General Information
Pages
Name of Management Company
RHB Asset Management Sdn Bhd.
300
Name of Trustee
Maybank Trustees Berhad.
315
Name of Fund
RHB Dynamic Fund.
Fund Category
Equity fund.
Fund Type
Capital growth and income fund.
Fund Objective
To provide investors with regular income and capital

gain at an acceptable level of risk by investing primarily
in Malaysian public listed companies with steady and
good growth potential.
102
Principal Investment Strategy
The Fund invests primarily in Malaysian public listed

companies with steady income and good growth
potential. In analyzing companies, the Manager looks for
businesses that demonstrate leadership in their
respective sector with strong growth potential coupled
with consistent dividend policy.
102
Asset allocation:
Up to 95% of Net Asset Value will be invested in

equities.
Minimum of 5% of Net Asset Value will be invested

in fixed income securities and/or liquid assets.
Benchmark
FBM KLCI.
102
Principal Risks
70
Stock market risk.

Liquidity risk.
Individual stock risk.
Issuer risk.
DF
Pages
-
Investor Profile
This Fund is suitable for investors who:

(i) want a professionally managed portfolio of shares
and fixed income securities;
(ii) have a medium to long term investment horizon of
3 to 5 years or more;
(iii) want to achieve regular income and capital gain at
an acceptable level of risk; and
(iv) want to invest in shares but do not have the time
to manage their own portfolio.
Distribution Mode
Reinvestment or cheque payment.
Distribution Policy
Subject to the availability of income at the end of the

financial year.
Frequency of Distribution
Incidental.
Commencement Date
15 September 1992.
207
Financial Year End
31 December.
207
1.1.2
289
Fees and Charges
This table describes the charges that you may directly incur when you buy or redeem Units:
Charges
(i)
Sales Charge1 by distribution channels
267
Institutional Unit Trust Adviser (IUTA)
Up to 6.00% of Net Asset Value per Unit.
Tied (retail) agent
Direct sales
(Direct investment with the Manager)
Note: Investors may negotiate for a lower Sales Charge.

Investments via the EPF Members Investment Scheme will be levied a Sales Charge
of up to 3.00% of the Net Asset Value per Unit (or such other rate that may be
determined by the EPF from time to time).
(ii)
Repurchase Charge
(iii) Dilution fee or transaction cost factor
None. An administrative charge such as

courier or telegraphic transfer charges will
also be imposed by the Manager for
remittance of repurchase proceeds.
None.
269
(iv) Any other charges payable directly by the investors

Switching fee1
RM25.00 per switch or the difference in

sales charge between switching funds on
the amount to be switched, where
applicable.
270
Transfer fee
None.
271
10
DF
Pages
This table describes the fees that you may indirectly incur when you invest in the Fund:
Fees and Expenses
(i)
Annual management fee1
Up to 1.50% per annum of Net Asset Value before

deducting the Managers and Trustees fee for that
particular day.
271
(ii)
Annual trustee fee1
0.07% per annum of Net Asset Value before

particular day.
273
(iii) Expenses directly related to

the Fund
Auditors fees, custodial charges, other relevant

professional fees, cost of distribution of interim and
annual reports, tax certificates, reinvestment
statements and other notices to Unit Holders,
commissions or fees paid to brokers, other
transaction costs and taxes.
276
(iv) Other fees payable indirectly

by an investor (if any)
None.
The implementation of GST is effective 1 April 2015 at the rate of 6% and the fees and
charges payable are exclusive of GST.
1.1.3
Transaction Details
Minimum Initial Investment
RM1,000 or such other amount as the Manager may

from time to time decide.
285
Minimum Additional Investment
RM100 or such other amount as the Manager may from

time to time decide.
285
Minimum Repurchase Units
Any number of Units.
285
Restriction on Frequency of
Repurchase
No restrictions.
285
Minimum Holding
1,000 Units or such other quantity as the Manager may

285
Redemption Period
Unit Holder may receive the repurchase proceeds within

ten (10) days from the date the Manager is in receipt of
the duly completed repurchase forms.
For EPF Unit Holders, the repurchase proceeds will be

remitted to KWSP by crediting into the members
provident account.
Cooling-Off Period
Unit Holders have the right to request for a refund of

their investment within six (6) Business Days which
shall be effective from the date of receipt of the
application by the Manager, subject to eligibility.
11
287
DF
Pages
270 &
288
Switching Facility
Available. Following a switch transaction, if the quantity

of holdings of a Unit Holder in the Fund falls below its
minimum holding, the Manager can withdraw the entire
investment and forward the proceeds to the Unit Holder.
Transfer Facility
Available. Following a transfer transaction, if the

quantity of holdings of a Unit Holder in the Fund falls
below its minimum holding, the Manager can withdraw
the entire investment and forward the proceeds to the
Unit Holder.
271 &
288
Dealing Hours
9:00 a.m. to 4:00 p.m. (Malaysia time) on any Business

Day or such later time as the Manager may determine
provided always that complete applications for the Fund
are received before the next valuation point.
284
Master deed (conventional funds) dated 12 June 2008 as

funds) dated 25 August 2008, second supplemental
master deed (conventional funds) dated 12 December
2008, third supplemental master deed (conventional
funds) dated 19 June 2009, fifth supplemental master
deed (conventional funds) dated 26 April 2010, sixth
supplemental master deed (conventional funds) dated 28
June 2010, ninth supplemental master deed
(conventional funds) dated 7 March 2012, tenth
April 2012, fifteenth supplemental master deed
(conventional funds) dated 30 April 2013, sixteenth
September 2013, seventeenth supplemental master deed
(conventional funds) dated 2 March 2015, eighteenth
May 2015 and nineteenth supplemental master deed
(conventional funds) dated 3 August 2015.
1.1.4
Deed
Other Information
There are fees and charges involved and investors are advised to consider them before investing in the
Fund.
Unit price and distributions payable, if any, may go down as well as up.
For information concerning certain risk factors which should be considered by prospective investors,
see risk factors commencing on page 69.
Past performance of the Fund is not an indication of its future performance.
12

1.2
CF
KEY DATA SECTION OF RHB CAPITAL FUND

Pages
1.2.1
General Information
300
Name of Trustee
Maybank Trustees Berhad.
315
Name of Fund
RHB Capital Fund.
Fund Category
Equity fund.
Fund Type
Capital growth fund.
Fund Objective
To achieve long term growth through capital

appreciation with all income including profits on
realisation of investments being automatically reinvested
for its compounding effect.
102
The Fund invests primarily in Malaysian public listed

companies with strong growth potential. The Manager
utilises a strategy that seeks attractively priced
companies in undervalued sectors, or in sectors that have
strong upward stock price momentum which
demonstrate strong increases in earnings per share and
continue to strengthen their fundamental capabilities and
competitive positions, amongst others.
105
Asset allocation:
equities.
in fixed income securities and/or liquid assets.
Benchmark
FBM KLCI.
105
Principal Risks
70
Stock market risk.

Liquidity risk.
Issuer risk.
13
CF
Pages
-
Investor Profile
This Fund is suitable for investors who:(i) want a professionally managed portfolio of shares
and fixed income securities;
(ii) have a medium to long term investment horizon of
3 to 5 years or more;
(iii) want to achieve potential capital growth
(accumulation) at an acceptable level of risk; and
(iv) want to invest in shares but do not have the time to
manage their own portfolio.
Distribution Mode
Distribution Policy

financial year.
Incidental.
Commencement Date
12 April 1995.
210
Financial Year End
30 April.
210
1.2.2
289
Fees and Charges
Charges
(i)
267
Tied (retail) agent
Direct sales

(ii)
Repurchase Charge

courier or telegraphic transfer charges will
also be imposed by the Manager for
None.
269

Switching fee1

applicable.
270
Transfer fee
None.
271
14
CF
Pages
Fees and Expenses
(i)

particular day.
271
(ii)
Annual trustee fee1

particular day.
273

the Fund

276

None.
1.2.3
Transaction Details

285

285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period


provident account.
Cooling-Off Period

15
287
CF
Pages
270 &
288
Switching Facility

Transfer Facility

Unit Holder.
271 &
288
Dealing Hours

284

1.2.4
Deed
Other Information
Fund.
16
BF
1.3
KEY DATA SECTION OF RHB BOND FUND
1.3.1
General Information
Pages
300
Name of Trustee
HSBC (Malaysia) Trustee Berhad.
319
Name of Fund
RHB Bond Fund.
Fund Category
Bond fund.
Fund Type
Income fund.
Fund Objective
To provide investors with higher than average income

returns compared to fixed deposits over the medium to
long term through investments in bonds and other fixed
income securities with minimum risk to capital invested.
108
The Fund will invest in quality fixed income securities

which carry a minimum long term credit rating of BBB
and above assigned by RAM or its equivalent. To
contain credit risk, the Manager will ensure that the
diversification of credit rating (and duration standing) in
the bond portfolio mitigate the overall risk position of
the portfolio.
108
Asset allocation:

fixed income securities.

in liquid assets.
Benchmark
Maybanks 12 months fixed deposit rate.
108
Principal Risks
71
Investor Profile
This Fund is suitable for investors who:(i) are risk averse;

(ii) want to protect the purchasing power of their wealth
against inflation;
(iii) want to enjoy a relatively more predictable income
on a yearly basis; and
(iv) want to diversify their overall investment portfolio
by including bonds as an asset class.
Interest rate risk.

Credit/default risk.
Liquidity risk.
Issuer risk.
17
BF
Pages
289
Distribution Mode
Distribution Policy
Income, if any, will be distributed during the financial

year.
Annual, if any.
Commencement Date
10 October 1997.
213
Financial Year End
30 September.
213
1.3.2
Fees and Charges
Charges
(i)
(ii)
Sales Charge
Repurchase Charge
None.
1a
268
269
Tied (retail) agent
Direct sales
Note: Investors may negotiate for a lower Repurchase Charge. The Repurchase
Charge of up to 1.00% of Net Asset Value per Unit is payable by a Unit Holder if he
redeems his investments on or before the 1st year of investment. After one year
period, no Repurchase Charge will be levied. All Repurchase Charges will be
retained by the Manager.
None.

Switching fee1

applicable.
270
Transfer fee
None.
271
Fees and Expenses
(i)

particular day.
271
(ii)
Annual trustee fee1

particular day.
274

statements and other notices to Unit Holders, other
276

the Fund
18

BF
Pages
-
None.
1a
charges payable are exclusive of GST. The repurchase charge herein is a penalty in nature
and is not subject to GST. However, the Manager reserves the right to charge GST without
prior notification to investor when directed to do so by the Royal Malaysian Customs or
when there is a change in the interpretation of the nature of the repurchase charge by the
Royal Malaysian Customs.
1.3.3
Transaction Details

285

285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period


provident account.
Cooling-Off Period

287
Switching Facility

270 &
288
Transfer Facility

Unit Holder.
271 &
288
19
Dealing Hours
1.3.4
Deed
BF

Pages
284
Other Information
Fund.
20
MDF
1.4
KEY DATA SECTION OF RHB MALAYSIA DIVA FUND
1.4.1
General Information
Pages
300
Name of Trustee
CIMB Islamic Trustee Berhad.
322
Name of Fund
RHB Malaysia DIVA Fund.
Fund Category
Equity fund.
Fund Type
Income and capital growth fund.
Fund Objective
To provide total returns primarily through investment in

equity and equity related securities of companies which
offer potentially high dividend yields and sustainable
dividend payments.
111
The Fund will invest in companies that offer higher than

expected dividend yields compared to other companies
in the market and whose cash-flow generated by
business and management activities are expected to
support such dividend payments.
111
The Fund therefore seeks to identify and invest in

companies that focus on shareholder value in the form of
sustainable dividend returns combined with the prospect
for capital growth.
Asset allocation:
Up to 100% of Net Asset Value can be invested in
equities and/or fixed income securities or liquid
assets.
Benchmark
Maybanks 12 months fixed deposit rate.
111
Principal Risks
72
Investor Profile

(i) are looking for potential income through equities
that offer dividend and growth potential; and
(ii) have medium to long term investment horizon.
Stock market risk.

Liquidity risk.
Interest rate risk.
Issuer risk.
21
MDF
Pages
289
Distribution Mode
Distribution Policy

year.
Annual, if any.
Commencement Date
3 May 1999.
216
Financial Year End
31 March.
216
1.4.2
Fees and Charges
Charges
(i)
267
Tied (retail) agent
Direct sales

(ii)
Repurchase Charge

courier or telegraphic transfer charges
will also be imposed by the Manager for
(iii)
Dilution fee or transaction cost factor
None.
(iv)
Any other charges payable directly by the investors
269
Switching fee1

applicable.
270
Transfer fee
None.
271
Fees and Expenses
(i)

particular day.
(ii)
Annual trustee fee1
0.08% per annum of Net Asset Value, subject to a

minimum of RM18,000 per annum, before deducting
the Managers and Trustees fee for that particular
day.
22
271
MDF
(iii)
Expenses directly related to

the Fund

(iv)
Other fees payable indirectly

None.
Pages
276
1.4.3
Transaction Details

285

285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period


provident account.
Cooling-Off Period

287
Switching Facility

270 &
288
Transfer Facility

Unit Holder.
271 &
288
23
MDF
Pages
Dealing Hours
1.4.4
Deed

284

Other Information
Fund.
Unit price and distributions payable, if any, may go down as well as up
24

1.5
GLF Today
KEY DATA SECTION OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE

TODAY
Pages
1.5.1
General Information
300
Name of Trustee
319
Name of Fund
RHB GoldenLife Funds RHB GoldenLife Today.
Fund Category
Bond fund.
Fund Type
Income fund.
Fund Objective
To provide retired investors or investors who are retiring

in the very near future a steady income stream in
planning for their financial needs upon retirement.
114
The Fund will place more emphasis on fixed income

securities in Malaysia given that it is a bond fund.
114
Asset allocation:
equities.
Minimum of 80% and up to 100% of Net Asset
Value will be invested in fixed income securities
and/or liquid assets.
Benchmark
Weighted average of FBM KLCI (10%) and Maybanks

12 months fixed deposit rate (90%).
114
Principal Risks
73
Investor Profile
This Fund is suitable for retired investors or investors

who are retiring in the very near future.
Allocation risks.
Stock market risk.
Interest rate risk.
Liquidity risk.
Issuer risk.
Inflation/purchasing power risk.
25
GLF Today
Pages
289
Distribution Mode
Reinvestment or cheque payment
Distribution Policy

year.
Annual, if any.
Commencement Date
21 February 2005.
219
Financial Year End
28 or 29 February.
219
1.5.2
Fees and Charges
Charges
(i)
268
Tied (retail) agent
Direct sales

(ii)
Repurchase Charge
None.
269
None.

Switching fee1

applicable.
No switching fee is imposed if switching
from RHB GoldenLife Funds RHB
GoldenLife Fund Today to any of the
other RHB GoldenLife Funds.
270
Transfer fee
None.
271
Fees and Expenses
(i)

particular day.
272
(ii)
Annual trustee fee1
0.06% per annum of Net Asset Value, before

particular day.
273
26
GLF Today

the Fund


None.
Pages
276
1.5.3
Transaction Details

285

285
285
Repurchase
No restrictions.
285
Minimum Holding
2,000 Units or such other quantity as the Manager shall

determine from time to time.
285
Redemption Period


provident account.
Cooling-Off Period

287
Switching Facility

270 &
288
Transfer Facility

Unit Holder.
271 &
288
27
Dealing Hours
1.5.4
Deed
GLF Today

Pages
284
Other Information
Master deed (umbrella funds) dated 12 June 2008 as
amended via its first supplemental master deed
(umbrella funds) dated 25 August 2008, second
June 2009, third supplemental master deed (umbrella
funds) dated 30 April 2013, fourth supplemental master
deed (umbrella funds) dated 24 September 2013, fifth
March 2015 and sixth supplemental master deed
(umbrella funds) dated 20 May 2015.
There are fees and charges involved and investors are advised to consider them before investing in
the Fund.
For information concerning certain risk factors which should be considered by prospective
investors, see risk factors commencing on page 69.
28
GLF 2020
1.6
KEY DATA SECTION OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2020
1.6.1
General Information
Pages
300
Name of Trustee
319
Name of Fund
RHB GoldenLife Funds RHB GoldenLife 2020.
Fund Category
Balanced fund.
Fund Type
Fund Objective
To provide investors planning to retire in the year 2020,

a wealth accumulation vehicle for meeting their financial
needs upon retirement.
117
The Fund will invest in equities and fixed income

securities in Malaysia and in accordance with an asset
allocation that will become increasingly conservative as
the year 2020 approaches. The entire asset allocation
structure of the Fund will also gradually resemble GLF
Today as the Fund approaches the year 2020.
117
Asset allocation:
Minimum of 40% and up to 60% of Net Asset Value
will be invested in equities.
Minimum of 40% and up to 60% of Net Asset Value
will be invested in fixed income securities and/or
liquid assets.
Benchmark

117
Principal Risks
73
Investor Profile
This Fund is suitable for investors who are planning to

retire around the year 2020.
Allocation risks.
Stock market risk.
Interest rate risk.
Liquidity risk.
Issuer risk.
29
GLF 2020
Pages
289
Distribution Mode
Distribution Policy

financial year.
Incidental.
Commencement Date
21 February 2005.
222
Financial Year End
28 or 29 February.
222
Maturity Date
29 February 2020.
119
This Fund is designed to produce total return for

investors planning to retire around the year 2020. As the
year 2020 approaches, this portfolio will increasingly
resemble RHB GoldenLife Today. This Fund will on its
maturity date be automatically terminated and merged
into RHB GoldenLife Today.
1.6.2
Fees and Charges
Charges
(i)
267
Tied (retail) agent
Direct sales

(ii)
Repurchase Charge
None.
269
(iii)
Dilution fee or transaction cost factor
None.
(iv)

Switching fee1

applicable.
GoldenLife Fund 2020 to any of the
other RHB GoldenLife Funds.
270
Transfer fee
None.
271
30
GLF 2020
Pages
Fees and Expenses
(i)

particular day.
271
(ii)
Annual trustee fee1

particular day.
273

the Fund

commissions or fees paid to brokers, other transaction
costs and taxes.
276

None.
1.6.3
Transaction Details

285

285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period


provident account.
Cooling-Off Period

31
287
GLF 2020
Pages
270 &
288
Switching Facility

Transfer Facility

Unit Holder.
271 &
288
Dealing Hours

284

1.6.4
Deed
Other Information
Fund.
32
GLF 2030
1.7
KEY DATA SECTION OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2030
1.7.1
General Information
Pages
300
Name of Trustee
319
Name of Fund
RHB GoldenLife Funds RHB GoldenLife 2030.
Fund Category
Equity fund.
Fund Type
Capital growth fund.
Fund Objective
To provide investors planning to retire in the year 2030,

a wealth accumulation vehicle for meeting their financial
needs upon retirement.
121
The Fund will invest in equities and fixed income

securities in Malaysia and in accordance with an asset
allocation that will become increasingly conservative as
the year 2030 approaches.
121
Asset allocation:
Minimum of 70% and up to 100% of NAV will be
invested in equities.
Up to 30% of NAV will be invested in fixed income
securities and/or liquid assets.
Benchmark

121
Principal Risks
73
Investor Profile
This Fund is suitable for investors who are planning to

retire around the year 2030.
Distribution Mode
Allocation risks.
Stock market risk.
Interest rate risk.
Liquidity risk.
Issuer risk.
33
289
GLF 2030
Pages
-
Distribution Policy

financial year.
Incidental.
Commencement Date
21 February 2005.
225
Financial Year End
28 or 29 February.
225
Maturity Date
28 February 2030.
123
This Fund is designed to produce total return for

investors planning to retire around the year 2030. As the
year 2030 approaches, this portfolio will increasingly
resemble RHB GoldenLife Today. This Fund will on its
maturity date be automatically terminated and merged
into RHB GoldenLife Today.
1.7.2
Fees and Charges
Charges
(i)
Sales Charge1 by distribution channel
267
Tied (retail) agent
Direct sales

(ii)
Repurchase Charge
None.
269
None.

Switching fee1

applicable.
GoldenLife Fund 2030 to any of the other
RHB GoldenLife Funds.
270
Transfer fee
None.
271
34
GLF 2030
Pages
Fees and Expenses
(i)

deducting the Managers and Trustees fees for that
particular day.
271
(ii)
Annual trustee fee1

particular day.
273

the Fund

276

None.
1.7.3
Transaction Details

285

285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period


provident account.
Cooling-off Period

287
Switching Facility

270 &
288
35
GLF 2030
Pages
271 &
288
Transfer Facility

Unit Holder.
Dealing Hours

284

1.7.4
Deed
Other Information
the Fund.
36
CMF
1.8
KEY DATA SECTION OF RHB CASH MANAGEMENT FUND 1
1.8.1
General Information
Pages
300
Name of Trustee
319
Name of Fund
RHB Cash Management Fund 1.
Fund Category
Money market fund.
Fund Type
Income fund.
Fund Objective
To provide liquidity and regular income for investors

through investments primarily in the money market.
125
The investment strategy is to invest in a diversified

portfolio of short term money market instruments.
125
Asset allocation:
money market instruments and/or liquid assets.
Benchmark
Maybanks savings rate.
125
Principal Risks
Interest rate risk.

Inflation risk.
Liquidity risk.
75
Investor Profile
This Fund is suitable for investors wanting to earn

returns higher than savings deposits while maintaining a
high degree of liquidity.
Distribution Mode
Generally cheque payment
Distribution Policy
Income is paid monthly, depending on the level of

income (if any) the Fund generates.
Monthly, if any.
Commencement Date
23 August 2007.
228
Financial Year End
31 July.
228
37
289
CMF
Pages
1.8.2
Fees and Charges
Charges
(i)
Sales Charge
None.
268
(ii)
Repurchase Charge
None.
269
None.

Switching fee1

sales charge between the switching funds
on the amount to be switched, where
applicable.
270
Transfer fee
None.
271
Fees and Expenses
(i)

particular day.
272
(ii)
Annual trustee fee1

particular day.
274
(iii)
Expenses directly related to

the Fund

276

1
None.
1.8.3
Transaction Details
RM100,000 for institutional investors and RM50,000 for

retail investors or multiples thereof, or such other
amount as the Manager may from time to time decide.
286

286
286
Repurchase
No restriction.
286
38
CMF
Minimum Holding
100,000 Units for institutional investors and 50,000

Units for retail investors, or such other quantity as the
Manager may from time to time decide.
Redemption Period
Unit Holders may receive the repurchase proceeds on

the following Business Day upon receipt of the duly
completed repurchase forms by the Manager.
Pages
286

provident account.
Cooling-off Period

287
Switching Facility

270 &
288
Transfer Facility

Unit Holder.
271 &
288
Dealing Hours
9:00 a.m. to 12:00 p.m.

Business Day or such later
determine provided always
for the Fund are received
point.
39
(Malaysia time) on any

time as the Manager may
that complete applications
before the next valuation
284
CMF
Pages
1.8.4
Deed
Other Information
Master deed (conventional funds) dated 12 June 2008
as amended via its supplemental master deed
(conventional funds) dated 25 August 2008, second
supplemental master deed (conventional funds) dated
12 December 2008, third supplemental master deed
(conventional funds) dated 19 June 2009, fifth
26 April 2010, sixth supplemental master deed
(conventional funds) dated 28 June 2010, ninth
March 2012, tenth supplemental master deed
(conventional funds) dated 13 April 2012, fifteenth
30 April 2013, sixteenth supplemental master deed
(conventional funds) dated 24 September 2013,
seventeenth supplemental master deed (conventional
funds) dated 2 March 2015, eighteenth supplemental
master deed (conventional funds) dated 20 May 2015
and nineteenth supplemental master deed (conventional
funds) dated 3 August 2015.
Fund.
40
MF
1.9
KEY DATA SECTION OF RHB MUDHARABAH FUND
1.9.1
General Information
Pages
300
Name of External Investment

Manager
RHB Islamic International Asset Management Berhad.
312
Name of Trustee
322
Name of Fund
RHB Mudharabah Fund.
Fund Category
Balanced (Shariah-compliant) fund.
Fund Type
Fund Objective
To provide a balanced mix of income and potential for

capital growth by investing in stocks listed on the Bursa
Malaysia or on any other stock exchanges, unlisted
stocks and Islamic debt securities and other non-interest
bearing assets acceptable under principles of Shariah.
The Funds activities shall be conducted strictly in
accordance with the requirement of the Shariah
principles and shall be monitored by the Shariah
committee of the Fund.
127
The Funds objective is to achieve returns from sukuk

and Shariah-compliant debt instruments income stream,
the dividend income stream, as well as capital
appreciation. The adjustments of asset allocation
between equity, sukuk and Shariah-compliant debt
instrument are formulated based on the economic
analysis and valuations of securities.
127
Asset allocation:
Up to 60% of NAV will be invested in equities.
Minimum of 40% of NAV will be invested in sukuk,
Islamic debt instruments, Islamic money market
instruments and/or liquid assets acceptable under
Shariah principle.
Benchmark
Weighted average of FTSE Bursa Malaysia Emas

Shariah Index (50%) and Maybank Islamic Berhads 12
months Islamic Fixed Deposit-i (IFD-i) rate (50%).
127
Principal Risks
76
Stock market risk.

Liquidity risk.
Issuer risk.
Interest rate risk.
Shariah specific risk.
41
MF
Pages
-
Investor Profile

(i) want an investment that complies with the
principles of Shariah;
(ii) want a professionally managed portfolio of
Shariah-compliant equities, sukuk and Islamic debt
securities;
(iii) want to have a balanced portfolio that provides
both income and capital growth; and
(iv) want to invest in shares but do not have the time to
manage their own portfolio.
Distribution Mode
Distribution Policy

financial year.
Incidental.
Commencement Date
9 May 1996.
231
Financial Year End
28 or 29 February.
231
1.9.2
289
Fees and Charges
Charges
(i)
267
Tied (retail) agent
Direct sales

(ii)
Repurchase Charge
None.
269
None.

Switching fee1

sales charge between the switching funds
on the amount to be switched, where
applicable.
270
Transfer fee
None.
271
42
MF
Pages
Fees and Expenses
(i)

particular day.
271
(ii)
Annual trustee fee1

particular day.
274

the Fund
Auditors fees, Shariah Advisers fees, custodial

charges, other relevant professional fees, cost of
distribution of interim and annual reports, tax
certificates, reinvestment statements and other
notices to Unit Holders, commissions or fees paid to
brokers, other transaction costs and taxes.
276

None.
1.9.3
Transaction Details

from time to time accept.
285

time to time accept.
285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period

Cooling-Off Period

287
Switching Facility

270 &
288
43
Dealing Hours
1.9.4
Deed
MF

Pages
284
Other Information
Master deed (Shariah funds) dated 12 June 2008 as
amended via its first supplemental master deed (Shariah
funds) dated 19 June 2009, second supplemental master
deed (Shariah funds) dated 18 November 2009, third
supplemental master deed (Shariah funds) dated 23
November 2009, fourth supplemental master deed
(Shariah funds) dated 13 April 2012, fifth supplemental
master deed (Shariah funds) dated 28 May 2012, seventh
supplemental master deed (Shariah funds) dated 30 April
2013, eighth supplemental master deed (Shariah funds)
dated 24 September 2013, ninth supplemental master
deed (Shariah funds) dated 2 March 2015 and tenth
supplemental master deed (Shariah funds) dated 20 May
2015.
the Fund.
44

1.10
IBF
KEY DATA SECTION OF RHB ISLAMIC BOND FUND

Pages
1.10.1 General Information

300
Name of Trustee
322
Name of Fund
RHB Islamic Bond Fund.
Fund Category
Bond (Shariah-compliant) fund.
Fund Type
Income fund.
Fund Objective
To provide regular income to investors through

investments in Islamic debt securities and bonds which
are acceptable investment under the principles of
Shariah.
130
The Fund will invest in sukuk and Islamic fixed income

securities. Investments must carry a minimum long term
credit rating of BBB and above or a minimum short term
rating of P3 as assigned by RAM or its equivalent. To
contain credit risk, the Manager will ensure that the
diversification of credit rating (and duration standing) in
the bond portfolio mitigate the overall risk position of
the portfolio.
130
Asset allocation:
sukuk and Islamic debt instruments.
in liquid assets acceptable under Shariah principle.
Benchmark
Maybank Islamic Berhads 12 months Islamic Fixed

Deposit-i (IFD-i) rate.
130
Principal Risks
77
Investor Profile

(i) are risk averse;
(ii) want an investment that complies with the
principles of Shariah;
(iii) want to have regular income from their investment;
(iv) want a professionally managed portfolio of sukuk
and Islamic fixed income securities; and
(v) require higher returns than Islamic fixed deposits at
an acceptable level of risk.
Issuer risk.
Interest rate risk.
Liquidity risk.
45
IBF
Pages
289
Distribution Mode
Distribution Policy

year.
Annual, if any.
Commencement Date
25 August 2000.
234
Financial Year End
30 September.
234
1.10.2 Fees and Charges

Charges
(i)
(ii)
Sales Charge
Repurchase Charge
None.
1a
268
269
Tied (retail) agent
Direct sales
Note: Investors may negotiate for a lower Repurchase Charge. The Repurchase
Charge of up to 1.00% of Net Asset Value per Unit is payable by a Unit Holder if he
redeems his investments on or before the 1st year of investment. After one year
period, no Repurchase Charge will be levied. All Repurchase Charges will be
retained by the Manager.
None.

Switching fee1

applicable.
270
Transfer fee
None.
271
Fees and Expenses
(i)
Profit sharing scheme between the Manager and the

Fund in the ratio of 15:85 respectively based on the
net investment income, which is the income of the
Fund less the Trustees fee and all permitted or
allowable expenses under the Deed.
272
(ii)
Annual trustee fee1
0.10% per annum of Net Asset Value, subject to a

minimum of RM35,000 per annum, before deducting
the Managers and Trustees fee for that particular
day.
274
46
IBF

the Fund

notices to Unit Holders, other transaction costs and
taxes.

None.
Pages
276
1a
charges payable are exclusive of GST. The repurchase charge herein is a penalty in nature
and is not subject to GST. However, the Manager reserves the right to charge GST without
prior notification to investor when directed to do so by the Royal Malaysian Customs or
when there is a change in the interpretation of the nature of the repurchase charge by the
Royal Malaysian Customs.
1.10.3 Transaction Details


285

time to time accept.
285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period


provident account.
Cooling-off Period

287
Switching Facility

270 &
288
47
IBF
Pages
271 &
288
Transfer Facility

Unit Holder.
Dealing Hours

284

2015.
1.10.4 Other Information

Deed
the Fund.
48

1.11
ICMF
KEY DATA SECTION OF RHB ISLAMIC CASH MANAGEMENT FUND

Pages

300
Name of External Investment

Manager
RHB Islamic International Asset Management Berhad.
312
Name of Trustee
319
Name of Fund
RHB Islamic Cash Management Fund.
Fund Category
Money market (Shariah-compliant) fund.
Fund Type
Income fund.
Fund Objective
Aims to provide liquidity and a regular stream of income

by investing in Shariah-compliant money market
instruments.
133
The investment strategy is to invest in a diversified

portfolio of short term Islamic money market
instruments and Islamic deposits with financial
institutions.
133
Asset allocation:
At least 90% of Net Asset Value invested into
Islamic money market instruments and Islamic
deposits with licensed financial institutions that are
not more than 365 days maturity.
Up to 10% of Net Asset Value invested in Islamic
money market instruments and Islamic deposits with
licensed financial institutions that is more than 365
days but fewer than 732 days maturity.
Benchmark
Maybank Islamic Berhads 1-month Islamic Fixed

Deposit-i (IFD-i) rate.
134
Principal Risks
79
Investor Profile
This Fund is suitable for investors wanting to earn

returns higher than savings deposits while maintaining a
high degree of liquidity.
Interest rate risk.

Liquidity risk.
Inflation risk.
49
ICMF
Pages
289
Distribution Mode
Generally cheque payment.
Distribution Policy
Income is paid monthly, depending on the level of

income (if any) the Fund generates.
Monthly, if any.
Commencement Date
30 June 2008.
237
Financial Year End
30 November.
237

Charges
(i)
Sales Charge
None.
268
(ii)
Repurchase Charge
None.
269
None.

Switching fee1
RM25.00 per switch or the difference in sales

charge between switching funds on the
amount to be switched, where applicable.
270
Transfer fee
None.
271
Fees and Expenses
(i)

particular day.
272
(ii)
Annual trustee fee1

particular day.
274

the Fund

notices to Unit Holders, other transaction costs and
taxes.
276

None.
50
ICMF
Pages


286

286
286
Repurchase
No restriction.
286
Minimum Investment Balance
100,000 Units for institutional investors and 50,000

Units for retail investors, or such other quantity as the
Manager may from time to time decide.
286
Redemption Period
Unit Holder may receive the repurchase proceeds on the

following Business Day upon receipt of the duly
completed repurchase forms by the Manager.

provident account.
Cooling-off Period

287
Switching Facility

270 &
288
Transfer Facility

Unit Holder.
271 &
288
Dealing Hours

284
51
ICMF
Pages

Deed

2015.
the Fund.
52

1.12
DVEF
KEY DATA SECTION OF RHB DIVIDEND VALUED EQUITY FUND

Pages

300
Name of Trustee
319
Name of Fund
RHB Divided Valued Equity Fund.
Fund Category
Equity fund.
Fund Type
Fund Objective
To provide investors with total returns primarily through

investment in equity and equity related securities of
companies which offer attractive yields and sustainable
dividend payments.
136
The Fund will invest in companies that offer higher

expected dividend yields compared to other companies
in the market and whose cash-flow generated by
business and management activities are expected to
support such dividend payments.
136
Asset allocation:
Minimum 70% and up to 98% of NAV will be
invested in equities.
Minimum of 2% and up to 30% of NAV will be
invested in fixed income securities and/or liquid
assets.
Benchmark
Morgan Stanley Capital International Asia Pacific Free

ex Japan Index (MSCI).
136
Principal Risks
80
Investor Profile
This Fund is suitable for investors who want capital

growth as well as income and are willing to accept short
term fluctuations in capital values.
Stock market risk.

Currency risk.
Liquidity risk.
Country risk.
Sector risk.
Interest rate risk.
Issuer risk.
Regulatory risk.
53
DVEF
Pages
289
Distribution Mode
Distribution Policy

year.
Annual, if any.
Commencement Date
13 July 2005.
240
Financial Year End
31 May.
240

Charges
(i)
268
Tied (retail) agent
Direct sales

(ii)
Repurchase Charge

(iv)
None.
269
None.

Switching fee1

applicable.
270
Transfer fee
None.
271
Fees and Expenses
(i)

particular day.
272
(ii)
Annual trustee fee1

particular day (excluding foreign custodian fees and
charges).
274

the Fund

276
(iv)
None.

54
DVEF
Pages

285
RM100 or such other amount as the Manager, may from

285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period

Cooling-Off Period

287
Switching Facility

270 &
288
Transfer Facility

Unit Holder.
271 &
288
Dealing Hours

284
55
DVEF
Pages

Deed

the Fund.
56

1.13
GFF
KEY DATA SECTION OF RHB GLOBAL FORTUNE FUND

Pages

300
Name of Trustee
319
Name of Fund
RHB Global Fortune Fund.
Fund Category
Feeder fund.
Fund Type
Income fund.
Fund Objective
The Fund aims to provide total return from dividend

income, option premiums and capital appreciation,
sustainable distributions and typically lower portfolio
volatility compared to a normal equity investment.
139
The Fund will invest principally in a target fund i.e. the

Allianz Global High Payout Fund which is managed by
Allianz Global Investors Singapore Limited.
139
Allianz Global High Payout Fund is regulated by the

Monetary Authority of Singapore under the Securities
and Futures Act (Chapter 289), Singapore.
When the investment in the Allianz Global High Payout
Fund (a fund domiciled in Singapore which was
launched in January 2006 and which invests globally in
equities and selling of call options) does not meet the
objectives of the Fund, the Manager may choose to
replace it with another collective investment scheme
with similar objectives, subject to the approval from
Unit Holders.
Asset allocation:
At least 95% of Net Asset Value will be invested in a
target fund, i.e. the Allianz Global High Payout Fund.
liquid assets to provide for liquidity purpose.
Benchmark
60% MSCI World & 40% Dividend Yield (MSCI

World).
139
Principal Risks
81
Interest rate risk.

General market risk.
Stock and issuer risk.
Currency risk.
Country & transfer risk.
Fund manager risk.
Regulatory risk.
57
GFF
Pages
-
Investor Profile
This Fund is suitable for investors with a moderate risk

profile.
Distribution Mode
Distribution Policy

year.
Semi-annual, if any.
Commencement Date
8 August 2006.
243
Financial Year End
28 or 29 February.
243
289

Charges
(i)
267
Tied (retail) agent
Direct sales

(ii)
Repurchase Charge
None.
269
None.

Switching fee1

applicable.
270
Transfer fee
None.
271
Fees and Expenses
(i)

particular day.
272
(ii)
Annual trustee fee1

charges).
274

276

the Fund
58

GFF
None levied by the Manager. As a feeder fund, there

are other indirect fees incurred at the target fund
level, such as annual custodian fee, transaction fees
and others.
Pages
275


285

285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period

Cooling-Off Period

287
Switching Facility

270 &
288
Transfer Facility

Unit Holder.
271 &
288
Dealing Hours

284
59
GFF
Pages

Deed

amended via its supplemental master deed
the Fund.
60

1.14
ATRF
KEY DATA SECTION OF RHB ASIAN TOTAL RETURN FUND

Pages

300
Name of Trustee
319
Name of Fund
RHB Asian Total Return Fund.
Fund Category
Feeder fund.
Fund Type
Income and growth fund.
Fund Objective
To provide stable current income and capital

appreciation by investing in debt securities issued by
Asian corporations, financial institutions, governments
and their agencies (including money market
instruments)1. The Asian countries include but are not
limited to Singapore, Malaysia, Thailand, Indonesia,
Philippines, Hong Kong SAR, South Korea, Taiwan,
China, Australia, New Zealand and Japan.
160
The Fund is a feeder fund that will invest principally in

the United Asian Bond Fund, which is a collective
investment scheme domiciled in Singapore investing in
debt securities issued by Asian corporations, Asian
financial institutions, Asian government and their
agencies (including money market instruments) by
generally maintaining an exposure of at least 70% and
above in such debt securities.
The Fund will invest principally in a target fund i.e. the

United Asian Bond Fund (SGD Class) which is managed
by UOB Asset Management Ltd. United Asian Bond
Fund is domiciled in Singapore and regulated by the
Monetary Authority of Singapore under the Securities
and Futures Act (Chapter 289), Singapore.
160
If the investment in the United Asian Bond Fund (SGD

Class), which was launched on 8 March 2000, does not
meet the objective of the Fund, the Manager may choose
to replace it with another collective investment scheme
with similar objective, subject to the approval from Unit
Holders.
Asset allocation:
Benchmark

target fund, i.e. the United Asian Bond Fund.

liquid assets to provide for liquidity purpose.
JP Morgan Asia Credit Index Total Return Composite.
61
161
ATRF
Pages
86
Principal Risks
Investor Profile
This Fund is suitable for investors with a moderate risk

profile.
Distribution Mode
Distribution Policy

financial year.
Annual (subject to the availability of income).
Commencement Date
26 February 2007.
246
Financial Year End
31 December.
246
Currency risk.
Liquidity risk.
Income distribution risk.
Risk of substantial redemptions.
Suspension of NAV calculation or limitation of
redemption payments.
289

Charges
(i)
267
Tied (retail) agent
Direct sales

(ii)
Repurchase Charge

(iv)
None.
269
None.

Switching fee1

applicable.
270
Transfer fee
None.
271
62
ATRF
Pages
Fees and Expenses
(i)

particular day.
272
(ii)
Annual trustee fee1

charges).
274

the Fund

276
(iv)

level, such as subscription fee, realisation charge,
switching fee and others.
275



285

285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period
Generally, Unit Holder may receive the repurchase

proceeds within ten (10) days from the date the Manager
is in receipt of the duly completed repurchase forms.
However, all repurchase of Units may be subject to such
limit on the number of Units which can be repurchased
by a Unit Holder on a Business Day in which case the
redemption period may extend to fifteen (15) Business
Days.
286
Cooling-Off Period

their investment within six (6) business days which shall
be effective from the date of receipt of the application by
the Manager, subject to eligibility.
287
63
ATRF
Switching Facility

Pages
270 &
288
Transfer Facility

Unit Holder.
271 &
288
Dealing Hours

284

amended via its supplemental master deed

Deed
the Fund.
64

1.15
USEF
KEY DATA SECTION OF RHB-GS US EQUITY FUND

Pages

300
Name of Trustee
TMF Trustees Malaysia Berhad.
325
Name of Fund
RHB-GS US Equity Fund.
Fund Category
Feeder fund.
Fund Type
Growth fund.
Fund Objective
The Funds objective is to seek to achieve long term

capital appreciation through investment in a collective
investment scheme, which invests primarily in securities
of United States of America companies.
183
The Fund will invest at least 95% of Net Asset Value in

a target fund, i.e. the Goldman Sachs US Equity
Portfolio, which invests primarily in a diversified
portfolio of equities and equity-related securities of
companies domiciled in the United States of America,
including companies that derive the majority proportion
of their revenues or profits from the United States of
America.
183
The Goldman Sachs US Equity Portfolio, launched in

February 2006, is one of several portfolios of an
umbrella fund, the Goldman Sachs Funds which is
domiciled in Luxembourg. The Goldman Sachs Funds is
a public limited company (socit anonyme)
qualifying as an investment company organised with
variable share capital within the meaning of the Law of
17 December 2010 and was incorporated on 5 November
1992. The Goldman Sachs Funds is authorised by the
Luxembourg Supervisory Authority.
The Goldman Sachs Funds designated management
company, Goldman Sachs Asset Management Global
Services Limited has delegated certain management
functions of Goldman Sachs US Equity Portfolio to an
investment manager, Goldman Sachs Asset Management
International.
Asset allocation:
target fund i.e. Goldman Sachs US Equity Portfolio.
Up to 5% of Net Asset Value will be in cash and
cash equivalents.
Benchmark
S&P 500 Index.
65
184
USEF
Pages
93
Principal Risks
Investor Profile
This Fund is suitable for investors with a high risk

profile.
Distribution Mode
Not applicable.
Distribution Policy
The Fund is not expected to make any distribution.
None.
Commencement Date
18 May 2011.
249
Financial Year End
30 June.
249
Investment manager risk.

Market risk.
Currency risk.
Liquidity risk.
Regulatory risk.
Risk of substantial redemption.
Suspension of NAV calculation or limitation of
redemption payments.
290

Charges
(i)
268
Tied (retail) agent
Direct sales

(ii)
Repurchase Charge

(iv)
None.
269
None.

Switching fee1

applicable.
270
Transfer fee
None.
271
66
USEF
Pages
Fees and Expenses
(i)

particular day.
272
(ii)
Annual trustee fee1

particular day, subject to a minimum of RM 18,000
per annum (excluding foreign custodian fees and
charges).
274

the Fund

276
(iv)

level, such as annual custodian fee, transaction fees
and others.
275



285

285
285
Repurchase
No restrictions.
285
Minimum Holding

285
Redemption Period
Generally, Unit Holder may receive the repurchase

proceeds within ten (10) days from the date the Manager
is in receipt of the duly completed repurchase forms.
However, all repurchase of Units may be subject to such
limit on the number of Units which can be repurchased
by a Unit Holder on a Business Day in which case the
redemption period may extend to fifteen (15) Business
Days.
285
Cooling-Off Period

287
67
USEF
Pages
270 &
288
Switching Facility

Transfer Facility

Unit Holder.
271 &
288
Dealing Hours

284


Deed
the Fund.
68
CHAPTER 2: RISK FACTORS

2.
RISK FACTORS
2.1
General Risks of Investing In Unit Trust Funds

The following are general risks involved in investing in the Funds:
(a)
Loan/Financing Risk
Investors should assess the inherent risk of investing with borrowed money or financing
facility, which should include the following:
The ability to service the loan repayments or financing instalments and the effect
of increase in interest rates or profit rates on the loan repayments or financing
instalments;
If Units are used as collateral, investors may be required to provide additional

collateral should the Funds prices fall below a certain level; and
The cost of investing with borrowed money or a financing facility may be greater
than the return on investment in a Fund.
[Please see Unit Trust Loan Financing Risk Disclosure Statement in the application form.
Should Muslim investors wish to finance the acquisitions of Islamic unit trust funds, they
are advised to obtain one that is Shariah-compliant in nature.]
(b)
Management risk
Poor management of the Fund may jeopardise the investment of each Unit Holder.
Therefore, it is important for the Manager to set the investment policies and appropriate
strategies to be in line with the investment objective before any investment activities can
be considered. However, there can be no guarantee that these measures will produce the
desired results.
(c)
Non-compliance risk
This is the risk of the Manager not complying with the internal policies, the Deed, all
applicable laws or guidelines issued by the regulators. This may occur as a result of
system failure or the inadvertence of the Manager. The magnitude of such risk and its
impact on the Fund and/or Unit Holders are dependent on the nature and severity of the
non-compliance. Non-compliance may adversely affect a Fund especially if the
investment of the Fund has to be disposed at a lower price to rectify the non-compliance.
Investors are reminded that the above list of risks may not be exhaustive and if necessary,
they should consult their adviser(s), e.g. their bankers, lawyers or stockbrokers for a
better understanding of the risks.
69

2.2
Specific Risks When Investing In the Funds

The following are specific risks involved in investing in the Funds:
DF
Stock market risk

Securities may decline in value due to factors affecting securities markets generally or
particular industries represented in the securities markets. The value of a security may
decline due to general market conditions which are not specifically related to a particular
company, such as real or perceived adverse economic conditions, changes in the general
outlook for corporate earnings, changes in interest or currency rates or adverse investors
sentiment generally. They may also decline due to factors that affect a particular industry
or industries, such as labour shortages or increased production costs and competitive
conditions within an industry. Equity securities generally have greater price volatility
than fixed income securities. The market price of securities owned by the Fund might go
down or up, sometimes rapidly or unpredictably.
Liquidity risk
Liquidity risk exists when particular investments are difficult to sell, possibly preventing
the Fund from selling such illiquid securities at an advantageous time or price. Unit trust
funds with principal investment strategies that involve securities or securities with
substantial market and/or credit risk tend to have greater exposure to liquidity risk. As
part of its risk management, the Manager will attempt to manage the liquidity of the Fund
through asset allocation and diversification strategies within the portfolio. The Manager
will also conduct constant fundamental research and analysis to forecast future liquidity
of its investments.
Individual stock risk

The performance of each individual stock that the Fund invests in is dependent upon the
management quality of the particular company and its growth potential. Hence, this
would have an impact on the Funds prices and its dividend income. The Manager aims
to reduce all these risks by using diversification that is expected to reduce the volatility as
well as the risk for the Funds portfolio. In addition, the Manager will also perform
continuous fundamental research and analysis to aid its active asset allocation
management especially in its stock selection process.
Issuer risk
The value of each individual fixed income securities that the Fund invests in may decline
for a number of reasons which is directly related to the issuer, such as, the management
performance, financial leverage and reduced demand for the issuers goods or services.
The Manager aims to reduce all these risks by using diversification that is expected to
reduce the volatility as well as the risk for the Funds portfolio.
CF
Stock market risk

70

Liquidity risk
part of its risk management, The Manager will attempt to manage the liquidity of the Fund
will also conduct constant fundamental research and analysis to forecast future liquidity of
its investments.

Issuer risk
BF
Interest rate risk

Generally, bond prices move in the opposite direction of interest rates; a rise in interest
rates will generally cause a fall in bond prices and vice versa. The Fund will experience a
capital loss or capital gain should the bond be sold before maturity. In order to mitigate
interest rates exposure of the Fund, the Manager will manage the duration of the portfolio
via shorter or longer tenured assets depending on the view of the future interest rate trend
of the Manager, which is based on its continuous fundamental research and analysis.
Credit/default risk
This refers to the likelihood that the company issuing the bonds and/or financial
institution where liquid assets of the Fund are deposited may default. Securities are
subject to varying degrees of credit risk, which are often reflected in credit ratings.
Municipal bonds are subject to the risk that litigation, legislation or other political events,
local business or economic conditions, or the bankruptcy of an issuer could have a
significant effect on the issuers ability to make payments of principal and/or interest.
The Fund could lose money if the issuer or guarantor of a fixed income security, or the
counterpart to a derivatives contract, repurchase agreement or a loan of portfolio
securities or a financial institution, is unable or unwilling to make timely principal and/or
71

interest payments, or to otherwise honour its obligations. Credit risk can be managed by
performing continuous fundamental credit research and analysis to ascertain the
creditworthiness of its issuer and/or financial institution. This risk refers to the possibility
that the issuer of an instrument and/or financial institution will not be able to make timely
payments of interest or principal repayment on the maturity date, where applicable. This
may lead to a default in the payment of principal and interest and ultimately a reduction
in the value of the Fund.
Liquidity risk
its investments.
Issuer risk
MDF
Stock market risk

Liquidity risk
funds with principal investment strategies that involve securities with substantial market
and/or credit risk tend to have greater exposure to liquidity risk. As part of its risk
management, the Manager will attempt to manage the liquidity of the Fund through asset
allocation and diversification strategies within the portfolio. The Manager will also conduct
constant fundamental research and analysis to forecast future liquidity of its investments.

would have an impact on the unit trust funds prices and its dividend income. The
72

Manager aims to reduce all these risks by using diversification that is expected to reduce
the volatility as well as the risk for the Funds portfolio. In addition, the Manager will
also perform continuous fundamental research and analysis to aid its active asset
allocation management especially in its stock selection process.
Interest rate risk

Credit/default risk
Issuer risk
GLF
Allocation risks
As the Funds adopt a metamorphosis concept (that is, the asset allocation of each Fund
will automatically evolve over time), there is a risk that the recommended allocation of a
Fund at any one point in time will neither maximise returns nor minimise risks.
There is also a risk that given a particular time horizon, a recommended allocation will
not prove to be the ideal allocation in all circumstances for every investor.
Each Fund has a different level of risk. The Funds with shorter time horizons (RHB
GoldenLife Today for instance) will tend to be less risky and have lower expected returns
over the long term than the Funds with longer time horizon (RHB GoldenLife 2020 and
RHB GoldenLife 2030, for instance). For example, to the extent a Fund emphasises
equities, such as RHB GoldenLife 2030, it presents a higher degree of equities
73

investment risk. Conversely, to the extent a Fund emphasises on bonds, such as RHB
GoldenLife Today, it presents a higher degree of fixed income securities investment risk.
The value of the investment in a Fund is based, in large part, on the prices of the equities
and fixed income securities in which the Fund invests.
Stock market risk

than fixed income securities. The market price of securities owned by a unit trust fund
might go down or up, sometimes rapidly or unpredictably.
Interest rate risk


Credit/default risk
This refers to the likelihood that the company issuing the bonds may default. Securities
are subject to varying degrees of credit risk, which are often reflected in credit ratings.
securities, is unable or unwilling to make timely principal and/or interest payments, or to
otherwise honour its obligations. Credit risk can be managed by performing continuous
fundamental credit research and analysis to ascertain the creditworthiness of its issuer.
This risk refers to the possibility that the issuer of an instrument will not be able to make
timely payments of interest or principal repayment on the maturity date. This may lead to
a default in the payment of principal and interest and ultimately a reduction in the value
of the Fund.
74
Liquidity risk
its investments.
Issuer risk
Inflation/purchasing power risk

Inflation can be defined as increases of price level of goods and services and is
commonly reported using the consumer price index as a measure. Inflation is one of the
major risks to investors over the long term and results in uncertainty over the future value
of the investments. Inflation reduces purchasing power of money. In an inflationary
environment, fixed rate securities are exposed to higher inflation risks than inflationlinked securities. This risk can be mitigated by investing in securities that can provide
positive real rate of return.
CMF
Interest rate risk

Interest rate risk is crucial in this Fund since debt securities portfolio management
depends on forecasting interest rate movements. Prices of short term debt securities move
inversely with interest rates and the degree of price sensitivity to interest rates is a
function of debt securities and coupon maturity as well as the level of interest rates. In the
event of rising interest rates, prices of debt securities will decrease and vice versa.
Therefore, interest rate risk should be low for short term bonds, moderate for
intermediate term bonds and high for long term bonds. In order to mitigate interest rates
exposure of the Fund, the Manager will manage the duration of the portfolio via shorter
or longer tenured assets depending on the view of the future interest rate trend of the
Manager, which is based on its continuous fundamental research and analysis. The
interest rate risk here refers to the general interest rate risk of the country which may
affect the value of investment even if the Shariah-compliant unit trust fund does not
invest in interest bearing instruments.
Inflation risk
Inflation reduces the purchasing power of money. Therefore in an inflationary
environment, there is a possibility that income from debt securities may not be able to
keep up with inflation. This risk can be mitigated by investing in securities that can
provide positive real rate of return.
75
Liquidity risk
It is generally accepted that the Malaysian debt market is less liquid than the equity market.
Thus, the Fund may not be able to liquidate their investments easily if there are no willing
buyers. As part of its risk management, the Manager will attempt to manage the liquidity of
the Fund through asset allocation and diversification strategies within the portfolio. The
Manager will also conduct constant fundamental research and analysis to forecast future
liquidity of its investments.
MF
Stock market risk


Liquidity risk
funds with principal investment strategies that involve foreign securities, derivatives or
securities with substantial market and/or credit risk tend to have greater exposure to
liquidity risk. As part of its risk management, the Manager will attempt to manage the
liquidity of the Fund through asset allocation and diversification strategies within the
portfolio. The Manager will also conduct constant fundamental research and analysis to
forecast future liquidity of its investments.
Issuer risk
The value of each individual Shariah-compliant debt securities that the Fund invests in
may decline for a number of reasons which is directly related to the issuer, such as, the
management performance, financial leverage and reduced demand for the issuers goods
or services. The Manager aims to reduce all these risks by using diversification that is
expected to reduce the volatility as well as the risk for the Funds portfolio.
76
Interest rate risk

capital loss or capital gain should the Shariah-compliant debt securities be sold before
maturity. In the case of the Shariah-compliant Fund, the fluctuation in profit rates will
affect the prices of its Shariah-compliant debt securities. The interest rate risk here refers
to the general interest rate risk of the country which may affect the value of the Funds
investments even if the Fund does not invest in interest bearing instruments.
The Shariah-compliant debt securities indicative rate is influenced by the yield curve of
the conventional interest rates. Thus, any movement in the conventional interest rates
may be reflected in the indicative rates of Shariah-compliant debt securities as well.
However, this does not in any way suggest that the Fund will invest in fixed income
securities where conventional interest rates apply. All the investments carried out for the
Fund will be in accordance with Shariah principles. In order to mitigate interest rates
Manager, which is based on its continuous fundamental research and analysis.
Credit/default risk
This refers to the likelihood that the company issuing the Shariah-compliant debt
securities and/or financial institution where liquid assets of the Fund are deposited may
default. Securities are subject to varying degrees of credit risk, which are often reflected
in credit ratings. Shariah-compliant municipal debt securities are subject to the risk that
litigation, legislation or other political events, local business or economic conditions, or
the bankruptcy of an issuer could have a significant effect on the issuers ability to make
payments of principal and/or profit. The Fund could lose money if the issuer or guarantor
of a fixed income security, or the counterpart to a derivatives contract, repurchase
agreement or a financial institution, is unable or unwilling to make timely principal
and/or profit payments, or to otherwise honour its obligations. Credit risk can be
managed by performing continuous fundamental credit research and analysis to ascertain
the creditworthiness of its issuer and/or financial institution. This risk refers to the
possibility that the issuer of an instrument and/or financial institution will not be able to
make timely payments of profit or principal repayment on the maturity date, where
applicable. This may lead to a default in the payment of principal and profit and
ultimately a reduction in the value of the Fund.
Shariah specific risk

The risk that the investments do not conform to the principle of Shariah may result in
those investments being not Shariah-compliant. Should the situation arise, the Manager
will need to take the necessary steps to dispose of such investments in accordance with
the rules of divestment of non Shariah-compliant investments. If this occurs, the Fund
could suffer losses from the disposal and thus, adversely affecting the value of the Fund.
IBF
Credit/default risk
This refers to the likelihood that the company issuing the Shariah-compliant debt
securities and/or financial institution where liquid assets of the Fund are deposited may
default. Securities are subject to varying degrees of credit risk, which are often reflected
in credit ratings. Shariah-compliant municipal debt securities are subject to the risk that
litigation, legislation or other political events, local business or economic conditions, or
the bankruptcy of an issuer could have a significant effect on the issuers ability to make
77

payments of principal and/or profit. The Fund could lose money if the issuer or guarantor
of a fixed income security, or the counterpart to a derivatives contract, repurchase
agreement or a financial institution, is unable or unwilling to make timely principal
and/or profit payments, or to otherwise honour its obligations. Credit risk can be
managed by performing continuous fundamental credit research and analysis to ascertain
the creditworthiness of its issuer and/or financial institution. This risk refers to the
possibility that the issuer of an instrument and/or financial institution will not be able to
make timely payments of profit or principal repayment on the maturity date, where
applicable. This may lead to a default in the payment of principal and profit and
ultimately a reduction in the value of the Fund.
Issuer risk
The value of each individual Shariah-compliant debt securities that the Fund invests in
may decline for a number of reasons which is directly related to the issuer, such as, the
management performance, financial leverage and reduced demand for the issuers goods
or services. The Manager aims to reduce all these risks by using diversification that is
expected to reduce the volatility as well as the risk for the Funds portfolio.
Interest rate risk

capital loss or capital gain should the Shariah-compliant debt securities be sold before
maturity. In the case of the Shariah-compliant Fund, the fluctuation in profit rates will
affect the prices of its Shariah-compliant debt securities. The interest rate risk here refers
to the general interest rate risk of the country which may affect the value of the Funds
investments even if the Fund does not invest in interest bearing instruments.
The Shariah-compliant debt securities indicative rate is influenced by the yield curve of
the conventional interest rates. Thus, any movement in the conventional interest rates
may be reflected in the indicative rates of Shariah-compliant debt securities as well.
However, this does not in any way suggest that the Fund will invest in fixed income
securities where conventional interest rates apply. All the investments carried out for the
Fund will be in accordance with Shariah principles. In order to mitigate interest rates
Manager, which is based on its continuous fundamental research and analysis.
Liquidity risk

78

ICMF
Interest rate risk

Interest rate risk is crucial in this Fund since debt securities portfolio management
depends on forecasting interest rate movements. Prices of short term debt securities move
inversely with interest rates and the degree of price sensitivity to interest rates is a
function of debt securities and coupon maturity as well as the level of interest rates. In the
event of rising interest rates, prices of debt securities will decrease and vice versa.
Therefore, interest rate risk should be low for short term bonds, moderate for
intermediate term bonds and high for long term bonds. Even though the Fund does not
invest in interest bearing instruments, the interest rate referred herein is to the general
interest rate of the country which may affect the value of the investment of the Fund.
However, given the short term nature of the investments, the Fund is exposed to minimal
interest rate risk. The interest rate risk here refers to the general interest rate risk of the
country which may affect the value of investment even if the Fund does not invest in
interest bearing instruments.
Credit/default risk
This risk refers to the possibility that the issuer of a particular investment will not be able
to make timely or full payments of principal or income due on that investment. In the
case of the Fund, the Manager will endeavour to minimize this risk by selecting only
issuers with prescribed and acceptable credit ratings. The minimum credit rating for rated
instruments to be invested by the Fund shall be A by Malaysian Rating Corporation
Berhad or equivalent rating by any other similar rating agencies. In the event of a credit
downgrade of a particular instrument below the minimum stipulated, the Manager will
endeavour to take the necessary steps to divest that instrument within a time frame
deemed reasonable by the Manager. However, in order to best protect the interests of the
Fund, the Manager has the discretion to take into consideration all relevant factors that
affect the value of the investment before deciding on the manner and time frame of its
liquidation.
Liquidity risk
It is generally accepted that the Malaysian debt market is less liquid than the equity
market. Thus, the Fund may not be able to liquidate their investments easily if there are
no willing buyers. To minimise this risk, up to 10% of the Fund will be invested in
Islamic money market instruments and deposits with financial institutions of between 365
days and 732 days in maturity. The rest of the Fund will be invested in Islamic money
market fund instruments that are less than 365 days, which is highly liquid in nature.
Inflation risk
Inflation reduces the purchasing power of money. Therefore in an inflationary
environment, there is a possibility that income from debt securities may not be able to
keep up with inflation.

79
DVEF
Stock market risk

Currency risk
As the Fund invests overseas, fluctuations in the denominated currencies of the foreign
shares and fixed income securities/debentures it invests in may affect the price of the
units. The Manager could utilise two pronged approaches in order to mitigate the
currency risk. Firstly by spreading the investments across differing currencies (i.e.
diversification) and secondly by hedging the currencies when it is deemed necessary.
Country risk
The stock prices may be affected by the political and economic conditions of the country
in which the stocks are listed. To mitigate these risks, the Manager will select securities
that spread across countries within its portfolio in an attempt to avoid such events.
Decision on diversification will be based on its constant fundamental research and
analysis on the global markets.
Liquidity risk
Sector risk
Securities may decline in value due to factors affecting the technology industry or the
securities markets generally. The value of a security may decline due to general market
conditions that are not specifically related to a particular company, such as real or
perceived adverse economic conditions, cyclical or seasonal changes in the industry,
technological changes within the industry, changes in the general outlook of the industry,
corporate earnings, or adverse investors sentiment generally. The Manager will
endeavour to minimize such risks by investing in a portfolio that diversifies the Fund's
assets within that sector. This is expected to reduce the volatility as well as the risk for
the Funds portfolio.
80
Interest rate risk

Credit/default risk
Issuer risk
Inflation/purchasing power risk

Inflation can be defined as increases of price level of goods and services and is
commonly reported using the consumer price index as a measure. Inflation is one of the
major risks to investors over the long term and results in uncertainty over the future value
of the investments. Inflation reduces purchasing power of money. In an inflationary
environment, fixed rate securities are exposed to higher inflation risks than inflationlinked securities. This risk can be minimised by investing in securities that can provide
positive real rate of return.
Regulatory risk
Any changes in national policies and regulations may have an effect on the capital
markets in which the Fund is investing. If this occurs there is a possibility that the Unit
price of the Fund may be adversely affected.
GFF
As the Fund may invest up to 100% of its Net Asset Value in a target fund, i.e. Allianz Global
High Payout Fund, it is subject to the management risk of the management company and
investment manager of Allianz Global High Payout Fund. Poor management of the Allianz
81

Global High Payout Fund will jeopardize the investment of the Fund in the Allianz Global High
Payout Fund, and in turn, the Unit Holders investment through the loss of capital invested in
the Fund.
Interest rate risk

To the extent the Fund invests in the Allianz Global High Payout Fund, it is exposed to
the risk of interest rate changes. If the markets interest rates change, the price of these
securities may be deeply affected and this applies to a greater degree if the Allianz Global
High Payout Fund holds securities with high correlation to the interest rates.
General market risk

As the Allianz Global High Payout Fund invests in equities, it is exposed to various
general trends and tendencies in the equities market which are particularly attributable to
irrational factors. Such factors may lead to a more significant and long lasting decline in
prices affecting the entire market.
Stock & issuer risk

The performance of equities and money market instruments held by the Allianz Global
High Payout Fund is also dependent on company specific factors like the issuers
business situation. If the company-specific factors deteriorate, the price of the specific
security may drop significantly and permanently, possibly even regardless of an
otherwise generally positive stock market trend. Risks include but are not limited to
competitive operating environments, changing industry conditions and poor management.
Currency risk
While Allianz Global High Payout Fund is denominated in SGD, it may be invested in
whole or in part in securities quoted in other currencies. The performance of the Allianz
Global High Payout Fund will therefore be affected by movements in the exchange rate
between the currencies in which its assets are held and its base currency (if foreign
currency positions have not been hedged). In addition, as the Fund is denominated in
Ringgit Malaysia, whereas the Allianz Global High Payout Fund is denominated in SGD,
the performance of Units will be affected by movements in the exchange rate between
Ringgit Malaysia and SGD. Changes in rates of exchange between currencies may cause
the value of the Funds investment in the Allianz Global High Payout Fund to diminish or
increase which in turn will affect the value of the Unit Holders investments.
Country & transfer risk

The investments by the Allianz Global High Payout Fund in foreign markets may be
subject to the changes in the countrys economic fundamentals, social and political
stability, currency movements and foreign investment policies. These factors may have
an impact on the prices of the securities that the Allianz Global High Payout Fund invests
in. Currency or transfer limitations or other legal changes may be of significance in this
regard.
Fund manager risk

Since the Fund invests into a fund managed by another fund house, the Manager has no
control over that fund houses investment technique, knowledge or management
expertise. In the event of mismanagement, the NAV which invests into the Allianz
Global High Payout Fund would be affected negatively. Although the probability of such
occurrences is minute, should the situation arise, the Manager reserves the right to seek
82

an alternative fund manager and/or other collective investment scheme that is consistent
with the objective of the Fund.
Regulatory risk
markets in which the Allianz Global High Payout Fund is investing. If this occurs there is
a possibility that the Unit price of the Fund may be adversely affected.
Furthermore, investments of Allianz Global High Payout Fund are subject to the following
risks:
General risk
Investors should consider and satisfy themselves as to the risks of investing in the Allianz
Global High Payout Fund. Generally, some of the risk factors that should be considered
by investors are market risks, interest rate risks, credit risks of issuers, default risks,
foreign exchange risks, repatriation risks, political risks, regulatory risks, liquidity risks,
concentration risks and derivative risks.
In addition, failure to comply with the Foreign Account Tax Compliance Act (or any
applicable intergovernmental agreement entered into in connection with the Foreign
Account Tax Compliance Act and implementing laws and regulations) may subject
Allianz Global High Payout Fund to a 30% withholding tax on certain types of payments
made to it (or any penalties that may otherwise be specified). This may cause the Allianz
Global High Payout Fund to suffer material loss.
An investment in the Allianz Global High Payout Fund is meant to produce returns over
the long-term. Investors should not expect to obtain short-term gains from such
investment.
Investors should note that the price of units of the Allianz Global High Payout Fund and
the income accruing from the units of the Allianz Global High Payout Fund may fall or
rise and that investors may not get back their original investment.
Specific risk
(i)
To the extent the Allianz Global High Payout Fund invests in interest bearing
securities, it is exposed to risk of interest rate changes. If the market interest rate
increases, the price of the interest bearing securities included in the Allianz Global
High Payout Fund may drop significantly. This applies to an even greater degree if
the Allianz Global High Payout Fund also holds interest-bearing securities with a
longer time to maturity and a lower nominal interest return.
(ii)
To the extent the Allianz Global High Payout Fund invests in equities, even if
indirectly, it is exposed to various general trends and tendencies in the equities
market, which are partially attributable to irrational factors. Such factors may lead
to a more significant and longer lasting decline in prices affecting the entire
market. Securities of top-rated issuers are exposed to general market risk in
basically the same manner.
Options are sensitive to the volatility of equity markets. Before expiry of the
option, the price of the option can change with the price of the equity remaining
unchanged due to changes in volatility.
Options on baskets of equities or equity indices are subject to
correlation/dispersion risks. The price of this kind of options will change if the
83

prices of the equities in the baskets or equity indices do not change together in the
way anticipated.
(iii)
The price development of the securities and money market instruments held by the
Allianz Global High Payout Fund is also dependent on company-specific factors,
for example, the issuers business situation. If the company-specific factors
deteriorate, the price of the specific security may drop significantly and
enduringly, possibly even without regard to an otherwise generally positive stock
market trend.
(iv)
The issuer of a security held by the Allianz Global High Payout Fund or the debtor
of a claim belonging to the Allianz Global High Payout Fund may become
insolvent. This could result in the corresponding assets of the Allianz Global High
Payout Fund becoming economically worthless.
(v)
The Allianz Global High Payout Fund may hold assets denominated in foreign
currencies. Fluctuations in the exchange rates between the based currency of the
Allianz Global High Payout Fund and the foreign currencies may have an impact
on the income and value of the Allianz Global High Payout Fund. The investment
manager of the Allianz Global High Payout Fund may use currency forwards,
futures, options and swap agreements to reduce the currency deviations of the
portfolio of the Allianz Global High Payout Fund.
(vi)
Economic or political instability occurring in countries in which Allianz Global

High Payout Fund is invested may result in the Allianz Global High Payout Fund
not receiving the full amount of monies to which it is entitled despite the solvency
of the issuer of the respective security. Currency or transfer limitations or other
legal changes, for example, may be of significance in this regard.
(vii) Investment in financial derivative instruments (FDIs) (including options, foreign

exchange forward contracts and equity index futures contracts) by the Allianz
Global High Payout Fund will be subject to risks associated with such investments.
The use of such investment strategies may be restricted by market conditions or as
a result of regulatory limits and there is no assurance that the pursuit of such
strategies will in fact achieve the desired aim.
Risk associated with the use of FDIs
(a)
Market risk
This is a general risk that applies to all investments meaning that the value
of a particular FDI may change in a way which may be detrimental to the
Allianz Global High Payout Funds interests.
(b)
Liquidity risk
FDIs are highly specialised instruments that require investment techniques
and risk analysis different from those associated with equity and fixed
income securities. The use of derivative techniques requires an
understanding not only of the underlying assets of the FDI but also of the
FDI itself, without the benefit of observing the performance of the FDI
under all possible market conditions. In particular, the use and complexity of
FDIs require the maintenance of adequate controls to monitor the
transactions entered into, the ability to assess the risk that an FDI adds to the
Allianz Global High Payout Fund and the ability to forecast the relative
price, interest rate or currency rate movements correctly.
84

(c)
Counterparty risk
The Allianz Global High Payout Fund may enter into transactions on overthe-counter (OTC) markets, which will expose the Allianz Global High
Payout Fund to the credit of its counterparty and its ability to satisfy the
terms of such contracts. If a counterparty goes bankrupt or insolvent, the
Allianz Global High Payout Fund could experience delays in liquidating the
position and significant losses, including declines in the value of its
investment during the period in which the Allianz Global High Payout Fund
seeks to enforce its rights, inability to realise any gains on its investment
during such period and fees and expenses incurred in enforcing its rights.
There is also a possibility that the above agreements and derivative
techniques are terminated due, for instance, to bankruptcy, supervening
illegality or change in the tax or accounting laws relative to those at the time
the agreement was originated.
(d)
Margin requirement
Investments in FDIs may require the deposit of an initial margin and
additional deposit of margin on short notice if the market moves against the
investment positions. If no provision is made for the required margin within
the prescribed time, the Allianz Global High Payout Funds investments
may be liquidated at a loss.
(e)
Loss of potential positive return of hedged asset

While the use of FDIs to hedge Allianz Global High Payout Funds assets
reduces the economic risk inherent in an asset of the Allianz Global High
Payout Fund to the greatest extent possible, there is a possible risk that the
Allianz Global High Payout Fund will no longer be able to participate in a
positive development of the hedged asset.
(f)
Other risks
Other risk in using FDIs includes the risk of differing valuations of FDIs
arising out of different permitted valuation methods. Many FDIs, in
particular OTC FDIs, are complex and often valued subjectively and the
valuation can only be provided by a limited number of market professionals
which often are acting as counterparties to the transaction to be valued.
Inaccurate valuations can result in increased cash payment requirements to
counterparties or a loss of value of the Allianz Global High Payout Fund.
However, this risk is limited as the valuation method used to value OTC
FDIs must be verifiable by an independent auditor.
Furthermore, FDIs do not always perfectly or even highly correlate or track
the value of the securities, rates or indices they are designed to track.
Consequently, the Allianz Global High Payout Funds use of derivative
techniques may not always be an effective means of, and sometimes could
be counterproductive to, following the Allianz Global High Payout Funds
investment objective.
85

ATRF
As the Fund may invest up to 100% of its NAV in a target fund, i.e. United Asian Bond Fund, it
is subject to the management risk of the investment manager of United Asian Bond Fund. Poor
management of the United Asian Bond Fund will jeopardize the investment of the Fund in the
United Asian Bond Fund and in turn, the Unit Holders investment through the loss of capital
invested in the Fund.
Currency risk
The Fund invests at least 95% of its NAV in a target fund, i.e. the United Asian Bond
Fund, which is denominated in SGD. Fluctuations in foreign exchange rate between SGD
and Ringgit Malaysia will affect the value of the Funds foreign investments when
converted to local currency and subsequently the value of Unit Holders investment.
As such, the performance of the Fund will also be affected by the movements in the
exchange rate between SGD and Ringgit Malaysia.
Liquidity risk
Fund. The liquidity risk that exists at the Fund level is associated with the inability of the
United Asian Bond Fund to meet large redemption requests in a timely manner. This is
related to the risk of substantial redemptions.
Income distribution risk

Income distribution from the Fund is not guaranteed, it is subject to the income
distribution of the United Asian Bond Fund. Furthermore, as per the Guidelines on Unit
Trust Funds, distribution of income of the Fund should only be made from realised gains
or realised income of the Fund. Under the circumstances where there are no realised
gains or realised income of the United Asian Bond Fund, the Fund may not be able to
distribute income. As such, it should be noted that the distribution of income is not
guaranteed.
Risk of substantial redemptions

Fund. The redemption requests made by the investors of the Fund will also be requested
by the Fund to the United Asian Bond Fund.
The United Asian Bond Fund imposes a 10% limit of realisation on any particular day
when requests for redemption of units exceed 10% of the total number of units that has
been issued on the United Asian Bond Fund (10% limit of realisation). As such, any
substantial requests from the Fund may trigger this 10% limit of realisation.
When this 10% limit of realisation has been triggered, this may lead to investors of the
Fund not being able to receive their redemption proceeds within 10 days from the date of
their redemption requests. For more details, please refer to the explanation below on the
suspension of NAV calculation or limitation of redemption payments.
Suspension of NAV calculation or limitation of redemption payments

As further described in the prospectus of the United Asian Bond Fund, the United Asian
Bond Fund may in certain circumstances impose a limit of realisation on any particular
day when requests for redemption of units exceed 10% of the total number of units that
has been issued on the United Asian Bond Fund. Once the requests for redemption of
86

units exceed 10% of the total number of units that has been issued on the United Asian
Bond Fund (10% limit of realisation), any redemption requests received by the United
Asian Bond Fund will be pro-rated accordingly to all unit holders who are redeeming
their units in the United Asian Bond Fund. This pro-rated action will continue until the
10% limit of realisation is no longer breached.
As a result, part or all of such requests for redemption may be deferred for a period
typically not exceeding ten (10) business day of the United Asian Bond Fund beginning
from the day the 10% limit of realisation is imposed by the United Asian Bond Fund. If
such circumstances arise on any Business Day upon notification from the investment
manager of the United Asian Bond Fund, the Manager may not be able to redeem its
investments in the United Asian Bond Fund in order to meet any repurchase of Units
requests from the Unit Holders within ten (10) days of receiving the redemption requests.
Illustration: Application of the 10% limit on redemption/repurchase of units
Hypothetical figures are used for the purposes of this illustration.
30th of September
Assuming that there was a substantial amount of redemption requests made by several
investors of the United Asian Bond Fund. The fund manager of the United Asian Bond
Fund may limit the number of units which can be redeemed to 10% of the total number of
units then in issue in the United Asian Bond Fund on that business day of the United
Asian Bond Fund (10% limit of realisation).
As such, if the 10% limit of realisation has been imposed by the United Asian Bond Fund
i.e. when the requests for redemption of units of the United Asian Bond Fund exceed
10% of the total number of units that has been issued on the United Asian Bond Fund,
any redemption requests received by the United Asian Bond Fund will be pro-rated
accordingly to all unit holders of the United Asian Bond Fund who are redeeming their
units in the United Asian Bond Fund. This pro-rated action will continue until the 10%
limit of realisation is no longer breached. As a result, the United Asian Bond Fund will
have to stagger its redemption proceeds with redemptions to be calculated based on
several valuation points (Deferred Redemption Requests).
1st of October
On 1st October, Investor A placed a redemption request for 900,000 Units of the Fund
and Investor B placed a redemption request for 100,000 Units (which sums up to
1,000,000 units of the United Asian Bond Fund).
The Manager will submit redemption request of the 1,000,000 units to the United Asian
Bond Fund (i.e. redemption requests from Investor A and B).
In view of the Deferred Redemption Requests which has been lined up before the
redemption request of the Fund to the United Asian Bond Fund (i.e. for the redemption
requests for Investor A and B) and with the imposition of the 10% limit on redemption
requests, the Deferred Redemption Requests would be given priority over requests
subsequently received from Investor A and Investor B.
87

10th of October
Assuming that the Deferred Redemption Requests could only be fully fulfilled on 9th of
October. As such, the redemption requests made by Investor A and B, that was submitted
to the Fund and where the Fund also submitted the redemption requests to the United
Asian Bond Fund on 1st October, will only be processed the following business day of the
United Asian Bond Fund (i.e. 10th of October), subject to the 10% limit of realisation.
Let us assume that the RM equivalent of the net asset value per unit of the United Asian
Bond Fund is RM0.5000.
Based on the above, the requested
redemption amount is
=
=
=
Units redeemed x net asset value per unit

1,000,000 units x RM0.5000
RM500,000
Let us assume that the RM equivalent of the net asset value of the United Asian Bond
Fund is RM4,000,000. At the time of these redemption requests, the redemption requests
as a percentage of the net asset value of the United Asian Bond Fund works out to be:
=
RM500,000
RM4,000,000
12.5%
Since the redemption request from Investor A and B are above 10% of the United Asian
Bond Funds net assets value, the fund manager of the United Asian Bond Fund may
limit the number of units which can be redeemed to 10% of the United Asian Bond
Funds net asset value on that business day of the United Asian Bond Fund, which works
out to be:
=
=
RM4,000,000 x 10%
RM400,000
RM0.5000
= RM400,000
= 800,00 units
If the manager of the United Asian Bond Fund decide to impose such 10% limit on that
business day of the United Asian Bond Fund, then on 10th of October, a portion of the
redemption requests received from Investor A and B will be executed for an aggregate
amount of 800,000 units, i.e. 720,000 units redeemed for Investor A and 80,000 units
redeemed for Investor B. The proceeds from 800,000 units redeemed will be paid within
fifteen (15) Business Days from the Managers receipt of the redemption request:
=
=
=
Amount redeemed from the Fund Repurchase Charge incurred

RM400,000 RM0
RM400,000
11th of October
Assuming that no other investors of the United Asian Bond Fund placed a redemption
request on that business day of the United Asian Bond Fund. So for that day, there is only
the outstanding redemption request of 200,000 units of the United Asian Bond Fund
(180,000 units redemption request carried over for Investor A and 20,000 units carried
over for Investor B).
And let us assume that the RM equivalent of the net asset value per unit of the United
88

Asian Bond Fund has remained unchanged from the previous day (i.e. RM equivalent of
RM0.5000).
Based on the above, the total
outstanding redemption request is =
=
=
Units redeemed x net asset value per unit

200,000 units x RM0.5000
RM100,000
The RM equivalent of the net asset value of the United Asian Bond Fund as at 11th of
October is RM3,600,000, after deducting the redemption from the previous day. The
redemption requests received on 11th of October as a percentage of the net asset value of
the United Asian Bond Fund works out to be
=
RM100,000
RM3,600,000
0.03%
As Investor A and Investor B have redemption requests carried over from the previous
business day of the United Asian Bond Fund and the total outstanding redemption
requests are less than 10% of the United Asian Bond Fund, their outstanding redemption
requests will be executed and fulfilled in full. As such, 180,000 units will be redeemed
for Investor A and 20,000 units for Investor B. The proceeds from 200,000 units
redeemed will be paid within fifteen (15) Business Days from the Managers receipt of
the redemption request. However, should the United Asian Bond Fund extend the period
of the payment of the redemption proceeds beyond ten (10) business days, the Manager
will pay the investors five (5) Business Days after obtaining the redemption proceeds
from the United Asian Bond Fund.
Note: This is an illustration on how redemption proceeds can be staggered and disbursed.
The United Asian Bond Fund may choose to disburse the redemption proceeds in
staggered basis. Investors redemption request may be staggered over several
Business Days should there be other successive large redemption requests placed
at the same time (which the aggregate exceed 10% of the United Asian Bond
Funds net asset value). In such situation, redemption orders may be accepted on a
pro-rata basis and that deferred redemption request will be given priority over
requests subsequently received.
Furthermore, investments of United Asian Bond Fund are subject to the following risks:
(i)
Market risk
Investors will be exposed to market risk in the Asian bond markets. Investors should
consider and satisfy themselves as to the usual risks of investing and participating in
publicly traded securities. Prices of securities may go up or down in response to changes
in economic conditions, interest rates and the markets perception of the securities which
in turn may cause the prices of units in the United Asian Bond Fund to rise or fall.
(ii)
Foreign exchange and currency risk

The United Asian Bond Fund which is denominated in SGD may have exposure, either
directly or indirectly, to a wide range of currencies. Where the United Asian Bond Fund
makes investments which are denominated in a foreign currency, fluctuations in the
exchange rates of other currencies against the SGD may affect the value of units of
United Asian Bond Fund. In the management of the United Asian Bond Fund, the
manager of the United Asian Bond Fund adopts an active currency management
approach. However, the foreign currency exposure of the United Asian Bond Fund may
89

not be fully hedged depending on the circumstances of each case. Such considerations
shall include but are not limited to the outlook on the relevant currency, the costs of
hedging and the market liquidity of the relevant currency.
Additionally, the United Asian Bond Fund has classes of units that are denominated in
currencies other than the base currency of the United Asian Bond Fund. Changes in the
exchange rate between the base currency of the United Asian Bond Fund and the
denominated currency of another class may lead to an appreciation or depreciation of the
value of the units of the class, as expressed in the denominated currency of the class and
depending on the movement in exchange rates between the base currency and the
denominated currency of the other class. Where a class of units is designated in a
currency other than the base currency of the United Asian Bond Fund, the manager of the
United Asian Bond Fund may or may not mitigate the exchange rate risk by hedging such
foreign currency exposure to the extent of the net asset value attributed to such class.
Although the financial instrument used to mitigate the risk is not in relation to the other
classes of units (if any) within the United Asian Bond Fund, the financial instrument will
comprise the assets (or liabilities) of the United Asian Bond Fund as a whole. The gains
(or losses) on and the costs of the relevant financial instruments will, however, accrue
solely to the relevant class of units of the United Asian Bond Fund.
(iii)
Political risk
The United Asian Bond Funds investments may be adversely affected by political
instability as well as exchange controls, changes in taxation, foreign investment policies,
restrictions on repatriation of investments and other restrictions and controls which may
be imposed by the relevant authorities in the other countries.
(iv)
Derivatives risk
The United Asian Bond Fund which use or invest in financial derivative instruments will
be subject to risks associated with such investments. These financial derivative
instruments include but are not limited to foreign exchange forward contracts. An
investment in financial derivative instruments may require the deposit of initial margin
and additional deposit of margin on short notice if the market moves against the
investment positions. If the required margin is not provided in time, the investment may
be liquidated at a loss. Therefore, it is essential that such investments in financial
derivative instruments are monitored closely. The manager of the United Asian Bond
Fund has the controls for investments in financial derivative instruments and has in place
systems to monitor the derivatives positions of the United Asian Bond Fund.
(v)
Liquidity risk
Investments by the United Asian Bond Fund in some Asian and/or emerging markets
often involve a greater degree of risk due to the nature of such markets which do not have
fully developed services such as custodian and settlement services often taken for granted
in more developed markets. There may be a greater degree of volatility in such markets
because of the speculative element, significant retail participation and the lack of
liquidity which are inherent characteristics of these markets.
(vi)
Small and medium capitalisation companies risk

Investments in companies with small or medium capitalisation generally carry greater
risk than is customarily associated with companies with larger capitalisation. Examples
of such risks are less public information, more limited financial resources and product
lines, greater volatility, higher risk of failure than larger companies and less liquidity.
This may result in greater volatility in the share prices of such companies. Investors
should be aware that investments in single country, sector or regional funds which may
90

present greater opportunities and potential for capital appreciation may be subject to
higher risks as they may be less diversified than a global portfolio.
(vii) Debt securities risk
The United Asian Bond Fund will invest in non-investment grade fixed income securities
as well as fixed income securities which are of investment grade as rated by Standard and
Poors Ratings Services, Moodys Investors Service or Fitch Ratings, or an equivalent
reputable rating agency. Non-investment grade fixed income securities would include
those securities having a long term credit rating of below BBB- by Standard and Poors
Ratings Services, Baa3 by Moodys Investors Service, BBB- by Fitch Ratings, or
their equivalent.
Investments in bonds and other debt securities are subject to interest rate fluctuations and
credit risks, such as risk of default by issuers.
Interest rate risks will arise from unexpected changes in the term structure of interest
rates, which are in turn dependent on general economic conditions. In general, the prices
of debt securities are subject to interest rate fluctuations, and the prices of debt securities
may go up or down in response to such fluctuations in interest rates. In addition, such
investments are subject to the specific ability of the issuers of such securities to meet
their debt obligations and are hence dependent on the financial health of the issuers,
which may change adversely over time due to their specific business conditions and
general market conditions. Thereby, adverse changes in the financial condition of the
issuer of the debt securities which the United Asian Bond Fund is invested in, or in
general economic conditions, or both, or an unanticipated rise in interest rates, may
increase the potential for default.
(viii) Regional risk
The United Asian Bond Fund may present greater opportunities and potential for capital
appreciation, but may be subject to higher risks as it may be less diversified than a multiregional portfolio.
(ix)
Counterparty risk
Where the United Asian Bond Fund enters into over-the-counter transactions, United
Asian Bond Fund is exposed to the risk that a counterparty may default on its obligations
to perform under the relevant contract. If a counterparty becomes bankrupt or insolvent,
the United Asian Bond Fund could experience delays in liquidating an investment and
may therefore incur significant losses, including losses resulting from a decline in the
value of the investment during the period in which the United Asian Bond Fund seeks to
enforce its rights. The United Asian Bond Fund may also be unable to realise any gains
on the investment during such period and may incur fees and expenses to enforce its
rights. There is also a risk that the contracts may be terminated earlier due to, for
instance, bankruptcy, supervening illegality or change in the tax or accounting laws
relative to those laws existing at the time the contracts were entered into.
(x)
Broker risk
The manager of United Asian Bond Fund may engage the services of third party
securities brokers and dealers to acquire or dispose the investments of the United Asian
Bond Fund and to clear and settle its exchange traded securities trades. In selecting
brokers and dealers and in negotiating any commission involved in its transactions, the
manager of United Asian Bond Fund considers, amongst other things, the range and
quality of the professional services provided by such brokers and dealers and its credit
standing and the licensing or regulated status.
91
It is possible that the brokers or dealers engaged for the United Asian Bond Fund may
encounter financial difficulties that may impair the operational capabilities of United
Asian Bond Fund. If a broker or dealer fails or becomes insolvent, there is a risk that the
United Asian Bond Funds orders may not be transmitted or executed and its outstanding
trades made through the broker or dealer may not settle.
(xi)
Risk of use of rating agencies and other third parties

Credit ratings of instruments invested into by the United Asian Bond Fund represent the
United Asian Bond Funds managers and/or rating agencies opinion regarding the credit
quality of the instruments or the issuers and are not a guarantee of quality. Rating
methodologies generally rely on historical data, which may not be predictive of future
trends and adjustments to credit ratings in response to subsequent change of
circumstances may take time.
The manager of United Asian Bond Fund is entitled to rely, without independent
investigation, upon pricing information and valuations furnished to the United Asian
Bond Fund by third parties, including pricing services providers and independent
brokers/dealers. Their accuracy depends on these parties methodology, due diligence
and timely response to changing conditions. The manager of United Asian Bond Fund
cannot be held responsible for any failures by such parties in their valuations.
(xii) Risk relating to distributions

The United Asian Bond Fund may from time to time make distributions to unit holders.
Such distributions are at the absolute discretion of the manager of United Asian Bond
Fund and are not guaranteed. Distributions may be made from dividend/interest income
and capital gains derived from the investments of the United Asian Bond Fund.
Dividend/interest income may be adversely affected by events such as (but not limited to)
investee entities suffering unexpected losses and/or paying lower than expected
dividends, and adverse currency exchange rate fluctuations. In the event that distributable
income and/or capital gains are insufficient, distributions may be made out of the capital
of the United Asian Bond Fund. The declaration and/or payment of distributions (whether
out of income, capital gains, capital or otherwise) may have the effect of lowering the net
asset value of the United Asian Bond Fund. Moreover, distributions out of the capital of
the United Asian Bond Fund may amount to a reduction of part of the unit holders
original investment. Distributions may also result in reduced future returns to the unit
holders.
(xiii) Investment Management Risk
Investment performance depends on the portfolio management team
investment strategies. If the investment strategies do not perform
opportunities to implement those strategies do not arise, or if the
implement its investment strategies successfully, an investment
underperform or suffer significant losses.
and the teams

as expected, if
team does not
portfolio may
The above is not an exhaustive list of the risks which investors should consider before
investing in the Fund that invests principally in the United Asian Bond Fund. Investments in
the United Asian Bond Fund may be exposed to other risks of an exceptional nature from
time to time.
The risk management strategies and techniques employed by the Fund will be at the target fund
level, United Asian Bond Fund as elaborated in section 3.14.4 (h).
92

USEF
Since a large portion of the NAV is invested in the Goldman Sachs US Equity Portfolio,
investment into the Fund assumes the risks inherent in the Goldman Sachs US Equity Portfolio.
The specific risks to investors when investing in the Fund include the following:
Investment manager risk

As this Fund invests at least 95% of its NAV in the Goldman Sachs US Equity Portfolio,
it is subject to risk associated with the investment manager of the Goldman Sachs US
Equity Portfolio. This is the risk associated with the following:(i)
The risk that the investment manager may under-perform the target or the
benchmark of the Goldman Sachs US Equity Portfolio due to the investment
manager making poor forecasts of the performances of securities, asset classes or
markets;
(ii)
The risk of non-adherence to the investment objectives, strategy and policies of the
Goldman Sachs US Equity Portfolio, which may occur due to system failure or the
inadvertence of the investment manager; and
(iii)
The risk of direct or indirect losses resulting from inadequate or failed operational
and administrative processes, systems and people.
The Manager has no control over the investment managers investment strategy,
techniques and capabilities, operational controls and management of the Goldman Sachs
US Equity Portfolio. Any mismanagement of the Goldman Sachs US Equity Portfolio
may negatively affect the NAV of the Fund. In the event of such occurrence, the Manager
would seek an alternative investment manager and/or other target fund that is consistent
with the objective of the Fund.
Market risk
The value of the instruments in which the Goldman Sachs US Equity Portfolio invests,
may go up or down in response to the prospects of individual companies and/or
prevailing economic conditions. Movement of overseas markets may also have an impact
on the local markets.
Currency risk
The Fund invests up to 95% of its NAV in the Goldman Sachs US Equity Portfolio
denominated in USD. Fluctuation in foreign exchange rates will affect the value of the
Funds foreign investments when converted into local currency and subsequently the
value of Unit Holders investments. When USD moves unfavourably against the Ringgit,
these investments will suffer currency losses. This is in addition to any capital gains or
losses in the investment (please note that capital gains or losses in the Funds investment
in the Goldman Sachs US Equity Portfolio is also exposed to currency gains or losses
resulting from fluctuations in the foreign exchange rates between USD and the other
currencies which the Goldman Sachs US Equity Portfolio may be exposed to. The
Manager may utilise the hedging of currencies to mitigate this risk.
93
Liquidity risk
The liquidity risk that exists at the Fund level is associated with the inability of the
Goldman Sachs US Equity Portfolio to meet large redemption in a timely manner. In the
event of large redemption request that would result in the total redemption shares in the
Goldman Sachs US Equity Portfolio to be more than 10% of the shares in the Goldman
Sachs US Equity Portfolio or a particular share class of the Goldman Sachs US Equity
Portfolio, part or all of such requests for redemption may be deferred for a period
typically not exceeding ten business days of the Goldman Sachs US Equity Portfolio.
Regulatory risk
markets in which the Goldman Sachs US Equity Portfolio is investing. If this occurs,
there is a possibility that the unit price of the Fund may be adversely affected.
Risk of substantial redemptions

Substantial redemptions of shares within a limited period of time could require the
Goldman Sachs US Equity Portfolio to liquidate positions more rapidly than would
otherwise be desirable, which could adversely affect the value of the shares of the
Goldman Sachs US Equity Portfolio. This risk may be exacerbated where an investment
with a fixed life or where investments utilizing hedging techniques is made by the
Goldman Sachs US Equity Portfolio.
Suspension of NAV calculation/limitation of redemption payments

The umbrella fund of the Goldman Sachs US Equity Portfolio may in certain
circumstances temporarily suspend the determination of the net asset value per share of
the Goldman Sachs US Equity Portfolio or a specific share class of the Goldman Sachs
US Equity Portfolio and the issue, redemption or exchange of shares or a particular share
class in the Goldman Sachs US Equity Portfolio.
As further described in the prospectus of the Goldman Sachs US Equity Portfolio, if on
any given date requests for redemption of shares relate to more than 10% of the shares in
the Goldman Sachs US Equity Portfolio or a particular share class of the Goldman Sachs
US Equity Portfolio, part or all of such requests for redemption may be deferred for a
period typically not exceeding ten (10) business days of the Goldman Sachs US Equity
Portfolio.
Illustration: Application of the 10% limit on redemption / repurchase of shares of the
Goldman Sachs US Equity Portfolio
Hypothetical figures are used for the purposes of this illustration.
30th of September
Let us assume that there were a substantial amount of redemption requests made by
several investors in the Goldman Sachs US Equity Portfolio. The board of directors of the
umbrella fund of the Goldman Sachs US Equity Portfolio may limit the number of shares
which can be redeemed to 10% of the Goldman Sachs US Equity Portfolios net asset
value on that business day of the Goldman Sachs US Equity Portfolio.
As such, if total redemption requests are in excess of the 10% limit, these orders may be
accepted on a pro-rata basis in order to limit the total redemptions to 10%. The remaining
of these redemption requests will be deferred and executed on the following business day
of the Goldman Sachs US Equity Portfolio to the extent they represent no greater than
94

10% of the net asset value of the Goldman Sachs US Equity Portfolio (Deferred
Redemption Requests).
1st of October
Assuming Investor A placed a redemption request for 900,000 Units and Investor B
placed a redemption request for 100,000 Units (which sums up to 1,000,000 units of the
Goldman Sachs US Equity Portfolio). Due to the Deferred Redemption Requests lined up
before Investor A and B and the 10% limit on redemption requests imposed, no
redemption proceeds were paid to Investor A and B as the Deferred Redemption
Requests would be given priority over requests subsequently received (from Investor A
and Investor B).
10th of October
Assuming the Deferred Redemption Requests could only be completely paid out by the
9th of October. Therefore, redemption requests made by Investor A and B will only be
processed on the following business day of the Goldman Sachs US Equity Portfolio (i.e.
the 10th of October), again, to the extent possible.
Let us assume that the RM equivalent of the net asset value per unit of the Goldman
Sachs US Equity Portfolio is RM0.5000.
Based on the above, the requested
redemption amount is
=
=
=
Units redeemed x NAV per unit

1,000,000 units x RM0.5000
RM500,000
Let us assume that the RM equivalent of the net asset value of the Goldman Sachs US
Equity Portfolio is RM4,000,000 at the time of these redemption requests so the
percentage of the Goldman Sachs US Equity Portfolio for which redemption requests
have been received is
=
RM500,000
RM4,000,000
12.5%
Therefore, the redemption request from Investor A and B are above 10% of the Goldman
Sachs US Equity Portfolios net assets value. The board of directors of the umbrella fund
of the Goldman Sachs US Equity Portfolio may limit the number of shares which can be
redeemed to 10% of the Goldman Sachs US Equity Portfolios net asset value on that
business day of Goldman Sachs US Equity Portfolio, which is
=
=
RM4,000,000 x 10%
RM400,000
RM0.5000
95
= RM400,000
= 800,00 units

If the board of directors of the umbrella fund of the Goldman Sachs US Equity Portfolio
decide to impose such 10% limit on that business day of the Goldman Sachs US Equity
Portfolio, then on the 10th of October, a portion of the redemption requests received from
Investor A and B will be executed for an aggregate amount of 800,000 units, i.e. 720,000
units redeemed for Investor A and 80,000 units redeemed for Investor B. The proceeds
from the 800,000 units redeemed will be paid within fifteen (15) Goldman Sachs US
Equity Portfolios business days from the Managers receipt of the redemption request:
=
=
=
Amount redeemed from the Fund - Repurchase Charge incurred

RM400,000 RM0
RM400,000
11th of October
Let us assume that no other investors placed a redemption request. So for that day, there
is an outstanding redemption request for 200,000 units of the Goldman Sachs US Equity
Portfolio (180,000 units redemption request carried over for Investor A, 20,000 units
carried over for Investor B).
And let us assume that the RM equivalent of the net asset value per unit of the Goldman
Sachs US Equity Portfolio has remained unchanged from the previous day (i.e. RM
equivalent of RM0.5000).
Based on the above, the total
outstanding redemption request is
=
=
=
Units redeemed x NAV per unit

200,000 units x RM0.5000
RM100,000
The RM equivalent of the net asset value of the Goldman Sachs US Equity Portfolio as at
11th of October is RM3,600,000, after deducting the redemption from the previous day.
The percentage of the Fund for which redemption requests have been received on the 11 th
of October is
=
RM100,000
RM3,600,000
0.03%
As Investor A and Investor B both have redemption requests carried over from the
previous business day of the Goldman Sachs US Equity Portfolio and the total
outstanding redemption requests are less than 10% of the Goldman Sachs US Equity
Portfolio, their outstanding redemption requests will be executed and met in full. As
such, 180,000 units will be redeemed for Investor A and 20,000 units for Investor B. The
proceeds from 200,000 units redeemed will be paid within fifteen (15) of the Goldman
Sachs US Equity Portfolio's business days beginning from the Managers receipt of the
redemption request. However, should the Goldman Sachs US Equity Portfolio extend the
period of the payment of the redemption proceeds beyond ten (10) business days, the
Manager will pay the investors five (5) Business Days after obtaining the redemption
proceeds from the Goldman Sachs US Equity Portfolio.
Note: This is an example of how redemption proceeds can be staggered and disbursed.
The Goldman Sachs US Equity Portfolio may choose to disburse the redemption
proceeds in different proportions. Investors redemption request may be staggered
over several business days should there be other successive large redemption
requests placed at the same time (which in aggregate exceed 10% of the Goldman
Sachs US Equity Portfolios net asset value). In this situation, redemption orders
96

may be accepted on a pro-rata basis and that deferred redemption request will be
given priority over requests subsequently received.
Furthermore, investments of Goldman Sachs US Equity Portfolio are subject to the following
risks:
Currency risk
While the Goldman Sachs US Equity Portfolio is denominated in USD, the underlying
securities may be quoted in other currencies and thus may be subject to fluctuation in
foreign exchange and certain exchange control mechanism. As such, any unfavourable
currency fluctuations or adverse exchange control mechanism will result in currency
losses. This is in addition to any capital gains or losses in the Goldman Sachs US Equity
Portfolios investments. The Goldman Sachs US Equity Portfolio may or may not seek to
hedge all or any portion of its foreign currency exposure. However, it is not possible to
hedge perfectly against currency fluctuations.
Concentration risk
As the Goldman Sachs US Equity Portfolio invests in the a diversified portfolio of
equities and equity-related securities of companies domiciled in the United States of
America, this means that the Goldman Sachs US Equity Portfolio may be more greatly
impacted by adverse social, political or economic events which may occur in the country.
This concentration does not allow the same scope of diversification of risks across
different markets as would be possible if investments were not as concentrated in that
country.
Corporate action and voting rights

From time to time, the issuer of a security held in the Goldman Sachs US Equity
Portfolio may initiate a corporate action relating to that security, including an offer to
purchase new shares, or to tender existing shares, of that security at a certain price.
Certain corporate actions are voluntary, meaning that the Goldman Sachs Funds may
only participate in the corporate action if it elects to do so in a timely fashion. If the
Goldman Sachs Funds, the management company or the investment adviser of the
Goldman Sachs US Equity Portfolio does not receive sufficient advance notice of a
voluntary corporate action, the Goldman Sachs Funds, the management company or the
investment adviser of the Goldman Sachs US Equity Portfolio may not be able to timely
elect to participate in that corporate action. Participation or lack of participation in a
voluntary corporate action may result in a negative impact on the value of the Goldman
Sachs US Equity Portfolio.
The Goldman Sachs US Equity Portfolio may also in its discretion exercise or procure
the exercise of all voting or other rights which may be exercisable in relation to its
investments.
Derivatives and structured products risk

The Goldman Sachs US Equity Portfolio may from time to time invest in derivatives,
which are financial contracts whose value depends on, or is derived from, the value of
an underlying asset, reference rate or index. Such assets, rates and indices may include
shares, interest rates, currency exchange rates and stock indices. Derivatives may be
used for investment or hedging purposes.
The Goldman Sachs US Equity Portfolio may also invest in structured products, which
are investment products backed by, or representing interests in, underlying assets which
97

have been purchased by the issuer of the structured products. The cash flow from the
underlying asset may be apportioned among the newly issued structured products to
create securities with different investment characteristics such as varying maturities,
payment priorities or interest rate provisions, and the extent of the payments made with
respect to structured investments depends on the amount of the cash flow from the
underlying investments. Structured products may entail the risk of loss of principal and/or
interest payments as a result of movements in the underlying market or security.
Both derivatives and structured products are still subject to the risks associated with its
underlying assets, which may include counterparty and credit risk, market risk and
liquidity risk. Moreover, these financial instruments allow the use of leverage/gearing
which may cause the price movements to be much more volatile as compared to price
movements of its underlying assets. As an example, for a derivative/structured product
tied to a debt security as its underlying asset, changes in the markets interest rate may
have a much greater effect on the price of the derivative/structured product than the
price of the debt security itself. As such, investing into derivatives and structured
products may result in higher volatility of the Goldman Sachs US Equity Portfolios net
asset value, as compared to investing directly into the underlying assets or securities.
Uncertain tax positions

Due to uncertain tax regulations the net asset value of the Goldman Sachs US Equity
Portfolio on any dealing day may not accurately reflect tax liabilities (including those that
are imposed with retrospective effect). In addition, the net asset value of the Goldman
Sachs US Equity Portfolio on any dealing day may reflect an accrual for potential tax
liabilities that may subsequently not be paid. Accounting standards may also change,
creating an obligation for the Goldman Sachs US Equity Portfolio to accrue for a
potential tax liability that was not previously required to be accrued or in situations where
the Goldman Sachs US Equity Portfolio does not expect ultimately to be subject to such
tax liability.
Due to uncertain tax regulations or accounting standards, the net asset value of the
Goldman Sachs US Equity Portfolio could be affected, which may be detrimental to the
Certain ERISA considerations

If the assets of the Goldman Sachs US Equity Portfolio were to be treated as plan
assets for purposes of certain United States federal pension regulations, the Goldman
Sachs US Equity Portfolio could, among other things, be subject to certain restrictions on
its ability to carry out certain of its activities, including, without limitation, that the
Goldman Sachs US Equity Portfolio may be prohibited from trading with and through
Goldman Sachs in respect of its investments. Although the Goldman Sachs US Equity
Portfolio expects that its assets will not be treated as plan assets, there is no assurance
that this will be the case.
Securities risk
This is the risk of security prices falling. In general, the value of securities fluctuates in
response to activities of individual companies, external factors that affect the specific
companies and market conditions. In particular, investors should be aware that equity and
equity-related investments are subordinate in the right of payment to other corporate
securities, including debt securities.
Accordingly, the value of securities that a Goldman Sachs US Equity Portfolio holds may
decline over short or extended periods. This decline in the value of securities means that
the net asset value of the Goldman Sachs US Equity Portfolio will decrease.
98
Inclusion of shares in an index

The inclusion of shares in an index pertains to the inclusion of shares of the Goldman
Sachs US Equity Portfolio in an index. This risk disclosure is applicable when the
Goldman Sachs US Equity Portfolio itself is part of an index constituent. When the
shares of the Goldman Sachs US Equity Portfolio are included in an index (or excluded
from the index having previously been included in it), this will affect the price of the
relevant shares.
The inclusion/exclusion of shares in an index may trigger large inflows into or outflows
from the Goldman Sachs US Equity Portfolio and this may cause an adverse impact on
the underlying costs (including transaction costs in relation to purchases and sales of
securities and/or instruments as a result of large inflows and large outflows respectively)
of the Goldman Sachs US Equity Portfolio. The adverse impact on the underlying cost
will be detrimental to the Goldman Sachs US Equity Portfolio.
Investments in ADRs, EDRs and GDRs

Some securities in which the Goldman Sachs US Equity Portfolio may invest are
represented by American Depositary Receipts (ADRs), European Depositary Receipts
(EDRs) and Global Depositary Receipts (GDRs). ADRs are denominated in US
Dollars and are sponsored and issued by U.S. banks. ADRs represent the right to receive
securities of non-U.S. issuers deposited in a U.S. bank or a correspondent bank outside
the United States. The Goldman Sachs US Equity Portfolio may also invest in EDRs,
which are receipts evidencing an arrangement with a European bank similar to that for
ADRs and are designed for use in the European securities markets. In addition, the
Goldman Sachs US Equity Portfolio may invest in GDRs, which are receipts issued by a
U.S., European or other international financial institution evidencing arrangements
similar to both ADRs and EDRs. ADRs, EDRs and GDRs are not necessarily
denominated in the currency of the underlying security and as such these investments
may suffer currency losses in addition to capital gains/losses.
Cross-contamination between portfolios and share classes

Legislation in Luxembourg is in place which is intended to eliminate the risk of crosscontamination between the Goldman Sachs US Equity Portfolio and other portfolios of
the Goldman Sachs Funds i.e. the risk of the assets of one portfolio being used to meet
the liabilities of another. Therefore, as a matter of Luxembourg law, each portfolio of the
Goldman Sachs Funds, including the Goldman Sachs US Equity Portfolio, is ringfenced and considered to constitute a single pool of assets and liabilities, so that the
rights of shareholders and creditors in relation to each portfolio should be limited to the
assets of that portfolio. However, there can be no assurance that, should an action be
brought against the Goldman Sachs Funds in the courts of another jurisdiction, the
segregated nature of the Goldman Sachs Funds and the Goldman Sachs Fundsportfolios
will necessarily be respected.
There is no legal segregation between the assets and liabilities attributable to the various
share classes of the Goldman Sachs US Equity Portfolio.
Materiality policy for correcting valuation errors

In accordance with applicable law and regulation, a materiality policy may be applied to
errors committed in calculating the net asset value of the Goldman Sachs US Equity
Portfolio, which means that those errors which are deemed by the policy to be immaterial
will not lead to a reissued and corrected net asset value for the Goldman Sachs US Equity
Portfolio.
99
Fair value prices

Investors should be aware that in certain circumstances the valuer may be required to
provide fair value prices for certain securities and instruments and that in such
circumstances the valuers fair value may diverge significantly from the next available
market price for such securities and instruments.
Debt securities, interest rate risk

The Goldman Sachs US Equity Portfolio may invest in debt securities, including
convertible securities. No minimum rating is required and the Goldman Sachs US Equity
Portfolio may invest in non-investment grade securities. Debt securities are subject to
interest rate changes. If the markets interest rates change, the price of these securities
may be deeply affected and this applies to a greater degree if the securities have high
correlation to the interest rates.
Real estate companies

The Goldman Sachs US Equity Portfolio may, invest in transferable securities of
companies principally* engaged in the real estate industry which carries special risks
including: the cyclical nature of real estate values, risks related to general and local
economic conditions, overbuilding and increased competition, increases in property taxes
and operating expenses, demographic trends and variations in rental income, changes in
zoning laws, casualty or condemnations losses, environmental risks, regulatory
limitations on rents, changes in neighbourhood values, related party risks, changes in the
appeal of properties to tenants, increases in interest rates and other real estate capital
market influences.
*principally here refers to companies where their main source of income is based on
activities that relates to real estate.
Illiquid assets
Redemption requests by investors in the Goldman Sachs US Equity Portfolio that require
it to liquidate underlying positions may consequently lead to:
the Goldman Sachs US Equity Portfolio realising a greater portion of more liquid
securities resulting in the Goldman Sachs US Equity Portfolio then holding a
greater concentration of such relatively less liquid interests than was previously the
case and the Goldman Sachs US Equity Portfolios investment mix may thereby
become more biased towards relatively less liquid securities; and/or
the Goldman Sachs US Equity Portfolio realising less liquid assets at an

unfavourable time and/or unfavourable conditions which may adversely impact the
value that is realised for those assets and/or the Goldman Sachs US Equity
Portfolios ability to settle redemption requests on its normal settlement cycle.
Risk of changes in borrowing rates

The Goldman Sachs US Equity Portfolio is authorised to borrow on a temporary basis
within the limits set forth in its investment restrictions. The Goldman Sachs US Equity
Portfolio may choose to only borrow from a single entity which may be an affiliate of the
depositary, and the borrowing rate imposed by the custodian may change due to market
conditions. As a consequence thereof, the borrowing rates imposed by the custodian may
not be the most competitive.
100

Borrowing may in particular occur in connection with investments in markets which have
different settlement cycles from that of the Goldman Sachs US Equity Portfolio or a
requirement to pre-pay settlement proceeds or post margin.
Legal, tax and regulatory risk

As the Goldman Sachs Funds invests into the Goldman Sachs US Equity Portfolio,
investors should be aware that the regulatory, legal and tax factors affecting the Goldman
Sachs US Equity Portfolio, which are described in detail in the Goldman Sachs US
Equity Portfolio Prospectus, may impact the Goldman Sachs Funds. This includes the
risk of legislative frameworks having an effect on the markets and funds investing in
those markets. Any changes in national or economic policies or regulations may hinder
the Goldman Sachs Funds from its ability to continuously invest into the Goldman Sachs
US Equity Portfolio and this may impact the investments of the Goldman Sachs Funds.
To minimise the impact, the manager of Goldman Sachs US Equity Portfolio will seek to
keep abreast of regulatory developments that may affect the Goldman Sachs Fundss
ability to invest into the Goldman Sachs US Equity Portfolio while attempting to preempt any regulatory changes that may adversely impact the Goldman Sachs Fundss
investment in the Goldman Sachs US Equity Portfolio.
The above risk factors are a summary of the particular risks associated with investments in
Goldman Sachs US Equity Portfolio, which investors are encouraged to discuss with their
adviser(s), e.g. their bankers, lawyers, stockbrokers or independent financial advisers. It does
not purport to be a comprehensive summary of all the risks associated with an investment in
the Goldman Sachs US Equity Portfolio. Please refer to the Goldman Sachs US Equity
Portfolio prospectus for a more complete description of the risk considerations associated
with investing in the Goldman Sachs US Equity Portfolio.
101
CHAPTER 3: INFORMATION ON THE FUNDS

3.
INFORMATION ON THE FUNDS
3.1
INFORMATION ON RHB DYNAMIC FUND
3.1.1
Fund Objective
DF
To provide investors with regular income and capital gain at an acceptable level of risk by
investing primarily in Malaysian public listed companies with steady and good growth
potential.
Any material change to the objective of the Fund requires the Unit Holders approval.
3.1.2
Investment Strategy and Policy

The Fund seeks to achieve its investment objective by structuring a portfolio as follows:
Minimum of 5% of NAV will be invested in fixed income securities and/or liquid assets.
Although the Fund is actively managed, how active or the frequency of its trading strategy will
very much depend on market opportunities.
The Fund seeks regular income and capital gain. To pursue this goal, the Fund invests primarily
in Malaysian public listed companies with steady income and good growth potential. In
analyzing companies, the Manager looks for businesses that demonstrate leadership in their
respective sector with strong growth potential coupled with consistent dividend policy.
The Manager uses fundamental valuation parameters, focusing on several key numbers with
respect to the companys historical price levels and relative value to its peer universe. These
numbers include price and earnings multiple of the company, earnings growth rates, relative
price earnings to growth, dividend yield, cashflow, balance sheet strength, quality of
management, return on assets and return on investments, among others. Quarterly earnings
expectations and results are carefully followed, and the Funds portfolio managers investment
strategy could differ if key macro and micro factors materially changes.
In addition to those described above, the Fund may invest in fixed income securities to preserve
the value of the Fund.
The performance of this Fund is benchmarked against FBM KLCI. To obtain the latest
information on the FBM KLCI, investors can refer to Bursa Malaysias website,
www.bursamalaysia.com.
3.1.3
Permitted Investment and Restrictions

The Fund may invest in securities of companies listed on Bursa Malaysia; unlisted securities
including securities not listed or quoted on a stock exchange but have been approved by the
relevant regulatory authority for such listing or quotation and are offered directly to the Fund by
the issuer; financial derivatives; collective investment schemes; structured products and
warrants that carry the right in respect of a security traded in or under the rules of an eligible
market; Malaysian Government Securities, Cagamas Bonds, Bank Negara Malaysia
Certificates, Malaysian Treasury Bills, Bankers Acceptance and Government Investment
Certificate; Malaysian currency balances in hand, Malaysian currency deposits with
commercial banks, finance companies and Bank Islam Malaysia Berhad including Negotiable
Certificates of Deposit, bankers acceptances and placements of money at call with discount
houses; foreign investments traded in or under the rules of a foreign market approved by
Securities Commission; unlisted fixed income or debt securities; liquid assets (including money
102
DF
market instruments and deposits with any financial institution); and any other investments
permitted by the Securities Commission from time to time.
The acquisition of such permitted investments is subject to the following restrictions:
(a)
The value of the Funds investments in unlisted securities must not exceed ten (10) per
cent of the Net Asset Value, or any other limit as may be prescribed by the Securities
Commission from time to time.
(b)
The value of the Funds investments in ordinary shares issued by any single issuer must
not exceed ten (10) per cent of the Net Asset Value, or any other limit as may be
prescribed by the Securities Commission from time to time.
(c)
The value of the Funds investments in transferable securities (i.e. equities, debentures
and warrants) and money market instruments issued by any single issuer must not exceed
fifteen (15) per cent of the Net Asset Value, or any other limit as may be prescribed by
the Securities Commission from time to time.
(d)
The value of the Funds placement in deposits with any single financial institution must
not exceed twenty (20) per cent of the Net Asset Value, or any other limit as may be
(e)
The value of the Funds investment in transferable securities and money market
instruments issued by any group of companies must not exceed twenty (20) per cent of
the Net Asset Value, or any other limit as may be prescribed by the Securities
(f)
The aggregate value of the Funds investments in transferable securities, money market
instruments, deposits, over-the-counter (OTC) financial derivatives and structured
products issued by or placed with (as the case may be) any single issuer/institution must
not exceed twenty five (25) per cent of the Net Asset Value, or any other limit as may be
(g)
The value of the Funds investments in units/shares of any collective investment scheme
must not exceed twenty (20) per cent of the Net Asset Value, or any other limit as may be
(h)
The value of the Funds investments in structured products issued by a single counterparty must not exceed fifteen (15) per cent of the Net Asset Value, or any other limit as
may be prescribed by the Securities Commission from time to time. This single counterparty limit may be exceeded if the counterparty has a minimum long-term rating that
indicates very strong capacity for timely payment of financial obligations provided by
any domestic or global rating agency and the structured product has a capital protection
feature. When this applies, the calculation of the aggregate value to determine
compliance with item (f) should exclude the value of investment in structured product.
(i)
The value of the Funds OTC financial derivatives transactions with any single counterparty must not exceed ten (10) per cent of the Net Asset Value, or any other limit as may
be prescribed by the Securities Commission from time to time; and the Funds exposure
to the underlying assets (vide the derivatives) must not exceed the Funds investment
spread limits as stipulated in (b), (c), (d), (e), (f), (g), and (h) above. In addition, the
Funds net market exposure owing to its financial derivatives positions must not exceed
the Net Asset Value.
(j)
The Funds investments in transferable securities (other than debentures) must not exceed
ten (10) per cent of the securities issued by any single issuer, or any other limit as may be
103
DF
(k)
The Funds investments in debentures must not exceed twenty (20) per cent of the
debentures issued by any single issuer, or any other limit as may be prescribed by the
Securities Commission from time to time.
(l)
The Funds investments in money market instruments must not exceed ten (10) per cent
of the instruments issued by any single issuer, or any other limit as may be prescribed by
the Securities Commission from time to time. Such limit does not apply to money market
instruments that do not have a pre-determined issue size.
(m)
The Funds investments in collective investment schemes must not exceed twenty five
(25) per cent of the units/shares in any one collective investment scheme, or any other
limit as may be prescribed by the Securities Commission from time to time.
The limits and restrictions mentioned herein must be complied with at all times based on the
most up-to-date value of the Funds investments. However, a 5% allowance in excess of the
limits or restrictions is permitted where the limit or restriction is breached through an
appreciation or depreciation of the NAV (whether as a result of an appreciation or depreciation
of the investments or as a result of repurchase of Units or payment made from the Fund). The
Manager will not make any further acquisitions to which the relevant limit is breached, and the
Manager will within a reasonable period of not more than three (3) months from the date of the
breach take all necessary steps and actions to rectify the breach. Such limits and restrictions
however, do not apply to securities/instruments that are issued or guaranteed by the Malaysian
government or Bank Negara Malaysia.
104

3.2
INFORMATION ON RHB CAPITAL FUND
3.2.1
Fund Objective
CF
To achieve long term growth through capital appreciation with all income including profits on
realisation of investments being automatically reinvested for its compounding effect.
3.2.2

This Fund seeks to achieve its investment objective by structuring a portfolio as follows:
Minimum of 5% of NAV will be invested in fixed income securities and/or liquid assets.
The Fund seeks long term capital appreciation. To pursue this goal, the Fund invests primarily
in Malaysian public listed companies with strong growth potential. The Manager utilises a
strategy that seeks attractively priced companies in undervalued sectors, or in sectors that have
strong upward stock price momentum which demonstrate strong increases in earnings per share
and continue to strengthen their fundamental capabilities and competitive positions, amongst
others.
The Manager uses fundamental valuation parameters to determine the relative value of the
company compared to its peer universe. These numbers include price/earnings multiple of the
company, earnings growth rates, relative price earnings to growth, cashflow, balance sheet
strength, quality of management, relative positioning of the company in the industry in which it
operates, return on equity, return on assets and return on investments, among others. Quarterly
earnings expectations and results are carefully followed, and the Funds portfolio managers
investment strategy could differ if any of the key macro and micro factors materially changes.
In addition to those described above, the Fund may invest in fixed income securities to preserve
the value of the Fund.
The performance of this Fund is benchmarked against FBM KLCI. To obtain the latest
information on the FBM KLCI, investors can refer to Bursa Malaysias website,
www.bursamalaysia.com.
3.2.3

houses; foreign investments traded in or under the rules of a foreign market approved by
Securities Commission; unlisted fixed income or debt securities; liquid assets (including money
105
CF
market instruments and deposits with any financial institution); and any other investments
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
(i)
(j)
106
CF
(k)
(l)
(m)
107

3.3
INFORMATION ON RHB BOND FUND
3.3.1
Fund Objective
BF
To provide investors with higher than average income returns compared to fixed deposits over
the medium to long term through investments in bonds and other fixed income securities with
minimum risk to capital invested.
3.3.2

Up to 95% of NAV will be invested in fixed income securities.
Minimum of 5% of NAV will be invested in liquid assets.
The Fund will invest in quality fixed income securities which carry a minimum long term credit
rating of BBB and above assigned by RAM or its equivalent. To contain credit risk, the
Manager will ensure that the diversification of credit rating (and duration standing) in the bond
portfolio mitigate the overall risk position of the portfolio.
The Manager may also take temporary defensive measures that may be inconsistent with the
Funds principal strategy in attempting to respond to adverse market conditions, economics,
political or any other conditions which the Manager deem detrimental to the Fund. The
defensive measures that the Manager may undertake are in no way to be deviated from the
mandates or breaching any laws and regulations. The Funds strategies in yield enhancement
for the portfolio will also be balanced with other investment needs of the Fund, such as liquidity
and risk management. On liquidity management, the Fund will maintain sufficient amount of
portfolio in liquid bond to accommodate redemption. As for risk management, the portfolio
duration is kept at optimal level where yield enhancement can be optimised on risk adjusted
basis, and at the same time, balanced with the need for containing portfolios volatility.
Hence, during the temporary defensive period, the Manager may choose to increase the asset
allocation by allocating more investment into risk free investments which are money market
instruments and deposit in adverse market condition.
The performance of this Fund is benchmarked against Maybanks 12 months fixed deposit rate.
Unit Holders may log on to the Maybanks website, www.maybank2u.com.my, to obtain the
latest information on the Maybanks fixed deposit rate.
3.3.3

This Fund may invest in debentures traded in or under the rules of an eligible market; warrants
that carry the right in respect of a security traded in or under the rules of an eligible market;
unlisted securities including securities not listed or quoted on a stock exchange but have been
approved by the relevant regulatory authority for such listing or quotation and are offered
directly to the Fund by issuer; deposits with any financial institutions and market instruments;
financial derivatives; collective investment schemes, structured products; and any other
investments permitted by the Securities Commission from time to time.
The acquisition of such permitted investments shall be subject to the following restrictions:
108
BF
(a)
The value of the Funds investments in debentures issued by any single issuer must not
exceed twenty (20) per cent of the Net Asset Value, or any other limit as may be
(b)
The value of the Funds investments in debentures issued by any single issuer may
exceed twenty (20) per cent but must not exceed thirty (30) per cent of the Net Asset
Value, or any other limit as may be prescribed by the Securities Commission from time
to time, if the debentures are rated by any global or domestic rating agency to be of the
best quality and offer the highest safety of timely payment of interest and principal.
(c)
The value of the Funds investments in the debentures issued by any group of companies
must not exceed thirty (30) per cent of the Net Asset Value, or any other limit as may be
(d)
(e)
(f)
The aggregate value of the Funds investments in debentures, money market instruments,
deposits, over-the-counter (OTC) financial derivatives and structured products issued
by or placed with (as the case may be) any single issuer/institution must not exceed
twenty five (25) per cent of the Net Asset Value, or any other limit as may be prescribed
by the Securities Commission from time to time. Where the single issuer limit of the
Funds investment in debentures is increased to thirty (30) per cent of the Net Asset
Value or any other limit as may be prescribed by the Securities Commission pursuant to
paragraph (b), the aggregate value of the Funds investment must not exceed thirty (30)
per cent of the Net Asset Value, or such other limit as may be prescribed by the
Securities Commission.
(g)
must not exceed twenty (20) per cent of the Net Asset Value or any other limit as may be
(h)
(25) per cent of the units/shares in any one collective investment scheme or any other
(i)
may be prescribed by the Securities Commission from time to time. This single counterparty limit may be exceeded if the counter-party has a minimum long-term rating that
compliance with item (f) should exclude the value of investment in structured products.
(j)
spread limits as stipulated in (a), (b), (c), (e), (f), (g) and (i). In addition, the Funds net
market exposure owing to its financial derivatives positions must not exceed the Net
Asset Value.
109
BF
limits or restrictions is permitted where the limits or restrictions is breached through an
of the investments, or as a result of repurchase of Units or payment made from the Fund). The
110

3.4
INFORMATION ON RHB MALAYSIA DIVA FUND
3.4.1
Fund Objective
MDF
To provide total returns primarily through investment in equity and equity related securities of
companies which offer potentially high dividend yields and sustainable dividend payments.
3.4.2

Up to 100% of NAV can be invested in equities and/or fixed income securities or liquid
assets.
The Fund will invest in companies that offer higher than expected dividend yields compared to
other companies in the market and whose cash-flow generated by business and management
activities are expected to support such dividend payments. The Fund therefore seeks to identify
and invest in companies that focus on shareholder value in the form of sustainable dividend
returns combined with the prospect for capital growth.
The performance of this Fund is benchmarked against Maybanks 12 months fixed deposit rate.
Unit Holders may log on to the Maybanks website, www.maybank2u.com.my, to obtain the
latest information on the Maybanks fixed deposit rate.
3.4.3

houses; unlisted fixed income/debt securities; liquid assets (including money market
instruments and deposits with any financial institution); Danamodal, Danaharta and Khazanah
bonds; and any other investments permitted by the Securities Commission from time to time.
(a)
(b)
(c)
111
MDF
(d)
(e)
(f)
(g)
(h)
(i)
(j)
(k)
(l)
(m)
112
MDF
however, do not apply to securities/instruments that are issued or guaranteed by the government
or Bank Negara Malaysia.
113
GLF Today
3.5
INFORMATION ON RHB GOLDENLIFE FUNDS RHB GOLDENLIFE TODAY
3.5.1
Fund Objective
To provide retired investors or investors who are retiring in the very near future a steady income
stream in planning for their financial needs upon retirement.
3.5.2

Up to 20% of Net Asset Value will be invested in equities.
Minimum of 80% and up to 100% of Net Asset Value will be invested in fixed income
The Fund will place more emphasis on fixed income securities in Malaysia in view that it is a
conservative fund. Given that the rebalancing exercise and asset allocation process is dynamic,
a dynamic and active investment strategy will be employed. The asset allocation will be
reviewed from time to time depending on the judgement of the Manager as to the general
market and economic conditions.
The bulk of the investments will be invested to provide income and short term capital
appreciation with active disposal and liquidation of the investments, a strategy to control risk as
well as to optimise capital gains. Other risk management strategies and techniques include
diversification in terms of asset allocation.
When deemed appropriate and for the benefit of the Fund, the Manager may take temporary
defensive positions in dealing with adverse market, economic, political and other conditions,
that may be inconsistent with the Funds principal strategy. In such adverse market conditions,
the Manager may choose to change the asset allocation of the Fund by allocating more
investments into money market instruments and deposits.
The performance of this Fund is benchmarked against a weighted average of FBM KLCI (10%)
and Maybanks 12 months fixed deposit rate (90%). The benchmark reflects the return of each
asset classes as the Fund invests in more than one asset classes. FBM KLCI represents the
equities portion (10%) while Maybanks 12 months fixed deposit rate represents the fixed
income and money market portion (90%). The higher weightage of the Funds benchmark to
Maybanks 12 months fixed deposit rate is a reflection of the investment strategy that
emphasizes on fixed income securities and money market in line with the Funds risk profile of
retirement planning. Unit Holders may log on to the Maybanks website,
www.maybank2u.com.my, to obtain the latest information on the Maybanks fixed deposit
rate. To obtain the latest information on the FBM KLCI, investors can refer to Bursa Malaysias
website, www.bursamalaysia.com. Unit Holders can obtain information on the composite
benchmark from the Manager upon request.
3.5.3

114
GLF Today
market; securities listed on foreign stock exchange, subject to the approval of the relevant
authorities; Malaysian Government Securities, Treasury Bills, Bank Negara Malaysia
Certificates and Government Investment Certificate; Malaysian currency balance in hand,
Malaysian currency deposits with commercial bank, finance companies, merchant banks, Bank
Islam Malaysia Berhad including Negotiable Certificate of Deposits, Bankers Acceptance and
placements of money at call with discount houses; Cagamas bonds, unlisted loan stocks and
corporate bonds and private debt securities; and any other investments permitted by the
(a)
The value of the Funds investments in debentures issued by any single issuer must not
exceed twenty (20) per cent of the Net Asset Value, or any other limit as may be
(b)
The value of the Funds investments in debentures issued by any single issuer may
exceed twenty (20) per cent but must not exceed thirty (30) per cent of the Net Asset
to time, if the debentures are rated by any global or domestic rating agency to be of the
best quality and offer the highest safety of timely payment of interest and principal.
(c)
The value of the Funds investments in the debentures issued by any group of companies
must not exceed thirty (30) per cent of the Net Asset Value, or any other limit as may be
(d)
(e)
(f)
The aggregate value of the Funds investments in debentures, money market instruments,
deposits, over-the-counter (OTC) financial derivatives and structured products issued
by or placed with (as the case may be) any single issuer/institution must not exceed
twenty five (25) per cent of the Net Asset Value, or any other limit as may be prescribed
by the Securities Commission from time to time. Where the single issuer limit of the
Funds investment in debentures is increased to thirty (30) per cent of the Net Asset
Value or any other limit as may be prescribed by the Securities Commission pursuant to
paragraph (b), the aggregate value of the Funds investment must not exceed thirty (30)
per cent of the Net Asset Value, or such other limit as may be prescribed by the
Securities Commission.
(g)
must not exceed twenty (20) per cent of the Net Asset Value or any other limit as may be
(h)
(25) per cent of the units/shares in any one collective investment scheme or any other
(i)
may be prescribed by the Securities Commission from time to time. This single counter-
115
GLF Today
party limit may be exceeded if the counter-party has a minimum long-term rating that
compliance with item (f) should exclude the value of investment in structured products.
(j)
spread limits as stipulated in (a), (b), (c), (e), (f), (g) and (i). In addition, the Funds net
market exposure owing to its financial derivatives positions must not exceed the Net
Asset Value.
appreciation or depreciation of the Net Asset Value (whether as a result of an appreciation or
depreciation of the investments, or as a result of repurchase of Units or payment made from the
Fund). The Manager will not make any further acquisitions to which the relevant limit is
breached, and the Manager will within a reasonable period of not more than three (3) months
from the date of the breach take all necessary steps and actions to rectify the breach. Such limits
and restrictions however, do not apply to securities/instruments that are issued or guaranteed by
the Malaysian government or Bank Negara Malaysia.
In addition to the limits and restrictions mentioned above which apply to the Fund, there will
not be any investment in warrants except as a result of the Funds holdings in equities and
investments in debentures or fixed income investments must be rated at least BBB/P2 by RAM
(or equivalent rating by MARC) at the point of purchase. However, the Fund may hold up to
5% of its NAV in debentures or fixed income investments which are rated below BBB/P2
and/or are unrated.
The Fund is subject to the investment restriction and spread limits within which it is categorised
under, and will be treated as a single fund, however, the investment concentration limits will
apply at the level of the umbrella fund, RHB GoldenLife Funds. The Fund must not consist of
units/shares of another sub-fund within RHB GoldenLife Funds.
At this current juncture, the Manager will not invest in derivatives for hedging purpose or for
investments for any sub-fund under the RHB GoldenLife Funds. Should the Manager decide to
invest in derivatives for hedging purpose or for investments, the Manager will send notification
to the Unit Holders and will issue a supplementary Master Prospectus to address the changes.
116
GLF 2020
3.6
INFORMATION ON RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2020
3.6.1
Fund Objective
To provide investors planning to retire in the year 2020, a wealth accumulation vehicle for
meeting their financial needs upon retirement.
Any material change to the objective of this Fund requires the Unit Holders approval.
3.6.2

Minimum of 40% and up to 60% of Net Asset Value will be invested in equities.
Minimum of 40% and up to 60% of Net Asset Value will be invested in fixed income
This Fund will invest in equities and fixed income securities in Malaysia and in accordance
with an asset allocation that will become increasingly conservative as the year 2020 approaches.
Given that the rebalancing exercise and asset allocation process is dynamic, a dynamic and
active investment strategy will be employed. The asset allocation will be reviewed from time to
time depending on the judgement of the Manager as to the general market and economic
conditions. However, this entire asset allocation structure will gradually resemble RHB
GoldenLife Today as the Fund approaches the year 2020.
The bulk of the investments will be invested over a medium to long term period with active
disposal and liquidation of the investments, a strategy to control risk as well as to optimise
capital gains. This is especially so when the full growth potential of the investment is deemed to
have been reduced over a prolonged bull run; and the resultant liquidity may prove handy for
further investments along similar lines when the market has sufficiently eased off. Other risk
management strategies and techniques employed by the Manager include diversification in
terms of asset allocation.
the Manager may choose to change the asset allocation of the Fund by allocating more
investments into money market instruments and deposits.
The performance of this Fund is benchmarked against a weighted average of FBM KLCI (55%)
and Maybanks 12 months fixed deposit rate (45%). The benchmark is selected as it is consistent
with the characteristic of the portfolio as a balanced fund which invests into equities and fixed
income securities. FBM KLCI represents the equities portion (55%) while Maybanks 12
months fixed deposit rate represents the fixed income and money market portion (45%). The
relatively equal weightage on the asset allocation is a reflection of a more balanced portfolio
which is in line with the Funds investment objective to provide wealth accumulation which will
become increasingly more conservative as its maturity approaches. Unit Holders may log on to
the Maybanks website (www.maybank2u.com.my) to obtain the latest information on the
Maybanks fixed deposit rate. To obtain the latest information on the FBM KLCI, investors can
refer to Bursa Malaysias website (www.bursamalaysia.com). Unit Holders can obtain
information on the composite benchmark from the Manager upon request.
117

3.6.3
GLF 2020
Permitted Investments and Restrictions

(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
118
GLF 2020
(i)
(j)
(k)
(l)
(m)
depreciation of the investments or as a result of repurchase of Units or payment made from the
the government or Bank Negara Malaysia.
3.6.4
Automatic Termination and Merger of RHB GoldenLife Funds RHB GoldenLife 2020
RHB GoldenLife 2020 is of limited duration and will, on its maturity date (i.e. the last day of
the Funds financial year ending in the year 2020), be automatically terminated and merged into
RHB GoldenLife Today. Upon such automatic termination and merger of the Fund, the Units in
the Fund will be cancelled and the assets/investments of the Fund (after retention by the Trustee
of monies to repay all fees, cost, charges, expenses, claims and demands incurred, made or
apprehended by the Trustee in connection with or arising out of the automatic termination and
119
GLF 2020
merger) shall be held by the Trustee and form part of the assets/investments of the RHB
GoldenLife Today.
In exchange, the Manager will issue to each Unit Holder the number of Units in RHB
GoldenLife Today calculated as follows:V
Y x NAV
the number of Units in RHB GoldenLife Today to be issued to the

relevant Unit Holder of the Fund which has undergone automatic
termination and merger;
the value of the net assets/investments of the Fund transferred to RHB

GoldenLife Today, to be terminated by the Manager with effect on the
maturity date of the Fund, upon consultation with auditors of the Fund;
the number of Units in issue of the Fund;
NAV
the NAV per Unit in RHB GoldenLife Today on the maturity date of the
Fund; and
the number of Units in the Fund held by the relevant Unit Holder on its
maturity date.
where:
Unit Holders will be informed of the auto termination and merger process of the Fund and the
subsequent units allocated to them in the RHB GoldenLife Today.
Upon the automatic termination and merger of the Fund, a new fund may be introduced to the
RHB GoldenLife family of funds to cater to investors of a new life cycle.
120
GLF 2030
3.7
INFORMATION ON RHB GOLDENLIFE FUNDS RHB GOLDENLIFE FUND 2030
3.7.1
Fund Objective
To provide investors planning to retire in the year 2030, a wealth accumulation vehicle for
meeting their financial needs upon retirement.
3.7.2

Minimum of 70% and up to 100% of NAV will be invested in equities.
Up to 30% of NAV will be invested in fixed income securities and/or liquid assets.
The Fund will invest in equities and fixed income securities in Malaysia and in accordance with
an asset allocation that will become increasingly conservative as the year 2030 approaches.
Given that the rebalancing exercise and asset allocation process is dynamic, a dynamic and
active investment strategy will be employed. The asset allocation will be reviewed from time to
time depending on the judgement of the Manager as to the general market and economic
conditions. However this entire asset allocation structure will gradually resemble RHB
GoldenLife Today as the Fund approaches the year 2030.
The bulk of the investments will be invested over a medium to long term period with active
disposal and liquidation of the investments, a strategy to control risk as well as to optimise
capital gains. This is especially so when the full growth potential of the investment is deemed to
have been reduced over a prolonged bull run; and the resultant liquidity may prove handy for
further investments along similar lines when the market has sufficiently eased off. Other risk
management strategies and techniques employed by the Manager include diversification in
terms of asset allocation.
the Manager may choose to change the asset allocation by allocating more investments into
money market instruments and deposits.
The performance of this Fund is benchmarked against a weighted average of FBM KLCI
(85%) and Maybanks 12 months fixed deposit rate (15%). The benchmark reflects the return of
each asset classes as the Fund invests in more than one asset classes. FBM KLCI represents the
equities portion (85%) while Maybanks 12 months fixed deposit rate represents the fixed
income and money market portion (15%). The higher weightage in FBM KLCI is a reflection
of the Funds investment objective to provide wealth accumulation which will become
increasingly more conservative as its maturity approaches. Unit Holders may log on to the
Maybanks website (www.maybank2u.com.my) to obtain the latest information on the
Maybanks fixed deposit rate. To obtain the latest information on the FBM KLCI, investors can
refer to Bursa Malaysias website (www.bursamalaysia.com). Unit Holders can obtain
121

3.7.3
GLF 2030

(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
122
GLF 2030
(i)
(j)
(k)
(l)
(m)
3.7.4
Automatic Termination and Merger of RHB GoldenLife Funds RHB GoldenLife 2030
RHB GoldenLife 2030 is of limited duration and will, on its maturity date (i.e. the last day of
the Funds financial year ending in the year 2030), be automatically terminated and merged into
RHB GoldenLife Today. Upon such automatic termination and merger of the Fund, the Units
will be cancelled and the assets/investments of the Fund (after retention by the Trustee of
monies to repay all fees, cost, charges, expenses, claims and demands incurred, made or
apprehended by the Trustee in connection with or arising out of the automatic termination and
123
GLF 2030
merger) shall be held by the Trustee and form part of the assets/investments of the RHB
GoldenLife Today.
In exchange, the Manager will issue to each Unit Holder the number of Units in RHB
GoldenLife Today calculated as follows:V
Y x NAV
the number of Units in RHB GoldenLife Today to be issued to the

relevant Unit Holder of the Fund which has undergone automatic
termination and merger;
the value of the net assets/investments of the Fund transferred to RHB

GoldenLife Today, to be terminated by the Manager with effect on the
maturity date of the Fund, upon consultation with auditors of the Fund;
the number of Units in issue of the Fund;
NAV
the NAV per Unit of RHB GoldenLife Today on the maturity date of the
Fund; and
the number of Units in the Fund held by the relevant Unit Holder on its
maturity date.
where:
Unit Holders will be informed of the auto termination and merger process of the Fund and the
subsequent Units allocated to them in the RHB GoldenLife Today.
Upon the automatic termination and merger of the Fund, a new fund may be introduced to the
RHB GoldenLife family of funds to cater to investors of a new life cycle.
124

3.8
INFORMATION ON RHB CASH MANAGEMENT FUND 1
3.8.1
Fund Objective
CMF
To provide liquidity and regular income for investors through investments primarily in the
money market.
3.8.2

Up to 100% of NAV will be invested in money market instruments and/or liquid assets.
The investment strategy is to invest in a diversified portfolio of short term money market
instruments, depending on the interest rate environment and the anticipated redemption requests
by the Unit Holders.
The risk management strategies and technique employed by the Manager include diversification
of the Funds assets allocation in terms of its exposure to various classes and/or type of
investment. The permitted investments and restrictions imposed by the Securities Commission
also provide a risk management framework. Moreover, the Manager in making its investment
decisions shall at all times comply with the investment restrictions and requirements as set out
in the Deed.
The minimum credit rating for the rated instruments to be invested by the Fund will be BBB3
or P3 by RAM or equivalent rating by any other similar rating agencies. In the event of a credit
downgrade of a particular instrument below the minimum stipulated, the Manager will
endeavour to take the necessary steps to divest that instrument within a time frame deemed
reasonable by the Manager. However, in order to best protect the interests of the Fund, the
Manager has the discretion to take into consideration all relevant factors that affect the value of
the investment before deciding on the manner and time frame of its liquidation.
The performance of this Fund is benchmarked against Maybanks savings rate. Unit Holders
may log on to the Maybanks website (www.maybank2u.com.my) to obtain the latest
information on the Maybanks savings rate.
Investment in this Fund is not the same as placing funds in a deposit with a financial
institution. There are risks involved and investors should rely on their own evaluation or the
advice of their own professional advisers to assess the merits and risks when investing in
this Fund.
3.8.3

This Fund may invest in debentures, money market instruments and placement of deposits; and
any other investments permitted by the Securities Commission from time to time.
(a)
The value of the Funds investments in permitted investments must not be less than
ninety (90) per cent of the Net Asset Value, or any other limit as may be prescribed by
(b)
The value of the Funds investments in permitted investments which have a remaining
maturity period of not more than 365 days must not be less than ninety (90) per cent of
125
CMF
the Net Asset Value or any other limit as may be prescribed by the Securities
(c)
The value of the Funds investments in permitted investments which have a remaining
maturity period of more than 365 days but less than 732 days must not exceed ten (10)
per cent of the Net Asset Value or any other limit as may be prescribed by the Securities
(d)
The value of the Funds investments in debentures and money market instruments issued
by any single issuer must not exceed twenty (20) per cent of the Net Asset Value, or any
other limit as may be prescribed by the Securities Commission from time to time.
(e)
by any single issuer may exceed twenty (20) per cent but must not exceed thirty (30) per
Commission from time to time, provided the debentures are rated by any domestic or
global rating agency to be of the best quality and offer highest safety for timely payment
of interest and principal.
(f)
(g)
by any group of companies must not exceed thirty (30) per cent of the Net Asset Value,
or any other limit as may be prescribed by the Securities Commission from time to time.
(h)
The aggregate value of the Funds investments in debentures, money market instrument
and deposits issued by or placed with (as the case may be) any single issuer/institution
must not exceed twenty five (25) per cent of the Net Asset Value, or any other limit as
may be prescribed by the Securities Commission from time to time.
(i)
(j)
securities issued by any single issuer, or any other limit as may be prescribed by the
(k)
The Funds investments in money market instruments must not exceed twenty (20) per
cent of the securities issued by any single issuer, or any other limit as may be prescribed
by the Securities Commission from time to time.
(l)
(25) per cent of the units/shares in any collective investment scheme, or any other limit as
depreciation of the investments, or as a result of repurchase of Units or payment made from the
the Malaysian government or Bank Negara Malaysia.
126

3.9
INFORMATION ON RHB MUDHARABAH FUND
3.9.1
Fund Objective
MF
To provide a balanced mix of income and potential for capital growth by investing in stocks
listed on the Bursa Malaysia or on any other stock exchanges, unlisted stocks and Islamic debt
securities and other non-interest bearing assets acceptable under principles of Shariah. The
Funds activities shall be conducted strictly in accordance with the requirement of the Shariah
principles and shall be monitored by the Shariah committee of the Fund.
3.9.2
Shariah Adviser
The Shariah Adviser for this Fund is RHB Islamic Bank Berhad. Please refer to section 9.10 for
details of their roles and responsibilities.
3.9.3
External Investment Manager

In managing this Fund, the Manager has delegated the investment management function of the
Fund to RHB Islamic International Asset Management Berhad who will manage the assets of
this Fund in accordance with the investment objective of the Fund, the Deed, subject to the
Capital Markets and Services Act 2007 and the Guidelines on Unit Trust Funds issued and
updated from time to time by the Securities Commission, as well as the internal policies and
procedures of the Manager.
3.9.4

Minimum of 40% of NAV will be invested in sukuk, Islamic debt instruments, Islamic
money market instruments and/or liquid assets acceptable under Shariah principle.
The Fund is geared towards investors who look for Shariah based investments that provide a
mixture of safety, income, and capital appreciation. The Funds objective is to achieve returns
from sukuk and Shariah-compliant debt instruments income stream, the dividend income
stream, as well as capital appreciation. The adjustments of asset allocation between equity,
sukuk and Shariah-compliant debt instrument are formulated based on the economic analysis
and valuations of securities.
Equity investments of the Fund are limited to those in the list of Shariah-compliant securities as
determined by the SACSC which is updated and published twice a year. These investments
generally focus on companies that have healthy prospective earnings growth, reasonable
valuations and preferably yielding dividend that are superior to the fixed deposit rates.
For Shariah-compliant debt instrument, the Fund seeks investments amongst the Shariah
principled Shariah-compliant debt instrument papers that are of investment grade. The
investments will be a duration led strategy depending on the yield curve movement.
The performance of this Fund is benchmarked against a weighted average of FTSE Bursa
Malaysia Emas Shariah Index (50%) and Maybank Islamic Berhads 12 months IFD-i rate
127
MF
(50%). This benchmark is selected to reflect the neutral strategy of the Fund which aims to
provide investors with a balanced mix of income and potential capital growth by investing in
listed and non-listed Shariah compliance stocks on Bursa Malaysia, Islamic debt securities and
other non-interest bearing assets. The FTSE Bursa Malaysia Emas Shariah Index (50%)
represents the equities portion and Maybank Islamic Berhads 12 months IFD-i rate (50%)
represents the fixed income portion. The equally weighted benchmark is a reflection of the
investment strategy to provide income, capital appreciation and a moderate risk profile. The
FTSE Bursa Malaysia Emas Shariah Index is publicly available from major newspaper
publications. To obtain the latest information on the FTSE Bursa Malaysia Emas Shariah Index,
investors can refer to Bursa Malaysia website (www.bursamalaysia.com). Unit Holders may
also log on to the Maybanks website (www.maybank2u.com.my) to obtain the latest
information on the Maybank Islamic Berhads 12 months IFD-i rate. Unit Holders can obtain
3.9.5

The Fund may invest or participate in Shariah-compliant securities traded on eligible markets
and/or which are listed on Bursa Malaysia; Shariah-compliant warrants that carry the right in
respect of a security traded in or under the rules of an eligible market; Shariah-compliant
unlisted securities including securities not listed or quoted on a stock exchange but have been
approved by the relevant regulatory authority for such listing or quotation and are offered
directly to the Fund by the issuer; Shariah-compliant financial derivatives; Islamic collective
investment schemes; Islamic structured products; Government Investment Certificate;
Malaysian currency balances in hand, Malaysian currency deposits with Bank Islam Malaysia
Berhad including Investment Certificates; Shariah-compliant securities listed on foreign
exchanges; Islamic Accepted Bills, Bond Mudharabah Cagamas, Islamic Debt Securities; and
any other investments permitted by the Securities Commission from time to time.
(a)
The value of the Funds Shariah-compliant investments in unlisted Shariah-compliant

securities must not exceed ten (10) per cent of the Net Asset Value, or any other limit as
(b)
The value of the Funds Shariah-compliant investments in Shariah-compliant ordinary

shares issued by any single issuer must not exceed ten (10) per cent of the Net Asset
to time.
(c)
The value of the Funds Shariah-compliant investments in transferable Shariah-compliant

securities (i.e. Shariah-compliant equities, Islamic debentures and Shariah-compliant
warrants) and Islamic money market instruments issued by any single issuer must not
exceed fifteen (15) per cent of the Net Asset Value, or any other limit as may be
(d)
The value of the Funds placement in Islamic deposits with any single financial
institution must not exceed twenty (20) per cent of the Net Asset Value, or any other limit
as may be prescribed by the Securities Commission from time to time.
(e)
The value of the Funds Shariah-compliant investment in transferable securities and

Islamic money market instruments issued by any group of companies must not exceed
twenty (20) per cent of the Net Asset Value, or any other limit as may be prescribed by
(f)
The aggregate value of the Funds Shariah-compliant investments or participation in

transferable Shariah-compliant securities, Islamic money market instruments, Islamic
deposits, over-the-counter (OTC) Islamic financial derivatives and Islamic structured
128
MF
products issued by or placed with (as the case may be) any single issuer/institution must not
exceed twenty five (25) per cent of the Net Asset Value, or any other limit as may be
(g)
The value of the Funds Shariah-compliant investments in units/shares of any Islamic

collective investment scheme must not exceed twenty (20) per cent of the Net Asset Value, or
any other limit as may be prescribed by the Securities Commission from time to time.
(h)
The value of the Funds Shariah-compliant investments in Islamic structured products issued
by a single counter-party must not exceed fifteen (15) per cent of the Net Asset Value, or any
other limit as may be prescribed by the Securities Commission from time to time. This single
counter-party limit may be exceeded if the counterparty has a minimum long-term rating that
indicates very strong capacity for timely payment of financial obligations provided by any
domestic or global rating agency and the Islamic structured product has a capital protection
feature. When this applies, the calculation of the aggregate value to determine compliance
with item (f) should exclude the value of investment in Islamic structured products.
(i)
The value of the Funds OTC Islamic financial derivatives transactions with any single
counter-party must not exceed ten (10) per cent of the Net Asset Value, or any other limit as
may be prescribed by the Securities Commission from time to time; and the Funds exposure
to the underlying assets (vide the Islamic derivatives) must not exceed the Funds investment
spread limits as stipulated in (b), (c), (d), (e), (f), (g), and (h) above. In addition, the Funds
net market exposure owing to its Islamic financial derivatives positions must not exceed the
Net Asset Value.
(j)
The Funds Shariah-compliant investments in transferable Shariah-compliant securities (other

than sukuk) must not exceed ten (10) per cent of the securities issued by any single issuer, or
(k)
The Funds Shariah-compliant investments in sukuk must not exceed twenty (20) per cent of
the sukuk issued by any single issuer, or any other limit as may be prescribed by the
(l)
The Funds Shariah-compliant investments in Islamic money market instruments must not
exceed ten (10) per cent of the instruments issued by any single issuer, or any other limit as
may be prescribed by the Securities Commission from time to time. Such limit does not apply
to Islamic money market instruments that do not have a pre-determined issue size.
(m)
The Funds Shariah-compliant investments in Islamic collective investment schemes must not
exceed twenty five (25) per cent of the units/shares in any one Islamic collective investment
scheme, or any other limit as may be prescribed by the Securities Commission from time to
time.
The limits and restrictions mentioned herein must be complied with at all times based on the most
up-to-date value of the Funds Shariah-compliant investments. However, a 5% allowance in excess
of the limits or restrictions is permitted where the limit or restriction is breached through an
depreciation of the Shariah-compliant investments or as a result of repurchase of
Units or payment made from the Fund). The External Investment Manager will not make any further
acquisitions to which the relevant limit is breached, and the External Investment Manager will
within a reasonable period of not more than three (3) months from the date of the breach take all
necessary steps and actions to rectify the breach. Such limits and restrictions however, do not apply
to Shariah-compliant securities that are issued or guaranteed by the Malaysian government or Bank
Negara Malaysia.
129

3.10
IBF
INFORMATION ON RHB ISLAMIC BOND FUND
3.10.1 Fund Objective

To provide regular income to investors through investments in Islamic debt securities and bonds
which are acceptable investment under the principles of Shariah.
3.10.2 Shariah Adviser
3.10.3 Investment Strategy and Policy
Up to 95% of NAV will be invested in sukuk and Islamic debt instruments.
Minimum of 5% of NAV will be invested in liquid assets acceptable under Shariah

principle.
The Fund will invest in sukuk and Islamic fixed income securities. Investments must carry a
minimum long term credit rating of BBB and above or a minimum short term rating of P3 as
assigned by RAM or its equivalent. To contain credit risk, the Manager will ensure that the
diversification of credit rating (and duration standing) in the bond portfolio mitigate the overall
risk position of the portfolio.
The Manager may also take temporary defensive measures that may be inconsistent with the
Funds principal strategy in attempting to respond to adverse market conditions, economics,
political or any other conditions which the Manager deem detrimental to the Fund. The
defensive measures that the Manager may undertake are in no way to be deviated from the
mandates or breaching any laws and regulations. The Funds strategies in yield enhancement
for the portfolio will also be balanced with other investment needs of the Fund, such as liquidity
and risk management. On liquidity management, the Fund will maintain sufficient amount of
portfolio in liquid bond to accommodate redemption. As for risk management, the portfolio
duration is kept at optimal level where yield enhancement can be optimised on risk adjusted
basis, and at the same time, balanced with the need for containing portfolios volatility.
Hence, during the temporary defensive period, the Manager may choose to increase the asset
allocation by allocating more investment into risk free investments which are money market
instruments and deposit in adverse market condition.
The performance of this Fund is benchmarked against Maybank Islamic Berhads 12 months
IFD-i rate. Unit Holders may log on to the Maybanks website (www.maybank2u.com.my) to
obtain the latest information on the Maybank Islamic Berhads 12 months IFD-i rate.
3.10.4 Permitted Investments and Restrictions
The Fund may invest or participate in Islamic debt securities and sukuk traded on eligible
markets and/or which are listed on Bursa Malaysia; Shariah-compliant warrants that carry the
right in respect of a security traded in or under the rules of an eligible market; Shariahcompliant unlisted securities including securities not listed or quoted on a stock exchange but
130
IBF
have been approved by the relevant regulatory authority for such listing or quotation and are
offered directly to the Fund by the issuer; Shariah-compliant financial derivatives; Islamic
collective investment schemes and Islamic structured products; Government Investment Issues
(GII), Islamic Accepted Bills, Bank Negara Negotiable Notes, Cagamas Mudharabah Bonds
and any other Malaysian government approved/guaranteed Islamic Issues; sukuk generally in
the form of Corporate Sukuk or Islamic Commercial Papers issued by private companies or
public listed corporations that are traded in eligible markets; liquid assets (including money
market instruments and deposits with any financial institutions); and any other investments
a)
The value of the Funds Shariah-compliant investments in sukuk issued by any single
issuer must not exceed twenty (20) per cent of the Net Asset Value, or any other limit as
b)
The value of the Funds Shariah-compliant investments in sukuk issued by any single
issuer may exceed twenty (20) per cent but must not exceed thirty (30) per cent of the
Net Asset Value, or any other limit as may be prescribed by the Securities Commission
from time to time, if the debentures are rated by any global or domestic rating agency
to be of the best quality and offer the highest safety of timely payment of interest and
principal.
c)
The value of the Funds Shariah-compliant investments in the sukuk issued by any
group of companies must not exceed thirty (30) per cent of the Net Asset Value, or any
d)
The Funds Shariah-compliant investments in sukuk must not exceed twenty (20) per
cent of the debentures issued by any single issuer, or any other limit as may be
e)
institution must not exceed twenty (20) per cent of the Net Asset Value, or any other
f)
The aggregate value of the Funds Shariah-compliant investments or participation in

sukuk, Islamic money market instruments, Islamic deposits, over-the-counter (OTC)
Islamic financial derivatives and Islamic structured products issued by or placed with
(as the case may be) any single issuer/institution must not exceed twenty five (25) per
Commission from time to time. Where the single issuer limit of the Funds investment
in debentures is increased to thirty (30) per cent of the Net Asset Value or any other
limit as may be prescribed by the Securities Commission pursuant to paragraph (b), the
aggregate value of the Funds investment must not exceed thirty (30) per cent of the
Net Asset Value, or such other limit as may be prescribed by the Securities
Commission.
g)

collective investment scheme must not exceed twenty (20) per cent of the Net Asset
Value or any other limit as may be prescribed by the Securities Commission from time
to time.
h)
The Funds Shariah-compliant investments in Islamic collective investment schemes

must not exceed twenty five (25) per cent of the units/shares in any one Islamic
collective investment scheme or any other limit as may be prescribed by the Securities
131
IBF
i)
The value of the Funds Shariah-compliant investments in Islamic structured products

issued by a single counter-party must not exceed fifteen (15) per cent of the Net Asset
to time. This single counter-party limit may be exceeded if the counter-party has a
minimum long-term rating that indicates very strong capacity for timely payment of
financial obligations provided by any domestic or global rating agency and the
structured product has a capital protection feature. When this applies, the calculation of
the aggregate value to determine compliance with item (f) should exclude the value of
investment in structured products.
j)
The value of the Funds OTC Islamic financial derivatives transactions with any single
counter-party must not exceed ten (10) per cent of the Net Asset Value, or any other
limit as may be prescribed by the Securities Commission from time to time; and the
Funds exposure to the underlying assets (vide the Islamic derivatives) must not exceed
the Funds investment spread limits as stipulated in (a), (b), (c), (e), (f), (g) and (i). In
addition, the Funds net market exposure owing to its Islamic financial derivatives
positions must not exceed the Net Asset Value.
most up-to-date value of the Funds Shariah-compliant investments. However, a 5% allowance
in excess of the limits or restrictions is permitted where the limits or restrictions is breached
through an appreciation or depreciation of the Net Asset Value (whether as a result of an
appreciation or depreciation of the investments, or as a result of repurchase of Units or payment
made from the Fund). The Manager will not make any further acquisitions to which the relevant
limit is breached, and the Manager will within a reasonable period of not more than three (3)
months from the date of the breach take all necessary steps and actions to rectify the breach.
Such limits and restrictions however, do not apply to Shariah-compliant securities that are
issued or guaranteed by the Malaysian government or Bank Negara Malaysia.
132

3.11
ICMF
INFORMATION ON RHB ISLAMIC CASH MANAGEMENT FUND

Aims to provide liquidity and a regular stream of income by investing in Shariah-compliant
money market instruments.
3.11.2 Shariah Adviser
3.11.3 External Investment Manager
In managing this Fund, the Manager has delegated the investment management function of the
Fund to RHB Islamic International Asset Management Berhad who will manage the assets of
this Fund in accordance with the investment objective of the Fund, the Deed, subject to the
Capital Markets and Services Act 2007 and the Guidelines on Unit Trust Funds issued and
updated from time to time by the Securities Commission, as well as the internal policies and
procedures of the Manager.
At least 90% of NAV invested into Islamic money market instruments and Islamic
deposits with licensed financial institutions that are not more than 365 days maturity.
Up to 10% of NAV invested in Islamic money market instruments and Islamic deposits
with licensed financial institutions that is more than 365 days but fewer than 732 days
maturity.
The Fund is an Islamic money market fund whose investment strategy is to invest in a
diversified portfolio of short term Islamic money market instruments and Islamic deposits with
financial institutions. Although the Fund is actively managed, any such trading strategy will
depend on the market opportunities and the anticipated redemption requests by the Unit
Holders.
The minimum credit rating for the rated instruments to be invested by the Fund will be A by
Malaysian Rating Corporation Berhad or equivalent rating by any other similar rating agencies.
In the event of a credit downgrade of a particular instrument below the minimum stipulated, the
External Investment Manager will endeavour to take the necessary steps to divest that
instrument within a time frame deemed reasonable by the External Investment Manager.
However, in order to best protect the interests of the Fund, the External Investment Manager
has the discretion to take into consideration all relevant factors that affect the value of the
investment before deciding on the manner and time frame of its liquidation.
The risk management strategies and techniques employed by the External Investment Manager
include diversification of the Funds assets allocation in terms of its exposure to various classes
and/or type of investment. The permitted investments and restrictions imposed by the Securities
Commission also provide a risk management framework. Moreover, the External Investment
Manager in making its investment decisions shall at all times comply with the investment
restrictions, requirements as set out in the Deed and the principles of the Shariah. The Funds
investment policy takes into consideration the direct correlation between risk and return for any
investment alternative. The Funds investment policy requires the investment committee to:
133
ICMF
employ strategies for maximum capital protection through diversification and risk
acceptance strategies for optimal return on investment;
oversee the asset allocation between various forms of investments made to meet the
investment objectives of the Fund; and
review the investment results on a monthly basis against the performance of benchmark
indices.
Results will be evaluated on a total rate of return basis. The investment committee also
evaluates the Fund for compliance with its investment objective.
The above investment policy of the Fund may be varied by the investment committee of the
Fund from time to time with the knowledge of the Trustee. Depending on the prevailing
circumstances, the Fund will adopt a suitable level of activeness and frequency in trading for
the purpose of meeting the Funds objective.
To mitigate the risks confronting the Fund, the External Investment Manager will, amongst
other things:
constantly monitor market liquidity and pricing;
adhere to the Funds objectives and investment restrictions and limits; and
constantly liaise with the investment committee of the Fund.
The performance of this Fund is benchmarked against Maybank Islamic Berhads 1 month IFDi rate. Unit Holders may log on to the Maybanks website (www.maybank2u.com.my) to
obtain the latest information on the Maybank Islamic Berhads 1 month IFD-i rate.
Investment in this Fund is not the same as placing funds in a deposit with a financial
institution. There are risks involved and investors should rely on their own evaluation or the
advice of their own professional advisers to assess the merits and risks when investing in
this Fund.
This Fund may invest in Islamic debentures, Islamic money market instruments and placement
of Islamic deposits; and any other investments permitted by the Securities Commission from
time to time.
(a)
The value of the Funds Shariah-compliant investments in permitted investments must

not be less than ninety (90) per cent of the Net Asset Value, or any other limit as may be
(b)
The value of the Funds Shariah-compliant investments in permitted investments which

have a remaining maturity period of not more than 365 days must not be less than ninety
(90) per cent of the Net Asset Value or any other limit as may be prescribed by the
(c)
The value of the Funds Shariah-compliant investments in permitted investments which

have a remaining maturity period of more than 365 days but less than 732 days must not
exceed ten (10) per cent of the Net Asset Value or any other limit as may be prescribed
134
ICMF
(d)
The value of the Funds Shariah-compliant investments in sukuk and Islamic money
market instruments issued by any single issuer must not exceed twenty (20) per cent of
(e)
market instruments issued by any single issuer may exceed twenty (20) per cent but must
not exceed thirty (30) per cent of the Net Asset Value, or any other limit as may be
prescribed by the Securities Commission from time to time, provided the sukuk are rated
by any domestic or global rating agency to be of the best quality and offer highest safety
for timely payment of interest and principal.
(f)
institution must not exceed twenty (20) per cent of the Net Asset Value, or any other limit
as may be prescribed by the Securities Commission from time to time.
(g)
market instruments issued by any group of companies must not exceed thirty (30) per
(h)
The aggregate value of the Funds Shariah-compliant investments in sukuk, Islamic

money market instrument and Islamic deposits issued by or placed with (as the case may
be) any single issuer/institution must not exceed twenty five (25) per cent of the Net
Asset Value, or any other limit as may be prescribed by the Securities Commission from
time to time.
(i)

collective investment scheme must not exceed twenty (20) per cent of the Net Asset
to time.
(j)
The Funds Shariah-compliant investments in sukuk must not exceed twenty (20) per
cent of the securities issued by any single issuer, or any other limit as may be prescribed
(k)
The Funds Shariah-compliant investments in Islamic money market instruments must

not exceed twenty (20) per cent of the Islamic securities issued by any single issuer, or
(l)
The Funds investments in Islamic collective investment schemes must not exceed twenty
five (25) per cent of the units/shares in any Islamic collective investment scheme, or any
most up-to-date value of the Funds Shariah-compliant investments. However, a 5% allowance
in excess of the limits or restrictions is permitted where the limits or restrictions is breached
through an appreciation or depreciation of the Net Asset Value (whether as a result of an
appreciation or depreciation of the investments, or as a result of repurchase of units of the Fund
or payment made from the Fund). The Manager will not make any further acquisitions to which
the relevant limit is breached, and the Manager will within a reasonable period of not more than
three (3) months from the date of the breach take all necessary steps and actions to rectify the
breach. Such limits and restrictions however, do not apply to Shariah-compliant investments
that are issued or guaranteed by the Malaysian government or Bank Negara Malaysia.
135

3.12
DVEF
INFORMATION ON RHB DIVIDEND VALUED EQUITY FUND

To provide investors with total returns primarily through investment in equity and equity related
securities of companies which offer attractive yields and sustainable dividend payments.
Minimum of 70% and up to 98% of NAV will be invested in equities.
Minimum of 2% and up to 30% of NAV will be invested in fixed income securities

and/or liquid assets.
The Manager will invest in companies that offer higher expected dividend yields compared to
other companies in the market and whose cash-flow generated by business and management
activities are expected to support such dividend payments. The Manager therefore seeks to
identify and invest in companies that focus on shareholder value in the form of sustainable
dividend returns combined with the prospect for capital growth.
The Fund will invest abroad following the liberalisation of Bank Negara Malaysias regulations
on investments abroad. Any foreign investments made by the Fund will be in line with the
Funds objective and in foreign markets where the regulatory authorities are members of the
International Organization of Securities Commissions (IOSCO). The Funds foreign investment
will primarily be in equity and equity related securities listed on established stock exchanges in
countries within Asia and other regions, namely China, Hong Kong, India, Indonesia, Korea,
Philippines, Singapore, Taiwan, Thailand, Australia and such other countries which are deemed
fit by the Manager. The Securities Commission will be duly notified of the foreign markets in
which the Fund will invest in. There is no target industry or sector. On top of that, the Fund has
the option to invest in stocks whether or not listed on the stock exchange of the regions stated
above but with assets in and revenues derived from these regions. Subject to the investment
restrictions of the Fund, the Deed and the relevant laws, the Fund targets to invest up to 98% of
its NAV abroad. For the avoidance of doubt, the Fund has the discretion to invest in the local
market depending on the conditions of the local and foreign markets.
The Manager employs rigorous research to determine the securities to be included in the
investment portfolio. The Manager believes long term investment performance can be achieved
by employing a rigorous research process that enables it to identify companies that generate
superior cash flows as well as companies that are undervalued.
The performance of this Fund is benchmarked against Morgan Stanley Capital International
Asia Pacific Free ex Japan Index (MSCI). Unit Holders can obtain information on the Morgan
Stanley Capital International Asia Pacific Free ex Japan Index (MSCI) from the Manager upon
request.
The Fund may invest in securities listed on Bursa Malaysia; unlisted securities including
securities not listed or quoted on a stock exchange but have been approved by the relevant
regulatory authority for such listing or quotation and are offered directly to the Fund by the
136
DVEF
issuer; financial derivatives; collective investment schemes; structured products and warrants
that carry the right in respect of a security traded in or under the rules of an eligible market;
money market and over the counter private debt securities; Malaysian Government Securities,
Cagamas Bonds, Malaysian Treasury Bills, Bank Negara Malaysia Certificates, Bankers
Acceptances, Government Investment Certificates and Negotiable Certificates of Deposit;
foreign investment traded in or under the rules of a foreign market approved by Securities
Commission; and any other investments permitted by the Securities Commission from time to
time.
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
(i)
137
DVEF
(j)
(k)
(l)
(m)
138

3.13
GFF
INFORMATION ON RHB GLOBAL FORTUNE FUND

The Fund aims to provide total return from dividend income, option premiums and capital
appreciation, sustainable distributions and typically lower portfolio volatility compared to a
normal equity investment.
At least 95% of NAV will be invested in a target fund i.e. the Allianz Global High Payout
Fund.
Up to 5% of NAV will be invested in liquid assets to provide for liquidity purpose.
The Fund will invest principally in a target fund i.e. the Allianz Global High Payout Fund.
Although the Fund is passively managed, the investments in the Fund will be rebalanced from
time to time to meet redemptions and to enable the proper and efficient management of the
Fund. The Fund is a feeder fund that invests in the Allianz Global High Payout Fund. The risk
management strategies and techniques employed will be at the Allianz Global High Payout
Fund level through its global flexible approach and investment strategy that involve a high
degree of diversification between the asset classes and securities as well as diversification
across global geographical markets.
The Manager may take temporary defensive positions that may be inconsistent with the Funds
principal strategy in attempting to respond to adverse economic, political or any other market
conditions. In such circumstances, the Manager may reallocate up to 100% of the Funds
investments into other asset classes such as fixed income securities, money market instruments,
cash and deposits with licensed financial institutions, which are defensive in nature.
Notwithstanding the above, the Manager may, in consultation with the Trustee, replace the
Allianz Global High Payout Fund with another collective investment scheme with a similar
objective if, in the Managers opinion, the Allianz Global High Payout Fund no longer meets
the Funds investment objective, or when acting in the interest of the Unit Holders. However,
Unit Holders approval must be obtained.
The performance of this Fund is benchmarked against 60% MSCI World and 40% Dividend
Yield (MSCI World). For more information on the indices, please log on to www.msci.com.
The benchmark is selected to reflect the strategy of the Fund which aims to provide return in the
form of dividend income received from the Allianz Global High Payout Fund and capital
appreciation. The MSCI World represents the equities portion (60%) and Dividend Yield
(MSCI World) represents the fixed income portion (40%). The higher weightage of the Funds
benchmark to MSCI World is a reflection of its investment objective to provide total return
from dividend income, option premiums and capital appreciation, sustainable distributions and
typically lower portfolio volatility compared to a normal equity investment. Unit Holders can
obtain information on the MSCI World and Dividend Yield (MSCI World) from the Manager
upon request.
139
GFF

The Fund may invest in local or foreign collective investment schemes (including exchange
traded funds), financial derivatives, liquid assets and any other investment permitted by the
In undertaking the Funds investments, the Fund must not invest in a fund-of-funds, a feeder
fund, or any sub-fund of an umbrella scheme which is a fund-of-funds or a feeder fund.
3.13.4 Information on Allianz Global High Payout Fund
(a)
About Allianz Global High Payout Fund

The Allianz Global High Payout Fund is a non-specialised global equities fund. Allianz
Global High Payout Fund is regulated by the Monetary Authority of Singapore under the
Securities & Futures Act (Chapter 289), Singapore.
The Allianz Global High Payout Fund currently offers two classes of units, namely the
SGD class and USD class. The SGD class units are denominated in SGD and may be
subscribed for only in SGD. The USD class units are denominated in USD and may be
subscribed for only in USD. The Fund invests in the SGD class units of the Allianz
Global High Payout Fund.
With a view to protecting the interests of unit holders of the Allianz Global High Payout
Fund, the manager of the Allianz Global High Payout Fund may, with the approval of the
Allianz Global High Payout Funds trustee, limit the total number of units of the Allianz
Global High Payout Fund which the Fund may realise on any dealing day of the Allianz
Global High Payout Fund to 10% of the total number of units of the Allianz Global High
Payout Fund then in issue. If so, requests for realisation of units in the Allianz Global
High Payout Fund on such dealing day will be reduced rateably and be treated as if made
in respect of each subsequent dealing day of Allianz Global High Payout Fund until all
units in the Allianz Global High Payout Fund to which the original request related have
been realised.
(b)
About the Manager of Allianz Global High Payout Fund

The Allianz Global High Payout Fund is managed by Allianz Global Investors Singapore
Limited, a part of Allianz Global Investors. The manager of the Allianz Global High
Payout Fund has managed collective investment schemes or discretionary funds in
Singapore since 1999.
Allianz Global Investors, the asset management subsidiary of Allianz SE, has more than
EUR 435 billion as of 31 March 2016 of assets under management for its clients
worldwide. Allianz Global Investors is a globally integrated investment management
company operating across 18 countries. With over 550 investment professionals
worldwide across equities, fixed income and multi-asset classes, it offers a range of
distinct investment capabilities, and provides clients with a comprehensive and constantly
evolving range of products and services. Its employees around the globe are committed to
helping clients achieve their goals by combining global expertise and local market
knowledge with innovative solutions and world-class professional service. In Asia
Pacific, Allianz Global Investors has been managing discretionary funds for over 21
years.
Allianz Global Investors Singapore Limited is regulated by the Monetary Authority of
Singapore under the Securities & Futures Act (Chapter 289), Singapore.
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GFF
Allianz Global Investors Singapore Limited has delegated the management of the assets
of Allianz Global High Payout Fund to Allianz Global Investors Europe GmbH (formerly
known as Allianz Global Investors Europe GmbH), Frankfurt, Germany (AllianzGI
Germany (Headquarter)).
(c)
About the Investment Manager of Allianz Global High Payout Fund

AllianzGI Germany (Headquarter) was established in Frankfurt, Germany and is
authorised and regulated by the Bundesanstalt fr Finanzdienstleistungsaufsicht (BaFin).
It has been managing collective investment schemes and discretionary funds since 1956
and is Germany's second oldest investment company. It is part of Allianz Global
Investors.
(d)
Investment Objective
The Allianz Global High Payout Fund aims to provide:
(i)
total return from dividend income, option premiums and capital appreciation;
(ii)
sustainable distributions; and
(iii)
typically lower portfolio volatility compared to an equity investment
by investing in:
(e)
(i)
a globally diversified portfolio of equities which offer attractive and sustainable

dividend yields; and
(ii)
selling call options to generate option premiums which will enhance dividends and
reduce overall portfolio risk.
Investment Focus and Approach
The Allianz Global High Payout Fund employs a distinctive two-part investment
process:
(a)
Global equities the Allianz Global High Payout Fund will hold a
diversified portfolio of global equities. In the equity selection process, the
investment manager of the Allianz Global High Payout Fund combines a
proprietary rule-based equity selection model together with a fundamental
company analysis in an attempt to identify the most attractive international
investment opportunities. This research driven approach focuses on seeking
equities that pay high dividend yields to generate current income from
dividends on such equities. Equity exposure may also be constructed by the
use of derivative strategies (e.g. long futures, long call options).
(b)
Selling of call options the Allianz Global High Payout Fund will employ
an integrated strategy of selling covered call options written by the Allianz
Global High Payout Fund on equities, baskets of equities or equity indices.
The option premiums received represent additional earnings, helping to
enhance the dividends payable to investors and to reduce overall portfolio
risk.
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GFF
Equities sub-portfolio:
Disciplined investment process
with
qualitative
and
quantitative selection criteria
Options sub-portfolio:
Systematic selling of call options
+
Objective:
Buying stocks with aboveaverage dividend yield
Objective:
Continuous
option
premium
income generating a buffer to
lower equities volatility, albeit
forgoing additional capital gain
above strike price plus premium
Allianz Global High Payout Fund

Total return from dividend income, option premiums and capital appreciation.
Sustainable distributions.
Typically lower portfolio volatility compared to an equity investment due to
investing in a globally diversified portfolio of high yielding equities coupled
with a steady flow of option premium income.
In employing the Allianz Global High Payout Funds call option selling strategy,
the investment manager of the Allianz Global High Payout Fund will adopt the
following:
(a)
Systematic, multi-stage process for selecting attractive options.
(b)
Valuations based, in particular, on technical indicators and fundamentals

(e.g. volatility).
(c)
Typically tenure of call options will be between 1 to 12 months in order to

be able to react more flexibly to market conditions and to optimise the
generation of additional earnings.
(d)
Options on equities, baskets of equities or equity indices may be used.
A call option gives the holder the right to buy an equity at a specific price (the
strike price) at a future point in time. A covered call option is a call option that is
sold on an equity that is held by the seller or on an equity index which is
sufficiently correlated with a basket of equities held by the seller. If the call option
is exercised, the seller of the option is covered because he/she holds the equity or
the basket of equities (i.e. the liability on the call option is offset).
The selling of call options is intended to help the Allianz Global High Payout Fund
outperforms a direct investment in the underlying portfolio of equities in all but
strong rising market scenarios. In exchange for its benefits of enhanced income
and reduced overall portfolio risk, the Allianz Global High Payout Fund gives up
potential appreciation in the value of its portfolio of equities above the strike price.
In a strong rising market, this call option strategy will result in the Allianz Global
High Payout Fund underperforming global equity markets albeit with positive
returns.
There is no guarantee that the portfolio risk of the strategy is reduced.
There is no guarantee that the Allianz Global High Payout Fund will outperform in
all but a strong bull market.
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(f)
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The manager of the Allianz Global High Payout Fund currently does not intend to
carry out securities lending or repurchase transactions for the Allianz Global High
Payout Fund but may in the future do so, in accordance with the relevant
provisions of the Code on Collective Investment Schemes issued by the Monetary
Authority of Singapore and subject to the provisions of the Central Provident Fund
Investment Guidelines.
Authorised Investments of Allianz Global High Payout Fund

The authorised investments of Allianz Global High Payout Fund are subject to the Code
on Collective Investment Schemes issued by the Monetary Authority of Singapore
(Code). The Code was issued on 23 May 2002 and last revised on 14 July 2015.
1
Permissible Investments
1.1
The Allianz Global High Payout Funds underlying investments may only consist
of the following permissible investments:
a)
transferable securities;
b)
money market instruments;
c)
eligible deposits;
d)
units in other schemes;
e)
financial derivatives; and
f)
shares or securities equivalent to shares that are not listed for quotation or
quoted and have not been approved for listing for quotation or quotation on
an organised exchange.
organised exchange refers to an exchange that is an organised market;

organised market refers to an exchange, over-the-counter market or government
securities market:
1.2
(i)
that is of good repute;
(ii)
that is open to the public or a substantial number of market participants; and
(iii)
on which financial instruments are regularly traded.
For the purpose of paragraph 1.1,

a)
transferable securities refer to:

i)
shares or securities equivalent to shares; and
ii)
bonds or other securitised debt instruments,
that meet the requirements of paragraph 1.3 but do not include:

A)
money market instruments; or
143

B)
b)
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any security the title to which cannot be transferred or can be

transferred only with the consent of a third party.
eligible deposits refer to deposits with banks licensed under Singapores

Banking Act (Cap. 19), finance companies licensed under Singapores
Finance Companies Act (Cap. 108), merchant banks approved as financial
institutions under section 28 of the Monetary Authority of Singapore Act
(Cap. 186) or any other deposit-taking institution licensed under an
equivalent law in a foreign jurisdiction.
Requirements of transferable securities

1.3
Transferable securities shall meet the following requirements:

a)
the maximum potential loss which may be incurred as a result of the

investment is limited to the amount paid for it;
b)
the investment is liquid;
c)
the investment is subject to reliable and verifiable valuation on a daily

basis; and
d)
there is appropriate information available to the market on the investment

or, where relevant, on the portfolio.
Note
In determining whether information on a transferable security is appropriate,
Allianz Global High Payout Funds manager should consider if the information
available on the market is regular and accurate, as well as sufficient to analyse
the investment. For example, reliance on annual or financial reports is acceptable
if Allianz Global High Payout Funds manager is of the view that it is
appropriate.
Requirements on investments in other schemes
1.4
The Allianz Global High Payout Fund may invest in other schemes only if the
underlying scheme is:
a)
an authorised or recognised scheme;
Note
Notwithstanding paragraph 1.4(a), Allianz Global High Payout Fund shall not
invest in an underlying scheme which is a hedge fund or fund-of-hedge funds even
if the underlying scheme complies with the Codes Investments Guidelines for
Hedge Funds.
b)
a scheme which:
i)
is constituted and regulated in a jurisdiction where the laws and

practices afford to participants in Singapore protection at least
equivalent to that afforded to participants of schemes which are
wholly managed in Singapore;
ii)
adheres to investment and borrowing guidelines which are

substantially similar to those set out in the relevant investment
guidelines under the Code; and
144

iii)
c)
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has a manager that is reputable and supervised by an acceptable

financial supervisory authority; or
a scheme which is invested in permissible investments, commodities or real

estate, meets the requirements set out in paragraph 1.3(a) to (d) and, for the
purposes of this paragraph, the units in the scheme are listed for quotation
and traded on an organised exchange.
Note
Restricted schemes, i.e. schemes whose offer of units are only available to relevant
persons defined in section 305(5) of Singapores Securities & Futures Act
(Chapter 289) may be acceptable as underlying investments if they can meet the
conditions in paragraph 1.4 (b) or (c).
1.5
Allianz Global High Payout Fund may feed substantially into an underlying fundof-funds but the underlying fund-of-funds should invest in other schemes directly
and not through another fund-of-funds.
Requirements of financial derivatives
1.6
Financial derivatives should meet the following requirements:

a)
the underlying consists of instruments referred to in paragraph 1.1,

commodities*, indices which meet the requirements in the Code pertaining
to index funds, interest rates, foreign exchange rates or currencies. In the
case of financial derivatives on commodities*, such transactions should be
settled in cash at all times. The Allianz Global High Payout Funds
manager should also undertake in the trust deed of Allianz Global High
Payout Fund to settle such transactions in cash and disclose that fact in the
Allianz Global High Payout Funds prospectus;
b)
the financial derivatives are liquid;
c)
the financial derivatives are subject to reliable and verifiable valuation on a

daily basis and can be sold, liquidated or closed by an offsetting transaction
at any time at their fair value; and
d)
the financial derivatives should not result in the delivery of investments

other than those described in paragraph 1.1(a) to (f).
*Note: Allianz Global High Payout Fund does not participate or invest in
derivatives with underlying comprising commodities.
Over-the-Counter (OTC) financial derivatives

1.7
In the case of OTC financial derivatives, reliable and verifiable valuation stated in
paragraph 1.6 (c) refers to:
a)
a valuation made by the Allianz Global High Payout Funds manager based
on a current market value; or
b)
where such value is not available, a fair value based on an appropriate

valuation model which is checked at an appropriate frequency by an
independent party.
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The valuation by the Allianz Global High Payout Funds manager shall not be
based solely on a valuation provided by the counterparty to the transaction.
Note
The party who carries out the verification should be independent of the
counterparty as well as the party responsible for the fund management function of
the Allianz Global High Payout Fund.
(g)
Investment limits and restrictions of Allianz Global High Payout Fund

The investment limits and restrictions of Allianz Global High Payout Fund subject to the
Code on Collective Investment Schemes issued by the Monetary Authority of Singapore
(Code). The Code was issued on 23 May 2002 and last revised on 14 July 2015.
1
Spread of Investments
Single entity limit and group limit
1.1
Allianz Global High Payout Fund should comply with the following limits:
a)
Investments in:
i)
transferable securities; or
ii)
money market instruments
issued by a single entity should not exceed 10% of Allianz Global High
Payout Funds net asset value (single entity limit).
b)
Aggregate investments in, or exposures to, a group of entities through:

i)
ii)
iii)
eligible deposits; and
iv)
counterparty risk exposures arising from the use of over-the-counter

(OTC) financial derivatives
should not exceed 20% of Allianz Global High Payout Funds net asset
value (group limit). For the purposes of this paragraph, a group of entities
refers to an entity, its subsidiaries, fellow subsidiaries and its holding
company.
Note
Investment in transferable securities and money market instruments issued
by a trust should be included in the single entity limit and group limit. The
group of entities referred to in the group limit also applies to aggregate
investments in, or exposures to, special purpose vehicle (SPVs) where the
substance of the relationship between a sponsor and its SPV, determined in
accordance with the Interpretation of Financial Reporting Standard 12.
indicates that the SPV is controlled by that sponsor.
Short-term deposits
1.2
The group limit does not apply to placements of eligible deposits arising from:
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a)
subscription monies received at any point in time pending the

commencement of investment by Allianz Global High Payout Fund; or
b)
liquidation of investments prior to the termination or maturity of Allianz

Global High Payout Fund, where the placing of these monies with various
institutions would not be in the interests of participants.
Government and other public debt securities/money market instruments

1.3
The single entity limit of 10% may be raised to 35% of Allianz Global High
Payout Funds net asset value where:
a)
b)
the issuing entity or trust is, or the issue is guaranteed by, either a
government, government agency or supranational, that has a minimum longterm rating of BBB by Fitch ratings, Baa by Moodys Investors Service or
BBB by Standard and Poors Ratings Services (including such subcategories or gradations therein); and
not more than 20% of Allianz Global High Payout Funds net asset value
may be invested in any single issue of transferable securities or money
market instruments by the same entity or trust.
1.4
If there is a downgrade in rating to that below the minimum rating as stated in

paragraph 1.3 (a), or if the rating agencies no longer rate the entity or the
guarantor, the single entity limit should revert to 10%.
1.5
The single entity limit of 10% does not apply where:
1.6
a)
government, government agency or supranational, that has a minimum longterm rating of AA by Fitch Ratings, Aa by Moodys Investors Service or AA
by Standard and Poors Ratings Services (including such sub-categories or
gradations therein); and
b)
not more than 20% of Allianz Global High Payout Funds net asset value
may be invested in any single issue of transferable securities or money
market instruments by the same entity or trust.

guarantor, the single entity limit as specified in paragraph 1.1 (a) or 1.3, as the case
may be, should apply accordingly.
Unrated and non-investment grade corporate debt securities
1.7
1.8
The single entity limit of 10% in paragraph 1.1 (a) for bonds and other securitised
debt instruments is lowered to 5% of Allianz Global High Payout Funds net asset
value if the issuing entity or trust:
a)
is not rated; or
b)
has a long-term rating below that of BBB by Fitch Ratings, Baa by Moodys
Investors Service or BBB by Standard and Poors Ratings Services
(including such sub-categories or gradations therein).
Notwithstanding paragraph 1.7 (a), Allianz Global High Payout Funds manager
may rely on:
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a)
the rating of an unrated issuers parent company provided that an explicit

guarantee by the parent company for the issuer is in place; or
b)
its internal rating of an unrated issuer if Allianz Global High Payout Funds
manager has satisfied Allianz Global High Payout Funds trustee that its
internal rating is comparable to a rating issued by Fitch Ratings, Moodys
Investors Service or Standard & Poors Ratings Services.
Commodity-backed debt securities

1.9
Allianz Global High Payout Fund may invest in debt securities that are undated,
secured by physical commodities, listed for quotation and traded on an organised
exchange, subject to the limit in paragraph 1.12.
Investment in other schemes
1.10 Allianz Global High Payout Fund may invest in other schemes only if the
underlying scheme is:
a)

Note
Allianz Global High Payout Fund shall not invest in an underlying scheme
which is a hedge fund or fund-of-hedge funds even if the underlying scheme
complies with the Codes Investments Guidelines for Hedge Funds.
b)
c)
a scheme which:
i)

ii)

substantially similar to those set out in the relevant appendices under
the Code; and
iii)

financial supervisory authority;

estate, meets the Codes requirements of transferable securities (see
paragraph 1.3 of the Authorised Investments of Allianz Global High Payout
Fund) and, for the purposes of this paragraph, the units in the scheme are
listed for quotation and traded on an organised exchange.
Note
persons defined in section 305(5) of Singapores Securities & Futures Act (Chapter
289) may be acceptable as underlying investments if they can meet the conditions
in the above paragraph b) and c).
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1.11 Investments in an underlying scheme which does not satisfy paragraph 1.10 (a) or
(b) but satisfies:
a)
paragraph 1.10 (c) and is invested in permissible investments or real estate

should not exceed 10% of Allianz Global High Payout Funds net asset
value; or
b)
paragraph 1.10 (c) and is invested directly in commodities is subject to the

limit in paragraph 1.12.
Alternative exposure limit

1.12 Investments in:
a)
b)
c)
quoted, and have not been approved for listing for quotation or quotation, on
an organised exchange;
debt securities which are undated, secured by physical commodities, listed
for quotation and traded on an organised exchange; and
underlying schemes which do not satisfy paragraph 1.10 (a) or (b) but satisfy
paragraph 1.10 (c) and are invested directly in commodities,
are subject to an aggregate limit of 10% of Allianz Global High Payout Funds net
asset value.
Concentration limit
1.13 Allianz Global High Payout Fund should not invest in more than:
a)
10% of the total outstanding shares, or securities equivalent to shares, of any

single entity or trust;
b)
10% of each individual issuance of debt securities of any single issuing

entity or trust, where such issuance is not part of a debt issuance
programme; or where debt securities are issued under a debt issuance
programme, 20% of each tranche, subject to a limit of 10% of the overall
programme size; and
c)
10% of the money market instruments of a single issuing entity or trust.
Global Exposure
2.1
The global exposure of Allianz Global High Payout Fund to financial derivatives
or embedded financial derivatives should not exceed 100% of its net asset value at
all times.
2.2
Allianz Global High Payout Funds manager should calculate the global exposure
of Allianz Global High Payout Funds based on the:
a)
Commitment approach under the Code; or
b)
Value at risk (VaR) Approach (including any other variants of the VaR
Approach) under the Code, subject to prior consultation with the Monetary
Authority of Singapore (Authority).
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Commitment Approach
2.3
The global exposure of Allianz Global High Payout Fund is calculated as the sum
of:
a)
the absolute value of the exposure of each individual financial derivative not
involved in netting or hedging arrangements;
b)
the absolute value of the net exposure of each individual financial derivative
after netting or hedging arrangements; and
c)
the sum of the values of cash collateral received pursuant to:

i)
the reduction of exposure to counterparties of OTC financial

derivatives; and
ii)
efficient portfolio management techniques relating to securities

lending and repurchase transactions,
and that are reinvested.

Netting arrangements
2.4
Netting arrangements may be taken into account to reduce Allianz Global High
Payout Funds exposure to financial derivatives.
2.5
Allianz Global High Payout Fund may net positions between:

a)
financial derivatives on the same underlying assets, even if the maturity

dates are different; or
b)
financial derivatives and the same corresponding underlying asset, if those

underlying assets are transferable securities, money market instruments or
units in other schemes.
Hedging arrangements
2.6
Hedging arrangements may be taken into account to reduce Allianz Global High
Payout Funds exposure to financial derivatives.
2.7
The marked-to-market value of transferable securities, money market instruments

or units in schemes involved in hedging arrangements may be taken into account to
reduce Allianz Global High Payout Funds exposure to financial derivatives.
2.8
For the purposes of the above paragraphs 2.6 and 2.7, the hedging arrangement
should:
a)
not be aimed at generating a return;
b)
result in an overall verifiable reduction of the risk of Allianz Global High

Payout Fund;
c)
offset the general and specific risks linked to the underlying being hedged;
d)
relate to the same asset class being hedged; and
150

e)
2.9
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be able to meet its hedging objective in all market conditions.
Notwithstanding paragraph 2.8, financial derivatives used for the purposes of

hedging currency exposure may be netted when calculating the global exposure.
Exposure arising from reinvestment of cash collateral
2.10 If Allianz Global High Payout Fund reinvests cash collateral received from
counterparties of OTC financial derivatives, securities lending or repurchase
transactions to generate a return in excess of high quality 3-month government
bonds, it should include in its global exposure calculations the cash amount
reinvested.
VaR Approach or its variants
2.11 Allianz Global High Payout Funds manager may apply to the Authority to use the
VaR Approach or its variants to calculate the global exposure of Allianz Global
High Payout Fund instead of the commitment approach (paragraph 2.3).
2.12 The global exposure of Allianz Global High Payout Fund should also take into
account exposures arising from the reinvestment of cash collateral.
2.13 Allianz Global High Payout Funds manager should comply with the guidelines in
the Code on alternative approach for calculating global exposure VaR Approach.
3
Use of Financial Derivatives

Financial derivatives shall meet the following requirements:
a)
The underlying consists of instruments referred to in paragraph 1.1 of the

Authorised Investments of Allianz Global High Payout Fund, commodities*,
indices which meets the requirements in the Code pertaining to index funds,
interest rates, foreign exchange rates or currencies. In the case of financial
derivatives on commodities*, such transactions shall be settled in cash at all
times;
b)
c)

d)
the financial derivatives shall not result in the delivery of investments other
than permissible investments under the Code.
*Note: Allianz Global High Payout Fund does not participate or invest in

the above paragraph (c) refers to:
a)
a valuation made by Allianz Global High Payout Funds manager based on

a current market value; or
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b)
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independent party.
The valuation by Allianz Global High Payout Funds manager should not be based
solely on a valuation provided by the counterparty to the transaction.
Spread of underlying assets
3.1
The exposure of Allianz Global High Payout Fund to the underlying assets of
financial derivatives should be sufficiently diversified on a portfolio basis.
3.2
In the case where the underlying assets are transferable securities, money market
instruments, eligible deposits or units in other schemes, the limits in the paragraphs
under item 1 stated herein, except for the concentration limits, apply on a portfolio
basis.
Embedded financial derivatives
3.3
Where a transferable security or money market instrument embeds a financial

derivative, the requirements in the paragraphs under item 2 and 3 stated herein
apply to the embedded financial derivative.
3.4
Where the counterparty risk of the embedded derivative is or may be transferred to

Allianz Global High Payout Fund, the requirements in the paragraphs under item 4
stated herein also apply to the embedded financial derivative.
3.5
A transferable security or money market instrument is considered to be embedding

a financial derivative if it contains a component which fulfils the following criteria:
a)
the component results in some or all of the cash flows that otherwise would
be required by the transferable security or money market instrument which
functions as host contract to be modified according to a variable including
but not limited to a specified interest rate, price of a financial instrument,
foreign exchange rate, index of prices or rates, credit rating or credit index,
and therefore vary in a way similar to a stand-alone financial derivative;
b)
the components economic characteristics and risks are not closely related
to the economic characteristics and risks of the host contract; and
c)
the component has a significant impact on the risk profile and pricing of the
transferable security or money market instrument.
3.6
A transferable security or a money market instrument should not be regarded as

embedding a financial derivative where it contains a component which is
contractually transferable independently of the transferable security or the money
market instrument. Such a component should be deemed to be a separate financial
instrument.
3.7
Where an instrument is structured as an alternative to an OTC financial derivative

or tailor-made to meet the specific needs of Allianz Global High Payout Fund, the
instrument should be deemed as embedding a financial derivative.
Cover
3.8
A transaction in financial derivatives which gives rise, or may give rise, to a future
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commitment on behalf of Allianz Global High Payout Fund should be covered as

follows:
a)
in the case of financial derivatives which will, or may at the option of

Allianz Global High Payout Fund, be cash settled, Allianz Global High
Payout Fund should hold, at all times, liquid assets sufficient to cover the
exposure;
b)
in the case of financial derivatives which will, or may at the option of the
counterparty, require physical delivery of the underlying assets, Allianz
Global High Payout Fund should hold the underlying assets in sufficient
quantities to meet the delivery obligation at all times. If Allianz Global High
Payout Funds manager deems the underlying assets to be sufficiently liquid,
Allianz Global High Payout Fund may hold as coverage other liquid assets
in sufficient quantities, provided that such alternative assets may be readily
converted into the underlying asset at any time to meet the delivery
obligation.
Counterparty of Financial Derivatives

OTC financial derivatives
4.1
The counterparty of an OTC financial derivative should be subject to prudential

supervision by a financial supervisory authority in its home jurisdiction.
4.2
Subject to the group limit in paragraph 1.1, the maximum exposure of Allianz
Global High Payout Fund to the counterparty of an OTC financial derivative may
not exceed:
a)
in the case of an eligible financial institution described in paragraph 4.3,

10% of Allianz Global High Payout Funds net asset value; or
b)
in any other case, 5% of Allianz Global High Payout Funds net asset value
(counterparty limits).
4.3
For the purpose of paragraph 4.2, an eligible financial institution should have a
minimum long-term rating of A by Fitch Ratings, A by Moodys Investors Service
or A by Standard and Poors Ratings Services (including sub-categories or
gradations therein). Alternatively, where the financial institution is not rated,
Allianz Global High Payout Fund should have the benefit of a guarantee by an
entity which has a long-term rating of A (including sub-categories or gradations
therein).
4.4
The exposure to a counterparty of an OTC financial derivative should be measured

based on the maximum potential loss that may be incurred by Allianz Global High
Payout Fund if the counterparty defaults and not on the basis of the notional value
of the OTC financial derivative.
Recognition of collateral
4.5
The exposure to a counterparty may be construed as being lower if collateral is

tendered to Allianz Global High Payout Fund. The collateral should meet the
following requirements:
a)
it is marked-to-market daily;
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4.6
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b)
it is liquid;
c)
it is taken into account, on a portfolio basis, for the purposes of the

requirements on spread of investments in the paragraphs under item 1 stated
herein;
d)
it is not issued by the counterparty or its related corporations;
e)
it is held by a custodian which is:

i)
a financial institution subject to prudential supervision by a financial

supervisory authority in its home jurisdiction; and
ii)
independent of the counterparty;
f)
it is legally secured from the consequences of the failure of the custodian,

counterparty and their related corporations;
g)
it can be fully enforced by Allianz Global High Payout Funds trustee at

any time;
h)
it is free from all prior encumbrances; and
i)
it cannot be sold or given as security interests.
Collateral may only consist of:

a)
cash;
b)
c)
bonds.
4.7
For the purpose of paragraph 4.6, money market instruments and bonds should be
issued by, or have the benefit of a guarantee from, a government, government
agency or supranational, that has a long-term rating of AAA by Fitch Ratings, Aaa
by Moodys Investors Service or AAA by Standard and Poors Ratings Services
(including sub-categories or gradations therein).
4.8
Notwithstanding paragraph 4.6, securitised debt instruments as well as money

market instruments or bonds with embedded financial derivatives are not eligible
as collateral.
4.9
Allianz Global High Payout Funds manager should ensure that it has the
appropriate legal expertise to put in place proper collateral arrangements, as well
as appropriate systems and operational capabilities for proper collateral
management.
4.10 Additional collateral should be provided to Allianz Global High Payout Fund no
later than the close of the next business day if the current value of the collateral
tendered is insufficient to satisfy the counterparty limits in paragraph 4.2.
Reinvestment of collateral
4.11 Collateral obtained in the form of cash by Allianz Global High Payout Fund may
be reinvested subject to the following requirements:
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a)
it is invested in financial instruments consistent with paragraphs 4.6 and 4.7;
b)
the investments are taken into account, on a portfolio basis, for the purposes
of the requirements on spread of investments in the paragraphs under item 1
stated herein;
c)
the investments are held by a custodian which is:

i)

ii)
d)
the investments are legally secured from the consequences of the failure of
the custodian, counterparty and their related corporations;
e)
the investments cannot be sold or given as security interests; and
f)
Allianz Global High Payout Funds manager is reasonably satisfied that any
investment of cash collateral by the Allianz Global High Payout Fund will
enable Allianz Global High Payout Fund to meet its redemption obligations
and other payment commitments.
4.12 Notwithstanding paragraph 4.11, the cash collateral obtained should not be
invested in transferable securities issued by, or placed on deposit with, the
counterparty or its related corporations.
4.13 Non-cash collateral obtained by Allianz Global High Payout Fund may not be
reinvested.
Recognition of netting
4.14 Allianz Global High Payout Fund may net its OTC financial derivative positions
with the same counterparty through bilateral contracts for novation or other
bilateral agreements between Allianz Global High Payout Fund and its
counterparty provided that such netting arrangements satisfy the following
conditions:
a)
in the case of a bilateral contract for novation, mutual claims and obligations
are automatically amalgamated in such a way that this novation fixes one
single net amount each time novation applies and thus creates a legally
binding, single new contract extinguishing former contracts;
b)
Allianz Global High Payout Fund has a netting arrangement with its
counterparty which creates a single legal obligation, covering all included
transactions, such that, in the event of the counterparty's failure to perform
owing to default, bankruptcy, liquidation or any other similar circumstance,
Allianz Global High Payout Fund would have a claim to receive or an
obligation to pay only the net sum of the positive and negative mark-tomarket values of the individual included transactions;
c)
Allianz Global High Payout Funds manager obtains written and reasoned
legal opinions to the effect that, the netting arrangement is legally
enforceable by Allianz Global High Payout Fund against its counterparty,
and in particular, in the event of a legal challenge, the relevant courts and
administrative authorities would find that Allianz Global High Payout
155
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Funds claims and obligations would be limited to the net sum, as described
in the above paragraph 4.14 (b), under:
i)
the law of the jurisdiction in which the counterparty is incorporated

and, if a foreign branch of an entity is involved, also under the law of
the jurisdiction in which the branch is located;
ii)
the law that governs the individual included transactions; and
iii)
the law that governs the netting agreement;
d)
Allianz Global High Payout Funds manager has procedures in place to

ensure that the legal validity of the netting arrangement is kept under review
in the light of possible changes in the relevant laws; and
e)
Allianz Global High Payout Funds manager is reasonably satisfied that the
netting arrangement is legally valid under the law of each of the relevant
jurisdictions.
Efficient Portfolio Management (EPM) Techniques

Securities lending and repurchase transactions
5.1
5.2
5.3
Allianz Global High Payout Fund may carry out the following activities for the
sole purpose of EPM:
a)
securities lending; and
b)
repurchase transactions.
Allianz Global High Payout Fund may lend transferable securities and money
market instruments:
a)
directly;
b)
through a standardised lending system facilitated by a clearing house which

performs a central counterparty role; or
c)
through securities lending agents, who are recognised as specialists in

securities lending.
Securities lending and repurchase transactions should be effected in accordance

with good market practice.
Counterparty
5.4
The counterparty to a securities lending agreement or repurchase transaction

should:
a)
be a financial institution subject to prudential supervision by a financial

b)
have a minimum long-term rating of A by Moodys Investors Service, A by

Standard and Poors Ratings Services or A by Fitch Ratings (including subcategories or gradations therein). Alternatively, where the counterparty is
not rated, it is acceptable if an entity which has and maintains a rating as
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GFF
stated above indemnifies Allianz Global High Payout Fund against losses
suffered as a result of the counterpartys failure.
5.5
Where Allianz Global High Payout Funds manager engages in securities lending
and repurchase transactions with any of its related corporations, Allianz Global
High Payout Funds manager should have effective arrangements in place to
manage potential conflicts of interest.
5.6
The agreement between Allianz Global High Payout Fund and the counterparty,
either directly or through its agent, should require the counterparty to provide
additional collateral to Allianz Global High Payout Fund or its agent no later than
the close of the next business day if the current value of the eligible collateral
tendered is insufficient.
5.7
5.8
The collateral should meet the following requirements:

a)
b)
it is liquid;
c)
it exceeds the value of the transferable securities or money market

instruments transferred;
d)

herein;
e)
f)
it is held by a custodian or agent which is:

i)

ii)
g)

counterparty or agent and their related corporations;
h)
it can be fully enforced by Allianz Global High Payout Funds trustee at any
time;
i)
j)
For the purposes of securities lending and repurchase transactions, collateral may
only consist of:
a)
cash;
b)
c)
bonds.
157

5.9
GFF
issued by, or have the benefit of a guarantee from, an entity or trust that has a
gradations therein) (collectively, eligible collateral).
5.10 Notwithstanding paragraph 5.8, securitised debt instruments as well as money

as collateral.
Settlement
5.11 Allianz Global High Payout Fund or its agent should receive eligible collateral
before, or simultaneously with, the transfer of ownership of the transferable
securities lent.
5.12 Upon termination of the securities lending or repurchase transaction, the eligible
collateral may be remitted by Allianz Global High Payout Fund or its agent after,
or simultaneously with the restitution of the transferable securities lent.
5.13 Collateral obtained in the form of cash by Allianz Global High Payout Fund or its
agent may be reinvested subject to the following requirements:
a)
b)
stated herein;
c)

i)

ii)
d)
the custodian, counterparty or agent and their related corporations;
e)
f)
Allianz Global High Payout Funds manager is reasonably satisfied that any
investment of cash collateral by Allianz Global High Payout Fund or its
agent, will enable Allianz Global High Payout Fund to meet its redemption
obligations and other payment commitments.
5.15 Non-cash collateral obtained by Allianz Global High Payout Fund or its agent may
not be reinvested.
Liquidity
158
GFF
5.16 Allianz Global High Payout Funds manager should ensure that:
(h)
a)
the volume of securities lending or repurchase transactions is kept at an

appropriate level; and
b)
Allianz Global High Payout Fund or its agent is entitled to terminate the
securities lending or repurchase transaction and request the immediate return
of its transferable securities lent without penalty, in a manner which enables
Allianz Global High Payout Fund to meet its redemption obligations and
other payment commitments.
Borrowings
6.1
Allianz Global High Payout Fund may borrow, on a temporary basis, for the
purposes of meeting redemptions and bridging requirements.
6.2
Allianz Global High Payout Fund may only borrow from banks licensed under
Singapores Banking Act (Cap. 19), finance companies licensed under Singapores
institutions under section 28 of the Monetary Authority of Singapore Act (Cap.
186) or any other deposit-taking institution licensed under an equivalent law in a
foreign jurisdiction.
6.3
The borrowing period should not exceed one month.
6.4
Aggregate borrowings for the purposes of paragraph 6.1 should not exceed 10% of
Allianz Global High Payout Funds net asset value at the time the borrowing is
incurred.
Performance of Allianz Global High Payout Fund as at 30 April 2016

Performance
Year to date
1 year
3 years (Annualised)
Since inception (Annualised)
Allianz Global High

Payout Fund (%)
(3.46)
(2.18)
5.25
3.51
0.45
Benchmark (%)
(4.62)
(1.23)
6.54
5.34
0.80
Benchmark: 60% MSCI World + 40% Dividend Yield (MSCI World).

Source: Allianz Global Investors/IDS GmbH, as at 30 April 2016.
Fund performance is calculated in SGD on a NAV-to-NAV basis with gross dividends reinvested.
159

3.14
ATRF
INFORMATION ON RHB ASIAN TOTAL RETURN FUND

To provide stable current income and capital appreciation by investing in debt securities issued
by Asian corporations, financial institutions, governments and their agencies (including money
market instruments)1. The Asian countries include but are not limited to Singapore, Malaysia,
Thailand, Indonesia, Philippines, Hong Kong SAR, South Korea, Taiwan, China, Australia,
New Zealand and Japan.
1
The Fund is a feeder fund that will invest principally in the United Asian Bond Fund, which is
a collective investment scheme domiciled in Singapore investing in debt securities issued by
Asian corporations, Asian financial institutions, Asian government and their agencies
(including money market instruments) by generally maintaining an exposure of at least 70%
and above in such debt securities.
At least 95% of NAV will be invested in a target fund i.e. the United Asian Bond Fund.
Up to 5% of NAV will be invested in liquid assets to provide for liquidity purpose.
The Fund is a feeder fund that will invest principally in a target fund i.e. the United Asian Bond
Fund launched on 8 March 2000 (SGD class). The United Asian Bond Fund is a collective
investment scheme domiciled in Singapore investing in debt securities issued by Asian
corporations, Asian financial institutions, Asian government and their agencies (including
money market instruments) by generally maintaining an exposure of at least 70% and above in
such debt securities.
The Manager may take temporary defensive positions that may be inconsistent with Funds
conditions. In such circumstances, the Manager may reallocate up to 100% of the Funds
investments into other asset classes such as money market instruments, cash and deposits with
licensed financial institutions, which are defensive in nature. In the event that the Manager
reallocate up to 100% of the Funds investments into other asset classes such as money market
instruments, cash and deposits with licensed financial institutions, the Fund will no longer be
able to track the performance of the United Asian Bond Fund, as the Fund is not invested into
the United Asian Bond Fund.
As such, there would be a risk of underperformance of the Fund, should the United Asian Bond
Fund outperform the market during the period where the Fund is not invested into the United
Asian Bond Fund.
In addition, the Manager may take foreign exchange hedge positions in order to mitigate
currency exposure that may erode the Funds returns.
Notwithstanding the above, the Manager may, in consultation with the Trustee, replace the
United Asian Bond Fund with another collective investment scheme with a similar objective if,
in the Managers opinion, the United Asian Bond Fund no longer meets the Funds investment
objective, or when acting in the interest of the Unit Holders. However, Unit Holders approval
must be obtained.
160
ATRF
The Manager adopts the following forms of risk management strategies to mitigate the risk
inherent to the Fund:
The investment shall be monitored daily with regards to the investments position in
relation to sector exposure, investment restrictions, etc. As some of the risks involved are
inherent and may not be within the direct control of the Manager, it may not be possible
to completely hedge all risks. The Manager shall however then take prudent and
reasonable steps to anticipate foreseeable risks and to minimize potential loss to Unit
Holders.
The Manager may exercise economic acumen by utilizing a network of research and
information providers to provide foresight on international and local developments,
which can impact investments. Such information will give the Manager lead-time to realign the investment, if required.
Temporary defensive measures

These can be undertaken upon consultation with the investment committee of the Fund
and may include holding a high level of cash over investments in the United Asian Bond
Fund. The Manager also reserves the right to seek an alternative investment manager
and/or other collective investment scheme if the United Asian Bond Fund is inconsistent
with the objective of the Fund, with approval of the Unit Holders.
The performance of this Fund is benchmarked against JP Morgan Asia Credit Index Total
Return Composite. Unit Holders can obtain information on the JP Morgan Asia Credit Index
Total Return Composite from the Manager upon request.
The Fund may invest in local or foreign collective investment schemes (including exchange
traded funds), financial derivatives, liquid assets and any other investment permitted by the
3.14.4 Information on United Asian Bond Fund
(a)
About United Asian Bond Fund

The United Asian Bond Fund is constituted in Singapore and is an authorised scheme
under the Securities and Futures Act (Chapter 289) of Singapore by the Monetary
Authority of Singapore. The United Asian Bond Fund is a sub-fund under an umbrella
fund, the United Choice Portfolios. The United Asian Bond Fund is currently offered as a
stand-alone open ended non specialised unit trust established under the umbrella fund
known as United Choice Portfolios and has no fixed duration.
(b)
About the Manager of United Asian Bond Fund

The manager of the United Asian Bond Fund is UOB Asset Management Ltd
(UOBAM), whose registered office is at 80 Raffles Place, UOB Plaza, Singapore
048624. UOBAM is a wholly-owned subsidiary of United Overseas Bank Limited
(UOB Ltd). Established in 1986, UOBAM has been managing collective investment
schemes and discretionary funds in Singapore for over 30 years. UOBAM is licensed and
regulated by the Monetary Authority of Singapore under the Securities and Futures Act
(Chapter 289), Singapore. UOBAM has an extensive presence in Asia with regional
business and investment offices in Malaysia, Thailand, Brunei, Taiwan and Japan.
UOBAM has two joint ventures: Ping An UOB Fund Management Company Ltd and
161
ATRF
UOB-SM Asset Management Pte Ltd. In addition, UOBAM also has a strategic alliance
with UTI International (Singapore) Private Limited.
Through its network of offices, UOBAM offers global investment management expertise
to institutions, corporations and individuals through customised portfolio management
services and unit trusts. As at the Latest Practicable Date, UOBAM manages 59 unit
trusts in Singapore.
As at the Latest Practicable Date, UOBAM and its subsidiaries in the region have a staff
strength of over 300 including about 50 investment professionals in Singapore.
(c)
Investment Objective
The United Asian Bond Fund seeks to provide stable current income and capital
appreciation by investing in debt securities issued by Asian corporations, financial
institutions, governments and their agencies (including money markets instruments). The
Asian countries which the United Asian Bond Fund will invest in include but are not
limited to Singapore, Malaysia, Thailand, Indonesia, Philippines, Hong Kong SAR,
South Korea, Taiwan, China, Australia, New Zealand and Japan.
(d)
Investment Focus and Approach

The United Asian Bond Fund will primarily invest in debt securities issued by Asian
corporations, Asian financial institutions and Asian governments and their agencies
(including money market instruments) by generally maintaining an exposure of at least
70% and above in such debt securities.
The United Asian Bond Fund is actively managed with a focus on yield at an acceptable
risk premium. There is no bias towards sovereign or corporate bonds. The emphasis is on
the credit spread as the main source of incremental returns. Credit analysis and credit
diversification by the manager of the United Asian Bond Fund are important as a source
of added value and to reduce unsystematic risks inherent in such investment respectively.
The investment style of the manager of the United Asian Bond Fund is based on the
probability of credit upgrades and the extent to which the pricing has been reflected in the
credit in question. The United Asian Bond Funds portfolio of investments will be
reviewed regularly so as to enable the United Asian Bond Fund to switch out of
overvalued securities to undervalued securities. A long term view is taken when assessing
an investment opportunity. At the same time, the manager of the United Asian Bond
Fund recognises that some of the Asian markets are subject to greater volatility than
developed markets and may therefore require a greater level of trading than originally
envisaged. The policy of the manager of the United Asian Bond Fund generally is to have
the United Asian Bond Fund fully invested save where there is overwhelming evidence to
suggest that markets are excessively overvalued.
(e)
Limit of Repurchase and Suspension of Dealings of the United Asian Bond Fund
The manager of the United Asian Bond Fund may, with the approval of the United Asian
Bond Funds trustee and subject to the provisions of the United Asian Bond Funds deed,
limit the total number of units of the United Asian Bond Fund to be realized by the Fund
or cancelled by the manager of the United Asian Bond Fund on any dealing day of the
United Asian Bond Fund up to 10% of the total number of units of the United Asian
Bond Fund then in issue. Such limitation will be applied pro rata to the manager of the
United Asian Bond Fund and all unit holders of the United Asian Bond Fund who have
validly requested realisation on such dealing day of the United Asian Bond Fund.
162
ATRF
The United Asian Bond Funds manager may at any time, with the prior written approval
of the United Asian Bond Funds trustee, suspend the right of unit holders to the issuance
and realisation of units of the United Asian Bond Fund:
(i)
during any period when any recognised stock exchange for any material proportion
of the investments for the time being constituting the deposited property of the
United Asian Bond Fund is closed (otherwise than for ordinary holidays); or
(ii)
during any period when dealings on any such recognised stock exchange are
restricted or suspended; or
(iii)
during any period when, in the opinion of the United Asian Bond Funds manager,
there exists any state of affairs as a result of which withdrawal of deposits held for
the account of the United Asian Bond Fund or the realisation of any material
proportion (where the proportion of the investments which when sold would in the
opinion of the United Asian Bond Funds manager in consultation with its trustee
cause the value of the deposited property to be significantly reduced) of the
investments for the time being constituting the deposited property of the United
Asian Bond Fund cannot be effected normally or without seriously prejudicing the
interests of unit holders as a whole; or
(iv)
during any period when in the opinion of the United Asian Bond Funds manager,
there is a breakdown in the means of communication normally employed in
determining the value of any of the investments or the amount of any cash for the
time being comprised in the deposited property of the United Asian Bond Fund or
the amount of any liability of the United Asian Bond Funds trustee for account of
the United Asian Bond Fund or when for any other reason the value of any such
investments or the amount of any such cash or liability cannot be promptly and
accurately ascertained (including any period when the fair value of a material
portion of the authorised investments of the United Asian Bond Fund cannot be
determined); or
(v)
during any period when, in the opinion of the United Asian Bond Funds manager,
the transfer of funds which will or may be involved in the realisation of any
material proportion of the investments for the time being constituting the deposited
property of the United Asian Bond Fund cannot be effected promptly at normal
rates of exchange; or
(vi)
if during any particular day the requests for realisation of units exceed 10% of the
units of the United Asian Bond Fund in issue and deemed to be in issue; or
(vii) during any 48 hour period (or such longer period as may be agreed between the
United Asian Bond Funds manager and the United Asian Bond Funds trustee)
prior to the date of any meeting of unit holders of the United Asian Bond Fund (or
any adjourned meeting thereof); or
(viii) during any period when the dealing of units of the United Asian Bond Fund is
suspended pursuant to any order or direction issued by the relevant authority; or
(ix)
during any period when the business operations of the manager of the United
Asian Bond Fund or the United Asian Bond Funds trustee in relation to the
operations of the United Asian Bond Fund are substantially interrupted or closed as
a result of or arising from pestilence, acts of war, terrorism, insurrection,
revolution, civil unrest, riots, strikes or acts of God; or
163

(x)
ATRF
such circumstances as may be required under the provisions of the Code on

Collective Investment Schemes issued by the Monetary Authority of Singapore
(Code).
Any payment for any units of United Asian Bond Fund realised before the
commencement of any such suspension which has not been paid before the
commencement thereof may, if the United Asian Bond Funds manager and the United
Asian Bond Funds trustee agree, be deferred until immediately after the end of such
suspension.
(f)
Authorised Investments of United Asian Bond Fund

The authorised investments of United Asian Bond Fund are subject to the Code on
Collective Investment Schemes issued by the Monetary Authority of Singapore (Code).
The Code was issued on 23 May 2002 and last revised on 14 July 2015.
1
Permissible Investments
1.1
The United Asian Bond Funds underlying investments may only consist of the
following permissible investments:
a)
b)
c)
eligible deposits;
d)
units in other schemes;
e)
financial derivatives; and
f)
quoted and have not been approved for listing for quotation or quotation on
an organised exchange.
organised exchange refers to an exchange that is an organised market;

organised market refers to an exchange, over-the-counter market or government
securities market:
1.2
(i)
that is of good repute;
(ii)
that is open to the public or a substantial number of market participants; and
(iii)
on which financial instruments are regularly traded.
For the purpose of paragraph 1.1,

a)
transferable securities refer to:

i)
shares or securities equivalent to shares; and
ii)
bonds or other securitised debt instruments,
that meet the requirements of paragraph 1.3 but do not include:

A)
164

B)
b)
ATRF
any security the title to which cannot be transferred or can be

transferred only with the consent of a third party.
eligible deposits refer to deposits with banks licensed under Singapores

Banking Act (Cap. 19), finance companies licensed under Singapores
institutions under section 28 of the Monetary Authority of Singapore Act
(Cap. 186) or any other deposit-taking institution licensed under an
equivalent law in a foreign jurisdiction.
Requirements of transferable securities

1.3
Transferable securities shall meet the following requirements:

a)
the maximum potential loss which may be incurred as a result of the

investment is limited to the amount paid for it;
b)
the investment is liquid;
c)
the investment is subject to reliable and verifiable valuation on a daily

basis; and
d)
there is appropriate information available to the market on the investment

or, where relevant, on the portfolio.
Note
In determining whether information on a transferable security is appropriate,
United Asian Bond Funds manager should consider if the information available
on the market is regular and accurate, as well as sufficient to analyse the
investment. For example, reliance on annual or financial reports is acceptable if
United Asian Bond Funds manager is of the view that it is appropriate.
1.4
The United Asian Bond Fund may invest in other schemes only if the underlying
scheme is:
a)
Note
Notwithstanding paragraph 1.4(a), United Asian Bond Fund shall not invest in an
underlying scheme which is a hedge fund or fund-of-hedge funds even if the
underlying scheme complies with the Codes Investments Guidelines for Hedge
Funds.
b)
a scheme which:
i)

ii)

substantially similar to those set out in the relevant investment
guidelines under the Code; and
financial supervisory authority; or
iii)
165
c)
ATRF

estate, meets the requirements set out in paragraph 1.3(a) to (d) and, for the
purposes of this paragraph, the units in the scheme are listed for quotation
and traded on an organised exchange.
Note
persons defined in section 305(5) of Singapores Securities & Futures Act
(Chapter 289) may be acceptable as underlying investments if they can meet the
conditions in paragraph 1.4 (b) or (c).
1.5
United Asian Bond Fund may feed substantially into an underlying fund-of-funds
but the underlying fund-of-funds should invest in other schemes directly and not
through another fund-of-funds.
1.6

a)
the underlying consists of instruments referred to in paragraph 1.1,

commodities*, indices which meet the requirements in the Code pertaining
to index funds, interest rates, foreign exchange rates or currencies. In the
case of financial derivatives on commodities*, such transactions should be
settled in cash at all times. The United Asian Bond Funds manager should
also undertake in the trust deed of United Asian Bond Fund to settle such
transactions in cash and disclose that fact in the United Asian Bond Funds
prospectus;
b)
c)

d)
the financial derivatives should not result in the delivery of investments

other than those described in paragraph 1.1(a) to (f).
*Note: United Asian Bond Fund does not participate or invest in

1.7
paragraph 1.6 (c) refers to:
a)
a valuation made by the United Asian Bond Funds manager based on a

current market value; or
b)

independent party.
The valuation by the United Asian Bond Funds manager should not be based
solely on a valuation provided by the counterparty to the transaction.
166
ATRF
Note
The party who carries out the verification should be independent of the
counterparty as well as the party responsible for the fund management function of
the United Asian Bond Fund.
(g)
Investment limits and restrictions of United Asian Bond Fund

The investment limits and restrictions of United Asian Bond Fund subject to the Code on
Collective Investment Schemes issued by the Monetary Authority of Singapore (Code).
The Code was issued on 23 May 2002 and last revised on 14 July 2015.
1
Spread of Investments
Single entity limit and group limit
1.1
United Asian Bond Fund should comply with the following limits:
a)
Investments in:
i)
transferable securities; or
ii)
money market instruments
issued by a single entity should not exceed 10% of United Asian Bond
Funds net asset value (single entity limit).
b)
Aggregate investments in, or exposures to, a group of entities through:

i)
ii)
iii)
eligible deposits; and
iv)
counterparty risk exposures arising from the use of over-the-counter

(OTC) financial derivatives
should not exceed 20% of United Asian Bond Funds net asset value
(group limit). For the purposes of this paragraph, a group of entities refers
to an entity, its subsidiaries, fellow subsidiaries and its holding company.
Note
Investment in transferable securities and money market instruments issued by
a trust should be included in the single entity limit and group limit. The group
of entities referred to in the group limit also applies to aggregate investments
in, or exposures to, special purpose vehicle (SPVs) where the substance of the
relationship between a sponsor and its SPV, determined in accordance with
the Interpretation of Financial Reporting Standard 12, indicates that the SPV
is controlled by that sponsor.
Short-term deposits
1.2
The group limit does not apply to placements of eligible deposits arising from:
a)
subscription monies received at any point in time pending the

commencement of investment by United Asian Bond Fund; or
167

b)
ATRF
liquidation of investments prior to the termination or maturity of United

Asian Bond Fund, where the placing of these monies with various
institutions would not be in the interests of participants.
Government and other public debt securities/money market instruments

1.3
The single entity limit of 10% may be raised to 35% of United Asian Bond Funds
net asset value where:
a)
government, government agency or supranational, that has a minimum longterm rating of BBB by Fitch Ratings, Baa by Moodys Investors Service or
BBB by Standard and Poors Ratings Services (including such subcategories or gradations therein); and
b)
not more than 20% of United Asian Bond Funds net asset value may be
invested in any single issue of transferable securities or money market
instruments by the same entity or trust.
1.4

guarantor, the single entity limit should revert to 10%.
1.5
The single entity limit of 10% does not apply where:
1.6
a)
government, government agency or supranational, that has a minimum longterm rating of AA by Fitch Ratings, Aa by Moodys Investors Service or AA
by Standard and Poors Ratings Services (including such sub-categories or
gradations therein); and
b)
not more than 20% of United Asian Bond Funds net asset value may be
invested in any single issue of transferable securities or money market
instruments by the same entity or trust.

guarantor, the single entity limit as specified in paragraph 1.1 (a) or 1.3, as the case
may be, should apply accordingly.
Unrated and non-investment grade corporate debt securities
1.7
1.8
The single entity limit of 10% in paragraph 1.1 (a) for bonds and other securitised
debt instruments is lowered to 5% of United Asian Bond Funds net asset value if
the issuing entity or trust:
a)
is not rated; or
b)
has a long-term rating below that of BBB by Fitch Ratings, Baa by Moodys
Investors Service or BBB by Standard and Poors Ratings Services
(including such sub-categories or gradations therein).
Notwithstanding paragraph 1.7 (a), United Asian Bond Funds manager may rely
on:
a)
the rating of an unrated issuers parent company provided that an explicit

guarantee by the parent company for the issuer is in place; or
168
b)
ATRF
its internal rating of an unrated issuer if United Asian Bond Funds manager
has satisfied United Asian Bond Funds trustee that its internal rating is
comparable to a rating issued by Fitch Ratings, Moodys Investors Service
or Standard & Poors Ratings Services.
Commodity-backed debt securities

1.9
United Asian Bond Fund may invest in debt securities that are undated, secured by
physical commodities, listed for quotation and traded on an organised exchange,
subject to the limit in paragraph 1.12.
Investment in other schemes
1.10 United Asian Bond Fund may invest in other schemes only if the underlying
scheme is:
a)

Note
United Asian Bond Fund shall not invest in an underlying scheme which is a
hedge fund or fund-of-hedge funds even if the underlying scheme complies
with the Codes Investments Guidelines for Hedge Funds.
b)
c)
a scheme which:
i)

ii)

substantially similar to those set out in the relevant appendices under
the Code; and
iii)

financial supervisory authority;

estate, meets the Codes requirements of transferable securities (see
paragraph 1.3 of the Authorised Investments of United Asian Bond Fund)
and, for the purposes of this paragraph, the units in the scheme are listed for
quotation and traded on an organised exchange.
Note
persons defined in section 305(5) of Singapores Securities & Futures Act (Chapter
289) may be acceptable as underlying investments if they can meet the conditions
in the above paragraph b) and c).
1.11 Investments in an underlying scheme which does not satisfy paragraph 1.10 (a) or
(b) but satisfies:
a)
paragraph 1.10 (c) and is invested in permissible investments or real estate

should not exceed 10% of United Asian Bond Funds net asset value; or
169

b)
ATRF
paragraph 1.10 (c) and is invested directly in commodities is subject to the

limit in paragraph 1.12.
Alternative exposure limit

1.12 Investments in:
a)
quoted, and have not been approved for listing for quotation or quotation, on
an organised exchange;
b)
debt securities which are undated, secured by physical commodities, listed

for quotation and traded on an organised exchange; and
c)
underlying schemes which do not satisfy paragraph 1.10 (a) or (b) but satisfy
paragraph 1.10 (c) and are invested directly in commodities,
are subject to an aggregate limit of 10% of United Asian Bond Funds net asset
value.
Concentration limit
1.13 United Asian Bond Fund should not invest in more than:
a)
10% of the total outstanding shares, or securities equivalent to shares, of any

single entity or trust;
b)
10% of each individual issuance of debt securities of any single issuing

entity or trust, where such issuance is not part of a debt issuance
programme; or where debt securities are issued under a debt issuance
programme, 20% of each tranche, subject to a limit of 10% of the overall
programme size; and
c)
10% of the money market instruments of a single issuing entity or trust.
Global Exposure
2.1
The global exposure of United Asian Bond Fund to financial derivatives or

embedded financial derivatives should not exceed 100% of its net asset value at all
times.
2.2
United Asian Bond Funds manager should calculate the global exposure of United
Asian Bond Funds based on the:
a)
Commitment approach under the Code; or
b)
Value at risk (VaR) Approach (including any other variants of the VaR
Approach) under the Code, subject to prior consultation with the Monetary
Authority of Singapore (Authority).
Commitment Approach
2.3
The global exposure of United Asian Bond Fund is calculated as the sum of:
a)
the absolute value of the exposure of each individual financial derivative not
involved in netting or hedging arrangements;
170
ATRF
b)
the absolute value of the net exposure of each individual financial derivative
after netting or hedging arrangements; and
c)
the sum of the values of cash collateral received pursuant to:

i)
the reduction of exposure to counterparties of OTC financial

derivatives; and
ii)
efficient portfolio management techniques relating to securities

lending and repurchase transactions,
and that are reinvested.

Netting arrangements
2.4
Netting arrangements may be taken into account to reduce United Asian Bond
Funds exposure to financial derivatives.
2.5
United Asian Bond Fund may net positions between:

a)
financial derivatives on the same underlying assets, even if the maturity

dates are different; or
b)
financial derivatives and the same corresponding underlying asset, if those

underlying assets are transferable securities, money market instruments or
units in other schemes.
Hedging arrangements
2.6
Hedging arrangements may be taken into account to reduce United Asian Bond
Funds exposure to financial derivatives.
2.7
The marked-to-market value of transferable securities, money market instruments

or units in schemes involved in hedging arrangements may be taken into account to
reduce United Asian Bond Funds exposure to financial derivatives.
2.8
For the purposes of the above paragraphs 2.6 and 2.7, the hedging arrangement
should:
2.9
a)
not be aimed at generating a return;
b)
result in an overall verifiable reduction of the risk of United Asian Bond

Fund;
c)
offset the general and specific risks linked to the underlying being hedged;
d)
relate to the same asset class being hedged; and
e)
be able to meet its hedging objective in all market conditions.
Notwithstanding paragraph 2.8, financial derivatives used for the purposes of

hedging currency exposure may be netted when calculating the global exposure.
Exposure arising from reinvestment of cash collateral
2.10 If United Asian Bond Fund reinvests cash collateral received from counterparties
171
ATRF
of OTC financial derivatives, securities lending or repurchase transactions to

generate a return in excess of high quality 3-month government bonds, it should
include in its global exposure calculations the cash amount reinvested.
VaR Approach or its variants
2.11 United Asian Bond Funds manager may apply to the Authority to use the VaR
Approach or its variants to calculate the global exposure of United Asian Bond
Fund instead of the commitment approach (paragraph 2.3).
2.12 The global exposure of United Asian Bond Fund should also take into account
exposures arising from the reinvestment of cash collateral.
2.13 United Asian Bond Funds manager should comply with the guidelines in the Code
on alternative approach for calculating global exposure VaR Approach.
3
Use of Financial Derivatives

a)
The underlying consists of instruments referred to in paragraph 1.1 of the

Authorised Investments of United Asian Bond Fund, commodities*, indices
which meets the requirements in the Code pertaining to index funds, interest
rates, foreign exchange rates or currencies. In the case of financial
derivatives on commodities*, such transactions shall be settled in cash at all
times;
b)
c)

d)
the financial derivatives shall not result in the delivery of investments other
than permissible investments under the Code.
*Note: United Asian Bond Fund does not participate or invest in

the above paragraph (c) refers to:
a)
a valuation made by United Asian Bond Funds manager based on a current

market value; or
b)

independent party.
The valuation by United Asian Bond Funds manager should not be based solely
on a valuation provided by the counterparty to the transaction.
172
ATRF
Spread of underlying assets

3.1
The exposure of United Asian Bond Fund to the underlying assets of financial
derivatives should be sufficiently diversified on a portfolio basis.
3.2
In the case where the underlying assets are transferable securities, money market
instruments, eligible deposits or units in other schemes, the limits in the paragraphs
under item 1 stated herein, except for the concentration limits, apply on a portfolio
basis.
Embedded financial derivatives
3.3
Where a transferable security or money market instrument embeds a financial

derivative, the requirements in the paragraphs under item 2 and 3 stated herein
apply to the embedded financial derivative.
3.4
Where the counterparty risk of the embedded derivative is or may be transferred to

United Asian Bond Fund, the requirements in the paragraphs under item 4 stated
herein also apply to the embedded financial derivative.
3.5
A transferable security or money market instrument is considered to be embedding

a financial derivative if it contains a component which fulfils the following criteria:
a)
the component results in some or all of the cash flows that otherwise would
be required by the transferable security or money market instrument which
functions as host contract to be modified according to a variable including
but not limited to a specified interest rate, price of a financial instrument,
foreign exchange rate, index of prices or rates, credit rating or credit index,
and therefore vary in a way similar to a stand-alone financial derivative;
b)
the components economic characteristics and risks are not closely related
to the economic characteristics and risks of the host contract; and
c)
the component has a significant impact on the risk profile and pricing of the
transferable security or money market instrument.
3.6
A transferable security or a money market instrument should not be regarded as

embedding a financial derivative where it contains a component which is
contractually transferable independently of the transferable security or the money
market instrument. Such a component should be deemed to be a separate financial
instrument.
3.7
Where an instrument is structured as an alternative to an OTC financial derivative

or tailor-made to meet the specific needs of United Asian Bond Fund, the
instrument should be deemed as embedding a financial derivative.
Cover
3.8
A transaction in financial derivatives which gives rise, or may give rise, to a future
commitment on behalf of United Asian Bond Fund should be covered as follows:
a)
in the case of financial derivatives which will, or may at the option of United
Asian Bond Fund, be cash settled, United Asian Bond Fund should hold, at
all times, liquid assets sufficient to cover the exposure;
b)
in the case of financial derivatives which will, or may at the option of the
counterparty, require physical delivery of the underlying assets, United
173
ATRF
Asian Bond Fund should hold the underlying assets in sufficient quantities
to meet the delivery obligation at all times. If United Asian Bond Funds
manager deems the underlying assets to be sufficiently liquid, United Asian
Bond Fund may hold as coverage other liquid assets in sufficient quantities,
provided that such alternative assets may be readily converted into the
underlying asset at any time to meet the delivery obligation.
4
Counterparty of Financial Derivatives

OTC financial derivatives
4.1
The counterparty of an OTC financial derivative should be subject to prudential

supervision by a financial supervisory authority in its home jurisdiction.
4.2
Subject to the group limit in paragraph 1.1, the maximum exposure of United
Asian Bond Fund to the counterparty of an OTC financial derivative may not
exceed:
a)
in the case of an eligible financial institution described in paragraph 4.3,

10% of United Asian Bond Funds net asset value; or
b)
in any other case, 5% of United Asian Bond Funds net asset value
(counterparty limits).
4.3
For the purpose of paragraph 4.2, an eligible financial institution should have a
gradations therein). Alternatively, where the financial institution is not rated,
United Asian Bond Fund should have the benefit of a guarantee by an entity which
has a long-term rating of A (including sub-categories or gradations therein).
4.4
The exposure to a counterparty of an OTC financial derivative should be measured

based on the maximum potential loss that may be incurred by United Asian Bond
Fund if the counterparty defaults and not on the basis of the notional value of the
OTC financial derivative.
4.5
The exposure to a counterparty may be construed as being lower if collateral is

tendered to United Asian Bond Fund. The collateral should meet the following
requirements:
a)
b)
it is liquid;
c)

herein;
d)
e)
it is held by a custodian which is:

i)

174
ii)
4.6
ATRF
f)

counterparty and their related corporations;
g)
it can be fully enforced by United Asian Bond Funds trustee at any time;
h)
i)
Collateral may only consist of:

a)
cash;
b)
c)
bonds.
4.7
issued by, or have the benefit of a guarantee from, a government, government
agency or supranational, that has a long-term rating of AAA by Fitch Ratings, Aaa
by Moodys Investors Service or AAA by Standard and Poors Ratings Services
(including sub-categories or gradations therein).
4.8
Notwithstanding paragraph 4.6, securitised debt instruments as well as money

as collateral.
4.9
United Asian Bond Funds manager should ensure that it has the appropriate legal
expertise to put in place proper collateral arrangements, as well as appropriate
systems and operational capabilities for proper collateral management.
4.10 Additional collateral should be provided to United Asian Bond Fund no later than
the close of the next business day if the current value of the collateral tendered is
insufficient to satisfy the counterparty limits in paragraph 4.2.
4.11 Collateral obtained in the form of cash by United Asian Bond Fund may be
reinvested subject to the following requirements:
a)
b)
stated herein;
c)

i)

ii)
175
ATRF
d)
the custodian, counterparty and their related corporations;
e)
f)
United Asian Bond Funds manager is reasonably satisfied that any

investment of cash collateral by the United Asian Bond Fund will enable
United Asian Bond Fund to meet its redemption obligations and other
payment commitments.
4.13 Non-cash collateral obtained by United Asian Bond Fund may not be reinvested.
Recognition of netting
4.14 United Asian Bond Fund may net its OTC financial derivative positions with the
same counterparty through bilateral contracts for novation or other bilateral
agreements between United Asian Bond Fund and its counterparty provided that
such netting arrangements satisfy the following conditions:
a)
in the case of a bilateral contract for novation, mutual claims and obligations
are automatically amalgamated in such a way that this novation fixes one
single net amount each time novation applies and thus creates a legally
binding, single new contract extinguishing former contracts;
b)
United Asian Bond Fund has a netting arrangement with its counterparty
which creates a single legal obligation, covering all included transactions,
such that, in the event of the counterparty's failure to perform owing to
default, bankruptcy, liquidation or any other similar circumstance, United
Asian Bond Fund would have a claim to receive or an obligation to pay only
the net sum of the positive and negative mark-to-market values of the
individual included transactions;
c)
United Asian Bond Funds manager obtains written and reasoned legal
opinions to the effect that, the netting arrangement is legally enforceable by
United Asian Bond Fund against its counterparty, and in particular, in the
event of a legal challenge, the relevant courts and administrative authorities
would find that United Asian Bond Funds claims and obligations would be
limited to the net sum, as described in the above paragraph 4.14 (b), under:
d)
i)
the law of the jurisdiction in which the counterparty is incorporated

and, if a foreign branch of an entity is involved, also under the law of
the jurisdiction in which the branch is located;
ii)
the law that governs the individual included transactions; and
iii)
the law that governs the netting agreement;
United Asian Bond Funds manager has procedures in place to ensure that
the legal validity of the netting arrangement is kept under review in the light
of possible changes in the relevant laws; and
176

e)
ATRF
United Asian Bond Funds manager is reasonably satisfied that the netting
arrangement is legally valid under the law of each of the relevant
jurisdictions.
Efficient Portfolio Management (EPM) Techniques

Securities lending and repurchase transactions
5.1
United Asian Bond Fund may carry out the following activities for the sole
purpose of EPM:
a)
b)
5.2
5.3
securities lending; and

repurchase transactions.
United Asian Bond Fund may lend transferable securities and money market
instruments:
a)
directly;
b)
through a standardised lending system facilitated by a clearing house which

performs a central counterparty role; or
c)
through securities lending agents, who are recognised as specialists in

securities lending.
Securities lending and repurchase transactions should be effected in accordance

with good market practice.
Counterparty
5.4
The counterparty to a securities lending agreement or repurchase transaction

should:
a)
be a financial institution subject to prudential supervision by a financial

b)
have a minimum long-term rating of A by Moodys Investors Service, A by

Standard and Poors Ratings Services or A by Fitch Ratings (including subcategories or gradations therein). Alternatively, where the counterparty is
not rated, it is acceptable if an entity which has and maintains a rating as
stated above indemnifies United Asian Bond Fund against losses suffered as
a result of the counterpartys failure.
5.5
Where United Asian Bond Funds manager engages in securities lending and
repurchase transactions with any of its related corporations, United Asian Bond
Funds manager should have effective arrangements in place to manage potential
conflicts of interest.
5.6
The agreement between United Asian Bond Fund and the counterparty, either
directly or through its agent, should require the counterparty to provide additional
collateral to United Asian Bond Fund or its agent no later than the close of the next
business day if the current value of the eligible collateral tendered is insufficient.
177
ATRF
5.7
5.8
5.9
The collateral should meet the following requirements:

a)
b)
it is liquid;
c)
it exceeds the value of the transferable securities or money market

instruments transferred;
d)

herein;
e)
f)
it is held by a custodian or agent which is:

i)

ii)
g)

counterparty or agent and their related corporations;
h)
it can be fully enforced by United Asian Bond Funds trustee at any time;
i)
j)
For the purposes of securities lending and repurchase transactions, collateral may
only consist of:
a)
cash;
b)
c)
bonds.
issued by, or have the benefit of a guarantee from, an entity or trust that has a
or A by Standard and Poors Ratings Service (including sub-categories or
gradations therein) (collectively, eligible collateral).
5.10 Notwithstanding paragraph 5.8, securitised debt instruments as well as money

as collateral.
Settlement
5.11 United Asian Bond Fund or its agent should receive eligible collateral before, or
simultaneously with, the transfer of ownership of the transferable securities lent.
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ATRF
5.12 Upon termination of the securities lending or repurchase transaction, the eligible
collateral may be remitted by United Asian Bond Fund or its agent after, or
simultaneously with the restitution of the transferable securities lent.
5.13 Collateral obtained in the form of cash by United Asian Bond Fund or its agent
may be reinvested subject to the following requirements:
a)
b)
stated herein;
c)

i)

ii)
d)
the custodian, counterparty or agent and their related corporations;
e)
f)
United Asian Bond Funds manager is reasonably satisfied that any

investment of cash collateral by United Asian Bond Fund or its agent, will
enable United Asian Bond Fund to meet its redemption obligations and other
5.15 Non-cash collateral obtained by United Asian Bond Fund or its agent may not be
reinvested.
Liquidity
5.16 United Asian Bond Funds manager should ensure that:
a)
the volume of securities lending or repurchase transactions is kept at an

appropriate level; and
b)
United Asian Bond Fund or its agent is entitled to terminate the securities
lending or repurchase transaction and request the immediate return of its
transferable securities lent without penalty, in a manner which enables
United Asian Bond Fund to meet its redemption obligations and other
Borrowings
6.1
United Asian Bond Fund may borrow, on a temporary basis, for the purposes of
meeting redemptions and bridging requirements.
179
(h)
ATRF
6.2
United Asian Bond Fund may only borrow from banks licensed under Singapores
Banking Act (Cap. 19), finance companies licensed under Singapores Finance
Companies Act (Cap. 108), merchant banks approved as financial institutions
under section 28 of the Monetary Authority of Singapore Act (Cap. 186) or any
other deposit-taking institution licensed under an equivalent law in a foreign
jurisdiction.
6.3
The borrowing period should not exceed one month.
6.4
Aggregate borrowings for the purposes of paragraph 6.1 should not exceed 10% of
United Asian Bond Funds net asset value at the time the borrowing is incurred.
Risk management procedures of the manager of United Asian Bond Fund relating
to the use of financial derivative instruments
(a)
United Asian Bond Fund may use or invest in financial derivative instruments for
the purposes of hedging existing positions in a portfolio, for efficient portfolio
management or a combination of both purposes. Where such instruments are
financial derivative instruments on commodities, such transactions shall be settled
in cash at all times.
(b)
The manager of United Asian Bond Fund will ensure that the global exposure of
United Asian Bond Fund to financial derivative instruments or embedded financial
derivatives instruments will not exceed 100% of the net asset value of the United
Asian Bond Fund at all times. Such exposure will be calculated using the
commitment approach as described in, and in accordance with the provisions of,
the Code on Collective Investment Schemes issued by the Monetary Authority of
Singapore (Code), as amended from time to time. United Asian Bond Fund may
net its over-the-counter financial derivative positions with a counterparty through
bilateral contracts for novation or other bilateral agreements with the counterparty,
provided that such netting arrangements satisfy the relevant conditions described in
the Code, and the manager of United Asian Bond Fund will obtain, or have
obtained (as applicable) the legal opinions as stipulated in the Code.
(c)
Description of risk management and compliance procedures and controls adopted

by the manager of United Asian Bond Fund:
(i)
The manager of United Asian Bond Fund will implement various procedures
and controls to manage the risk of the assets of United Asian Bond Fund.
The decision to invest in any particular security or instrument on behalf of
United Asian Bond Fund will be based on the judgment of the manager of
United Asian Bond Fund of the benefit of such transactions to the United
Asian Bond Fund and will be consistent with the United Asian Bond Funds
investment objective in terms of risk and return.
(ii)
Execution of trades. Prior to each trade, the manager of United Asian Bond
Fund will ensure that the intended trade will comply with the stated
investment objective, focus, approach and restrictions (if any) of United
Asian Bond Fund, and that best execution and fair allocation of trades are
done. The middle office department of the manager of United Asian Bond
Fund will conduct periodic checks to ensure compliance with the investment
objective, focus, approach and restrictions (if any) of United Asian Bond
Fund. If there is any non-compliance, the middle office of the manager of
United Asian Bond Fund is empowered to instruct the relevant officers to
rectify the same. Any non-compliance will be reported to higher
management and monitored for rectification.
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ATRF
(iii)
Liquidity. If there are any unexpectedly large redemption of units of the

United Asian Bond Fund, it is possible that the assets of the United Asian
Bond Fund may be forced to be liquidated at below their fair and expected
value, especially in illiquid public exchanges or over-the-counter markets.
The manager of United Asian Bond Fund will ensure that a sufficient
portion of United Asian Bond Fund will be in liquid assets such as cash and
cash equivalents to meet expected redemptions, net of new subscriptions.
(iv)
Counterparty exposure. United Asian Bond Fund may have credit exposure
to counterparties by virtue of positions in financial instruments (including
financial derivative instruments) held by the United Asian Bond Fund. To
the extent that a counterparty defaults on its obligations and United Asian
Bond Fund is delayed or prevented from exercising its rights with respect to
the investments in its portfolio, it may experience a decline in the value of
its assets, its income stream and incur extra costs associated with the
exercise of its financial rights. Subject to the provisions of the Code, the
manager of United Asian Bond Fund will restrict their dealings with
counterparties that have a minimum long-term issuer credit rating of above
BB+ by Standard and Poors Ratings Services, an individual rating of above
C or viability ratings of above bbb by Fitch Ratings, a baseline credit
assessment of the above a3 by Moodys Investors Service, or equivalent
rating from any other reputable rating agency. If any approved counterparty
fails this criterion subsequently, the manager of United Asian Bond Fund
will take steps to unwind the United Asian Bond Funds position with that
counterparty as soon as practicable.
(v)
Volatility. To the extent that United Asian Bond Fund has exposure to
financial derivative instruments that allow a larger amount of exposure to a
security for no or a smaller initial payment than the case when the
investment is made directly into the underlying security, the value of the
United Asian Bond Funds assets will have a higher degree of volatility.
United Asian Bond Fund may use financial derivative instruments for
hedging purposes for reducing the overall volatility of the value of its assets.
At the same time, the manager of United Asian Bond Fund will ensure that
the total exposure of United Asian Bond Fund to derivative positions will
not exceed the net asset value of the United Asian Bond Fund, as stated in
paragraph (b) above.
(vi)
Valuation. United Asian Bond Fund may have exposure to over-the-counter

financial derivative instruments that are difficult to value accurately,
particularly if there are complex positions involved. The manager of United
Asian Bond Fund will ensure that independent means of verifying the fair
value of such instruments are available, and will conduct such verification at
an appropriate frequency.
(vii) Foreign exchange/currency risk. United Asian Bond Fund may have
exposure, either directly or indirectly to a wide range of currencies, some of
which may be restricted in terms of convertibility. The manager of United
Asian Bond Fund may hedge the exposure to these currencies to the SGD
(or the base currency of United Asian Bond Fund), possibly leading to a
reduced overall gain or greater loss on currency swap transactions entered
into by the United Asian Bond Fund. United Asian Bond Fund may also
employ strategies to invest in certain currencies while borrowing in other
currencies, and may result in losses if the net movements of the various
currencies pairs move in unfavourable directions. The manager of United
Asian Bond Fund will select transactions in currencies that are likely to
181
ATRF
yield favourable returns to United Asian Bond Fund based on their historical
trends.
(d)
(i)
The manager of United Asian Bond Fund will ensure that the risk management and
compliance procedures and controls adopted are adequate and have been or will be
implemented and that they have the necessary expertise to control and manage the
risks relating to the use of financial derivative instruments. The manager of United
Asian Bond Fund may modify the risk management and compliance procedures
and controls as they deem fit and in the interests of United Asian Bond Fund, but
subject always to the requirements under the Code.
Performance of United Asian Bond Fund as at 30 April 2016

Performance
1 month
3 months
6 months
1 year
3 years
5 years
10 years
Since inception of United Asian
Bond Fund
NAV of United Asian

Bond Fund (%)
0.58
(2.72)
(1.40)
5.01
4.32
6.54
5.73
6.37
Benchmark (%)
0.58
(2.47)
(0.23)
(5.82)
7.14
7.97
5.36
6.45
Benchmark: Apr 00 Jul 03: JP Morgan Emerging Markets Bond Index Global
Constrained Asia;
Aug 03 Dec 06: JP Morgan Asia Bond Total Return Composite;
Jan 07 Present: JP Morgan Asia Credit Index Total Return Composite.
Source: Lipper, a Thomson Reuters Company, Bloomberg.
Performance of Class SGD as at 30 April 2016, SGD basis, with dividends and
distributions reinvested, if any. Performance figures for 1 month till 1 year show the
percentage change, while those exceeding 1 year show the average annual compounded
return.
182

3.15
USEF
INFORMATION ON RHB-GS US EQUITY FUND

The Funds objective is to seek to achieve long term capital appreciation through investment in
a collective investment scheme, which invests primarily in securities of United States of
America companies.
At least 95% of NAV will be invested in a target fund i.e. the Goldman Sachs US Equity
Portfolio.
Up to 5% of NAV will be in cash and cash equivalents.
The Fund will invest at least 95% of NAV in a target fund i.e. the Goldman Sachs US Equity
Portfolio, which invests primarily in a diversified portfolio of equities and equity-related
securities of companies domiciled in the United States of America, including companies that
derive the majority (i.e. more than 50%) proportion of their revenues or profits from the United
States of America.
The Manager may take temporary defensive positions that may be inconsistent with the Funds
conditions. In such circumstances, the Manager may attempt to cushion the portfolios
downside by reducing its exposure to the Goldman Sachs US Equity Portfolio and increasing its
exposure into risk free assets i.e. mainly cash. It follows therefore that there is a risk that the
Fund may not track the performance of the Goldman Sachs US Equity Portfolio.
If, in the opinion of the Manager, the Goldman Sachs US Equity Portfolio no longer meets the
Funds investment objective, and/or in acting in the best interests of Unit Holders, the Manager
may replace the Goldman Sachs US Equity Portfolio with that of another collective investment
scheme that is consistent with the objective of this Fund, subject always to the approval of the
Unit Holders.
The replacement of the Goldman Sachs US Equity Portfolio with another collective investment
scheme may be performed on a staggered basis to facilitate a smooth transition or where the
Goldman Sachs US Equity Portfolio imposes any conditions to the redemption of units or if the
manager of the newly identified target fund imposes any Anti Dilution Levy* in relation to
applications for units. In such an event, the time required to perform the replacement will
depend on such conditions, if any, imposed by the Goldman Sachs US Equity Portfolio in
addition to any conditions associated with the Anti Dilution Levy that may be charged by the
newly identified target fund. Hence during such transition period, the Funds investment may
differ from the stipulated investment strategies.
* Anti Dilution Levy is an allowance for fiscal and other charges that is added to the net asset
value per unit/share to reflect the costs of investing application monies in underlying assets of
the target fund. The levy is intended to be used to ensure that all investors in the target fund
are treated equitably by allocating transaction costs to the investors whose transactions give
rise to those costs.
As the Fund is a feeder fund, the risk management strategies and techniques employed will be
at the Goldman Sachs US Equity Portfolio level whereby the Goldman Sachs US Equity
Portfolio has access to employ a risk management process which enables it to monitor and
183
USEF
measure at any time the risk of the positions and their contribution to the overall risk profile of
the Goldman Sachs US Equity Portfolio.
The performance of this Fund is benchmarked against S&P 500 Index. Unit Holders can obtain
information on the S&P 500 Index from the Manager upon request.
The Fund may invest in one collective investment scheme, liquid assets and any other
investment permitted by the Securities Commission from time to time.
3.15.4 Information on Goldman Sachs US Equity Portfolio
The description of the Goldman Sachs US Equity Portfolio in this section is qualified in its
entirety by reference to the Goldman Sachs US Equity Portfolio prospectus. For a more
complete description of the Goldman Sachs US Equity Portfolio, investors should refer to the
Goldman Sachs US Equity Portfolio prospectus, which is available for inspection at the
Managers and the Trustees business office.
(a)
About Goldman Sachs US Equity Portfolio

The Goldman Sachs US Equity Portfolio, launched in February 2006, is one of several
portfolios of an umbrella fund, the Goldman Sachs Funds which is domiciled in
Luxembourg. The Goldman Sachs Funds is a public limited company (socit
anonyme) qualifying as an investment company organised with variable share capital
within the meaning of the Law of 17 December 2010. The Goldman Sachs Funds has
appointed Goldman Sachs Asset Management Global Services Limited, which is an
indirect subsidiary of The Goldman Sachs Group, Inc. (GSAMGS) to be the Goldman
Sachs Funds designated management company. GSAMGS is authorised by the United
Kingdom Financial Conduct Authority to act as management company in accordance
with the United Kingdom Financial Services and Markets Act 2000, as amended. The
Goldman Sachs Funds registered office is at 49, avenue J-F Kennedy, L-1855
Luxembourg.
The Goldman Sachs Funds is registered pursuant to part I of the Law of 17 December
2010 and qualifies as an undertaking for collective investment in transferable securities
(UCITS) under the European Union UCITS directive. The Goldman Sachs Funds is
authorised by the Luxembourg Supervisory Authority.
The currency of the Goldman Sachs US Equity Portfolio is USD.
The Goldman Sachs US Equity Portfolio currently offers variety classes of shares
(Classes). The classes may differ in terms of the fees structure, currency of
denomination or other specific feature. The Fund invests in Class IO (Accumulation)
shares of the Goldman Sachs US Equity Portfolio.
(b)
About Investment Adviser of Goldman Sachs US Equity Portfolio

GSAMGS has delegated certain management functions of Goldman Sachs US Equity
Portfolio to the investment adviser, Goldman Sachs Asset Management International
(GSAMI). Notwithstanding any delegation, GSAMGS shall remain liable to the
Goldman Sachs US Equity Portfolio for the proper performance of its duties. GSAMI
will be responsible to GSAMGS in respect of the management of the investment of assets
of Goldman Sachs US Equity Portfolio in accordance with Goldman Sachs US Equity
184
USEF
Portfolios investment objective and policy subject always to the supervision and
discretion of GSAMGS.
As of 31 March 2016, GSAMI and its advisory affiliates acted as investment adviser in
respect of approximately USD1,110 billion in assets. GSAMI and its advisory affiliates,
with financial centres around the globe, have a worldwide staff of over 1,000 investment
management professionals.
GSAMI is authorised and regulated in the United Kingdom by the Financial Conduct
Authority and is a registered investment adviser under the United States Investment
Advisers Act of 1940.
(c)
Investment Objective of Goldman Sachs US Equity Portfolio

The investment objective of the Goldman Sachs US Equity Portfolio is long term capital
appreciation through investing in any permitted investments.
The Goldman Sachs US Equity Portfolio will mostly invest in shares or similar
instruments relating to United States of America companies.
(d)
Investment Strategy of Goldman Sachs US Equity Portfolio

The Goldman Sachs US Equity Portfolio, will, under normal market conditions, invest at
least two thirds of its assets (excluding cash and cash-equivalents) in equity and/or equity
related transferable securities, which includes common stock, preferred stock, warrants
and other rights to acquire stock, American Depository Receipts (ADRs), European
Depository Receipts (EDRs) and Global Depository Advisory (GDRs) and not more
than one third of its assets in convertible securities, bonds (with or without warrants),
money market instruments and certain non-equity related collective investment schemes.
Under normal market conditions, the Goldman Sachs US Equity Portfolio will invest its
assets (excluding cash and cash-equivalents) primarily in the securities of issuers
domiciled in the United States of America. Accordingly, investors should be aware
that the Goldman Sachs US Equity Portfolio may not invest all of its assets in issuers
domiciled in the United States of America. Securities of issuers domiciled in the
United States of America include those issuers deriving the predominant proportion of
their revenues or profits from the United States of America.
The Goldman Sachs US Equity Portfolio may, subject to its investment restrictions,
engage in transactions in financial derivative instruments, including, amongst others,
contracts for difference and total return swaps, as part of its general investment policy
and/or for hedging purposes.
As part of the Goldman Sachs US Equity Portfolios overall investment policy, and as
part of the range of permitted investments which may be utilised to generate exposure to
equity markets, the Goldman Sachs US Equity Portfolio may invest in units or shares of
certain equity related collective investment schemes, including collective investment
schemes managed by Goldman Sachs; however, the Goldman Sachs US Equity Portfolio
will not invest more than 10% of its net assets in collective investment schemes.
There can be no assurance or guarantee that the Goldman Sachs US Equity Portfolios
investments will be successful or its investment objective will be achieved.
(e)
Limit of Redemption
If on any given date requests for redemption of the Goldman Sachs US Equity Portfolio
shares received by the Goldman Sachs US Equity Portfolio relate to more than 10% of
the shares in the Goldman Sachs US Equity Portfolio, and either the Goldman Sachs US
Equity Portfolios available cash, together with amounts the Goldman Sachs US Equity
185
USEF
Portfolio is permitted to borrow, is insufficient to meet such requests or the board of

directors of the Goldman Sachs US Equity Portfolios umbrella fund, the Goldman Sachs
Funds or GSAMGS on behalf of the Goldman Sachs Funds, determines that it is not
advisable to apply such cash and borrowings to meet such requests, then the aforesaid
board of directors or GSAMGS may decide that part or all of such requests for
redemption will be deferred for such period as the aforesaid board of directors or
GSAMGS considers to be in the best interests of the Goldman Sachs US Equity Portfolio
provided that any such deferral period would not normally exceed ten business days of
the Goldman Sachs US Equity Portfolio. On the next business day of the Goldman Sachs
US Equity Portfolio following such period of deferral, redemption requests so deferred
will be given priority over requests subsequently received.
(f)
Permitted Investments of Goldman Sachs US Equity Portfolio

Transferable securities, money market instruments, units in permitted funds, deposits,
financial derivative instruments and other investments into which the Goldman Sachs
US Equity Portfolio may invest pursuant to the Law of 17 December 2010, and the
Goldman Sachs US Equity Portfolios investment objective and policy.
The following definitions are applicable to Goldman Sachs US Equity Portfolio:
Transferable securities means:
1.
shares and other securities equivalent to shares (equities);
2.
debentures, bonds and other debt instruments (bonds); or
3.
warrants or any other negotiable securities, which carry the right to acquire any
such transferable securities by subscription or exchange
excluding those techniques and instruments referred to in 8) of section 3.19.4(g).

Money market instruments means instruments normally dealt with on the money
markets which are liquid and have a value which can be accurately determined at any
time.
(g)
Investment Restrictions of Goldman Sachs US Equity Portfolio

In making its investments, the Goldman Sachs US Equity Portfolio is subject to the
investment restrictions described below. The following restrictions have been adopted by
the board of directors of the Goldman Sachs Funds in compliance with Luxembourg law,
although they may be amended by the board of directors of Goldman Sachs Funds
without a vote of the shareholders.
In order to achieve the Goldman Sachs Funds investment objectives and the investment
objective and policy of the Goldman Sachs US Equity Portfolio, the following investment
powers and restrictions shall apply to all investments by the Goldman Sachs US Equity
Portfolio.
1)
Investments of the Goldman Sachs US Equity Portfolio shall consist of:

a)
Transferable securities and money market instruments admitted to or dealt

on a regulated market;
b)
Transferable securities and money market instruments dealt in on another

regulated market in a member state of the European Union which operates
regularly and is recognised and open to the public;
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USEF
c)
Transferable securities and money market instruments admitted to official

listing on a stock exchange in a non-member state of the European Union or
dealt in on another regulated market in a non-member state of the European
Union which operates regularly and is recognised and open to the public;
d)
Recently issued transferable securities and money market instruments

provided that:
e)
i)
the terms of issue include an undertaking that application will be

made for admission to official listing on a stock exchange or to
another regulated market referred to under a) to c) above; and
ii)
such admission is secured within one year of the issue.
In so far as the articles of incorporation of the Goldman Sachs Funds

provide therefore, shares or units of an undertaking for collective investment
in transferable securities (UCITS) authorised according to the UCITS
Directive 2009/65/EC, as amended and/or other undertaking for collective
investment (UCI) within the meaning of the first and second indent of
article 1(2) of the UCITS Directive 2009/65/EC, as amended, should they be
situated in a member state of the European Union or not, provided that:
i)
such other UCIs are authorised under laws which provide that they
are subject to supervision considered by the Luxembourg Supervisory
Authority to be equivalent to that laid down in European Community
law and that cooperation between authorities is sufficiently ensured;
ii)
the level of protection for share- or unit-holders in such other UCIs is

equivalent to that provided for share- or unit-holders in a UCITS, and
in particular that the rules on asset segregation, borrowing, lending
and uncovered sales of transferable securities and money market
instruments are equivalent to the requirements of the UCITS
Directive 2009/65/EC, as amended;
iii)
the business of the other UCI is reported in half-yearly and annual

reports to enable an assessment to be made of the assets and
liabilities, income and operations over the reporting period;
iv)
no more than 10% of the UCITS or the other UCI assets, whose
acquisition is contemplated, can be, according to its instruments of
incorporation, invested in aggregate in shares or units of other UCITS
or other UCIs. This restriction does not apply where Goldman Sachs
US Equity Portfolio is investing in shares or units of a master fund
qualifying as a UCITS.
For the purposes of this subparagraph e), each portfolio of a UCI with
several portfolios within the meaning of article 181 of the Law of 17
December 2010 must be considered as a separate issuer, provided that each
portfolio may be held severally liable for its own debts and obligations.
f)
Deposits with credit institutions which are repayable on demand or have the
right to be withdrawn, and maturing in no more than 12 months, provided
that the credit institution has its registered office in a member state of the
European Union or if the registered office of the credit institution is situated
in a non-member state of the European Union, provided that it is subject to
prudential rules considered by the Luxembourg Supervisory Authority as
equivalent to those laid down in European Community law.
187
g)
h)
USEF
Financial derivative instruments, including equivalent cash settled

instruments, dealt in on a regulated market referred to under in a), b) and c)
above, and/or financial derivative instruments dealt in over-the-counter
derivatives (OTC derivatives), provided that:
i)
the underlying consist of instruments covered by section 1, financial

indices, interest rates, foreign exchange rates or currencies, in which
the Goldman Sachs US Equity Portfolio may invest in accordance
with its investment objectives as stated in articles of incorporation of
the Goldman Sachs Funds and in the prospectus of Goldman Sachs
US Equity Portfolio;
ii)
the counterparties to OTC derivative transactions are institutions

subject to prudential supervision, and belonging to the categories
approved by the Luxembourg Supervisory Authority; and
iii)
OTC derivatives are subject to reliable and verifiable valuation on a

daily basis and can be sold, liquidated or closed by an offsetting
transaction at any time at their fair market value at the Goldman
Sachs US Equity Portfolios initiative.
Money market instruments other than those dealt in on regulated markets, if

the issue or issuer of such instruments is itself regulated for the purpose of
protecting investors and savings, and provided that they are:
i)
issued or guaranteed by a central, regional or local authority, a central

bank of a member state of European Union, the European Central
Bank, the European Union or the European Investment Bank, a nonmember state of European Union or, in the case of a Federal State, by
one of the members making up the federation, or by a public
international body to which one or more member states of European
Union belong; or
ii)
issued by an undertaking any securities of which are dealt in on

regulated markets referred to under a), b) or c) above; or
iii)
issued or guaranteed by an establishment subject to prudential

supervision, in accordance with criteria defined by European
Community law, or by an establishment which is subject to and
complies with prudential rules considered by the Luxembourg
Supervisory Authority as equivalent to those laid down in European
Community law; or
iv)
issued by other bodies belonging to the categories approved by the

Luxembourg Supervisory Authority provided that investments in such
instruments are subject to investor protection equivalent to that laid
down in the first, second and third indent of this section (h), and
provided that the issuer (i) is a company whose capital and reserves
amount at least to ten million Euro (EUR10,000,000) and (ii) which
presents and publishes its annual accounts in accordance with
European Union Directive 78/660/EEC, (iii) is an entity which, within
a group of companies which includes one or several listed companies,
is dedicated to the financing of the group, or (iv) is an entity which is
dedicated to the financing of securitisation vehicles which benefit
from a banking liquidity line.
188

i)
2)
USEF
In so far as the articles of the Goldman Sachs Funds provide therefore,

shares or units of a master fund qualifying as UCITS
Moreover the Goldman Sachs US Equity Portfolio may:

a)
invest up to 10% of its assets in transferable securities and money market

instruments other than those referred to under section 1 above;
b)
hold ancillary liquid assets (which restriction may exceptionally and

temporarily be exceeded if the board of directors of the Goldman Sachs
Funds consider this to be in the best interests of the shareholders);
c)
borrow the equivalent of up to 10% of its assets provided that the borrowing
is on a temporary basis; and
d)
acquire foreign currencies by means of back-to-back loans.
e)
invest up to 10% of its assets in loan participations and/or loan assignments

provided such instruments are consistent with money market instruments
normally dealt in the money market (within the meaning of article 1 item 23
of the Law of 17 December 2010 and articles 3 and 4 of the Grand-Ducal
Regulation of 8 February 2008 relating to certain definitions of the Law of
17 December 2010), are liquid, have a value that may be accurately
determined at any time and where they fulfil at least one of the following
criteria:
i)
a maturity at issuance of up to and including 397 days;
ii)
a residual maturity of up to and including 397 days; or
iii)
are structured in a way that allows for regular, at least 397 days, yield
adjustments in line with a reference interest rate.
3)
Moreover, the following investment restrictions shall be observed by the Goldman

Sachs US Equity Portfolio in respect of each issuer:
(a)
Rules for risk spreading

For the calculation of the limits defined in paragraph (1) to (5) and (8) below,
companies belonging to the same group of companies shall be treated as a single
issuer.
-
Transferable securities and money market instruments
(1)
The Goldman Sachs US Equity Portfolio may not invest more than 10% of
its assets in transferable securities or money market instruments issued by
the same body.
The total value of the transferable securities and money market instruments
held by Goldman Sachs US Equity Portfolio in the issuing bodies in each of
which it invests more than 5% of its assets must not exceed 40% of the value
of its assets. This restriction does not apply to deposits with financial
institutions that are governed by prudential regulations or to transactions in
OTC derivative instruments with these institutions.
For the purposes of this section 3)(a)(1), the Goldman Sachs US Equity
Portfolio will treat each mortgage-backed or asset-backed portfolio as a
189
USEF
separate issue of a separate issuer, although such portfolios may be part of

the same master trust, sponsored by the same sponsor, or serviced by the
same service provider.
(2)
The 10% limit laid down in paragraph (1) is raised to 20% in the case of
transferable securities and money market instruments issued by the same
group of companies.
(3)
The 10% limit laid down in paragraph (1) is raised to a maximum of 35% if
the transferable securities or money market instruments are issued or
guaranteed by a member state of the European Union, by its local
authorities, by a non-member state of the European Union or by public
international bodies to which one or more member states of the European
Union are members.
(4)
The 10% limit laid down in paragraph (1) is raised to 25% for certain debt
securities issued by a credit institution whose registered office is in a
member state of the European Union and which is subject by law to special
public supervision designed to protect the holders of debt securities. In
particular, sums deriving from the issue of such debt securities must be
invested pursuant to the law in assets which, during the whole period of
validity of the debt securities, are capable of covering claims attaching to the
debt securities and which, in event of bankruptcy of the issuer, would be
used on a priority basis for the reimbursement of the principal and payment
of accrued interest. To the extent that the Goldman Sachs US Equity
Portfolio invests more than 5% of its assets in such debt securities, issued by
the same issuer, the total value of such investments may not exceed 80% of
the value of the Goldman Sachs US Equity Portfolios assets.
(5)
The transferable securities and money market instruments referred to in

paragraphs (3) and (4) above are not taken into account for the purpose of
applying the 40% limit referred to under paragraph (1) above.
(6)
Notwithstanding the limits indicated above, and in accordance with the

principle of risk-spreading, the Goldman Sachs US Equity Portfolio is
authorised to invest up to 100% of its assets in transferable securities and
money market instruments issued or guaranteed by a member state of the
European Union, its local authorities, a member state of the organisation for
economic co-operation and development (OECD) or public international
bodies of which one or more member states of the European Union are
members, provided that (i) the securities of the whole Goldman Sachs US
Equity Portfolio consist of at least six different issues and (ii) securities from
any one issue may not account for more than 30% of the Goldman Sachs US
Equity Portfolios assets. The provisions of this paragraph (6) shall also
apply in respect of the Goldman Sachs US Equity Portfolio investing in
securities issued by certain U.S. Government Agency Issuers, namely the
Federal Home Loan Mortgage Corporation, the Federal National Mortgage
Association, the Government National Mortgage Association and the
Federal Home Loan Banks.
(7)
Without prejudice to the limits laid down in (b) below, the limits laid down
in (1) above are raised to maximum 20% for investment in shares and/or
debt securities issued by the same body and when the Goldman Sachs US
Equity Portfolios investment policy is aimed at duplicating the composition
of a certain share or debt securities index, which is recognised by the
Luxembourg Supervisory Authority and meets the following criteria:
190
USEF
(i)
the indexs composition is sufficiently diversified;
(ii)
the index represents an adequate benchmark for the market to which it

refers;
(iii)
the index is published in an appropriate manner.
The 20% limit is increased to 35% where that proves to be justified by

exceptional conditions, in particular in regulated markets where certain
transferable securities or money market instruments are highly dominant.
The investment up to this limit is only permitted for one single issuer.
-
Bank deposits
(8)
The Goldman Sachs US Equity Portfolio may not invest more than 20% of
its assets in deposits made with the same body.
Derivatives
(9)
The risk exposure to a counterparty of the Goldman Sachs US Equity

Portfolio in an OTC derivative transaction may not exceed 10% of Goldman
Sachs US Equity Portfolios assets when the counterparty is a credit
institution referred to in f) in section 1 above, or 5% of its assets in the other
cases.
(10) The Goldman Sachs US Equity Portfolio may invest in financial derivative
instruments provided that the exposure to the underlying assets does not
exceed in aggregate the investment limits laid down in paragraph (1) to (5),
(8), (9), (16) and (17). When the Goldman Sachs US Equity Portfolio invests
in index based financial derivative instruments, these investments do not
have to be combined to the limits laid down in paragraph (1) to (5), (8), (9),
(16) and (17).
(11) When a transferable security or money market instrument embeds a
derivative, the latter must be taken into account when applying the
provisions laid down in paragraph (10) and (12) and when determining the
risks arising on transactions in derivative instruments.
(12) With regard to derivative instruments, the Goldman Sachs Funds, for the
Goldman Sachs US Equity Portfolio, will ensure that its global risk exposure
relating to financial derivative instruments does not exceed the total net
value of the Goldman Sachs US Equity Portfolio. As a general rule, the
Goldman Sachs US Equity Portfolio cannot have a global exposure greater
than its net asset value and as a consequence there is a limit to the Goldman
Sachs US Equity Portfolios exposure of 100% of its net asset value. The
total risk exposure may therefore not be greater than 210% of the net asset
value, including the 10% of the net asset value that the Goldman Sachs US
Equity Portfolio may borrow on a temporary basis.
The risks exposure is calculated taking into account the current value of the
underlying assets, the counterparty risk, future market movements and the
time available to liquidate the positions.
191

-
USEF
Shares or units in open-ended funds
(13) The Goldman Sachs US Equity Portfolio may not invest more than 20% of
its assets in shares or units of a single UCITS or other UCI referred to in
section 1) e) above.
(14) Furthermore, investments made in UCIs other than UCITS, may not exceed,
in aggregate, 30% of the assets of the Goldman Sachs US Equity Portfolio.
(15) To the extent that a UCITS or UCI is composed of several sub-funds and
provided that the principle of segregation of commitments of the different
sub-funds is ensured in relation to third parties, each sub-fund shall be
considered as a separate entity for the application of the limit laid down in
paragraph (13) here above.
-
Combined limits
(16) Notwithstanding the individual limits laid down in paragraph (1), (8) and
(9), the Goldman Sachs US Equity Portfolio may not combine:
(i)
investments in transferable securities or money market instruments

issued by;
(ii)
deposits made with; and/or
(iii)
exposures arising from OTC derivatives transactions undertaken with;
a single body, in excess of 20% of its assets.

(17) The limits set out in paragraph (1) to (5), (8) and (9) cannot be combined.
Thus, investments by the Goldman Sachs US Equity Portfolio in transferable
securities or money market instruments issued by the same body or in
deposits or derivative instruments made with this body in accordance with
paragraph (1) to (5), (8) and (9) may not exceed a total of 35% of the assets
of Goldman Sachs US Equity Portfolio.
(b)
Restrictions with regard to control

(18) The Goldman Sachs US Equity Portfolio may not acquire any shares
carrying voting rights which would enable it to exercise significant influence
over the management of an issuing body.
(19) The Goldman Sachs US Equity Portfolio may acquire no more than:
(i)
10% of the outstanding non-voting shares of the same issuer;
(ii)
10% of the outstanding debt securities of the same issuer;
(iii)
25% of the shares or units of the same UCITS and/or other UCI;
(iv)
10% of the money market instruments of the same issuer.

The limits set in points (ii) to (iv) may be disregarded at the time of
acquisition if at that time the gross amount of debt securities or money
market instruments, or the net amount of the securities in issue, cannot
be calculated.
192
USEF
(20) The limits laid down in paragraph (18) and (19) are waived as regards:
4)
5)
(i)
Transferable securities and money market instruments issued or

guaranteed by a member state of the European Union or its local
authorities;
(ii)
Transferable securities and money market instruments issued or

guaranteed by a non-member state of the European Union;
(iii)
Transferable securities and money market instruments issued by

public international bodies of which one or more member states of the
European Union are members;
(iv)
Shares held in the capital of a company incorporated in a non-member

state of the European Union which invests its assets mainly in
securities of issuing bodies having their registered office in that state,
where under the legislation of that state, such holding represents the
only way in which the Goldman Sachs Funds, for the Goldman Sachs
US Equity Portfolio, can invest in the securities of issuing bodies of
that state and provided that the investment policy of the company
complies with regulations governing risk diversification and
restrictions with regard to control laid down herein;
(v)
Shares held in the capital of subsidiary companies carrying on only

the business of management, advice or marketing in the country/state
where the subsidiary is located, in regard to the repurchase of the
shares at the shareholders request exclusively on its or their behalf.
Furthermore, the following restrictions will have to be complied with:

(1)
The Goldman Sachs US Equity Portfolio may not acquire either precious
metals or certificates representing them.
(2)
The Goldman Sachs US Equity Portfolio may not acquire real estate, except
when such acquisition is essential for the direct pursuit of its business.
(3)
The Goldman Sachs US Equity Portfolio may not issue warrants or other
instruments giving holders the right to purchase shares in the Goldman
Sachs US Equity Portfolio.
(4)
Without prejudice to the possibility of the Goldman Sachs US Equity

Portfolio to acquire debt securities and to hold bank deposits, the Goldman
Sachs US Equity Portfolio may not grant loans or act as guarantor on behalf
of third parties. This restriction does not prohibit Goldman Sachs US Equity
Portfolio from acquiring transferable securities, money market instruments
or other financial instruments referred to in paragraph 1) e), g) and h) that
are not fully paid-up.
(5)
The Goldman Sachs US Equity Portfolio may not carry out uncovered sales
of transferable securities, money market instruments or other financial
instruments referred to in section 1) e), g) and h).
Notwithstanding the above provisions:

(1)
The Goldman Sachs US Equity Portfolio need not necessarily comply with
the limits referred to herein when exercising subscription rights attaching to
193
USEF
transferable securities or money market instruments which form part of its

assets;
(2)
If the limits referred to above are exceeded for reasons beyond the control of
the Goldman Sachs US Equity Portfolio or the Goldman Sachs Funds or as a
result of the exercise of subscription rights, the Goldman Sachs US Equity
Portfolio must adopt as a priority objective for its sales transactions the
remedying of that situation, taking due account of the interests of its
shareholders.
6)
GSAMGS employs a risk-management process which enables it to monitor and

measure at any time the risk of the positions and their contribution to the overall
risk profile of the Goldman Sachs US Equity Portfolio. GSAMGS employs a
process allowing for accurate and independent assessment of the value of the OTC
derivative instruments.
7)
Information relating to the quantitative limits that apply in the risk management of
the Goldman Sachs Funds, to the methods chosen to this end and to the recent
evolution of the main instrument categories risks and yields may be provided to
investors upon request.
8)
The Goldman Sachs Funds may employ techniques and instruments in respect of
transferable securities and money market instruments subject always to the
parameters published by the Luxembourg Supervisory Authority provided always
that such techniques and instruments are employed for the purpose of efficient
portfolio management for hedging and investment purposes. Where such
operations concern the use of financial derivative instruments, these parameters
shall conform to the Law of 17 December 2010. Under no circumstances shall
these operations cause the Goldman Sachs Funds to diverge from its investment
objectives as laid down in the prospectus of Goldman Sachs US Equity Portfolio,
the supplements, and key investor information document, the articles of
incorporation of the Goldman Sachs Funds and in the investment advisory
agreement.
9)
Where specifically allowed by the articles of the Goldman Sachs Funds, the
Goldman Sachs US Equity Portfolio may subscribe, acquire and/or hold shares of
one or more portfolios of the Goldman Sachs Funds (the Target Portfolio(s)),
without it being subject to the requirements of the Law of 10 August 1915 on
commercial companies, as amended, with respect to the subscription, acquisition
and/or the holding by a company of its own shares provided that:
the Target Portfolio does not, in turn, invest in the Goldman Sachs US
Equity Portfolio invested in such Target Portfolio; and
no more than 10% of the net assets of the Target Portfolios whose
acquisition is contemplated may, pursuant to the articles of incorporation of
the Goldman Sachs Funds, be invested in aggregate in units of other UCIs;
and
voting rights, if any, attaching to the relevant shares of the Target

Portfolio(s) are suspended for as long as they are held by the Goldman Sachs
US Equity Portfolio concerned and without prejudice to the appropriate
processing in the accounts and the periodic reports; and
in any event, for as long as these shares of the Target Portfolio(s) are held by
the Goldman Sachs Fund, their value will not be taken into consideration for
194
USEF
the calculation of the net assets of the Goldman Sachs Fund d for the
purposes of verifying the minimum threshold of the net assets of the
Goldman Sachs Funds as imposed by law; and
(h)
there is no duplication of management/subscription or repurchase fees

between those at the level of the Goldman Sachs US Equity Portfolio having
invested in the Target Portfolio, and such Target Portfolio.
Performance of Goldman Sachs US Equity Portfolio as at 30 April 2016

Performance
Since launch
1 month
3 months
Year-to-date
1 year (Annualised)
Goldman Sachs US
Equity Portfolio (%)
73.80
0.17
5.14
(5.80)
(10.34)
6.49
6.74
S&P 500 Index (%)

89.25
0.35
6.87
1.53
0.55
10.54
10.29
Goldman Sachs US Equity Portfolio returns are shown net of applicable ongoing fees
within Goldman Sachs US Equity Portfolio, with dividends re-invested using the exdividend net asset value. These returns are for comparison of performance against
specified index. As the investor may be liable to other fees, charges and taxes, they are
not meant to provide a measure of actual return to investors. The performance data do not
take account of the commissions and costs incurred on the issue and redemption of
shares.
Source: Investment adviser of Goldman Sachs US Equity Portfolio, as at 30 April 2016.
195

3.16
GENERAL INFORMATION
3.16.1 Investment Philosophy

Our investment philosophy describes the approach that the investment team will adhere to
when constructing an equity or fixed income portfolio. The portfolio managers invest in wellmanaged companies with strong balance sheets that possess competitive advantages that
should enable them to outperform their peers over economic cycles. The portfolio managers
are active investors that make high conviction security selection decisions, but at the same
time do not take unnecessary or excessive risks nor take speculative positions. The portfolio
managers seek to outperform their peers and beat their benchmark by buying mispriced or
cheap securities. Following our disciplined sell strategy, they would then exit positions when
our target price is reached. Concurrently, the portfolio managers understand the Funds risk
profile and act within each individual Funds mandate.
196

3.16.2 Investment Approach
DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
Whenever the Fund invests in equities or Shariah-compliant equities and fixed income
securities or sukuk, the Managers investment approach will evolve around the following
principles:Equities
197

Fixed Income Securities (including sukuk)
Deposits
1)
Interest Rate Anticipation Forecast changes in interest rates and yield curve shapes.
2)
Market Timing Time market entry to enhance yield.
3)
Relative Return Analysis Best risk-return trade-off within the financial institutions of
same credit ratings.
To ensure compliance with Shariah requirements, the Shariah-compliant Fund is prohibited

from investing in non-Islamic deposits with financial institution.
3.16.3 Risk Management Strategies
The Manager adopts the following forms of risk management strategies to mitigate the risks
inherent in the respective Funds:
Adhering to the Funds investment objectives and investment restrictions and limits;
Reporting investment matters to the investment committee of the Funds;
Diversification across asset classes;
Imposing limits on exposure to single company/group;
Duration management of the fixed income portfolio;
Liquidity management;
In-depth study of issuer (credit/bond structure/security);
Hedging against market risk through the use of derivative instruments such as options
and futures, where applicable;
Hedging against currency risks at point of transaction especially for transactions
involving fixed income securities; and
Hedging against credit/default risks by limiting the purchase of bonds to either bank
guaranteed bonds or approved investment grade bonds rated by RAM or any other
approved rating agencies.
198

For Shariah Funds, the Manager and the External Investment Manager adopt the following
forms of risks management strategies:
Adhering to the Funds investment objectives and investment restrictions and limits;
Diversification across asset classes;
Imposing limits on exposure to single company/group;
Duration management of the sukuk portfolio;
Liquidity management;
In-depth study of issuer (credit/sukuk/security);
Hedging against credit/default risks by limiting the purchase of sukuk to either bank
guaranteed sukuk or approved investment grade sukuk rated by RAM or any other
approved rating agencies.
3.16.4 Policy on Gearing and Assets of the Fund

DF
CMF
GFF
CF
MF
USEF
BF
IBF
ATRF
MDF
ICMF
GLF
DVEF
The Fund is prohibited from borrowing other assets (including borrowing of securities within
the meaning of Guidelines on Securities Borrowing and Lending) in connection with its
activities. Notwithstanding the above, the Fund may borrow cash for the purpose of meeting
repurchase request for Units and for short term bridging requirements. For the said purposes,
the Manager should ensure that: (a) the Funds cash borrowing is only on a temporary basis and
that borrowings are not persistent; (b) the borrowing period should not exceed one month; (c)
the aggregate borrowings of the Fund should not exceed 10% of Net Asset Value at the time the
borrowing is incurred; and (d) the Fund may only borrow from financial institutions.
Shariah-compliant Funds may only utilize Shariah-compliant financing facility for the said
purpose.
3.16.5 Shariah Methodology and Shariah Investment Guidelines
MF
IBF
ICMF
All the Funds investments in equities, fixed income or money market instruments have to
comply with Shariah requirements. In general, investment in equities are selected from
companies that meet certain stipulated financial filters and are not involved in activities
prohibited under Shariah. The prohibited core activities that must be avoided includes:
(a)
financial services based on riba (interest);
(b)
gambling and gaming activities;
(c)
production, processing and sale of alcoholic beverages and non-halal food or related
products;
(d)
conventional insurance activities;
(e)
entertainment activities that are non-permissible according to Shariah;
(f)
manufacture or sale of tobacco-based products or related products;
(g)
stockbroking or share trading in Shariah non-compliant securities; and/or
199

(h)
any further restriction as determined from time to time by the SACSC and/or the Shariah
Adviser for Malaysian investments, and as determined from time to time by the Shariah
Adviser for investments in foreign markets.
Investments in Islamic fixed income or Islamic money market instruments are selected from
issuances that are structured based on Shariah-compliant principles.
The Funds investments shall be guided by the Shariah Investment Guidelines as described
below. Upon monthly review of the portfolio by the Shariah Adviser, any investments that do
not comply with the requirements of the guidelines shall be divested in accordance with what
has been prescribed below.
Shariah Investment Guidelines adopted by the Shariah Adviser
The following matters are adopted by the Shariah Adviser in determining the Shariah status of
equity investments of the Fund.
1.
Investment in Malaysia
Equity:
Reference for investment in local securities is based on the list of Shariah-compliant
equities issued by the SACSC twice yearly on the last Friday of May and November
which is readily available at the Securities Commissions website.
However, for the Shariah status of Initial Public Offering (IPO) companies that have
yet to be determined by the SACSC, the Shariah Adviser will adopt the following
analysis in determining the Shariah status of these companies. The status determined by
the Shariah Adviser is taken on a temporary basis until the Shariah status of that
particular IPO company is determined in the subsequent release of the List of Shariahcompliant Securities issued by SACSC.
Quantitative Analysis
The Shariah Adviser adopts a two-tier quantitative approach which applies the business
activity benchmark and the financial ratio benchmark in determining the Shariah status of
the securities. Hence, the securities will be classified as Shariah-compliant if they are
within the business activity benchmark and the financial ratio benchmark. If any of these
benchmarks are exceeded, the Shariah Adviser will not accord a Shariah-compliant status
for such equities.
Business activities benchmark
The contribution of Shariah non-compliant activities to the overall revenue and profit
before taxation of the company will be computed and compared against the relevant
business activities benchmarks as follows:
a)
The 5% benchmark would be applicable to the following businesses or activities:

(i)
conventional banking;
(ii)
conventional insurance;
(iii)
gambling;
(iv)
liquor and liquor-related activities;
200

(v)
pork and pork-related activities;
(vi)
non-halal food and beverages;
(vii) Shariah non-compliant entertainment;

(viii) interest income from conventional accounts and instruments (including
dividends from investment in Shariah non-compliant instruments and
interest income awarded arising from a judgement by a court or arbitrator);
(ix)
tobacco and tobacco-related activities; and
(x)
other activities deemed non-compliant according to Shariah.
For the above-mentioned businesses or activities, the contribution of Shariah noncompliant businesses or activities to the overall revenue or profit before taxation of
the company must be less than 5%.
b)
The 20% benchmark would be applicable to the following activities:

(i)
hotel and resort operations;
(ii)
share trading;
(iii)
stockbroking business;
(iv)
rental received from Shariah non-compliant activities; and
(v)
other activities deemed non-compliant according to Shariah.
For the above-mentioned businesses or activities, the contribution of Shariah noncompliant businesses or activities to the overall revenue or profit before taxation of
the company must be less than 20%.
Financial ratio benchmark
For the financial ratios benchmark, the Shariah Adviser takes into account the following:
a)
Cash over total assets must be lower than 33%

Cash will only include cash placed in conventional accounts and instruments,
whereas cash placed in Islamic accounts and instruments will be excluded from the
calculation.
b)
Debt over total assets must be lower than 33%

Debt will only include interest-bearing debt whereas Islamic debt or financing or
sukuk will be excluded from the calculation.
Generally, determination of the financial ratio benchmarks is based on available

information of the company.
Qualitative Analysis
Companies which have passed the above quantitative test will be further subjected to
qualitative screening before the equities of such companies can be classified as Shariahcompliant. In this secondary analysis, the Shariah Adviser will look into aspects of the
general public perception of the respective companies image, core businesses which are
201

considered important and maslahah (beneficial) to the Muslim ummah (nation) and the
country, the non-permissible elements are very small and involve matters such as umum
balwa (common plight and difficult to avoid), uruf (custom) and rights of the nonMuslim community which are accepted by the Shariah.
Sukuk and Islamic money market instruments:
The selection of these instruments for investments will be based on the instruments lists
readily available at the website of Securities Commission and/or Bank Negara Malaysia.
2.
Investment in foreign markets:

Equity:
Quantitative Analysis
The Shariah Adviser takes into account the following parameters in determining the
Shariah status of the listed securities.
1)
2)
Shariah non-compliant income of the companies arising from the following

business activities must not exceed certain designated benchmarks*:
a)
Conventional financial services;
b)
Gambling and gaming;
c)
Manufacture or sale of non-halal products or related products (e.g. pork and

liquor);
d)
Manufacture or sale of tobacco-based products or related products;
e)
Weaponry;
f)
Entertainment activities that are not permitted by the Shariah; and
g)
Other activities deemed non-permissible according to the Shariah.
The financial ratios of the following must not exceed certain benchmarks*:
a)
Interest income over total revenue;
b)
Total interest- bearing debts including all interest-bearing loans/debentures

and their respective payables such as short term/long term debts, short
term/long term debentures and all debentures payables divided by total
assets;
c)
Total sum of companys cash and cash equivalent placed or invested in nonShariah compliant deposits or instruments divided by total assets; and
d)
Total account receivables including trade receivables divided by total assets.
*These benchmarks and financial ratios may vary in accordance with the
development of Islamic finance and the jurisdiction of respective screening
authorities or the Islamic indices that are being referred to. Should any of the
deductions fail to satisfy the benchmarks, the Shariah Adviser will not accord a
Shariah-compliant status for such equities.
202
Qualitative Analysis
Companies which have passed the above quantitative test will be further subjected to
qualitative screening before the equities of such companies can be classified as Shariahcompliant. In this secondary analysis, the Shariah Adviser will look into aspects of the
general public perception of the respective companies image, core businesses which are
considered important and maslahah (beneficial) to the Muslim ummah (nation) and the
country, the non-permissible elements are very small and involve matters such as umum
balwa (common plight and difficult to avoid), uruf (custom) and rights of the nonMuslim community which are accepted by the Shariah.
Foreign sukuk:
For foreign sukuk, the Shariah Adviser would accept resolutions/rulings as decided by
the respective Shariah advisors for the instruments. Prospectus or information
memorandum of the sukuk and resolutions/rulings/pronouncements by the respective
Shariah advisors for the instruments must be presented to the Shariah Adviser for
notification and due diligence.
3.
Shariah non-compliant investment

a)
Wrong investment
Refers to Shariah non-compliant investment made by the Manager. The said
investment will be disposed of / withdrawn within one month of knowing the
status of the securities. In the event the investment results in a gain (through capital
gain and/or dividend), the gain is to be channelled to baitulmal or any other
charitable bodies as advised by the Shariah Adviser. If the disposal of the
investment results in a loss to the Fund, the loss is to be borne by the Manager.
b)
Reclassification of Shariah status of the Funds investment

A security which is reclassified as Shariah non-compliant by the SACSC, the
Shariah Adviser or the Shariah boards of the relevant Islamic Indices will be
disposed as soon as is practicable, i.e. in the event that on the announcement date
or on an effective review date determined by the Shariah Adviser, the market price
of the securities exceed or is equal to the investment cost. On the other hand, the
Fund is allowed to hold its investment in these Shariah non-compliant securities if
on the announcement date or on an effective review date determined by the
Shariah Adviser, the market price is below the investment cost. These securities
must be disposed once the total amount of dividends received and the market value
of that security is equal to the original investment costs.
Any capital gains arising from the disposal of the Shariah non-compliant security
made at the time of the announcement can be kept by the Fund. However, any
excess capital gains derived from the disposal after the announcement day or after
the effective review date at a market price that is higher than the closing price on
the announcement day or on the effective review date is to be channelled to
baitulmal and/or any charitable bodies as advised by the Shariah Adviser.
4.
Zakat for the Fund

The Funds do not pay zakat on behalf of Muslim individuals and Islamic legal entities
who are investors of the Funds. Thus, investors are advised to pay zakat on their own.
203

3.16.6 Valuation of Assets
DF
CMF
GFF*
CF
MF
ATRF*
BF
IBF
USEF*
MDF
ICMF
GLF
DVEF*
*Funds with mandates investing in foreign markets

The Fund must be valued at least once every Business Day. However, certain foreign markets
in which the Fund may invest in have different time zones from that of Malaysia.
Accordingly, for Funds investing solely in the local market, the valuation of the respective Fund
for a Business Day will be conducted at the close of Bursa Malaysia for that Business Day.
Thus, the daily price of the Fund for a particular Business Day will be published in the
newspapers on the next day.
For Funds which have investments in foreign markets, the valuation of the respective Fund for a
Business Day will be conducted before 5:00 p.m. on the following Business Day in which the
Manager is open for business, when the closing prices of the foreign markets for that Business
Day would be available. As such, the daily price for a particular Business Day, of the Fund with
investments in foreign markets will not be published in the newspapers on the next day but will
instead be published the next following day (i.e. the price will be two (2) days old). This will be
specifically indicated in the newspapers.
Illustration (for Funds investing in foreign markets)
For the market close of 11 July 2016 (Monday), the valuation date will be the next day in
which the Manager is open for business, that is, 12 July 2016 (Tuesday). Thus, the
newspaper publication date for the prices as at 11 July 2016 will be on 13 July 2016
(Wednesday).
Investors may however obtain the most current computed price by contacting the Manager
directly or visiting our website, www.rhbgroup.com [please refer to Section 7.2(g)
(Availability of Information on Investment)].
In undertaking any of the Funds investments, the Manager will ensure that all the assets of the
Fund under its management will be valued appropriately, that is, at fair market value and at all
times in compliance with the Securities Laws including approved accounting standards.
Accordingly:
(i)
Listed local and foreign securities will be valued daily based on the market price of the
respective exchanges.
However, if:(a) a valuation based on the market price does not represent the fair value of the
securities, for example during abnormal market conditions; or
(b) no market price is available, including in the event of a suspension in the quotation
of securities for a period exceeding 14 days or such period as agreed by the
Trustee,
204

then the securities would be valued at fair value, as determined in good faith by the
Manager based on the methods or bases approved by the trustee after appropriate
technical consultation.
(ii)
Investments in unlisted Ringgit Malaysia denominated bonds or fixed income securities

will be valued daily using fair value prices quoted by a bond pricing agency (BPA)
registered with the SC. However, where quotations are not available, such unlisted
bonds or fixed income securities will be valued weekly or as and when appropriate, by
reference to the average indicative yield quoted by three independent and reputable
financial institutions in over-the-counter markets at the close of trading. These
institutions include investment banks and commercial banks which deal in fixed income
securities.
Generally, investments in foreign unlisted bonds or fixed income securities will be
valued daily using the average indicative yield quoted by three independent and
reputable financial institutions in over-the-counter markets at the close of trading. These
institutions include investment banks and commercial banks which deal in fixed income
securities. The Manager may also value such investment on any other basis as may be
In a case where the Manager is of the view that the price quoted by BPA for a specific
unlisted debt instrument differs from the market price (i.e. the Managers view of the
market yield) by more than 20 basis points, the Manager may use the market price,
provided that the Manager records its basis for using a non BPA price, obtains
necessary internal approvals to use the non BPA price and keeps an audit trail of all
decisions and basis for adopting the market price.
However, when the Manager is unable to obtain quotations from BPA or quotations
from three independent and reputable financial institutions due to circumstances such as
extreme market conditions, such local and foreign unlisted fixed income securities will
be valued according to an alternative method determined in good faith by the Manager,
which has been verified by the auditor of the Fund and approved by the Trustee
provided that the Manager records its basis for using the alternative method having
obtained necessary internal approvals to use the alternative method and the Manager
keeps an audit trail of all decisions and basis for adopting the alternative method. Any
alternative method shall be consistently applied unless advised otherwise by the auditor
of the Fund and the Trustee.
(iii)
Investments in unlisted equity securities will be valued at the cost price of each
investment until the securities of the investee companies are successfully listed on a
recognised stock exchange, upon which quoted prices will be available and valuation
will be based on the market price or such other basis as may be prescribed by the
relevant laws from time to time including approved accounting standards.
(iv)
Collective investment schemes which are quoted on an approved exchange shall be

valued in the same manner as listed securities as described above. Unlisted collective
investment schemes shall be valued by reference to its last published repurchase price
of a unit for that unlisted collective investment scheme.
(v)
Futures contracts positions will be marked to market at the close of each trading day.
(vi)
Bank deposits and deposits placed with financial institutions will be valued each day by
reference to the principal value of such investments. Interest/profit receivables will be
accrued each day based on the rate of interest/profit attached to the deposits.
205

(vii)
Money market instruments will be valued each day based on the accretion of discount
or amortisation of premium on a yield to maturity basis.
(viii)
Foreign exchange translation into RM for a particular Business Day is determined based
on the bid rate quoted by Bloomberg at 4.00 p.m. (United Kingdom time) or such other
time as may be prescribed from time to time by the relevant governing body or
authority.
206
CHAPTER 4: PERFORMANCE OF THE FUNDS

4.
PERFORMANCE OF THE FUNDS
4.1
PERFORMANCE OF RHB DYNAMIC FUND
DF
The Fund has been in operation since 15 September 1992 and its financial year end is on 31
December. The Funds performances are as follows:
Average Total Returns of the Fund
Average Total Returns (%)*
1 Year
3 Years
5 Years
31/12/14
31/12/12
31/12/10
31/12/15
31/12/15
31/12/15
9.12
6.91
7.78
(3.90)
0.07
2.19

FBM KLCI
Average Total Return of DF in comparison with FBM KLCI

10.00
Average Total Return (%)
4.1.1
8.00
6.00
4.00
2.00
0.00
-2.00
-4.00
-6.00
1 year
3 years

*
5 years
FBM KLCI
The abovementioned Funds performances are computed on NAV to NAV basis and have
been adjusted to reflect distributions and unit splits, if any and are annualised.
Over the long term of 5 years, the Fund has recorded an annualised return of 7.78% whilst the
benchmark recorded annualised return of 2.19%. Thus, in the longer term of 5 years, the Fund
has achieved its investment objective to provide investors with regular income and capital gain
at an acceptable level of risk by investing primarily in Malaysian public listed companies with
steady and good growth potential.
207

4.1.2
DF
Annual Total Returns of the Fund

FBM KLCI

FBM KLCI
2015
9.12
(3.90)
Annual Total Returns (%)*

Financial Year Ended 31 December
2014
2013
2012
2011
(12.29)
27.66
16.10
2.55
(5.66)
10.54
10.34
0.78
2010
21.42
19.34

2009
2008
2007
2006
43.20
(33.37)
27.67
15.43
45.17
(39.33)
31.82
21.83
Annual Total Return of DF in comparison with FBM KLCI

50.00
Annual Total Return (%)
40.00
30.00
20.00
10.00
0.00
-10.00
-20.00
-30.00
-40.00
-50.00
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
FBM KLCI
been adjusted to reflect distributions and unit splits, if any.
For the latest financial year, the Fund registered a gain of 9.12% as compared to its benchmark
loss of 3.90%. The outperformance over the benchmark in the latest financial year was
attributed to the Managers stock selection and asset allocation strategy.
4.1.3
Distribution Record
2015
2014
2013
Gross distribution per Unit (sen)
9.500
8.5000
Net distribution per Unit (sen)
9.500
8.3750
Distribution is in the form of cash.
208

4.1.4
DF
Portfolio Turnover Ratio (PTR)

2015
2014
2013
1.79
1.91
0.81
PTR (times)
The PTR for the latest financial year was lower compared with the previous financial year due
to decrease in trading activities as there were lesser investment activities during the latest
financial year.
4.1.5
Asset Allocation
As at the latest financial year end (i.e. 31 December 2015), the Fund has invested over 98.36%
in equities.
Equities
Trading/Services
Consumer Products
Industrial Products
Construction
Properties
Finance
Infrastructure Project Companies
Technology
Liquid assets and other net current

assets/(liabilities)
As at
31/12/15
%
As at
31/12/14
%
As at
31/12/13
%
20.73
19.47
24.23
2.59
13.59
2.96
14.79
98.36
25.47
6.86
24.39
6.31
15.54
6.64
3.06
8.57
96.84
44.47
5.14
12.58
10.14
12.41
12.66
2.19
2.56
102.15*
1.64
3.16
(2.15)
100.00
100.00
100.00
The asset allocation in 2015 was reflective of the Managers stance to risk manage the Funds
portfolio in an environment of volatile markets.
* The excess of equity investments in 2013 was mainly attributable to provision made for
income distribution and payment on cancellation of Units, which had not been paid as at 31
December 2013.
209

4.2
CF
PERFORMANCE OF RHB CAPITAL FUND

The Fund has been in operation since 12 April 1995 and its financial year end is on 30 April.
The Funds performances are as follows:
1 Year
30/04/14
30/04/15
(5.16)
(2.85)

FBM KLCI

3 Years
5 Years
30/04/12
30/04/10
30/04/15
30/04/15
7.41
8.40
5.00
6.19
Average Total Return of CF in comparison with FBM KLCI

10.00
4.2.1
8.00
6.00
4.00
2.00
0.00
-2.00
-4.00
-6.00
1 year
3 years

*
5 years
FBM KLCI
Over the long term period of 5 years, the Fund recorded an annualised return of 8.40% as
compared to the benchmark annualised return of 6.19%. Thus, in the longer term, the Fund has
achieved its investment objective to provide investors with long term growth through capital
appreciation.
210

4.2.2
CF

FBM KLCI

FBM KLCI
2015
(5.16)
(2.85)

Financial Year Ended 30 April
2014
2013
2012
19.40
9.42
2.38
8.96
9.36
2.32
2011
18.03
14.01
2010
37.20
35.90

2009
2008
2007
(16.68)
(1.26)
28.38
(22.59)
(3.21)
39.30
2006
6.59
7.99
Annual Total Return of CF in comparison with FBM KLCI
40.00
30.00
20.00
10.00
0.00
-10.00
-20.00
-30.00
2015
2014
2013
2012
2011
2010

*
2009
2008
2007
2006
FBM KLCI
For the latest financial year, the Fund registered a loss of 5.16% underperforming the
benchmark loss of 2.85%. The Funds underperformance was mainly due to the Managers
stock selection and asset allocation strategy.
4.2.3
Distribution Record
2015
2014
2013
11.5000
11.0000
8.0000
11.5000
11.0000
7.7466
211

4.2.4
CF

2015
2014
2013
0.69
0.81
0.35
PTR (times)
to decrease in investment activities during the latest financial year.
4.2.5
Asset Allocation
As at the latest financial year end (i.e. 30 April 2015), the Fund has invested 92.47% in equities
and the balance of 7.53% was held in liquid assets and other net current assets.
Equities
Construction
Consumer Products
Finance
Industrial Products
Plantations
Properties
Technology
Trading/Services
TSR/ Warrants/ Call Warrants

assets
As at
30/04/15
%
As at
30/04/14
%
As at
30/04/13
%
13.04
8.52
8.30
9.13
5.78
3.80
43.56
0.34
12.58
12.55
11.11
9.84
9.20
39.12
-
5.94
32.10
2.36
0.47
1.36
2.80
0.63
47.69
-
92.47
94.40
93.35
7.53
5.60
6.65
100.00
100.00
100.00
The decrease in equity investments in the latest financial year reflected the unstable market
sentiments.
212

4.3
BF
PERFORMANCE OF RHB BOND FUND

The Fund has been in operation since 10 October 1997 and its financial year end is on 30
September. The Funds performances are as follows:

Maybanks 12 months fixed
deposit rate
1 Year
30/09/14
30/09/15
5.22

3 Years
5 Years
30/09/12
30/09/10
30/09/15
30/09/15
4.18
6.93
3.30
3.20
3.14
Average Total Return of BF in comparison with Maybanks 12 months

fixed deposit rate
8.00
4.3.1
7.00
6.00
5.00
4.00
3.00
2.00
1.00
0.00
1 year
3 years
5 years
Maybanks 12 months fixed deposit rate
The Fund has recorded positive returns outperforming its benchmark in the latest financial year,
3 years and 5 years period. Thus, the Fund has achieved its investment objective to provide
investors with higher than average income returns compared to fixed deposits over the medium
to long term.
213


deposit rate

deposit rate

Financial Year Ended 30 September
2014
2013
2012
2011
3.05
4.29
13.76
8.69
2015
5.22
3.30
3.16
3.17
3.17
2.97

2009
2008
2007
2006
7.71
(11.84)
3.45
2.18
2010
(0.39)
2.66
2.92
3.73
3.75
3.80
Annual Total Return of BF in comparison with Maybanks 12 months

fixed deposit rate
15.00
4.3.2
BF
10.00
5.00
0.00
-5.00
-10.00
-15.00
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
Maybank's 12 months fixed deposit rate
Over ten financial reporting periods, the Funds highest return was recorded in 2012
outperforming the benchmark by 10.59% with a return of 13.76%. The Funds worst
performance was in 2008 with a negative return of 11.84% during the economic crisis. For the
latest financial year, the Fund has registered a gain of 5.22% as compared to its benchmark
return of 3.30%. The Funds outperformance was attributed to the Managers active
management in strategizing the portfolio duration and tactical asset allocation which was well
invested during the latest financial year.
214

4.3.3
BF
Distribution Record
2015
2014
2013
6.7000
6.6000
6.5000
6.7000
6.6000
6.5000

4.3.4

2015
2014
2013
1.06
0.58
1.04
PTR (times)
The PTR for the latest financial year was higher compared with the previous financial year due
to increase in investment activities during the latest financial year.
4.3.5
Asset Allocation
As at the latest financial year end (i.e. 30 September 2015), the Fund has invested 97.68% in
unquoted fixed income securities and the balance of 2.32% in liquid assets and other net current
assets.
Fixed Income Securities

Unquoted bonds

assets
As at
30/09/15
%
As at
30/09/14
%
As at
30/09/13
%
97.68
97.68
93.45
93.45
93.79
93.79
2.32
6.55
6.21
100.00
100.00
100.00
The Fund has been relatively well-invested during the latest financial year, which reflected the
Managers tactical strategy in line with the market outlook, as well as managing liquidity risk.
215

4.4
MDF
PERFORMANCE OF RHB MALAYSIA DIVA FUND

The Fund has been in operation since 3 May 1999 and its financial year end is on 31 March.
Following the decisions made via a unit holders meeting held on 3 December 2008, the Fund
had undergone a comprehensive restructuring with changes to its investment objective,
investment strategy and asset allocation. Consequently, with effect from 31 December 2008
(date of restructuring), the Funds performance benchmark was changed to Maybanks 12
months fixed deposit rate to reflect the changes to the Funds investment strategy. The new
performance benchmark is used for all performance reporting.

Maybanks 12 months
fixed deposit rate
1 Year
31/03/15
31/03/16
(2.45)

3 Years
31/03/13
31/03/16
7.78
5 Years
31/03/11
31/03/16
7.11
3.29
3.22
3.18
Average Total Return of MDF in comparison with Maybanks 12

months fixed deposit rate
10.00
4.4.1
8.00
6.00
4.00
2.00
0.00
-2.00
-4.00
1 year
3 years
5 years
Over the long term period of 5 years, the Fund recorded an annualised return of 7.11% over the
benchmark annualised return of 3.18%.
216

4.4.2
MDF

Financial Year Ended 31 March
2015
2014
2013
(6.36)
37.09
7.98
2016
(2.46)

deposit rate

deposit rate
3.17
2012
4.31
3.30
3.23
3.17
2011
18.22

2010
2009
2008
38.68
(23.48)
0.96
2007
23.54
2.84
2.51
3.83
3.52
3.12
3.73
Annual Total Return of MDF in comparison with Maybanks 12

months fixed deposit rate
50.00
40.00
30.00
20.00
10.00
0.00
-10.00
-20.00
-30.00
2016
2015
2014

*
2013
2012
2011
2010
2009
2008
2007
In the latest financial year, the Fund has registered a loss of 2.46% underperforming its
benchmark with a return of 3.30%. The underperformance was attributed to the Managers
stock selection and asset allocation strategy. Thus, the Fund has not achieved its investment
objective during the latest financial year.
4.4.3
Distribution Record
2016
2015
2014
12.0000
6.2000
12.0000
6.2000
217

4.4.4
MDF

2016
2015
2014
1.69
2.03
0.83
PTR (times)
to lesser investment activities for the latest financial year.
4.4.5
Asset Allocation
As at the latest financial year end (i.e. 31 March 2016), the Fund was 108.31*% invested in
equities.
Equities
Trading/Services
Consumer Products
Industrial Products
Construction
Finance
Plantations
Properties
Technology

As at
30/03/16
%
As at
30/03/15
%
As at
30/03/14
%
21.20
20.39
24.73
10.21
7.21
12.82
11.75
108.31*
20.21
12.27
25.50
8.74
7.32
16.95
1.61
5.16
97.76
40.44
1.88
12.61
10.63
6.40
3.38
17.01
6.54
3.50
102.39*
(8.31)
2.24
(2.39)
100.00
100.00
100.00
The asset allocation reflects the Funds strategy to have maximum exposure to the investments.
*The excess over 100% was mainly attributable to provision made for income distribution
which had not been paid as at the end of the respective financial year.
218

4.5
GLF Today
PERFORMANCE OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE TODAY

The Fund has been in operation since 21 February 2005 and its financial year end is on 28/29
February. The Funds performances are as follows:

Composite benchmark**
1 Year
28/02/15
29/02/16
5.27
1.60

3 Years
28/02/13
29/02/16
4.85
2.86
5 Years
28/02/11
29/02/16
5.22
3.05
Average Total Return of GLF Today in comparison with Composite

benchmark
6.00
4.5.1
5.00
4.00
3.00
2.00
1.00
0.00
1 year
3 years

*
5 years
Composite benchmark
** The benchmark is the weighted average of 10% of FBM KLCI and 90% of Maybanks 12
months fixed deposit rate.
In the latest financial year, the Fund has registered a gain of 5.27% as compared to its
benchmark return of 1.60%. On longer terms, i.e. the 3 years and 5 years period, the Fund
consistently outperformed its benchmark returns. Thus, the Fund has achieved its investment
objective to provide investors who are retiring in the very near future a steady income stream in
planning for their financial needs upon retirement.
219




Financial Year Ended 28/29 February
2015
2014
2013
2012
5.75
3.55
5.55
6.01
2.65
4.35
3.30
3.37
2016
5.29
1.60
2011
9.36
4.50

2010
2009
2008
5.75
1.54
14.59
5.96
(1.34)
4.88
2007
9.97
6.28
Annual Total Return of GLF Today in comparison with Composite

benchmark
4.5.2
GLF Today
16.00
14.00
12.00
10.00
8.00
6.00
4.00
2.00
0.00
-2.00
-4.00
2016
2015
2014
2013
2012

*
2011
2010
2009
2008
2007
Composite benchmark
Over ten reporting periods, the Fund has consistently outperformed its benchmarks return in
eight out of ten periods registering returns ranging from 1.54% to 14.59% with the two periods
of underperformance registering returns of 5.75% (2010) and 3.55% (2014).
220

4.5.3
GLF Today
Distribution Record
2016
2015
2014
6.4000
3.2000
6.4000
3.2000

4.5.4

2016
2015
2014
0.38
0.25
0.54
PTR (times)
The PTR for the latest financial year was higher compared with the previous financial year as a
result of higher investment activities during the latest financial year.
4.5.5
Asset Allocation
As at the latest financial year end (i.e. 29 February 2016), the Fund has invested 20.01% in
equities, 73.25% in fixed income securities and the balance of 6.74% in liquid assets and other
net current assets.
As at
29/02/16
%
As at
28/02/15
%
As at
28/02/14
%
3.64
12.01
2.02
2.34
20.01
0.52
0.11
2.12
0.46
1.48
1.35
3.75
9.79
0.53
1.28
1.03
1.43
0.70
0.51
4.86
10.34
73.25
70.17
88.68

assets
6.74
20.04
0.98
100.00
100.00
100.00
Equities
Construction
Consumer Products
Finance
Industrial Products
Properties
Technology
Trading/Services
221

4.6
GLF 2020
PERFORMANCE OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2020


1 Year
28/02/15
29/02/16
1.62
(4.64)

3 Years
28/02/13
29/02/16
5.60
1.43
5 Years
28/02/11
29/02/16
5.53
2.51
Average Total Return of GLF 2020 in comparison with Composite

benchmark
8.00
4.6.1
6.00
4.00
2.00
0.00
-2.00
-4.00
-6.00
1 year
3 years

*
5 years
Composite benchmark
The Fund has consistently recorded positive returns and outperformed the benchmark in the
latest financial year, 3 years and 5 years period. Thus, the Fund has achieved its investment
objective to provide investors planning to retire in the year 2020, a wealth accumulation vehicle
for meeting their financial needs upon retirement.
222



2015
2014
2013
2012
4.17
11.25
6.31
4.56
0.62
8.79
3.89
4.44
2016
1.63
(4.65)


2011
16.23
11.41
2010
36.11
22.98
2009
(15.42)
(20.01)
2008
29.50
9.56
2007
31.58
17.48
Annual Total Return of GLF 2020 in comparison with Composite

benchmark
40.00
4.6.2
GLF 2020
30.00
20.00
10.00
0.00
-10.00
-20.00
-30.00
2016
2015
2014
2013

*
2012
2011
2010
2009
2008
2007
Composite benchmark
The Fund has consistently outperformed the benchmark in each financial reporting period since
2007 although it registered a loss of 15.42% in 2009 compared to its benchmarks loss of
20.01%. The Funds outperformance over the benchmark in the latest financial year with a
return of 1.63% was attributed largely to better asset allocation and security selection, together
with a more active trading stance.
223

4.6.3
GLF 2020
Distribution Record
2016
2015
2014
11.2150
5.3000
11.2150
5.3000

4.6.4

2016
2015
2014
0.94
0.87
0.57
PTR (times)
The PTR for the latest financial year was higher compared to the previous financial year due to
higher investment activities during the latest financial year.
4.6.5
Asset Allocation
equities and 32.11% in fixed income securities.
Equities
Construction
Consumer Products
Finance
Industrial Products
Plantations
Properties
Technology
Trading/Services

assets
As at
29/02/16
%
As at
28/02/15
%
As at
28/02/14
%
20.04
5.94
24.29
1.77
1.42
5.58
10.79
69.83
5.57
1.14
1.16
8.56
1.16
6.07
3.75
20.09
47.50
3.91
3.83
9.46
4.49
4.03
1.11
3.16
1.77
18.87
50.63
32.11
45.72
35.21
(1.94)*
6.78
14.16
100.00
100.00
100.00
* The excess over 100% is attributed to dividend payable for the latest financial year, which
had not been paid as at 29 February 2016.
224

4.7
GLF 2030
PERFORMANCE OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2030


1 Year
28/02/15
29/02/16
0.10
(0.77)

3 Years
5 Years
28/02/13
28/02/11
29/02/16
29/02/16
7.58
7.55
0.68
2.23
Average Total Return of GLF 2030 in comparison with Composite

benchmark
4.7.1
8.00
7.00
6.00
5.00
4.00
3.00
2.00
1.00
0.00
-1.00
-2.00
1 year
3 years

*
5 years
Composite benchmark
The Fund has consistently recorded positive returns and outperformed the benchmark in the
latest financial year, 3 years and 5 years period. Thus, the Fund has achieved its investment
objective which is to provide investors planning to retire in the year 2030, a wealth
accumulation vehicle for meeting their financial needs upon retirement.
225




2015
2014
2013
2012
3.25
20.48
8.35
6.69
(0.37)
11.09
4.20
5.01
2016
0.10
(7.79)
2011
19.09
15.46

2010
2009
2008
36.15
(20.48)
30.63
35.77
(29.97)
12.23
2007
39.33
25.01
Annual Total Return of GLF 2030 in comparison with Composite

benchmark
50.00
4.7.2
GLF 2030
40.00
30.00
20.00
10.00
0.00
-10.00
-20.00
-30.00
-40.00
2016
2015
2014
2013

*
2012
2011
2010
2009
2008
2007
Composite benchmark
The Fund has consistently outperformed the benchmark in each financial reporting period since
its launch date despite the negative return of 20.48% in 2009 versus the negative return of the
composite benchmark of 29.97%. For the latest financial year, the Fund has registered a gain of
0.10% as compared to its benchmark return of loss 7.79%.
226

4.7.3
GLF 2030
Distribution Record
2015
2014
2013
15.6000
7.2000
15.6000
7.2000

4.7.4

2016
2015
2014
1.22
1.23
0.86
PTR (times)
The PTR for the latest financial year was lower compared to the previous financial year due to
investment were sold to meet redemptions during the latest financial year.
4.7.5
Asset Allocation
equities and 6.88% in fixed income securities.
Equities
Construction
Consumer Products
Finance
Industrial Products
Plantations
Properties
Technology
Trading/Services

assets
As at
29/02/16
%
As at
28/02/15
%
As at
28/02/14
%
28.66
7.27
26.30
1.92
1.77
2.04
9.43
16.70
94.09
7.79
2.30
2.00
13.28
1.99
10.11
7.80
31.84
77.11
6.68
7.02
16.04
7.33
6.57
1.91
5.80
2.76
31.94
86.05
6.88
11.27
1.36
(0.97)*
11.62
12.59
100.00
100.00
100.00
* The excess over 100% is attributable to dividend payable for the latest financial year, which
had not been paid as at 29 February 2016.
227

4.8
CMF
PERFORMANCE OF RHB CASH MANAGEMENT FUND 1

The Fund has been in operation since 23 August 2007 and its financial year end is on 31 July.

Maybanks savings rate
1 Year
31/07/14
31/07/15
3.62
1.66

3 Years
5 Years
31/07/12
31/07/10
31/07/15
31/07/15
3.31
3.13
1.66
1.62
Average Total Return of CMF in comparison with Maybanks savings

rate
4.00
4.8.1
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0.00
1 year
3 years
Net Asset Value per unit

*
5 years
Over a 5-year period, the Fund has recorded annualised return of 3.13% against the
benchmarks annualised return of 1.62%. The Fund has met its investment objective to provide
liquidity and regular income for investors through investments primarily in the money market.
228

4.8.2
CMF


Financial Year Ended 31 July
2014
2013
2012
3.21
3.11
3.03
1.66
1.66
1.66
2015
3.62
1.66

2011
2.70
1.47

Since launch
23/08/07 - 31/07/08
2010
2009
1.94
2.42
2.33
1.12
1.26
1.42
Annual Total Return of CMF in comparison with Maybanks savings

rate
4.00
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0.00
2015
2014
2013
2012

*
2011
2010
2009
Since
launch
The Fund has consistently provided positive returns in each financial reporting period.
4.8.3
Distribution Record
2015
2014
2013
3.5599
3.1650
3.1121
3.5599
3.0862
2.9169
229

4.8.4
CMF

2015
2014
2013
17.09
19.40
22.08
PTR (times)
to lower transactional activities compared relatively to the Funds increased size during the
latest financial year.
4.8.5
Asset Allocation
As at the latest financial year end (i.e. 31 July 2015), the Fund has invested 99.05% in deposits
with licensed financial institutions and 0.95% in liquid assets and other net current assets.
Deposits with licensed financial

institutions
Collective investment scheme
As at
31/07/15
%
99.05
As at
31/07/14
%
95.94
As at
31/07/13
%
93.62
6.62
0.95
4.06
(0.24)*
100.00
100.00
100.00
*The excess over 100% is attributable to payment on cancellation of units due to the Manager,
which has not yet been paid as at 31 July 2013.
The asset allocation reflected the Funds strategy to have maximum exposure to the
investments.
230

4.9
MF
PERFORMANCE OF RHB MUDHARABAH FUND

The Fund has been in operation since 9 May 1996 and its financial year end is on 28/29
February. Effective from 1 January 2016, the Funds composite benchmark comprising 50% of
FTSE Bursa Malaysia Emas Shariah Index and 50% of Maybank Islamic Berhads 12 months
general investment account-i rate changed to 50% of FTSE Bursa Malaysia Emas Shariah Index
and 50% of Maybank Islamic Berhads 12 months Islamic Fixed Deposit-i because Maybank
Islamic Berhads general investment account-i benchmark uses a Shariah principle
(Mudharabah) which is no longer deemed as deposits, thus, leaving the Fund with an
inappropriate benchmark. The Funds performances are as follows and where applicable is
based on 50% of FTSE Bursa Malaysia Emas Shariah Index and 50% of Maybank Islamic
Berhads 12 months general investment account-i rate from 28 February 2011 31 December
2015; and 50% of FTSE Bursa Malaysia Emas Shariah Index and 50% of Maybank Islamic
Berhads 12 months Islamic Fixed Deposit-i from 1 January 2016 to 29 February 2016**:

1 Year
28/02/15
29/02/16
(0.48)
(2.40)

3 Years
28/02/13
29/02/16
0.40
3.34
5 Years
28/02/11
29/02/16
1.86
3.95
Average Total Return of MF in comparison with Composite

benchmark
5.00
4.9.1
4.00
3.00
2.00
1.00
0.00
-1.00
-2.00
-3.00
1 year
3 years

*
5 years
Composite benchmark
For the latest financial year, the Fund has registered a loss of 0.48% outperforming its
benchmark loss of 3.04%. Over the longer terms, i.e. 3 years and 5 years period, the Fund has
achieved positive returns of 0.40% and 1.86% against the benchmarks returns of 3.34% and
3.82%.
231

4.9.2
MF


2016
(0.48)
(3.05)

2015
2014
2013
2012
(6.04)
8.22
2.09
6.12
2.26
11.33
2.88
6.22
2011
12.76
10.47

2010
2009
2008
2007
23.32
(15.52)
15.13
15.24
22.73
(23.63)
16.28
19.21
Annual Total Return of MF in comparison with Composite

benchmark
30.00
20.00
10.00
0.00
-10.00
-20.00
-30.00
2016
2015
2014
2013

*
2012
2011
2010
2009
2008
2007
Composite benchmark
For the latest financial year, the Fund has registered a loss of 0.48% outperforming its
benchmark loss of 3.05%. During the latest financial year, the Fund has maintained a steady
and defensive investment strategy.
4.9.3
Distribution Record
2016
2015
2014
4.0000
4.0000
232

4.9.4
MF

2016
2015
2014
1.24
1.14
1.05
PTR (times)
The PTR for the latest financial year was higher compared with the previous financial year as
investments were sold to meet redemptions during the latest financial year.
4.9.5
Asset Allocation
Shariah-compliant equities, 38.92% in sukuk and the balance of 2.78% in liquid assets and
other net current assets.
As at
29/02/16
%
As at
28/02/15
%
As at
28/02/14
%
2.25
10.80
24.02
15.09
2.93
3.21
58.30
9.33
2.22
2.02
1.57
2.33
7.19
22.17
4.51
1.53
0.12
1.53
54.52
5.46
2.75
2.95
3.53
2.62
7.99
32.61
57.91
Sukuk
38.92
37.42
40.87
Liquid assets and other net current assets
2.78
100.00
8.06
100.00
1.22
100.00
Shariah-compliant equities
Construction
Consumer Products
Finance
Industrial Products
Properties
Trading/Services
Technology
ACE Market
TSR/Warrants
Real Estate Investment Trusts
233

4.10
IBF
PERFORMANCE OF RHB ISLAMIC BOND FUND

The Fund has been in operation since 25 August 2000 and its financial year end is on 30
September. Effective from 1 January 2016, the Funds benchmark was changed from Maybank
Islamic Berhads 12 months general investment account-i rate to Maybank Islamic Berhads 12
months Islamic Fixed Deposit-i rate because Maybank Islamic Berhads general investment
account-i benchmark uses a Shariah principle (Mudharabah) which is no longer deemed as
deposits, thus, leaving the Fund with an inappropriate benchmark. The Funds performances
below are in reference to its previous benchmark:
4.10.1 Average Total Returns of the Fund

1 Year
3 Years
5 Years
30/09/14
30/09/12
30/09/10
30/09/15
30/09/15
30/09/15
6.08
10.07
7.50
3.42
3.27
3.19

Benchmark**
Average Total Return of IBF in comparison with Benchmark
12.00
10.00
8.00
6.00
4.00
2.00
0.00
1 year
3 years

*
5 years
Benchmark
** The benchmark is the Maybank Islamic Berhads 12 months general investment account-i
rate.
Over long term period i.e. 5 years, the Fund recorded an annualised return of 7.50% whilst the
benchmark recorded annualised return of 3.19%. Thus, the Fund has met its objective to
provide investors with regular income through investments in sukuk.
234
IBF
4.10.2 Annual Total Returns of the Fund

Benchmark**

Benchmark**
2015
6.08
3.42

2014
2013
2012
2011
4.45
20.36
(0.40)
8.14
3.21
3.21
3.21
2.99
2010
8.60
2.72

2009
2008
2007
2006
8.74
5.18
0.79
2.61
2.80
3.15
3.91
3.71
Annual Total Return of IBF in comparison with Benchmark
25.00
20.00
15.00
10.00
5.00
0.00
-5.00
2015
2014
2013
2012
2011

*
2010
2009
2008
2007
2006
Benchmark
** The benchmark is the Maybank Islamic Berhads 12 months general investment account-i
rate.
Over the ten financial reporting periods, the Funds highest return was recorded in 2013 which
outperformed its benchmark by 17.15% with a return of 20.36%. The Funds superior
performance was attributed to the portfolio duration and tactical asset allocation strategies
which performed well in line with the positive corporate bonds performance. However, the
Fund recorded a loss of 0.40% in 2012 due to the fair value valuation made on Tracoma bond
as a result of a calling of event of default by bondholders on 10 October 2011.
235
IBF
4.10.3 Distribution Record

2015
2014
2013
8.9000
8.8000
8.0000
8.9000
8.8000
8.0000

4.10.4 Portfolio Turnover Ratio (PTR)
2015
2014
2013
0.90
0.42
1.24
PTR (times)
to higher investment activities during the financial year.
4.10.5 Asset Allocation
As at the latest financial year end (i.e. 30 September 2015), the Fund has invested 98.65% in
unquoted sukuk and the balance of 1.35% in liquid assets and other net current assets.

Unquoted sukuk

As at
30/09/15
%
As at
30/09/14
%
As at
30/09/13
%
98.65
98.65
93.92
93.92
77.77
77.77
1.35
6.08
22.23
100.00
100.00
100.00
The portfolio asset allocation has been relatively well-invested during the latest financial year,
which reflected the Managers tactical strategy in line with the market outlook, as well as
managing liquidity risk.
236

4.11
ICMF
PERFORMANCE OF RHB ISLAMIC CASH MANAGEMENT FUND

The Fund has been in operation since 30 June 2008 and its financial year end is on 30
November. Effective from 1 January 2016, the Funds benchmark was changed from Maybank
Islamic Berhads general investment account-i 1 month rate to Maybank Islamic Berhads 1
month Islamic Fixed Deposit-i rate because Maybank Islamic Berhads general investment
account-i benchmark uses a Shariah principle (Mudharabah) which is no longer deemed as
deposits, thus, leaving the Fund with an inappropriate benchmark. The Funds performances
below are in reference to its previous benchmark:

1 Year
3 Years
5 Years
30/11/14
30/11/12
30/11/10
30/11/15
30/11/15
30/11/15
3.61
3.32
3.11
3.38
3.01
2.97

Benchmark**
Average Total Return of ICMF in comparison with Benchmark
3.30
3.20
3.10
3.00
2.90
2.80
2.70
2.60
2.50
1 year
3 years

*
5 years
Benchmark
** The benchmark is the Maybank Islamic Berhads general investment account-i 1-month
rate.
The Fund has achieved its investment objective to provide liquidity and a regular stream of
income by investing in Shariah-compliant money market instruments.
237
ICMF

Benchmark**

Financial Year Ended 30 November
2014
2013
2012
3.22
3.14
2.91
2.87
2.78
2.90
2015
3.61
3.38

Financial Year Ended
30 November

Benchmark**
2011
2010
2009
2.68
2.93
2.07
2.44
1.92
2.19
Since
launch
30/06/08
30/11/08
0.74
0.96
Annual Total Return of ICMF in comparison with Benchmark
4.00
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0.00
2015
2014
2013
2012
2011
2010
2009
Since
launch
Benchmark
** The benchmark is the Maybank Islamic Berhads general investment account-i 1-month
rate.
For the latest financial year, the Fund registered a return of 3.61% whilst its benchmark
recorded a return of 3.38%. The Funds outperformance was achieved through consistent
review of rates across the portfolio.
238
ICMF

2015
2014
2013
3.5866
3.1728
3.1014
3.5866
3.1577
2.8929

2015
2014
2013
15.29
13.63
15.53
PTR (times)
to higher transactional activities compared relatively to the Funds increased size as the Fund
has been well-positioned during the financial year.
As at the latest financial year end (i.e. 30 November 2015), the Fund has invested 99.86% in
Shariah-based deposits with licensed financial institutions and the balance of 0.14% in liquid
assets and other net current assets.
Islamic deposits with licensed financial

institutions
assets
As at
30/11/15
%
99.37
As at
30/11/14
%
99.86
As at
30/11/13
%
99.88
0.63
0.14
0.12
100.00
100.00
100.00
The asset allocation reflects the Funds strategy to have maximum exposure to the investments.
During the latest financial year, the asset allocation was relatively unchanged and was wellinvested.
239

4.12
DVEF
PERFORMANCE OF RHB DIVIDEND VALUED EQUITY FUND

The Fund has been in operation since 13 July 2005 and its financial year end is on 31 May. The
Funds performances are as follows:

1 Year
3 Years
5 Years
31/05/14
31/05/12
31/05/10
31/05/15
31/05/15
31/05/15
19.58
9.62
5.82
20.14
17.17
11.44

MSCI Asia Pacific Free ex Japan Index
Average Total Return of DVEF in comparison with MSCI Asia Pacific

Free ex Japan Index
25.00
20.00
15.00
10.00
5.00
0.00
1 year
3 years

*
5 years
Over long term i.e. 5 years period, the Fund recorded an annualised return of 5.82% compared
to its benchmark annualised return of 11.44%. Hence, the Fund has yet to achieve its
investment objective to provide investors with total returns primarily through investment in
equity and equity related securities of companies which offer attractive yields and sustainable
dividend payments.
240
DVEF

MSCI Asia Pacific Free ex
Japan Index
2015
19.58

Financial Year Ended 31 May
2014
2013
2012
(2.60)
13.11
(16.58)
2011
20.77
20.14
13.07
23.10
18.41
(13.17)


MSCI Asia Pacific Free ex
Japan Index
2010
2009
2008
2007
5.74
(22.88)
(1.81)
37.84
Since
launch
13/07/05 31/05/06
12.20
13.52
(25.09)
5.85
30.63
17.21
40.00
30.00
20.00
10.00
0.00
-10.00
-20.00
-30.00
2015
2014
2013
2012

*
2011
2010
2009
2008
2007
Since
launch
During the latest financial year, the Fund registered an annual return of 19.58% compared to the
benchmarks return of 20.14%. The Funds underperformance was due to asset allocation as
stock selection had positive returns.
The Fund has not declared any distribution for the past three financial years.
241
DVEF

2015
2014
2013
1.20
2.48
0.38
PTR (times)
The PTR for the latest financial year was lower compared with the previous financial year as
there were lesser investment opportunities during the financial year.
As at the latest financial year end (i.e. 31 May 2015), the Fund has invested 97.98% in equities
and the balance of 2.02% in liquid assets and other net current assets.
Equities
Industrial Products
Materials
Energy
Communications
Consumer, cyclical
Consumer, non-cyclical
Financials
Trading/Services
Consumer Discretionary
Consumer Staples
Construction
Properties
Consumer Products
Technology
Healthcare
Industrials
Utilities
As at
31/05/15
%
As at
31/05/14
%
As at
31/05/13
%
6.72
3.22
15.22
25.80
1.35
9.27
22.50
4.23
8.03
1.64
97.98
9.82
2.76
2.07
5.59
15.43
11.45
5.01
2.44
0.21
1.04
8.15
8.08
72.05
4.36
7.21
4.06
12.22
8.24
4.57
48.08
88.74
2.02
27.95
11.26
100.00
100.00
100.00
The increase in equities investments weighting during the latest financial year was reflective of
the Managers stance to risk manage its portfolio in an environment of volatile markets.
242

4.13
GFF
PERFORMANCE OF RHB GLOBAL FORTUNE FUND

The Fund has been in operation since 8 August 2006 and its financial year end is on 28/29

1 Year
28/02/15
29/02/16
6.35
2.45

3 Years
5 Years
28/02/13
28/02/11
29/02/16
29/02/16
11.17
7.73
13.18
9.21
Average Total Return of GFF in comparison with Composite

benchmark
14.00
12.00
10.00
8.00
6.00
4.00
2.00
0.00
1 year
3 years

*
5 years
Composite benchmark
** The benchmark is the weighted average of 60% of MSCI World and 40% of Dividend
Yield (MSCI World).
On a long term basis, i.e. 5 years period, the Fund recorded an annualised gain of 7.73% whilst
the benchmark recorded an annualised gain of 9.21%. The Fund has achieved its investment
objective to provide total return from dividend income, option premiums and capital
appreciation, sustainable distributions and typically lower portfolio volatility compared to a
normal equity investment.
243
GFF
2016
6.37
Net Asset Value per

Unit
Composite
benchmark**

2015
2014
2013
12.12
15.23
8.67
2.45
14.16
18.89
2012
(2.82)
9.76
(2.21)

Since
launch
Net Asset Value per

Unit
Composite
benchmark**
2011
2010
2009
2008
4.87
27.78
(32.13)
(10.82)
08/08/06 28/02/07
1.07
1.06
19.75
(19.76)
(9.02)
2.93
Annual Total Return of GFF in comparison with Composite

benchmark
30.00
20.00
10.00
0.00
-10.00
-20.00
-30.00
-40.00
2016
2015
2014
2013

*
2012
2011
2010
2009
2008
Since
launch
Composite benchmark
** The benchmark is the weighted average of 60% of MSCI World and 40% of Dividend
Yield (MSCI World).
In the latest financial year, the Fund recorded an annual return of 6.37% outperforming the
benchmarks annual return of 2.45%. The Funds outperformance was due to the total stock
selection effects to the target fund, which were strongly positive due to the target funds
exposure to stocks with earnings growth as well as earnings and price momentum.
The Fund has not declared any distributions for the past three financial years.
244
GFF

2016
2015
2014
0.21
0.24
0.13
PTR (times)
to lesser investment activities during the financial year.
collective investment scheme Allianz Global High Payout Fund and the balance of 4.05% in
liquid assets and other net current assets.
As at
29/02/16
%
As at
28/02/15
%
As at
28/02/14
%
Foreign collective investment scheme
95.95
98.00
99.58

assets
4.05
2.00
0.42
100.00
100.00
100.00
The asset allocation reflects the Funds strategy to have maximum exposure to the target fund,
Allianz Global High Payout Fund. During the latest financial year, the asset allocation was
relatively unchanged and was well-invested.
245

4.14
ATRF
PERFORMANCE OF RHB ASIAN TOTAL RETURN FUND

The Fund has been in operation since 26 February 2007 and its financial year end is on 31
December.
Prior to 25 June 2012, the Fund invested in the Schroder International Selection Fund Asian
Bond Absolute Return (formerly known as Schroder International Selection Fund Asian Bond).
Following the decisions made via a unit holders meeting held on 1 March 2012, the Fund
started to invests into the United Asian Bond Fund effective from 25 June 2012. Consequently,
the Funds performance benchmark was also changed to JP Morgan Asia Credit Index Total
Return Composite which is used in all performance reporting.

1 Year
3 Years
31/12/14
31/12/2012
31/12/15
31/12/2015
23.86
41.06

JP Morgan Asia Credit Index Total
Return Composite
26.24
54.21
Average Total Return of ATRF in comparison with JP Morgan Asia

Credit Index Total Return Composite
60.00
55.00
50.00
45.00
40.00
35.00
30.00
25.00
20.00
15.00
10.00
5.00
0.00
1 year
*
3 years
JP Morgan Asia Credit Index Total Return Composite
During the latest financial year, the Fund recorded a total return of 23.86% compared to the
benchmarks return of 26.24%. Thus, the Fund has achieved its objective of providing capital
appreciation, albeit underperforming the benchmark.
246
ATRF
2015
Net Asset Value per
unit
JP Morgan Asia Credit
Index Total Return
Composite
Citigroup
Treasury/Agency
Index Total Return^
2012
23.86
10.78
2.81
4.06
26.24
15.63
5.64
3.33
2011
Net Asset Value per
Unit
JP Morgan Asia Credit
Index Total Return
Composite
Citigroup
Treasury/Agency
Index Total Return^

2014
2013

2010
2009
2008
(1.81)
(4.86)
(3.03)
0.21
12.17
(4.75)
(3.76)
18.21
Annual Total Return of ATRF in comparison with benchmark

30.00
25.00
20.00
15.00
10.00
5.00
0.00
-5.00
-10.00
2015
2014
2013
2012
2011
2010
2009
2008

JP Morgan Asia Credit Index Total Return Composite
Citigroup Treasury/Agency Index Total Return
*
The benchmark performance was based on Citigroup Treasury/Agency Index Total Return
till 24 June 2012.
Since the Fund changed its investment strategy by investing in the United Asian Bond i.e. from
25 June 2012, the Fund has recorded positive returns for the last four financial years, albeit
underperforming its benchmark returns in 2013, 2014 and 2015. For the latest financial year,
the Fund recorded a return of 23.86% whilst the benchmark recorded a return of 26.24%.
247
ATRF

The Fund has not declared any distributions for the past three financial years.
2015
2014
2013
0.21
0.54
0.45
PTR (times)
The PTR for the latest financial year was lower compared with the previous financial year as
there were less investment activities during the financial year.
As at the latest financial year end (i.e. 31 December 2015), the Fund has invested 95.36% in
collective investment scheme United Asian Bond Fund and the balance of 4.64% in liquid
assets and other net current assets.
As at
31/12/15
%
As at
31/12/14
%
As at
31/12/13
%
95.36
99.26
99.29

assets
4.64
0.74
0.71
100.00
100.00
100.00
United Asian Bond Fund. During the latest financial year, the asset allocation was relatively
unchanged and was well-invested.
248

4.15
USEF
PERFORMANCE OF RHB-GS US EQUITY FUND

The Fund has been in operation since 18 May 2011 and its financial year end is on 30 June. The
Funds performances are as follows:

1 Year
3 Years
30/06/14
30/06/11
30/06/15
30/06/15
7.71
15.89
26.22
24.25

S&P 500 Index
Average Total Return of USEF in comparison with S&P 500 Index
30.00
25.00
20.00
15.00
10.00
5.00
0.00
1 year
3 years

*
S&P 500 Index
On a 3-year basis, the Fund has recorded positive returns although it underperformed its
benchmark by 8.36%. Thus, the Fund has met its objective to achieve long term capital
appreciation, albeit underperforming against its benchmarks returns through investment in a
collective investment scheme, Goldman Sachs US Equity Portfolio which invests primarily in
securities of US companies.
249
USEF

Financial Year Ended 30 June
2015
2014
2013
Net Asset Value per
Unit
S&P 500 Index
7.71
21.13
19.31
Since launch
18/05/11 30/06/12
2.91
26.22
26.64
19.99
10.90
Annual Total Return of USEF in comparison with S&P 500 Index
30.00
25.00
20.00
15.00
10.00
5.00
0.00
2015
2014
2013

*
Since launch
S&P 500 Index
The Fund registered a gain of 7.71% compared to the benchmarks return of 26.22% in the
latest financial year. The underperformance was mainly due to the stock selection by the
manager of the target fund, Goldman Sachs US Equity Portfolio. Stock selection within the
energy and consumer discretionary sectors contributed to relative performance while stock
selection within the healthcare and financial sectors detracted from relative performance of the
target fund, Goldman Sachs US Equity Portfolio.
Financial Year Ended 30 June
2015
2014
2013
0.40
0.63
0.74
PTR (times)
to lower trading activities during the financial year.
250
USEF

As at the latest financial year end (i.e. 30 June 2015), the Fund has invested 102.81*% in a
collective investment scheme Goldman Sachs US Equity Portfolio and the balance of (2.81)%
in liquid assets and other net current assets.
As at
30/06/15
%
As at
30/06/14
%
As at
30/06/13
%
102.81*
97.30
87.00
Liquid assets and other net current assets
(2.81)
100.00
2.70
100.00
13.00
100.00
* The excess over 100% is mainly attributable to payment on cancellation of units and accrual
of expenses and other payable, which have not yet been paid as at 30 June 2015.
251
CHAPTER 5: HISTORICAL FINANCIAL HIGHLIGHTS OF THE FUNDS

5.
HISTORICAL FINANCIAL HIGHLIGHTS OF THE FUNDS
5.1
RHB DYNAMIC FUND
DF
The summarised income statement and assets and liabilities of the Fund for the last three
financial years are set out below:
5.1.1
Extract of Statement of Comprehensive Income
Investment income/(loss)
Total expenses
Net investment income
Profit/(Loss) before taxation
Profit/(Loss) after taxation
5.1.2
2013
RM
13,181,953
(828,494)
12,353,459
12,353,459
12,315,105
Year ended 31 December

2014
RM
(5,326,395)
(818,566)
(6,144,961)
(6,144,961)
(6,153,511)
2015
RM
4,422,902
(734,027)
3,688,875
3,688,875
3,688,875
Extract of Statement of Financial Position
Total investments
Total other assets
Total assets
Total liabilities
Net asset value
Unit Holders capital
2013
RM
52,062,757
2,313,454
54,376,211
(3,408,565)
50,967,646
50,967,646

2014
2015
RM
RM
39,713,160
42,216,739
2,599,377
1,803,146
42,312,537
44,019,885
(1,304,727)
(1,098,510)
41,007,810
42,921,375
41,007,810
42,921,375

The audited financial statements of the Fund are disclosed in the Funds annual report
and the annual report is available upon request.
252

5.2
CF
RHB CAPITAL FUND

5.2.1
Total expenses
Profit/(loss) before taxation
Profit/(loss) after taxation
5.2.2
2013
RM
16,723,257
(2,801,324)
13,921,933
13,921,933
13,701,290
Year ended 30 April

2014
RM
32,684,858
(2,733,290)
29,951,568
29,951,568
29,950,442
2015
RM
(6,522,894)
(2,822,356)
(9,345,250)
(9,345,250)
(9,345,250)
Total investments
Total other assets
Total assets
Total liabilities
Net asset value
2013
RM
140,167,736
21,133,358
161,301,094
(11,143,283)
150,157,811
150,157,811
Year ended 30 April

2014
2015
RM
RM
161,536,908
145,453,477
23,490,949
28,975,159
185,027,857
174,428,636
(13,916,418)
(17,133,043)
171,111,439
157,295,593
171,111,439
157,295,593

253

5.3
BF
RHB BOND FUND

5.3.1
Investment income
Total expenses
Profit before taxation
Profit after taxation
5.3.2
2013
RM
2,370,118
(503,211)
1,866,907
1,866,907
1,866,907
Year ended 30 September

2014
2015
RM
RM
1,844,584
2,927,740
(622,599)
(572,987)
1,221,985
2,354,753
1,221,985
2,354,753
1,221,985
2,354,753
Total investments
Total other assets
Total assets
Total liabilities
Net asset value
2013
RM
34,299,344
4,761,034
39,060,378
(2,488,769)
36,571,609
36,571,609

2014
2015
RM
RM
34,171,598
42,954,758
5,062,295
4,236,402
39,233,893
47,191,160
(2,668,631)
(3,217,901)
36,565,262
43,973,259
36,565,262
43,973,259

254

5.4
MDF
RHB MALAYSIA DIVA FUND

5.4.1
Total expenses
5.4.2
2014
RM
2,913,227
(169,452)
2,743,775
2,743,775
2,743,775
Year ended 31 March

2015
RM
(553,377)
(190,635)
(744,012)
(744,012)
(743,892)
2016
RM
(107,676)
(182,267)
(289,943)
(289,943)
(289,943)
Total investments
Total other assets
Total assets
Total liabilities
Net asset value
2014
RM
9,962,395
778,822
10,741,217
(1,011,383)
9,729,834
9,729,834
Year ended 31 March

2015
2016
RM
RM
10,077,771
8,836,356
479,036
394,428
10,556,807
9,230,784
(248,080)
(1,072,162)
10,308,727
8,158,622
10,308,727
8,158,622

255

5.5
GLF Today
RHB GOLDENLIFE FUNDS RHB GOLDENLIFE TODAY

5.5.1
Investment income
Total expenses
5.5.2
Year ended 28/29 February

2014
2015
2016
RM
RM
RM
1,311,451
1,851,778
1,830,262
(373,525)
(364,874)
(397,264)
937,926
1,486,904
1,432,998
937,926
1,486,904
1,432,998
937,816
1,486,904
1,432,998
Total investments
Total other assets
Total assets
Total liabilities
Net asset value

2014
2015
2016
RM
RM
RM
25,430,957
21,947,112
28,169,697
1,666,885
5,548,237
3,585,818
27,097,842
27,495,349
31,755,515
(1,415,444)
(49,086)
(1,550,884)
25,682,398
27,446,263
30,204,631
25,682,398
27,446,263
30,204,631

256

5.6
GLF 2020
RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2020

5.6.1
Investment income
Total expenses
5.6.2

2014
2015
2016
RM
RM
RM
1,406,851
940,005
578,250
(211,934)
(272,477)
(347,844)
1,194,917
667,528
230,406
1,194,917
667,528
230,406
1,190,552
667,401
230,406
Total investments
Total other assets
Total assets
Total liabilities
Net asset value

2014
2015
2016
RM
RM
RM
11,671,927
18,320,562
21,565,847
2,898,936
1,374,109
1,326,682
14,570,863
19,694,671
22,892,529
(973,999)
(41,978)
(1,738,156)
13,596,864
19,652,693
21,154,373
13,596,864
19,652,693
21,154,373

257

5.7
GLF 2030
RHB GOLDENLIFE FUNDS RHB GOLDENLIFE 2030

5.7.1
Investment income
Total expenses
5.7.2

2014
2015
2016
RM
RM
RM
1,230,172
485,972
261,976
(124,526)
(182,537)
(244,283)
1,105,646
300,435
17,693
1,105,646
300,435
17,693
1,099,474
300,525
17,693
Total investments
Total other assets
Total assets
Total liabilities
Net asset value

2014
2015
2016
RM
RM
RM
6,948,190
11,872,756
14,812,279
1,634,351
1,661,122
1,243,566
8,582,541
13,533,878
16,055,845
(633,380)
(99,993)
(1,385,246)
7,949,161
13,433,885
14,670,599
7,949,161
13,433,885
14,670,599

258

5.8
CMF
RHB CASH MANAGEMENT FUND 1

5.8.1
Investment income
Total expenses
5.8.2
2013
RM
25,741,438
(2,614,889)
23,126,549
23,126,549
21,176,997
Year ended 31 July

2014
RM
33,040,532
(2,992,757)
30,047,775
30,047,775
29,232,309
2015
RM
69,820,508
(5,982,981)
63,837,527
63,837,527
63,837,527
Year ended 31 July

2014
RM
1,131,580,432
44,513,981
1,176,094,413
(1,235,413)
1,174,859,000
1,174,859,000
2015
RM
2,371,796,516
13,134,162
2,384,930,678
(1,446,678)
2,383,484,000
2,383,484,000
Total investments
Total other assets
Total assets
Total liabilities
Net asset value
2013
RM
759,473,661
175,570
759,649,231
(4,709,231)
754,940,000
754,940,000

259

5.9
MF
RHB MUDHARABAH FUND

5.9.1
Total expenses
5.9.2

2014
2015
2016
RM
RM
RM
2,190,287
(432,257)
192,435
(383,886)
(259,463)
(247,086)
1,806,401
(691,720)
(54,651)
1,806,401
(691,720
(54,651)
1,806,401
(691,720)
(56,284)
Total investments
Total other assets
Total assets
Total liabilities
Net asset value

2014
2015
2016
RM
RM
RM
20,410,426
12,511,717
13,548,768
2,270,130
1,388,049
479,181
22,680,556
13,899,766
14,027,949
(2,018,893)
(291,284)
(90,691)
20,661,663
13,608,482
13,937,258
20,661,663
13,608,482
13,937,258
Supplementary information to the Funds Statement of Comprehensive Income and Statement

of Financial Position above:
Note:
The Shariah Adviser confirms that the investment portfolio of RHB Mudharabah Fund
comprises securities which have been classified as Shariah-compliant by the Shariah Advisory
Council of the Securities Commission (SACSC). As for the securities which are not certified
by the SACSC, they have reviewed the said securities and opine that these securities are
designated as Shariah-compliant.
260

5.10
IBF
RHB ISLAMIC BOND FUND

5.10.1 Extract of Statement of Comprehensive Income
Investment income
Total expenses
2013
RM
4,958,000
(779,878)
4,178,122
4,178,122
4,178,122

2014
RM
1,876,016
(325,528)
1,550,488
1,550,488
1,550,488
2015
RM
3,002,503
(511,912)
2,490,591
2,490,591
2,490,591
5.10.2 Extract of Statement of Financial Position
Total investments
Total other assets
Total assets
Total liabilities
Net asset value
2013
RM
18,113,010
7,332,232
25,445,242
(2,154,812)
23,290,430
23,290,430

2014
2015
RM
RM
31,781,721
42,412,128
4,639,933
4,010,726
36,421,654
46,422,854
(2,581,899)
(3,431,394)
33,839,755
42,991,460
33,839,755
42,991,460

Note:
The Shariah Adviser confirms that the investment portfolio of RHB Islamic Bond Fund
comprises securities which have been classified as Shariah-compliant by the Shariah Advisory
Council of the Securities Commission (SACSC). As for the securities which are not certified
by the SACSC, they have reviewed the said securities and opine that these securities are
designated as Shariah-compliant.
261

5.11
ICMF
RHB ISLAMIC CASH MANAGEMENT FUND

Investment income
Total expenses
2013
RM
4,627,704
(473,461)
4,154,243
4,154,243
3,848,323
Year ended 30 November

2014
2015
RM
RM
13,818,408
32,826,883
(1,273,169)
(2,885,966)
12,545,239
29,940,917
12,545,239
29,940,917
12,519,106
29,940,931
Total investments
Total other assets
Total assets
Total liabilities
Net asset value
Year ended 30 November

2013
2014
2015
RM
RM
RM
174,288,238
838,322,839
933,808,030
6,608
115,103
689,215
174,294,846
838,437,942
934,497,245
(397,576)
(1,594,833)
(1,045,467)
173,897,270
836,843,109
933,451,778
173,897,270
836,843,109
933,451,778

Note:
The Shariah Adviser confirms that the investment portfolio of RHB Islamic Cash
Management Fund comprises securities which have been classified as Shariah-compliant by
the Shariah Advisory Council of the Securities Commission (SACSC). As for the securities
which are not certified by the SACSC, they have reviewed the said securities and opine that
these securities are designated as Shariah-compliant.
262

5.12
DVEF
RHB DIVIDEND VALUED EQUITY FUND

Investment (loss)/income
Total expenses
Net investment (loss)/income
(Loss)/Profit before taxation
(Loss)/Profit after taxation
2013
RM
6,182,136
(847,834)
5,334,302
5,334,302
5,262,889
Year ended 31 May

2014
RM
(30,592)
(521,708)
(552,300)
(552,300)
(582,458)
2015
RM
2,939,971
(359,745)
2,580,226
2,580,226
2,572,216
Year ended 31 May

2014
RM
13,144,655
9,816,781
22,961,436
(4,716,891)
18,244,545
18,244,545
2015
RM
12,711,381
464,749
13,176,130
(202,522)
12,973,608
12,973,608
Total investments
Total other assets
Total assets
Total liabilities
Net asset value
2013
RM
22,505,526
3,090,044
25,595,570
(235,636)
25,359,934
25,359,934

263

5.13
GFF
RHB GLOBAL FORTUNE FUND

Investment income
Total expenses

2014
2015
2016
RM
RM
RM
1,773,385
1,175,936
654,991
(48,886)
(44,445)
(39,570)
1,724,499
1,131,491
615,421
1,724,499
1,131,491
615,421
1,724,499
1,131,491
615,421
Total investments
Total other assets
Total assets
Total liabilities
Net asset value

2014
2015
2016
RM
RM
RM
11,597,480
9,074,724
7,219,378
200,341
237,301
326,974
11,797,821
9,312,025
7,546,352
(150,938)
(52,428)
(22,317)
11,646,883
9,259,597
7,524,035
11,646,883
9,259,597
7,524,035

264
5.14
ATRF
RHB ASIAN TOTAL RETURN FUND

Investment income
Total expenses

2014
RM
4,405,880
(159,507)
4,246,373
4,246,373
4,246,373
2015
RM
7,662,306
(171,638)
7,490,668
7,490,668
7,490,668

2013
2014
RM
RM
77,120,614
31,231,381
5,704,450
825,401
82,825,064
32,056,782
(5,154,392)
(591,332)
77,670,672
31,465,450
77,670,672
31,465,450
2015
RM
46,891,658
2,601,612
49,493,270
(320,200)
49,173,070
49,173,070
2013
RM
2,935,787
(485,852)
2,449,935
2,449,935
2,449,935
Total investments
Total other assets
Total assets
Total liabilities
Net asset value

265

5.15
USEF
RHB-GS US EQUITY FUND

Investment income
Total expenses
2013
RM
1,655,972
(178,384)
1,477,588
1,477,588
1,477,588
Year ended 30 June

2014
RM
9,349,654
(1,273,092)
8,076,562
8,076,562
8,076,562
2015
RM
8,333,000
(1,568,293)
6,764,707
6,764,707
6,764,707
Year ended 30 June

2014
RM
105,598,140
3,390,399
108,988,539
(461,548)
108,526,991
108,526,991
2015
RM
55,322,415
1,232,943
56,555,358
(2,743,212)
53,812,146
53,812,146
Total investments
Total other assets
Total assets
Total liabilities
Net asset value
2013
RM
13,082,105
1,992,846
15,074,951
(37,576)
15,037,375
15,037,375

266
CHAPTER 6: FEES, CHARGES AND EXPENSES

6.
FEES, CHARGES AND EXPENSES

The cost to the investor of investing in a Fund is as follows:
6.1
Charges
The charges directly incurred by an investor when purchasing or redeeming Units are as
follows:
(a)
Sales Charge
DF
GLF 2030
CF
MF
MDF
GLF 2020
The Manager will impose a Sales Charge which can be levied on an investor, net of
bank charges (if any) by the Managers various distributors as follows:
Distributor
% of NAV per Unit
Up to 6.00
Tied (Retail) Agent
Up to 6.00
Direct Sales
(Direct Investment with the Manager)
Up to 6.00
Note: Investor who invests in DF, CF, MDF, GLF 2020 and GLF 2030 via the EPF
Members Investment Scheme will be levied a Sales Charge of up to 3.00% of
Net Asset Value per Unit (or such other rate that may be determined by the
EPF from time to time).
GFF
ATRF
Distributor
% of Net Asset Value per Unit
Up to 5.25
Tied (Retail) Agent
Up to 5.25
Direct Sales
Up to 5.25
In respect of GFF and ATRF:

The target funds to which GFF and ATRF invest in do not charge any sales
charge.
267

DVEF
USEF
Distributor
Up to 5.00
Tied (retail) agent
Up to 5.00
Direct sales
Up to 5.00
In respect of USEF:
The target fund to which USEF invests in do not charge any sales charge.
GLF Today
Distributor
Up to 0.75
Tied (retail) agent
Up to 0.75
Direct sales
Up to 0.75
Note: Investor who invests in GLF Today via the EPF Members Investment Scheme
will be levied a Sales Charge of up to 0.75% of Net Asset Value per Unit (or
such other rate that may be determined by the EPF from time to time).
BF
CMF
IBF
ICMF
No Sales Charge will be levied.

Note: Investors may negotiate for a lower Sales Charge. All Sales Charge will be
rounded up to two (2) decimal places and will be retained by the Manager.
Illustration
Say, an investor makes an investment of RM10,000.00 at the selling price of RM0.2523
and the distributor levies a sales charge of 5.00%, the investor will pay a total of
RM10,530.00 as follows:
Investment amount
RM 10,000.00
Add:
Sales charge levied by the distributor @ 5.00%
GST1 (6% of RM500.00)
=
=
RM
RM
Total amount paid by the investor
RM 10,530.00
268
500.00
30.00

The investor will be allotted with 7,654.62 units calculated as follows:
RM10,000.00
RM1.3064*
Units allotted is calculated as
= 7,654.62 units**
* Unit price is rounded to the nearest 4 decimal places.

** Units computed are rounded to the nearest 2 decimal places.
1
(b)
The implementation of GST is effective 1 April 2015 at the rate of 6% and the fees
and charges payable are exclusive of GST.
Repurchase Charge
DF
CMF
GFF
CF
MF
ATRF
MDF
ICMF
USEF
GLF
DVEF
The Manager will not impose any Repurchase Charge on investors redeeming their
investments.
Illustration
Say, an investor redeems of 7,654.62 units of the Fund at the repurchase price of
RM1.3064 (which is the Net Asset Value per Unit as at the next valuation point), he
would receive proceeds of redemption of RM10,000.00 as follows:
Redemption amount (7,654.62 units x RM1.3064)
RM 10,000.00
Less: repurchase charge
RM
Net amount payable to the investor
RM 10,000.00
BF
(NIL)
IBF
The Manager will impose a Repurchase Charge on investors redeeming their

investments as follows:
Distributor
Up to 1.00
Tied (Retail) Agent
Up to 1.00
Direct Sales
Up to 1.00
The Repurchase Charge of up to 1.00% of Net Asset Value per Unit is payable by a
Unit Holder if he redeems his investments on or before the first year of investment.
After one year period, no Repurchase Charge will be levied.
Investors may negotiate for a lower Repurchase Charge. All Repurchase Charge will be
rounded up to two (2) decimal places and will be retained by the Manager.
269

Illustration
RM 10,000.00
Less:
Repurchase charge of 1.00%
GST1a(Nil)
=
=
RM
RM 9,900.00
(100.00)
Nil

1a
(c)
and charges payable are exclusive of GST. The repurchase charge herein is a penalty
in nature and is not subject to GST. However, the Manager reserves the right to
charge GST without prior notification to investor when directed to do so by the
Royal Malaysian Customs or when there is a change in the interpretation of the
nature of the repurchase charge by the Royal Malaysian Customs.
Other Charges
(i)
Switching of Units
DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
This is considered as a withdrawal of investment from one Fund and an

investment into any of the unit trust funds under the management of the
Manager that allows switching of units. A switching fee will be imposed on
Unit Holders switching between funds under management (that allow
switching). A switching fee1 of RM25.00 will be imposed and deducted from
the redemption amount of the units to be switched for a switch between funds
that impose a similar sales charge or a switch to a fund that impose a lower
sales charge. Unit Holders switching to a fund that imposes a higher sales
charge will pay the difference in sales charge which is deductible from the
redemption amount of the Units to be switched.
The Manager however, reserves the right to vary this fee or to vary the terms of
the switching facility. The Manager may reject any switching request:
(i)
that it regards as disruptive to efficient portfolio management; or
(ii) if deemed by the Manager to be contrary to the best interest of the Fund.
For GLF, the Manager does not charge any switching fee when switching
between RHB GoldenLife Funds.
270

Illustration (based on DF and MDF as at the Latest Practicable Date)
If a Unit Holder switches 10,000 Units in RHB Dynamic Fund at the
repurchase price of RM1.3064 and wishes to invest in RHB Malaysia DIVA
Fund at the selling price of RM0.5272 (where both Funds have the Sales
Charge of 6.00% of NAV per Unit).
Proceeds from switch (RHB Dynamic Fund)
(10,000 Units x RM1.3064)
RM13,064.00
Less:
Switching fee RM25.00
GST1 (6% of RM25.00)
RM (25.00)
RM (1.50)
Net proceeds from switch
RM13,037.50
Proceeds from RHB Dynamic Fund invested in RHB

Malaysia DIVA Fund:
RM13,037.50
RM0.5272
= 24,729.70 Units**
**Units computed are rounded to the nearest 2 decimal places.

1
(ii)
The implementation of GST is effective 1 April 2015 at the rate of 6% and

the fees and charges payable are exclusive of GST.
Transfer of Units
DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
No transfer fee is applicable.

6.2
Fees and Expenses

The fees and expenses indirectly incurred by an investor when investing in a Fund are as
follows:
(a)
Managers Fees
DF
GLF 2020
CF
GLF 2030
MDF
MF
The Manager is entitled to a management fee1 of up to one point five per cent (1.50%)
per annum of the Net Asset Value calculated on a daily basis before deducting the
Managers and Trustees fees for that particular day.
BF
The Manager is entitled to a management fee1 of up to one per cent (1.00%) per annum
of the Net Asset Value calculated on a daily basis before deducting the Managers and
Trustees fees for that particular day.
271

GLF Today
ATRF
The Manager is entitled to a management fee1 of up to one point two five per cent
(1.25%) per annum of the Net Asset Value calculated on a daily basis before deducting
the Managers and Trustees fees for that particular day.
In respect of ATRF, a portion of this fee is paid to UOB Asset Management Ltd. As
this Fund invests in units of United Asian Bond Fund, any management fee charged to
United Asian Bond Fund by the United Asian Bond Funds manager in relation to the
Funds investments in United Asian Bond Fund will be fully refunded to this Fund.
Accordingly, there is NO DOUBLE CHARGING OF MANAGEMENT FEE. This
means that the Unit Holder will incur ONLY ONE MANAGEMENT FEE and
ONLY AT THE FUNDS LEVEL i.e. up to one point two five per cent (1.25%) per
annum of the Net Asset Value.
CMF
ICMF
The Manager is entitled to a management fee1 of up to zero point three per cent (0.30%)
IBF
Profit sharing scheme between the Manager and the Fund in the ratio of 15:85
respectively based on the net investment income, which is the income of the Fund less
of the Trustees fee and all permitted or allowable expenses under the Deed.
DVEF
The Manager is entitled to a management fee1 of up to one point eight per cent (1.80%)
GFF
USEF
The Manager is entitled to a management fee1 of up to one point eight five per cent
(1.85%) per annum of the Net Asset Value calculated on a daily basis before deducting
In respect of GFF, a portion of this fee is paid to Allianz Global Investors Singapore
Limited. As this Fund invests in units of Allianz Global High Payout Fund, any
management fee charged to Allianz Global High Payout Fund by the Allianz Global
High Payout Funds manager in relation to the Funds investments in Allianz Global
High Payout Fund will be fully refunded to this Fund. Accordingly, there is NO
DOUBLE CHARGING OF MANAGEMENT FEE. This means that the Unit Holder
will incur ONLY ONE MANAGEMENT FEE and ONLY AT THE FUNDS
LEVEL i.e. up to one point eight five per cent (1.85%) per annum of the Net Asset
Value.
In respect of USEF, a portion of this fee is paid to Goldman Sachs Asset Management
International. As this Fund invests in units of Goldman Sachs US Equity Portfolio, any
management fee charged to Goldman Sachs US Equity Portfolio by the Goldman Sachs
US Equity Portfolios manager in relation to the Funds investments in Goldman Sachs
US Equity Portfolio will be fully refunded to this Fund. Accordingly, there is NO
DOUBLE CHARGING OF MANAGEMENT FEE. This means that the Unit Holder
will incur ONLY ONE MANAGEMENT FEE and ONLY AT THE FUNDS
272

LEVEL i.e. up to one point eight five per cent (1.85%) per annum of the Net Asset
Value.
However, up to 10% of the Goldman Sachs US Equity Portfolio may be invested in
other funds which may themselves charge a management or advisory fee to the
Goldman Sachs US Equity Portfolio. Such management or advisory fee would
therefore be indirectly borne by the Fund.
Management fee
USEF
Management fee charged

by the Manager
Target fund
x% out of the management fee paid to the

Goldman Sachs US Equity Portfolio
Management fee charged by the target fund will be paid out of the
management fee charged by the Manager
THERE IS NO DOUBLE CHARGING OF MANAGEMENT FEES
Illustration: Computation of annual management fee

Assuming that the Net Asset Value (before deducting the Managers fee and Trustees
fee) of a Fund for a particular day is RM105,000,000.00 and assuming the annual
management fee is at the rate of one point five per cent (1.50%) per annum, the
calculation of the management fee of the Fund for that particular day is as follows:
RM 105,000,000.00 x 1.50%
365 days*
RM 4,315.07
Add: GST1 (6% of RM4,315.07)
RM258.90
Total management fee payable for

that particular day
RM4,573.97
*Note: In the event of a leap year, the annual management fee will be divided by 366
days.
1
(b)
Trustee's Fee
DF
The Trustee is entitled to a trustee fee1 of zero point zero seven per cent (0.07%) per
annum of the Net Asset Value calculated on a daily basis before deducting the
CF
GLF Today
GLF 2020
GLF 2030
The Trustee is entitled to a trustee fee1 of zero point zero six per cent (0.06%) per
273

BF
The Trustee is entitled to a trustee fee1 of zero point zero eight per cent (0.08%) per
MDF
annum of the Net Asset Value calculated on a daily basis, subject to a minimum of
RM18,000 per annum before deducting the Managers and Trustees fees for that
particular day.
CMF
ICMF
The Trustee is entitled to a trustee fee1 of zero point zero two five per cent (0.025%)
MF
The Trustee is entitled to a trustee fee1 of zero point zero nine per cent (0.09%) per
IBF
The Trustee is entitled to a trustee fee1 of zero point one per cent (0.10%) per annum of
the Net Asset Value calculated on a daily basis, subject to a minimum of RM35,000 per
annum before deducting the Managers and Trustees fees for that particular day.
DVEF
GFF
ATRF
The Trustee is entitled to a trustee fee1 of zero point zero six per cent (0.06%) per
annum of the Net Asset Value calculated on a daily basis (excluding foreign custodian
fees and charges) before deducting the Managers and Trustees fees for that particular
day.
USEF
annum of the Net Asset Value calculated on a daily basis, subject to a minimum of
RM18,000 per annum (excluding foreign custodian fees and charges) before deducting
274

Illustration: Computation of annual trustee fee
Assuming that the Net Asset Value (before deducting the Managers fee and Trustees
fee) of a Fund for a particular day is RM105,000,000.00 and assuming the trustee fee is
at the rate of zero point zero eight per cent (0.08%) per annum, the calculation of the
trustee fee of the Fund for that particular day is as follows:
RM 105,000,000.00 x 0.08%
365 days*
Add: GST1 (6% of RM230.14)
RM230.14
RM13.80
Total management fee payable for =

that particular day
RM243.94
*Note: In the event of a leap year, the annual trustee fee will be divided by 366 days.
1
(c)
Other Indirect Fees

GFF
ATRF
USEF
In respect of GFF and USEF, since the Manager will invest in unit/shares of the
respective target fund, there are other fees and charges indirectly incurred by the
respective target fund such as the annual custodian fees and transaction fees which are
incurred at that target funds level.
In respect of ATRF, since the Manager will invest in unit/shares of its target fund,
there are other fees and charges indirectly incurred by that target fund such as the
subscription fee, realisation charge, switching fee, annual trustee fee, annual custodian
fees, annual valuation and accounting fee, annual registrar fee and transaction fees
which are incurred at that target funds level.
The rates for these fees will vary according to the country of investment and, in some
cases, according to asset class. Thus the custody cost to a target fund will depend on its
asset allocation at any time. As such, Unit Holders will indirectly bear the custodian fee
and transaction fees charged at that target funds level.
Other fees borne by a target fund include operating and related expenses including but
not limited to, stamp duties, taxes, commissions and other dealing costs, foreign
exchange costs, bank charges, registration fees in relation to investments, insurance and
security costs, fees and expenses of the auditor, the remuneration and expenses of its
directors and officers, all expenses incurred in the collection of income and certain
other expenses incurred in the administration of that target fund and in the acquisition,
holding and disposal of investments. A target fund will also be responsible for the costs
of preparing, translating, printing and distributing all its respective rating agencies,
statements, notices, accounts, prospectuses and reports.
These fees and charges are imputed into the calculation of each of the target funds net
asset value. As such, Unit Holders are indirectly bearing the above fees and expenses
charged at the target fund level.
Investors should note the above higher fees arising from the layered investment
structure of the Fund.
275
(d)
Other Expenses Directly Related to the Fund

DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
In administering the Funds, there are expenses directly related to the Funds. These
expenses include the cost of auditors fees and other relevant professional fees,
custodial charges, cost of distribution of interim and annual reports, tax certificates,
reinvestment statements or distribution cheques (where applicable) and other notices to
Unit Holders. In addition, there are expenses that are directly related and necessary to
the business of the Fund as set out in its respective Deed, such as commissions or fees
paid to brokers, other transaction costs and taxes, if any, that are also paid out of the
respective Fund.
All expenses pursuant to the issuance of this Master Prospectus will be borne by the
Manager.
6.3
Total Annual Expenses Incurred by the Fund in the Preceding Financial Year
DF
Financial year ended 31 December 2015.
Management Fee
RM
%*
634,893
1.50
Trustee Fee
RM
%*
29,628
0.07
Other Expenses
RM
%*
69,506
0.16
Total Annual Expenses

RM
%*
734,027
1.73
Other Expenses
RM
%*
42,550
0.02

RM
%*
2,822,356
1.58
Other Expenses
RM
%*
58,877
0.12

RM
%*
572,987
1.20
Other Expenses
RM
%*
29,337
0.26

RM
%*
182,267
1.84
Other Expenses
RM
%*
102,693
0.11

RM
%*
466,892
1.42
CF
Financial year ended 30 April 2015.
Management Fee
RM
%*
2,672,890
1.50
Trustee Fee
RM
%*
106,916
0.06
BF
Financial year ended 30 September 2015.
Management Fee
RM
%*
476,028
1.00
Trustee Fee
RM
%*
38,082
0.08
MDF
Financial year ended 31 March 2016.
Management Fee
RM
%*
145,187
1.50
Trustee Fee
RM
%*
7,743
0.08
GLF Today
Financial year ended 29 February 2016.
Management Fee
RM
%*
347,518
1.25
Trustee Fee
RM
%*
16,681
0.06
*reflected as a percentage of average Net Asset Value for the financial year.
276
GLF 2020
Management Fee
RM
%*
301,670
1.50
Trustee Fee
RM
%*
12,067
0.06
Other Expenses
RM
%*
34,107
0.15

RM
%*
347,844
1.71
Other Expenses
RM
%*
28,534
0.17

RM
%*
244,283
1.73
Other Expenses
RM
%*
72,552
0.005

RM
%*
5,892,981
0.33
Other Expenses
RM
%*
31,636
0.21

RM
%*
247,086
1.80
Other Expenses
RM
%*
27,813
0.06

RM
%*
511,912
1.20
GLF 2030
Management Fee
RM
%*
207,451
1.50
Trustee Fee
RM
%*
8,298
0.06
CMF
Financial year ended 31 July 2015.
Management Fee
RM
%*
5,372,704
0.30
Trustee Fee
RM
%*
447,725
0.025
MF
Management Fee
RM
%*
203,255
1.50
Trustee Fee
RM
%*
12,195
0.09
IBF**
Financial year ended 30 September 2015.
Management Fee
RM
%*
441,503
1.04
Trustee Fee
RM
%*
42,596
0.10
**Note: There will be no fixed rate of annual management fee for RHB Islamic Bond Fund.
Profit sharing scheme between the Manager and the Fund in the ratio of 15:85 respectively
based on the net investment income, which is the income of the Fund less the Trustees fee and
all permitted or allowable expenses under the Deed.
ICMF
Financial year ended 30 November 2015.
Management Fee
RM
%*
2,531,726
0.30
Trustee Fee
RM
%*
210,977
0.025
Other Expenses
RM
%*
143,263
0.015

RM
%*
2,885,966
0.34
Other Expenses
RM
%*
80,475
0.54

RM
%*
359,745
2.40
DVEF
Financial year ended 31 May 2015.
Management Fee
RM
%*
270,261
1.80
Trustee Fee
RM
%*
9,009
0.06
277
GFF
Management Fee
RM
%*
21,759
0.24
Trustee Fee
RM
%*
5,142
0.06
Other Expenses
RM
%*
12,669
0.16

RM
%*
39,570
0.46
Other Expenses
RM
%*
35,595
0.14

RM
%*
171,638
0.46
Other Expenses
RM
%*
36,718
0.05

RM
%*
1,568,293
1.98
ATRF
Financial year ended 31 December 2015.
Management Fee
RM
%*
113,472
0.26
Trustee Fee
RM
%*
22,571
0.06
USEF
Financial year ended 30 June 2015.
Management Fee
RM
%*
1,468,090
1.85
Trustee Fee
RM
%*
63,485
0.08
The respective Funds annual report is available upon request.
278

6.4
Management Expense Ratio of the Fund for the Past Three (3) Financial Years (Where
Applicable)
DF
Financial year ended 31 December

2015
2014
2013
1.73
1.63
1.64
Management Expense Ratio (MER) (%)
The MER for the last financial year was higher compared with the previous financial year due
to lower average NAV during the last financial year.
CF
Financial year ended 30 April

2015
2014
2013
1.58
1.58
1.58
The MER for the last financial year was consistent with the previous financial year.
BF
Financial year ended 30 September

2015
2014
2013
1.20
1.55
1.15
The MER for the last financial year was lower compared with the previous financial year due to
lower total expenses during the financial year.
MDF
Financial year ended 31 March

2016
2015
2014
1.84
1.74
1.77
to decrease in the average NAV for the financial year.
GLF Today
Financial year ended 28/29 February

2016
2015
2014
1.42
1.37
1.37
to higher expenses during the last financial year.
GLF 2020

2016
2015
2014
1.71
1.65
1.71
The MER for the last financial year was higher compared to the previous financial year due to
higher expenses during the last financial year.
GLF 2030

2016
2015
2014
1.73
1.69
1.85
279

CMF
Financial year ended 31 July

2015
2014
2013
0.33
0.32
0.36
MF

2016
2015
2014
1.80
1.73
1.69
to lower average NAV which has resulted in higher MER for certain non-variable expenses.
IBF
Financial year ended 30 September

2015
2014
2013
1.20
0.97
3.21
ICMF
Financial year ended 30 November

2015
2014
2013
0.34
0.33
0.36
DVEF
Financial year ended 31 May

2015
2014
2013
2.40
2.44
2.14
The MER for the last financial year was lower compared with the previous financial year due to
lower expenses during the last financial year.
GFF

2016
2015
2014
0.46
0.43
0.40
to lower average NAV which has resulted in higher MER for certain non-variable expenses.
ATRF
Financial year ended 31 December

2015
2014
2013
0.46
0.36
0.35
to lower average NAV during the last financial year.
280
USEF
Financial year ended 30 June

2015
2014
2013
1.98
1.94
2.15
The respective Funds annual report is available upon request.
6.5
Policy on Rebates and Soft Commissions

DF
GLF
DVEF
CF
CMF
GFF
USEF
BF
MF
MDF
IBF
ATRF
ICMF
It is the Managers policy to credit all stockbroking rebates to the account of the respective
Funds.
However, goods and services (soft commissions) may be retained by the Manager only if the
goods and services are of demonstrable benefit to the Unit Holders, such as research materials
and computer software, which are incidental to the investment management activities of the
Fund.
6.6
Goods and Services Tax

DF
GLF
DVEF
CF
CMF
GFF
USEF
BF
MF
MDF
IBF
ATRF
ICMF
All fees and charges payable to the Manager and the Trustee are subject to any applicable taxes
and/or duties (including but not limited to GST) as may be imposed by the government from
time to time.
There are fees and charges involved and investors are advised to consider them
before investing in any of the Fund.
281
CHAPTER 7: TRANSACTION INFORMATION

7.
TRANSACTION INFORMATION
7.1
Pricing
The Manager adopts the single pricing policy, i.e. the selling price and the repurchase price is
the Net Asset Value per Unit.
7.1.1
Computation of Selling Price

DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
The selling price shall be the Net Asset Value per Unit as at the next valuation point of
the Funds relevant Business Day after the request for Units is received by the Manager
(forward pricing). A Sales Charge will be calculated and charged separately.
Illustration: Computation of selling price
The following is an illustration using hypothetical figures:
Daily Net Asset Value
Units in circulation
RM44,097,264.66
33,756,000
RM44,097,264.66
33,756,000
= RM1.3064*
Say, an investor makes an investment of RM10,000.00 at the selling price of RM1.3064

and the distributor levies a sales charge of 5.00%, the investor will pay a total of
RM10,530.00 as follows:
Investment amount
RM 10,000.00
Add:
Sales charge levied by the distributor @ 5.00%
GST1 (6% of RM500.00)
=
=
RM
RM
Total amount paid by the investor
RM 10,530.00
500.00
30.00
The investor will be allotted with 7,654.62 units calculated as follows:

RM10,000.00
RM1.3064*
Units allotted is calculated as
= 7,654.62 units**

1
282

7.1.2
Computation of Repurchase Price

DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
The repurchase price shall be the Net Asset Value per Unit as at the next valuation
point of the Funds relevant Business Day after the request for repurchase is received
by the Manager (forward pricing). The Manager will not impose any Repurchase
Charge on the redemption amount except for BF and IBF. For BF and IBF, a
Repurchase Charge of up to 1.00% of the NAV per Unit will be levied if a Unit Holder
redeems his investments on or before the first year of investment. Thereafter, no
Repurchase Charge will be imposed.
Illustration: Computation of repurchase price
The following is an illustration using hypothetical figures:
Daily Net Asset Value
Units in circulation
RM47,992,019.47
47,238,000
RM47,992,019.47
47,238,000
= RM1.0160*
RM 10,000.00
Less:
Repurchase charge of 1.00%
GST1a(Nil)
=
=
RM (100.00)
Nil
RM 9,900.00

1a
and charges payable are exclusive of GST. The repurchase charge herein is a penalty
in nature and is not subject to GST. However, the Manager reserves the right to
charge GST without prior notification to investor when directed to do so by the
Royal Malaysian Customs or when there is a change in the interpretation of the
nature of the repurchase charge by the Royal Malaysian Customs.
283

7.1.3
Pricing Error Policy

DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
The Manager shall ensure that the Funds and the Units are correctly valued and priced
according to the respective Deed and all relevant laws. Where there is an error in the
valuation of the Funds, any incorrect pricing of Units which is deemed to be significant
will involve the reimbursement of money in the following manner:
(a) by the Manager to the respective Fund, and/or to the Unit Holders and/or to the
former Unit Holders; or
(b) by the respective Fund to the Manager.
However, reimbursement of money shall only apply if the error is at or above the
significant threshold of 0.5% of the Net Asset Value per Unit and the amount to be
reimbursed is RM10.00 or more.
7.1.4
Selling and Repurchase Price of Transaction

DF
MF
USEF
CF
IBF
BF
DVEF
MDF
GFF
GLF
ATRF
A transaction of Units by an investor or Unit Holder is considered as carried out on a

particular Business Day only if the payment together with completed application form
and relevant supporting documents are received by the Manager not later than 4:00 p.m.
(or such other time as the Manager may deem fit in its discretion) on that same Business
Day. In the event the same is only received by the Manager after 4:00 p.m. (or such
other time as the Manager may deem fit in its discretion), the transaction is considered
as carried out on the immediate following Business Day. Any payment made on a nonBusiness Day shall be treated as payment made on the following Business Day.
Applications for redemption must be submitted to the Manager on a Business Day no
later than 4:00 p.m. Such redemption requests are deemed received only if all
documents and forms received by the Manager are duly and correctly completed. Any
documents and forms received by the Manager after 4:00 p.m. on a Business Day shall
be treated as having been received by the Manager on the immediate following
Business Day.
Notwithstanding the preceding paragraphs above, the business hours, payment cut-off
time and payment system of the IUTAs are subject to the internal policies of the
respective IUTAs.
CMF
ICMF
A transaction of Units by an investor or Unit Holder is considered as carried out on a

particular Business Day only if the payment (in cleared funds) together with completed
application form and relevant supporting documents are received by the Manager not
later than 12:00 p.m. (or such other time as the Manager may deem fit in its discretion)
on that same Business Day. In the event the same is only received by the Manager after
12:00 p.m. (or such other time as the Manager may deem fit in its discretion), the
transaction is considered as carried out on the immediate following Business Day. Any
284

payment (in cleared funds) made on a non-Business Day shall be treated as payment
made on the following Business Day.
Applications for redemption must be submitted to the Manager on a Business Day no
later than 12:00 p.m. Such redemption requests are deemed received only if all
documents and forms received by the Manager are duly and correctly completed. Any
documents and forms received by the Manager after 12:00 p.m. on a Business Day shall
be treated as having been received by the Manager on the immediate following
Business Day.
Notwithstanding the preceding paragraphs above, the business hours, payment cut-off
time and payment system of the IUTAs are subject to the internal policies of the
respective IUTAs.
7.2
Transaction Details
(a)
How to Purchase and Redeem Units

DF
MF
USEF
CF
IBF
BF
DVEF
MDF
GFF
GLF
ATRF
When purchasing Units, investors must forward the following:

1)
completed application form (including the investor suitability assessment form);
2)
necessary remittance; and
3)
relevant supporting documents such as a photocopy of their identity card (for an

individual applicant) or certified true copies of the certificate of incorporation or
registration, memorandum and articles of association or constitution or by-laws,
and relevant resolutions (for a corporate applicant)
to the Managers registered office or any of its branches, or to any of its authorised
sales agents or participating Institutional Unit Trust Advisers (IUTAs) before their
respective cut-off times.
The minimum initial investment of the respective Fund is RM1,000.00 and the
minimum additional investment is RM100.00 (or such other amount as the Manager
may from time to time accept).
Please refer to our Directory of Outlets for Purchase and Sale of Units at the end of this
Master Prospectus.
Similarly, Units can be redeemed by forwarding the completed form of request to
repurchase to the Managers registered office or any of its branch offices, or to any its
authorised sales agents or participating IUTAs before their respective cut-off times.
There are no restrictions on the number of Units a Unit Holder can redeem out of his
investments or the frequency of redemptions in a year. However, the Manager shall not
be bound to comply with any request for redemption of Units if the balance of Units
held after the redemption is less than one thousand (1,000) Units or such other quantity
as the Manager may from time to time decide (the minimum holding) for DF, CF,
MDF, BF, IBF and MF or less than two thousands (2,000) Units or such other quantity
as the Manager may from time to time decide (the minimum holding) for GLF, GFF,
DVEF, ATRF and USEF. For the avoidance of doubt, the Manager will deem an
automatic request for a full repurchase of Units to have been made by the Unit Holder
285

should a request for partial redemption leave the balance of Units held after the
redemption less than the applicable minimum holding.
For USEF and ATRF, all repurchase of Units may be subject to such limit on the
number of Units which can be repurchased by a Unit Holder on a Business Day. In the
event that the respective target fund imposes a suspension of or limit on the number of
units which can be redeemed from it, this would result in several repurchase prices
being computed. Each Unit Holder will therefore be paid on a staggered basis based on
the repurchase prices calculated at each valuation point when the staggered payment
request is met by the respective target fund until the full redemption amount so
requested by such Unit Holder can be completed. As such, the full redemption proceeds
will be paid to the Unit Holder within fifteen (15) Business Days after the request for
repurchase of Units is received by the Manager or after five (5) Business Days of such
other extended period as may be imposed by the respective target fund.
If such a suspension is imposed by the respective target fund, the Manager will inform
the affected Unit Holders within two (2) Business Days after the date of the Manager
being notified in writing of such suspension and/or such extension in the suspension
period imposed by the target fund.
CMF
ICMF
When purchasing Units, investors must forward the following:

1)
completed application form (including the investor suitability assessment form);
2)
necessary remittance; and
3)
relevant supporting documents such as a photocopy of their identity card (for an

and relevant resolutions (for a corporate applicant)
to the Managers registered office or any of its branches, or to any of its authorised
sales agents or participating Institutional Unit Trust Advisers (IUTAs) before their
The minimum initial investment of the respective Fund is RM100,000.00 for
institutional investors and RM50,000.00 for retail investors or multiples thereof and the
minimum additional investment is RM50,000.00 for institutional investors and
RM25,000.00 for retail investors or multiples thereof (or such other amount as the
Manager may from time to time accept).
Master Prospectus.
Similarly, Units can be redeemed by forwarding the completed form of request to
repurchase to the Managers registered office or any of its branch offices, or to any its
authorised sales agents or participating IUTAs before their respective cut-off times.
Redemption monies will be paid by the following Business Day after receipt by the
Manager of the request to repurchase Units.
There are no restrictions on the number of Units a Unit Holder can redeem out of his
investments or the frequency of redemptions in a year. However, the Manager shall not
be bound to comply with any request for redemption of Units if the balance of Units
held after the redemption is less than one hundred thousand (100,000) Units for an
286

institutional investor or less than fifty thousands (50,000) Units for a retail investor or
such other quantity as the Manager may from time to time decide (the minimum
holding). For the avoidance of doubt, the Manager will deem an automatic request for a
full repurchase of Units to have been made by the Unit Holder should a request for
partial redemption leave the balance of Units held after the redemption less than the
applicable minimum holding.
(b)
Cooling-off Period
DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
The cooling-off right refers to the right of an investor to obtain a refund of his
investment if he so requests within the cooling-off period. The cooling-off right is only
given to an investor, other than those listed below, who is investing in any unit trust
funds managed by the Manager for the first time:
(i) a corporation or institution;
(ii) a staff of the Manager; and
(iii) persons registered to deal in unit trust funds.
The refund to the investor pursuant to the exercise of his cooling-off right shall not be
less than the sum of:
a)
the Net Asset Value per Unit on the day the Units were purchased; and
b)
the Sales Charge originally imposed on the day the Units were purchased.
The cooling-off period shall be within six (6) Business Days which shall be effective
from the date of receipt of the application by the Manager. During this cooling-off
period, should a Unit Holder change his mind about the investment, he may exercise his
cooling-off right via a letter and shall be paid within ten (10) days of the receipt of the
cooling-off notice by the Manager. Where applicable, for investors contributing from
their EPF accounts, the cooling-off period shall be subject to EPFs terms and
conditions.
The cooling-off right allows investors the opportunity to reverse an investment decision
which could have been unduly influenced by certain external elements or factors.
Withdrawal proceeds will only be paid to the investors once the Manager has received
cleared funds for the original investment. For investors who paid by cheque, the refund
will be made upon clearance of the cheque. Where applicable, for EPF investors, the
refund will be credited back into their respective EPF accounts only after funds have
been received from the EPF.
(c)
Where Units can be Purchased or Redeemed

Units can be purchased or redeemed at the Managers registered office or any of its
branch offices, or from any of its authorised sales agents or participating IUTAs.
Customers or investors may call our help-desk Toll-Free Hotline number: 1-800-883175 at any time during our office hours: Mondays through Fridays from 9.00 a.m.
5.00 p.m. Alternatively, investors
may e-mail
their enquiries to
rhbam@rhbgroup.com or visit our website, www.rhbgroup.com.
287

Master Prospectus.
Application forms, redemption forms and prospectuses are also available from these
distributors.
(d)
How to Switch between Funds

Investors may switch between unit trust funds under the management of the Manager
that allow switching of units by forwarding the completed form of request to switch to
the Managers registered office or any of its branch offices, or to any of its authorised
sales agents or participating IUTAs before their respective cut-off times. There are no
restrictions as to the number of switches a Unit Holder may perform or the frequency of
switching. Following a switch transaction, if the quantity of holdings of a Unit Holder
in a Fund falls below its minimum holding, the Manager can withdraw the entire
investment and forward the proceeds to the Unit Holder. The Manager however,
reserves the right to vary these terms.
(e)
How to Transfer Ownership of Units

Investors may transfer their holdings of Units to another investor by forwarding the
completed form of transfer to the Managers registered office or any of its branch
offices or to any of its authorised sales agents or participating IUTAs before their
If the transferee is a new investor, he must also forward the following:
1) completed application form; and
2) relevant supporting documents such as a photocopy of his identity card (for an
and relevant resolutions (for a corporate applicant).
Following a transfer transaction, if the quantity of holdings of a Unit Holder in a Fund
falls below its minimum holding, the Manager can withdraw the entire investment and
forward the proceeds to the Unit Holder.
(f)
Unclaimed Monies
All money payable to a Unit Holder may be paid by cheques. In the event any of the
cheques is not presented for payment by the date which falls six (6) months from the
date of the cheque, the Unit Holder may request the Manager to arrange for the monies
to be paid by a replacement cheque to the Unit Holder. However, after the lapse of one
year from the date of the cheque, the Manager shall file and pay the unpresented
payments to the Registrar of Unclaimed Moneys and Unit Holders will have to liaise
directly with the Registrar of Unclaimed Moneys to claim their monies.
(g)
Availability of Information on Investment

After purchasing Units, the value of the investment can be monitored easily as the Unit
price of the respective Fund is published daily in the major newspapers and at our
website, www.rhbgroup.com. The Manager will ensure the accuracy of the price of
the respective Fund to the press for publication. The Manager, however, will not be
held liable for any error or omission in the price published as this is beyond the
Managers control. In the event of any conflict between the price published and the
price computed by the Manager, the Managers computed price shall prevail.
288
Unit Holders will receive, in respect of the Funds which they hold Units, an unaudited
half year report and an audited annual report of the Fund from the Manager. The
Manager may also issue updates either quarterly or semi-annually, on the performance
of the Fund as and when appropriate.
In addition, the Manager has a help-desk service specially set-up to assist customers
and investors in their enquiries pertaining to their investments. Customers or investors
may call our help-desk Toll-Free Hotline number: 1-800-88-3175 at any time during
our office hours: Mondays through Fridays from 9.00 a.m. 5.00 p.m. Alternatively,
investors may e-mail their enquiries to rhbam@rhbgroup.com or visit our website,
www.rhbgroup.com.
Alternatively, investors may make enquiries on their investments via our E-Services at
www.rhbgroup.com. Pre-registration for the E-Services is required and the registration
form is available from the website.
Investors may also refer to FIMM for any queries and/or concerns regarding their
investments in unit trust funds. The contact details of FIMM are listed in the corporate
directory of this Master Prospectus.
Investors are advised not to make payment in cash to any individual agent when
purchasing Units.
7.3
Mode of Distribution
DF
MF
CF
IBF
BF
DVEF
MDF
GFF
GLF
ATRF
Distribution (if any) which is less than or equal to the amount of RM300.00, will be
automatically reinvested into the Fund based on the Net Asset Value per Unit seven (7)
Business Days after the ex-dividend date. No Sales Charge or costs shall be incurred or payable
by the Unit Holders for the reinvestment.
Distribution (if any) which is more than the amount of RM300.00, will be automatically paid
out to the Unit Holders via cheque, unless the Unit Holder specifically requests for the
distribution to be reinvested into the Fund by selecting the appropriate option in the application
form. Unit Holders who opt for their distribution to be reinvested into the Fund will have their
distribution reinvested into the Fund based on the Net Asset Value per Unit seven (7) Business
Days after the ex-dividend date. No Sales Charge or costs shall be incurred or payable by the
Unit Holders for the reinvestment.
In the absence of the Unit Holders written instructions, income distribution from the Fund will
be automatically paid out to the Unit Holders via cheque.
A Unit Holder must notify the Manager in writing seven (7) Business Days prior to each date
fixed for the distribution of any change in his distribution instructions.
CMF
ICMF
Distribution (if any) will be automatically paid out to the Unit Holders via cheque, unless the
Unit Holder specifically requests for the distribution to be reinvested into the Fund by selecting
the appropriate option in the application form. Unit Holders who opt for their distribution to be
reinvested into the Fund will have their distribution reinvested into the Fund based on the Net
Asset Value per Unit of the Business Day on which the distribution is declared. No Sales
Charge or costs shall be incurred or payable by the Unit Holders for the reinvestment.
289
Note: Distribution (if any) which is less than or equal to the amount of RM1.00, will be
automatically reinvested into the Fund based on the Net Asset Value per Unit seven (7)
Business Days after the ex-dividend date. No Sales Charge or costs shall be incurred or
payable by the Unit Holders for the reinvestment.
USEF
All unclaimed distributions will be automatically reinvested into additional Units at the expiry
of the validity period of the cheques based on the prevailing Net Asset Value per Unit seven (7)
Business Days after the expiry of validity period of the cheques.
7.4
Additional Information
DF
CMF
GFF
7.4.1
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
Anti-Money Laundering Policy

The Manager has in place a Know Your Client Policy (KYC) where procedures are in
place to verify clients identification by obtaining satisfactory evidence of the clients
identity and effective procedures are in place to verify the genuine clients before
establishing a business relationship. Procedures are also in place to prevent the
Manager from being used as a place to hold illegal funds for money laundering
purposes. Where the mode of payments and investment pattern are not in line with the
clients background, and there is a cause for suspicion, KYC procedures require a
suspicious transaction report to be filed with the Financial Intelligence Unit of Bank
Negara Malaysia.
7.4.2
Material Contracts
There are no material contracts in respect of the Fund (including contracts not reduced
in writing), not being contracts entered in the ordinary course of business, which have
been entered into within two (2) years preceding the date of this Master Prospectus.
290
CHAPTER 8: SALIENT TERMS OF THE DEED

8.
SALIENT TERMS OF THE DEED

Money invested by an investor in the Funds will purchase a number of Units, which represents
the Unit Holders interest in the Funds. Each Unit held in the Funds represents an equal
undivided beneficial interest in the assets of the Funds. However, the Unit does not give a Unit
Holder an interest in any particular part of the Funds or a right to participate in the management
or operation of the Funds (other than through Unit Holders meetings).
A Unit Holder will be recognised as a registered Unit Holder in the Funds on the Business Day
his or her details are entered onto the register of Unit Holders.
8.1
Rights of Unit Holders

A Unit Holder has the right, among others, to the following:
To inspect the register of Unit Holders, free of charge, at any time at the registered office
of the Manager, and obtain such information pertaining to its Units as permitted under the
relevant Deed and the Guidelines on Unit Trust Funds (Guidelines);
To receive the distribution of the Funds (if any), participate in any increase in the value
of the Units and to other rights and privileges as set out in the relevant Deed;
To call for Unit Holders meetings;
To vote for the removal of the Trustee or the Manager through a special resolution;
To receive annual reports, interim reports or any other reports of the Fund; and
To exercise cooling-off for qualified investors.
Unit Holders rights may be varied by changes to the Deed, the Guidelines or judicial decisions
or interpretation.
8.2
Liabilities and Limitation of Unit Holders

Liabilities
(i) The liability of a Unit Holder is limited to the purchase price per Unit and the application
fee paid or agreed to be paid for a Unit. A Unit Holder need not indemnify the Trustee or
the Manager if there is a deficiency in the assets of the Fund to meet the claim of any
creditor of the Trustee or Manager in respect of the Fund.
(ii) The recourse of the Trustee, the Manager and any creditor is limited to the assets of the
Fund.
Limitations
A Unit Holder cannot:
(i) interfere with any rights or powers of the Manager and/or Trustee under the relevant Deed;
(ii) exercise a right in respect of an asset of the Fund or lodge a caveat or other notice affecting
the asset of the Fund or otherwise claim any interest in the asset of the Fund; or
(iii) require the asset of the Fund to be transferred to the Unit Holder.
For full details of the rights of a Unit Holder, please refer to the relevant Deed.
291

8.3
Maximum Fees and Charges Permitted by the Deed

Fund
DF
Management
Fee
Up to 1.50%
per
annum,
calculated daily
on NAV.
CF
Up to 1.50%
per
annum,
calculated daily
on NAV.
BF
Up to 1.50%
per
annum,
calculated daily
on NAV.
MDF
Up to 1.50%
per
annum,
calculated daily
on NAV.
Trustee Fee
Up to 0.10%
per
annum
subject to a
minimum
of
0.07%
per
annum of NAV
prior to any
deduction for
management
fees and trustee
fees for the
particular day.
Up to 0.10%
per
annum
subject to a
minimum
of
0.06%
per
annum of NAV
prior to any
deduction for
management
fees and trustee
fees for the
particular day
(excluding
foreign
custodian fees
and charges).
Up to 0.10%
per
annum
subject to a
minimum
of
0.08%
per
annum of NAV
prior to any
deduction for
management
fees and trustee
fees for the
particular day.
Up to 0.08%
per
annum,
calculated daily
on NAV, but
subject to a
minimum fee of
RM18,000.00
per annum.
Sales Charge
Repurchase
Switching Fee
Charge
Up to 6.00% of Up to RM0.05 Up to 7.00% of
the NAV per per Unit.
NAV per Unit.
Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.
Up to 6.00% of Up to RM0.05 Up to 7.00% of

NAV per Unit. per Unit.
NAV per Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.
Nil.
Up to 2.00% of Up to 7.00% of
NAV per Unit. NAV per Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.
Up to 10.00% Up to 10.00% Up to 7.00% of

of NAV per of NAV per NAV per Unit.
Unit.
Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.
292

Fund
Management
Fee
Up to 2.00%
per
annum,
calculated daily
on NAV.
Up to 0.07%
per
annum,
calculated daily
on NAV.
GLF
2020
Up to 2.00%
per
annum,
calculated daily
on NAV.
Up to 0.07%
per
annum,
calculated daily
on NAV.
GLF
2030
Up to 2.00%
per
annum,
calculated daily
on NAV.
Up to 0.07%
per
annum,
calculated daily
on NAV.
GLF
Today
Trustee Fee
Sales Charge
Repurchase
Switching Fee
Charge
Up to 10.00% Up to 5.00% of A switching fee
of NAV per NAV per Unit
may be charged
Unit.
as set out in the
Master
Prospectus,
however,
no
switching fee
will be charge
for
any
switching
between
the
sub-funds
of
the
RHB
GoldenLife
Funds.
of NAV per NAV per Unit. may be charged
Unit.
as set out in the
Master
Prospectus,
however,
no
switching fee
will be charge
for
any
switching
between
the
sub-funds
of
the
RHB
GoldenLife
Funds.
of NAV per NAV per Unit. may be charged
Unit.
as set out in the
Master
Prospectus.
However, no
switching fee
will be charge
for
any
switching
between
the
sub-funds
of
the
RHB
GoldenLife
Funds.
293

Fund
CMF
MF
IBF
ICMF
Management
Fee
Up to 1.00%
per
annum,
calculated daily
on NAV.
Trustee Fee
Sales Charge
Repurchase
Charge
Nil.
Up to 0.10% Nil.
per annum of
NAV prior to
any deduction
for
management
fees and trustee
fees for the
particular day
(excluding
foreign
custodian fees
and charges).
Up to 1.50% Up to 0.10% Up to 6.00% of Nil.
per
annum, per annum of NAV per Unit.
calculated daily NAV prior to
on NAV.
any deduction
for
management
fees and trustee
fees for the
particular day.
Profit sharing
scheme
with
the
Manager
and the Fund in
the ratio of
15:85
respectively
based on the
net investment
income, which
is the income
of the Fund less
the trustee fee
and
all
permitted
or
allowable
expenses under
the Deed.
Up to 3.00%
per
annum,
calculated daily
on NAV prior
to
any
deduction for
management
fees and trustee
fees for the
particular day.
Up to 0.10% Nil.
per annum of
NAV prior to
any deduction
for
management
fees and trustee
fees for the
particular day
subject to a
minimum
of
RM35,000.00
only
per
annum.
Up to 7.00% of
NAV per Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.
Up to 7.00% of
NAV per Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.
Up to 1.00% of Up to 7.00% of
NAV per Unit. NAV per Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.
Up to 0.20% Up to 7.00% of Up to 5.00% of

per annum of NAV per Unit. NAV per Unit.
NAV prior to
any deduction
for
management
fees and trustee
fees for the
particular day.
294
Switching Fee
Up to 7.00% of
NAV per Unit.
An
Administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.

Fund
DVEF
Management
Fee
Up to 2.00%
per
annum,
calculated daily
on NAV.
ATRF
Up to 2.00%
per
annum,
calculated daily
on NAV.
GFF
Up to 2.00%
per
annum,
calculated daily
on NAV.
USEF
Up to 3.00%
per
annum,
calculated daily
on NAV.
Trustee Fee
The rate is up
to 0.07% per
annum of NAV
attributed
to
investments in
Malaysia and
up to 0.10% per
annum of NAV
attributed
to
investments
abroad.
Up to 0.10%
per annum of
NAV prior to
any deduction
for
management
fees and trustee
fees for the
particular day
(excluding
foreign
custodian fees
and charges).
Up to 0.10%
per annum of
NAV prior to
any deduction
for
management
fees and trustee
fees for the
particular day
(excluding
foreign
custodian fees
and charges).
Up to 0.20%
per
annum,
calculated daily
on NAV, but
subject to a
minimum fee
of RM18,000
per
annum
(excluding
foreign
custodian fees
and charges).
Sales Charge
Repurchase
Switching Fee
Charge
of NAV per NAV per Unit. NAV per Unit.
Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.
Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.

Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.
Up to 7.00% of Up to 5.00% of Up to 7.00% of

NAV per Unit. NAV per Unit. NAV per Unit.
An
administrative
fee in relation
to
switching
may be charged
as set out in the
Master
Prospectus.
295

A lower fee and/or charges than what is stated in the relevant Deed may be charged, all current
fees and/or charges are disclosed in this Master Prospectus.
Any increase of the fees and/or charges above that stated in the Master Prospectus may be made
provided that a supplementary master prospectus is issued and the maximum stated in the
relevant Deed shall not be breached.
Any increase of the fees and/or charges above the maximum stated in the relevant Deed shall
require Unit Holders' approval.
8.4
Expenses Permitted by the Deed

The relevant Deed also provides for payment of other expenses. The major expenses
recoverable directly from the respective Fund include:
commissions or fees paid to brokers or dealers in effecting dealings in the investments of

the Fund, shown on the contract notes or confirmation notes or difference accounts;
(where the custodial function is delegated by the Trustee), charges or fees paid to the subcustodian;
tax and other duties charged on the Fund by the Government and other authorities if any
and bank fees;
the fees and other expenses properly incurred by the auditor of the Fund;
remuneration and out of pocket expenses of the independent members of the investment
committee and/or the members of the Shariah committee or advisers (if any) of the Fund,
unless the Manager decides to bear the same;
fees for valuation of any investment of the Fund by independent valuers for the benefit of
the Fund;
costs incurred for the modification of the relevant Deed otherwise than for the benefit of
the Manager or Trustee;
costs incurred for any meeting of Unit Holders other than those convened by, or for the
benefit of the Manager or Trustee;
the sale, purchase, insurance, custody and any other dealings of investments including
commissions or fees paid to brokers;
costs involved with external specialists approved by the Trustee in investigating and
evaluating any proposed investment;
the engagement of valuers, advisers and contractors of all kinds;
preparation and audit of the taxation returns and accounts of the Fund;
termination of the Fund and the retirement or removal of the Trustee or Manager and the
appointment of a new trustee or manager;
any proceedings, arbitration or other dispute concerning the Fund or any asset of the
Fund, including proceedings against the Trustee or the Manager by the other of them for
the benefit of the Fund (except to the extent that legal costs incurred for the defense of
either of them are not ordered by the court to be reimbursed out of the Fund); and
296
costs of obtaining experts opinion by the Trustee and the Manager for the benefit of the
Fund.
The Manager and the Trustee are required to ensure that any fees or charges payable are
reasonable and in accordance with the Deed which stipulates the maximum rate in percentage
terms that can be charged.
8.5
Retirement, Removal or Replacement of the Manager

The Manager may retire upon giving twelve (12) months notice to the Trustee of its desire to
do so, or such lesser time as the Manager and Trustee may agree, in favour of another
corporation.
The Manager may be removed by the Trustee under certain circumstances outlined in the
relevant Deed. These include:
(a)
if the Manager shall have gone into liquidation (except a voluntary liquidation for the
purpose of reconstruction or amalgamation upon terms previously approved in writing by
the Trustee) or cease to carry on business or if a receiver shall be appointed for the
undertaking or assets of the Manager or if any encumbrances shall take possession of any
of its assets;
(b)
if a special resolution is duly passed by the Unit Holders that the Manager be removed;
(c)
if the Manager is in breach of any of its obligations under the relevant Deed; or
(d)
if the Manager has failed or neglected to carry out its duties to the satisfaction of the
Trustee and the Trustee considers that it would be in the interests of the Unit Holders for
it to do so, after the Trustee has given notice to it of that opinion and the reasons for that
opinion, and has considered any representations made by the Manager in respect of that
opinion, and after consultation with the SC and with the approval of the Unit Holders.
The Manager may be replaced by another corporation appointed as the manager by special
resolution of the Unit Holders at a Unit Holders meeting convened in accordance with the
relevant Deed either by the Trustee or the Unit Holders.
8.6
Power of the Manager to Remove or Replace the Trustee

The Trustee may be removed and another trustee may be appointed by special resolution of the
Unit Holders at a Unit Holders meeting convened in accordance with the relevant Deed.
The Manager shall take all reasonable steps to replace the Trustee as soon as practicable after
becoming aware that:
(a)
The Trustee has ceased to exist;
(b)
The Trustee has not been validly appointed;
(c)
The Trustee is not eligible to be appointed or to act as trustee under the Capital Markets
and Services Act 2007;
(d)
The Trustee has failed or refused to act as trustee in accordance with the provisions or
covenants of the relevant Deed or the provisions of the Capital Markets and Services Act
2007;
297
8.7
(e)
A receiver is appointed over the whole or a substantial part of the assets or undertaking of
the existing Trustee and has not ceased to act under the appointment, or a petition is
presented for the winding up of the existing Trustee (other than for the purpose of and
followed by a reconstruction, unless during or following such reconstruction the existing
Trustee becomes or is declared to be insolvent); or
(f)
The Trustee is under investigation for conduct that contravenes the Trust Companies Act
1949, the Trustee Act 1949, the Companies Act 1965 or any securities law.
Retirement, Removal or Replacement of the Trustee

The Trustee may retire upon giving twelve (12) months notice to the Manager of its desire to
do so, or such shorter period as the Manager and the Trustee may agree, and may by relevant
Deed appoint in its stead a new trustee approved by the Securities Commission.
The Trustee may be removed and another trustee may be appointed by special resolution of the
Unit Holders at a Unit Holders meeting convened in accordance with the relevant Deed or as
stipulated in the Capital Markets and Services Act 2007.
8.8
Power of the Trustee to Remove or Replace the Manager

The Manager may be removed by the Trustee on the grounds that:
8.9
(a)
the Manager goes into liquidation (except for the purpose of amalgamation or
reconstruction or some other purpose approved by the relevant authorities); or has had a
receiver appointed; or has ceased to carry on business; or is in breach of its obligations
under the relevant Deed, the Capital Markets and Services Act 2007 or the Guidelines; or
(b)
the Manager has failed or neglected to carry out its duties to the satisfaction of the
Trustee and the Trustee considers that it would be in the interests of Unit Holders for it to
do so after the Trustee has given notice to the Manager of that opinion and the reasons for
that opinion, and after consultation with the Securities Commission and with the approval
of the Unit Holders by way of a special resolution.
Termination of the Funds

The Fund may be terminated or wound-up upon the occurrence of any of the following events:(a)
the Securities Commissions authorization is revoked under Section 256(E) of the Capital
Markets and Services Act 2007;
(b)
a special resolution is passed at a Unit Holders' meeting to terminate or wind-up the

Fund, following the occurrence of events stipulated under Section 301(1) of the Capital
Markets and Services Act 2007 and the court has confirmed the resolution, as required
under Section 301(2) of the Capital Markets and Services Act 2007;
(c)
a special resolution is passed at a Unit Holders' meeting to terminate or wind-up the

Fund;
(d)
on reaching its maturity date (if any); or
(e)
the effective date of an approved transfer scheme, as defined under the Guidelines, has
resulted in the Fund, which is the subject of the transfer scheme, being left with no
asset/property.
298

8.10
Meetings of Unit Holders

A Unit Holders meeting may be called by the Manager, Trustee and/or Unit Holders. As such
meeting must be convened in accordance with the relevant Deed and/or the Guidelines.
The quorum for a meeting of Unit Holders is five (5) Unit Holders present in person or by
proxy, provided that for a meeting which requires a special resolution the quorum for that
meeting shall be five (5) Unit Holders, whether present in person or by proxy, holding in
aggregate at least twenty five per centum (25%) of the Units in issue for the Fund at the time of
the meeting. If the Fund have five (5) or less Unit Holders, the quorum required shall be two (2)
Unit Holders, whether present or by proxy and if the meeting requires a special resolution the
quorum for that meeting shall be two (2) Unit Holders, whether present in person or by proxy,
holding in aggregate at least twenty five per centum (25%) of the Units in issue for the Fund at
the time of the meeting.
Voting is by a show of hands, unless a poll is duly demanded or the resolution proposed is
required by this deed or by law to be decided by a percentage of all Units. Each Unit Holder
present in person or by proxy has one vote on a show of hands. On a poll, each Unit Holder
present in person or by proxy has one vote for each whole fully paid Unit held. In the case of
joint Unit Holders, only the person whose name appears first in the register may vote. Units
held by the Manager or its nominees shall have no voting rights in any Unit Holders meeting of
the Funds. In respect of the termination or winding-up of the Funds, voting shall only be carried
out by poll.
299
CHAPTER 9: THE MANAGEMENT AND ADMINISTRATION OF THE FUNDS

9.
THE MANAGEMENT AND ADMINISTRATION OF THE FUNDS

DF
CMF
GFF
9.1
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
The Manager
The Manager, RHB Asset Management Sdn Bhd (RHBAM), is a wholly-owned subsidiary of
RHB Investment Bank Berhad (RHBIB). The Manager is a holder of a Capital Markets
Services License issued under the Capital Markets and Services Act 2007. The Manager has
been in operation since 1989. As at 11 May 2016, the Manager has an authorized capital of
RM10 million and an issued and paid up capital of RM10 million. As at the Latest Practicable
Date, the Manager has assets under management in excess of RM41.28 billion.
9.2
Board of Directors
The board of directors of the Manager takes an active part in the affairs of the Manager and the
funds under its management. The board of directors of the Manager meets at least once every 3
months to receive recommendations and reports on investment activities from the investment
committee, set policies and guidelines of the Manager and to review performance, financial and
audit reports of the Manager. Additional meetings shall also be convened, should the need
arises.
The board of directors of the Manager are as follows:
1.
2.
3.
4.
5.
Mr Patrick Chin Yoke Chung (Independent Non-Executive Chairman)

Encik Abdul Aziz Peru Mohamed (Senior Independent Non-Executive Director)
Ms Ong Yin Suen (Non-independent Managing Director)
Mr Chin Yoong Kheong (Independent Non-Executive Director)
Dr. Ngo Get Ping (Independent Non-Executive Director)
MR PATRICK CHIN YOKE CHUNG

(Independent non-executive chairman)
Mr Patrick Chin Yoke Chung (Mr Patrick Chin) was appointed as the chairman of the
Manager on 1 March 2011. He was initially appointed as a director of the Manager on 10
August 2009.
Mr Patrick Chin is a Fellow Member of the Institute of Chartered Accountants in England and
Wales. He also attended the management development program at Harvard Business School.
Mr Patrick Chin rose from the head of corporate finance to become the deputy chief executive
officer of Asian International Merchant Bankers Berhad from 1973 to 1993. He was appointed
as the executive director of Morgan Grenfell Asia-Kenanga Sdn Bhd and also the chief
representative of Morgan Grenfell responsible for co-coordinating Morgan Grenfells activities
and business interests in Malaysia from 1994 to 1995. Subsequently, he joined Bankers Trust
Company, Kuala Lumpur as chief representative and country head from 1995 to 1999,
managing and overseeing its Malaysian operations including the offshore bank in Labuan. He
also served as the chairman of Schroders Malaysia Sdn Bhd in 2000.
Mr Patrick Chins other directorships include RHB Investment Bank Berhad, RHB Bank (L)
Ltd (Chairman), RHB Asset Management Pte Ltd, RHB International Investments Pte Ltd, PT
RHB Asset Management, RHB Private Equity Holdings Sdn Bhd and Muda Holdings Berhad.
He is also the chairman of RHB Islamic International Asset Management Berhad.
Mr Patrick Chin is an investment committee member of the funds managed by RHB Asset
Management Sdn Bhd and RHB Islamic International Asset Management Berhad.
300

ENCIK ABDUL AZIZ PERU MOHAMED
(Senior Independent non-executive director)
Encik Abdul Aziz Peru Mohamed (Encik Aziz Peru) was appointed as a director of the
Manager on 19 September 2011.
Encik Aziz Peru has attended various training programmes at the Harvard Business School and
Pacific Bankers Rim programmes in the United States of America.
He is currently the chief executive officer and director of As-Salihin Trustee Berhad, a trust
company specialising in Islamic estate planning. He has held various senior management
positions in the banking industry with almost 30 years accomplished career track spanning from
management of branch network to retail banking. He spent most of his working years at
Malayan Banking Berhad, where his last position was general manager, consumer banking
division. He was also the senior general manager of AmBank Berhad from 2002 to 2005.
During the years in the banking industry, he was appointed as the chairman of the Rules
Committee of the Association of Banks of Malaysia and has held several other key positions
including a board member of Mayban Property Trust and Mayban Trustees Bhd.
Encik Aziz Perus other directorships include RHB Bank Berhad, RHB Insurance Berhad, RHB
Islamic International Asset Management Berhad and As-Salihin Trustee Berhad.
MS ONG YIN SUEN
(Non-independent managing director)
Ms Ong Yin Suen (Ms Eliza Ong) was appointed as the managing director of the Manager on
1 December 2013.
Ms Eliza Ong holds a Master of Business (Banking and Finance) from Monash University,
Australia, and is a senior associate member of Australasian Institute of Banking and Finance
(AIBF), Certified Treasury and Finance Professional (CTFP) and a Certified Financial Planner.
She joined OSK Holdings Berhad in 2002 as the personal assistant to Tan Sri Ong Leong Huat,
group managing director and chief executive officer of OSK Holdings Berhad. Prior to that, she
worked in Australia with National Australia Bank Limited. During her tenure, she held various
positions within the bank and gained exposure within global credit bureau (with portfolios in
wholesale banking and bank and sovereign risk) as well as the asset structuring department.
She is a director of Land Management Sdn Bhd, 3 Fairies Holdings Sdn Bhd, Regal Meridian
Sdn Bhd and Echelon Sdn Bhd. She is also a board member of RHB International Investments
Pte Ltd, RHB Asset Management Pte Ltd in Singapore, PT RHB Asset Management Indonesia,
RHB Asset Management Limited in Hong Kong and RHB Private Equity Holdings Sdn Bhd.
MR CHIN YOONG KHEONG
(Independent non-executive director)
Mr Chin Yoong Kheong (Mr Chin) was appointed as a director of the Manager on 7 April
2015.
Mr Chin holds a Bachelor of Arts Honours in Economics from the University of Leeds. He is a
Fellow of the Institute of Chartered Accountants in England and Wales. He is also a member of
the Malaysian Institute of Certified Public Accountants and Malaysian Institute of Accountants.
Mr Chin has retired as a partner of KPMG, one of the leading accounting firms on 31 December
2013, after having served the firm for more than 34 years in the United Kingdom, Vietnam and
Malaysia. Mr Chins vast experience covers business solutions in areas such as strategy, human
resources, performance improvement to public and infrastructure sector, consumer and
301

industrial markets, and financial services industry. Throughout his long career with KPMG, Mr
Chin was experienced in the audit function before specialising in taxation for 14 years. He was
responsible for setting up the KPMG practice in Vietnam and subsequently headed KPMGs
consulting practice for more than 7 years.
Mr Chins other directorships in public companies include RHB Bank Berhad, TAHPS Group
Berhad and Otto Marine Ltd, a shipping company listed on the Singapore Stock Exchange. He
is also a director of RHB Islamic Asset Management Berhad.
DR NGO GET PING
(Independent non-executive director)
Dr Ngo Get Ping (Dr Ngo) was appointed as a director of the Manager on 11 May 2016.
Dr. Ngo graduated from University of Oxford, United Kingdom, with DPhil in Metallurgy in
1984. He was given the best student award by the Institute of Civil Engineers, United Kingdom,
in 1980 for his outstanding academic achievements.
In 1986, after a short stint with a soil specialist construction firm, Dr. Ngo joined GIC
(Singapore) Pte Ltd as an Investment Officer specializing in North America securities
investments and in bonds and currency investments in Europe. He then joined James Capel
Asia Pte Ltd as an Associate Director from 1988 to 1993, where he was involved in Europe and
Australian equities markets. Subsequently, Dr. Ngo was attached to Nomura Securities
Singapore Pte Ltd as a Senior Vice President, where he was in charge of equities in Asia
Market exJapan from 1994 to 1996. Prior to his retirement in 2006, Dr. Ngo was the Head of
Sales and Executive Director/Deputy Country Head of CLSA Singapore Pte Ltd, a leading
independent brokerage and investment group in Asia for a period of 10 years, where he oversaw
the marketing team for equities market.
Dr. Ngo has vast experience in the securities and investmentbanking arena, spending over 20
years of his career in various global financial institutions. He has a wide range of experience in
the regional financial industry, including securities broking, corporate finance, share
underwriting and placement, corporate restructuring and equity capital markets. His regional
experience in the capital markets will be valuable to the Bank, particularly in its aspiration to
become a leading investment bank in the region. Dr. Ngo is a person with integrity and is a
wellrespected individual in the securities and investment banking industry in Singapore.
9.3
Key Personnel
Chief Executive Officer (CEO)
Mr Ho Seng Yee
Mr Ho Seng Yee (Mr Ho) was appointed as CEO on 1 December 2013. He joined the OSK
group in June 2000 and in 2002 was appointed to lead the unit trust management business of
OSK-UOB Investment Management Berhad as the CEO and executive director. Mr Ho has
spent close to forty years in the commercial and financial services industry and held various
management positions, involved in the sales and marketing of products and the development of
new businesses.
In the last thirteen years, he has been actively involved in overseeing and driving the asset
management business and expansion here in Malaysia as well as regionally in Singapore,
Indonesia and Hong Kong. He is currently the CEO and Regional Head of Retail Distribution
of RHB Asset Management Sdn Bhd.
Mr Ho holds a Bachelor of Economics Degree (Honours) in Business Administration from
University Malaya and also the Capital Markets Services Representatives License for fund
management. He is also a director of Federation of Investment Managers Malaysia (FIMM)
and a committee member of Malaysian Association of Asset Managers (MAAM).
302
Chief Investment Officer

Mr Hoe Cheah How
Mr Hoe Cheah How is the chief investment officer and his primary responsibilities include
formulating and executing strategic and tactical portfolio strategies to deliver consistent outperformance under different market trends. He is also responsible for supervising both the
investment research and central dealing teams. Mr Hoe joined the Manager in 2011 and has led
the fixed income investment and credit assessment teams as head of fixed income before his
appointment to his current role. He has vast experience in the financial markets having served in
different roles ranging from financial consultant, analyst, proprietary desk bond trader to fixed
income portfolio manager.
He holds a Bachelor of Commerce in Finance (1st Class Honors) from Curtin University of
Technology, Australia. He is an affiliate member of the Persatuan Pasaran Kewangan Malaysia
(PPKM), in which he passed (with Distinction) in the Pasaran Kewangan Malaysia Certificate
(PKMC) examination in 2006. He is a qualified Chartered Financial Analyst (CFA) charter
holder. He also holds the Capital Markets Services Representatives License for fund
management.
Compliance officer
Mr Christopher Wong Ching Fai
Mr Christopher Wong Ching Fai, assistant vice president investment bank compliance, is the
designated person responsible for compliance matters. He holds a Bachelor of Management
(Honours), majoring in finance from University of Science Malaysia and has over 11 years of
experience in the unit trust, asset management and commercial banking industries. Prior to
joining the OSK group in September 2012, he was the compliance officer of a reputable and
established asset management cum unit trust management company, overseeing the compliance
and Anti-Money Laundering and Counter Financing of Terrorism (AMLCFT) functions. He
was also previously attached to a foreign bank in Malaysia where he is responsible for
regulatory compliance and AMLCFT matters. His other past experiences include fund
administration relating to unit trust schemes during his tenure with a trustee company.
9.4
Funds under the Management of the Manager

As at the Latest Practicable Date, the Manager is managing 99 collective investment schemes,
namely:
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
Name of Fund
RHB Dynamic Fund
RHB Capital Fund
RHB Mudharabah Fund
RHB Bond Fund
RHB Malaysia DIVA Fund
RHB Islamic Bond Fund
RHB GoldenLife Funds consisting of:
- RHB GoldenLife Today
- RHB GoldenLife 2020
- RHB GoldenLife 2030
RHB Dividend Valued Equity Fund
RHB Global Fortune Fund
RHB Asian Total Return Fund
RHB Islamic Cash Management Fund
RHB Islamic Income Plus Fund 1 (Wholesale Fund)
303
Launch Date
15 September 1992
12 April 1995
9 May 1996
10 October 1997
3 May 1999
25 August 2000
21 February 2005
13 July 2005
8 August 2006
26 February 2007
23 August 2007
30 June 2008
3 September 2009
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
31.
32.
33.
34.
35.
36.
37.
38.
39.
40.
41.
42.
43.
44.
45.
46.
47.
48.
49.
50.
51.
52.
53.
54.
55.
56.
57.
58.
59.
60.
61.
62.
63.
64.
65.
66.
67.
68.
Name of Fund
RHB Income Plus Fund 1 (Wholesale Fund)
RHB-GS US Equity Fund
RHB Income Plus Fund (Wholesale Fund)
RHB Equity Trust
RHB Small Cap Opportunity Unit Trust
RHB KidSave Trust
RHB KLCI Tracker Fund
RHB Dana Islam
RHB Income Fund 2
RHB- Emerging Opportunity Unit Trust
RHB Smart Series Funds consisting of:
- RHB Smart Treasure Fund
- RHB Smart Balanced Fund
- RHB Smart Income Fund
RHB Growth And Income Focus Trust
RHB Global Equity Yield Fund
RHB Asia Pacific Fund
RHB Money Market Fund
RHB Global Allocation Fund
RHB Resources Fund
RHB Global New Stars Fund
RHB Golden Dragon Fund
RHB Asian Real Estate Fund
RHB Thematic Growth Fund
RHB Asia Active Allocation Fund
RHB Institutional Islamic Money Market Fund
RHB Big Cap China Enterprise Fund
RHB Asian Growth Opportunities Fund
RHB Malaysia Dividend Fund
RHB Energy Fund
RHB Gold and General Fund
RHB ASEAN Fund
RHB Asia Consumer Fund
RHB China-India Dynamic Growth Fund
RHB US Focus Equity Fund
RHB Asia Financials Fund
RHB Indonesia Equity Growth Fund
RHB Multi-Asset Recovery Strategy Fund
RHB Agriculture Fund
RHB Deposits Fund
RHB Emerging Markets Bond Fund
RHB Asian Income Fund
RHB Focus Bond Fund Enhanced
304
Launch Date
27 January 2010
2 August 2010
27 October 2010
2 November 2010
18 May 2011
26 May 2011
19 September 2011
15 February 2012
1 March 2012
3 April 2012
1 August 2012
3 October 2012
1 March 2013
8 August 1996
20 April 1998
10 May 1999
3 April 2000
26 October 2001
26 February 2003
18 May 2004
7 September 2004
7 January 2005
9 November 2005
6 January 2006
20 January 2006
27 March 2006
16 May 2006
24 January 2007
8 May 2007
22 August 2007
26 September 2007
23 October 2007
1 November 2007
3 December 2007
8 January 2008
4 March 2008
4 September 2008
23 March 2009
21 July 2009
2 December 2009
18 January 2010
11 March 2010
15 October 2010
11 January 2011
4 April 2011
19 May 2011
11 August 2011
19 October 2011
3 January 2012
05 June 2012
03 September 2012
69.
70.
71.
72.
73.
74.
75.
76.
77.
78.
79.
80.
81.
82.
83.
84.
85.
86.
87.
88.
89.
90.
91.
92.
93.
94.
95.
96.
97.
98.
99.
9.5
Name of Fund
RHB Multi Asset Regular Income Fund
RHB Dana Hazeem
RHB Focus Bond Fund Series 7
RHB Absolute Return Fund (Wholesale Fund)
RHB Capital Protected Essentials Fund
RHB Focus Income Bond Fund Series 1
RHB Leisure, Lifestyle & Luxury Fund
RHB Islamic Regional Balanced Fund
RHB- Pre-IPO & Special Situation Fund 2 (Wholesale Fund)
RHB Entrepreneur Fund
RHB Global Equity Stabiliser Fund (Wholesale Fund)
RHB European Select Fund (Wholesale Fund)
RHB US Index Beta Fund (Wholesale Fund)
RHB Eurozone Index Beta Fund (Wholesale Fund)
RHB Emerging Asia Index Beta Fund (Wholesale Fund)
RHB Japan Index Beta Fund (Wholesale Fund)
RHB Asian High Yield Fund RM (Wholesale Fund)
RHB Asian High Yield Fund USD (Wholesale Fund)
RHB Asian High Yield Fund AUD (Wholesale Fund)
RHB Asian Income SGD (Wholesale Fund)
RHB Singapore Income Feeder Fund (Wholesale Fund)
RHB USD High Yield Bond Fund (Wholesale Fund)
Summary of Financial Position of the Manager
Paid-up Share Capital
9.6
Launch Date
07 December 2012
18 February 2013
25 March 2013
16 May 2013
12 June 2013
13 August 2013
22 October 2013
7 January 2014
28 February 2014
8 April 2014
22 July 2014
11 August 2014
1 October 2014
14 October 2014
16 October 2014
3 December 2014
15 January 2015
3 March 2015
13 April 2015
13 April 2015
13 April 2015
13 April 2015
15 April 2015
3 June 2015
21 August 2015
8 June 2015
8 June 2015
8 June 2015
5 November 2015
18 January 2016
8 March 2016
Year Ended 31 December (Audited)

2013
2014
2015
(RM000)
(RM000)
(RM000)
10,000
10,000
10,000
Shareholders Funds
122,679
138,644
142,316
Revenue
171,526
146,160
211,431
Profit before tax
20,800
21,847
25,194
Profit after tax
15,285
15,965
18,672
Functions of the Manager

The Manager is responsible for the day-to-day administration of the Funds in accordance with
the provisions of the respective Deed. The main responsibilities of the Manager include:
Selecting and managing investments of the Funds;

Executing, supervising and valuing investments of the Funds;
Arrangement of sale and repurchase of Units;
Keeping of proper records of the Funds;
305
Issuing the Funds interim and annual reports to Unit Holders;

Distribution of income to Unit Holders (if any); and
Marketing the Funds to potential investors.
The Manager is a member of FIMM. It maintains a tied sales agency force which is duly
registered with FIMM which markets and distributes its proprietary unit trust funds to
prospective investors. It also has an IUTA arrangement with RHB Bank Berhad and/or such
other approved distributors as may be appointed by the Manager from time to time.
9.7
The Investment Committee

(a)
Functions of the Investment Committee

The investment committee is responsible for formulation of the investment policies and
investment strategy for the respective Fund. It has broad discretionary authority over the
investments of the respective Fund. The investment committee also oversees the
activities of the fund manager who is responsible for research, securities recommendation
and asset allocation.
The investment committee meets at least once every three months and has the
responsibility to decide and approve the following:
Asset allocation;
Schedule of securities for purchase and disposal;
Risk exposure, e.g. country and specific market risks; and
Schedule of income distribution to Unit Holders.

The fund manager will fine tune the asset allocation in response to periodic changes in
the prevailing market condition, particularly interest rates movements and sales
operations.
(b)
Members of the Investment Committee

The investment committee of the Funds comprises the following members:1.
2.
3.
4.
Dato Khairussaleh Ramli (Independent Chairman of Committee)

Mr Patrick Chin Yoke Chung (Independent Committee Member)
Dato Abdul Rahman Ahmad (Independent Committee Member)
Mr Ong Seng Pheow (Independent Committee Member)
DATO KHAIRUSSALEH RAMLI

(Independent Chairman of Committee)
Dato' Khairussaleh Ramli ("Dato' Khairussaleh") is Group Managing Director
(MD)/Chief Executive Officer (CEO) of RHB Banking Group, a position he has
held since 5 May 2015. He joined the Group as Deputy Group MD and MD/CEO of
RHB Bank Berhad in December 2013.
He is a council member of The Association of Banks in Malaysia and Asian Institute of
Chartered Bankers. Dato' Khairussaleh holds a Bachelor of Science in Business
Administration from Washington University and is a graduate of the Advanced
Management Programme, Harvard Business School.
Dato' Khairussaleh has more than 20 years of experience in the financial services and
capital markets industry, where he has held senior positions in well-established regional
financial institutions.
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His knowledge and experience earned him the "Best CFO in Malaysia Award" in 2010
and 2011 from Finance Asia and the "Best CFO in Malaysia Award" in 2012 from
Alpha Southeast Asia.
PATRICK CHIN YOKE CHUNG
His profile is set out in section 9.2.
DATO ABDUL RAHMAN AHMAD
Dato Abdul Rahman Ahmad (Dato Abdul Rahman) was appointed as an
Independent Non-Executive Director of RHB Investment Bank on 1 March 2016.
Dato Abdul Rahman holds a Master of Arts in Economics from Cambridge University,
United Kingdom and is a member of the Institute of Chartered Accountants in England
and Wales (ICAEW).
Dato Abdul Rahman is currently the Non-Executive Chairman of Ilmu Education
Group Sdn Bhd, a leading integrated education group under Ekuiti Nasional Bhd
(Ekuinas). He was formerly the CEO of Ekuinas, a government linked private equity
firm. Prior to joining Ekuinas, Dato Abdul Rahman was the Group Managing Director
/ CEO of Media Prima Berhad (MPB) and also held the post of Group Managing
Director/CEO of Malaysian Resources Corporation Berhad (MRCB).
Dato Abdul Rahman began his career at Arthur Andersen, London and later served as
Special Assistant to the Executive Chairman of Trenergy (M) Berhad / Turnaround
Managers Inc Sdn Bhd. He subsequently joined Pengurusan Danaharta Nasional
Berhad, the countrys national asset management company and later went on to become
Executive Director of SSR Associates Sdn Bhd.
Dato Abdul Rahmans other directorship include Astro Malaysia Holdings Berhad,
DRB-HICOM Berhad, Axiata Group Berhad, Icon Offshore Berhad, RHB Private
Equity Holdings Sdn Bhd and M+S Pte Ltd, a joint venture property company of
Khazanah Nasional Berhad and Temasek Holdings (Private) Limited. In addition, he is
an Investment Panel Member of Lembaga Tabung Haji and is also a member of
Financial Reporting Foundation.
ONG SENG PHEOW
Ong Seng Pheow ("Mr Ong") was appointed as an Independent Non-Executive Director
of RHB Bank on 20 November 2006. He also serves as the Chairman of the Board
Audit Committee as well as a Member of the Board Technology Committee.
Mr Ong has over 34 years of audit and accounting experience. He is a Member of the
Malaysian Institute of Certified Public Accountants ("MICPA") and Malaysian Institute
of Accountants. He was a partner of Ernst & Young from 1984 to 2003. His last held
position in Ernst & Young was as the National Director of Assurance and Advisory
Business Services. He also served on committees and working groups of MICPA.
Mr Ong's other directorships in public companies include RHB Insurance Berhad
(Chairman), RHB Bank Berhad, RHB Holdings Hong Kong Limited, Daiman
Development Berhad, LCTH Corporation Berhad, George Kent (Malaysia) Berhad and
HELP International Corporation Berhad.
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The abovementioned members of the investment committee were appointed for the
Funds as follows:
Dato Khairussaleh Ramli
Patrick Chin Yoke Chung
Dato Abdul Rahman Ahmad
Ong Seng Pheow
11 May 2016
11 May 2016
11 May 2016
11 May 2016
They are also members of the investment committee of the funds managed by RHB
Islamic International Asset Management Berhad.
9.8
The Investment Team

The investment team is jointly responsible for the overall investment decisions made on behalf
of the Funds. The key member of the investment team is:
Chief Investment Officer and Designated Fund Manager of the Funds is Mr Hoe Cheah
How.
His profile is as aforementioned in section 9.3.
The chief investment officer is supported by a team of experienced fund managers who are
responsible to actively manage the Funds in accordance with the investment objective of the
respective Fund and the provision of the relevant Deed. The investment team shall have
discretionary authority over the investments of the Funds subject to the rules and guidelines
issued by the relevant authorities.
9.9
Managers Disclosure of Material Litigation

As at the Latest Practicable Date, there is no material litigation and arbitration, including those
pending or threatened, and any facts likely to give rise to any proceedings which might
materially and adversely affect the business and/or financial position of the Manager or any of
its delegates.
9.10
The Shariah Adviser

MF
IBF
ICMF
Background Information of Shariah Adviser

RHB Islamic Bank Berhad (RHB Islamic Bank) is the Shariah adviser to the Funds. RHB
Islamic Bank, a wholly-owned subsidiary of RHB Bank Berhad, was incorporated on 2
February 2005 and officially commenced its operations in March 2005. RHB banking group
was the first commercial banking group to have a full-fledged Islamic bank in Malaysia that
was transformed from an Islamic banking window when it first commenced its operations.
RHB Islamic Bank focuses on customising innovative Shariah-compliant products and services
to meet each clients requirements. Products and services are offered to both Muslims and nonMuslims for personal banking and businesses. These include savings and current accounts,
investment accounts, treasury trade/guarantee products and services, capital market products
and electronic payment/gateway solutions. RHB Islamic Bank also offers customised financing
solutions and capital markets advisory services.
Being a bank licensed under the Islamic Financial Services Act 2013, RHB Islamic Bank is also
an approved Shariah adviser by the Securities Commission to advice on sukuk issuance, Islamic
investment funds and all other approved Islamic capital market instruments. Currently, RHB
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Islamic Bank acts as Shariah adviser for more than 12 Islamic unit trust funds. The Shariah
Adviser will hold a meeting at least once in every two (2) months or more to discuss any
Shariah issue that may arise from the operation of the Funds.
Roles and Responsibilities of the Shariah Adviser
In line with the Securities Commissions guidelines, the roles and responsibilities of the Shariah
Adviser are:
1.
To ensure that the Funds are managed and administered in accordance with Shariah
principles;
2.
To provide expertise and guidance to the Funds in all matters relating to Shariah
principles, including on the Deed and Master Prospectus, its structure and investment
process, and other operational and administrative matters;
3.
To consult with the Securities Commission where there is any ambiguity or uncertainty
as to an investment, instrument, system, procedure and/or process;
4.
To act with due care, skill and diligence in carrying out its duties and responsibilities;
5.
To review the Funds compliance reports as provided by the Managers compliance

officer, and investment transaction reports provided by, or duly approved by, the Trustee
to ensure that the Funds investments are in line with Shariah principles; and
6.
To prepare reports to be included in the Funds interim and annual reports certifying
whether the Funds have been managed and administered in accordance with Shariah
principles for the respective periods under reporting.
Members of RHB Islamic Banks Shariah Committee

The members of RHB Islamic Banks Shariah committee are the designated persons responsible
for the Shariah matters of the Funds.
1)
Dr. Ghazali Jaapar (chairman)

Dr. Ghazali Jaapar (Dr. Ghazali) is currently serving as assistant professor of Ahmad
Ibrahim Kulliyyah of Laws, International Islamic University Malaysia (IIUM). He was
previously a director at the Harun M. Hashim Law Centre, IIUM. He obtained his B.A.
Shariah (Hons.) (1995) from University of Malaya, Kuala Lumpur. He subsequently
obtained a Master of Comparative Law from IIUM, Kuala Lumpur, (1998) and his Ph.D.
from University of Birmingham, United Kingdom (2005).
Dr. Ghazali started his career as a lecturer in 2007 at Ahmad Ibrahim Kulliyyah of Laws,
IIUM and is still attached with the university, teaching several subjects such as Islamic
legal system and Usul al-Fiqh for LLB course (Undergraduate), Siyasah Syariyyah for
LLM (Administration of Islamic Law) students and Islamic legal maxims for certificate
in Islamic law (Bank Negara and Standard & Chartered).
He has written various journals and articles on Islamic legal system, principles of Islamic
jurisprudence (Usul al-Fiqh), Islamic legal maxims, Siyasah Shariyyah (Shariah-oriented
policy) for forums and seminars.
2)
Professor Dr. Joni Tamkin Borhan

Prof. Dr. Joni Tamkin Borhan (Prof. Dr. Joni Tamkin) is currently serving as senate
member and head of department of Shariah and Economics, Academy of Islamic Studies,
309

University of Malaya. He is also a registered Shariah individual under Securities
Commission for Islamic unit trust schemes.
Prof. Dr. Joni Tamkin obtained a B.Sh (Shariah) from University of Malaya in 1990. He
also received a Masters Degree in Islamic Economics from University of Malaya in 1994
and a Ph.D in Islamic Banking from Edinburgh, Scotland in 1997.
Prof. Dr. Joni Tamkin was a member of the National Shariah Advisory Council on
Islamic Banking and Takaful (NSAC) (1999 2004), fellow at the Religious Department
at Victoria University of Wellington (2002), fellow at the University of Leiden, Holland
(June September 2004), visiting professor of Edinburgh University (January October
2010) and also a member of Shariah committee of MAA Takaful (2006 current).
He was appointed as professor in 2007 and served as deputy director of Undergraduate
Degree, Academy of Islamic Studies, and University of Malaya from September 2006
until August 2007.
He has published and written numerous books, articles and journals. He also participates
as speaker for various workshops and conferences in various fields mostly in Islamic
banking.
3)
Assoc. Prof. Dr. Amir Shaharuddin

Assoc. Prof. Dr. Amir Shaharuddin (Assoc. Prof. Dr. Amir) is currently dean faculty of
Economic & Muamalat, Islamic Science University of Malaysia (USIM) since December
2013. He was the first recipient of scholar of residence in Islamic Finance award, jointly
initiated by Malaysia Securities Commission and Oxford Centre for Islamic Studies
(OCIS).
Assoc. Prof. Dr. Amir obtained his B.A. Shariah (Hons) from Al-Azhar University,
Egypt (2001), subsequently received his Master of Business Administration (MBA) in
Islamic Banking & Finance, International Islamic University Malaysia (IIUM), Kuala
Lumpur, (2005) and completed his Ph.D in Islamic Studies from Exeter University,
United Kingdom (2010).
He started his career as a tutor in 2003 at Faculty of Economic & Muamalat, USIM,
Negeri Sembilan and is still attached with the university as a senior lecturer, teaching
several subjects such as Islamic financial institutions and markets, principles and
Ppractice of Islamic banking, Halaqah studies, credit management, Qawaid Fiqhiyyah
and Islamic capital market.
He has published a number of articles in refereed journals including the Journal of
Muamalat and Islamic Finance Research (JMIFR), Jurnal Syariah and ISRA International
Journal of Islamic Finance. He has also presented academic papers in various
international seminars such as in Indonesia, Bahrain, United Kingdom and Italy.
He has written various journals and articles in Islamic banking & finance, zakat, Islamic
law principles of Islamic jurisprudence (Usul al-Fiqh), Islamic legal maxims and Siyasah
Shariyyah (Shariah-oriented policy) for forums and seminars.
4)
Encik Wan Abdul Rahim Kamil Wan Mohamed Ali

Encik Wan Abdul Rahim Kamil Wan Mohamed Ali (Encik Wan Abdul Rahim) has
more than 25 years of Islamic banking experience and has been actively involved in
various areas of operations including corporate financing and syndication, debt capital
market and corporate advisory.
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He has been awarded as Outstanding Leadership in Islamic Finance by London Sukuk
2011 organized by ICG Events and UK Trade and Industry Ministry in London, United
Kingdom.
He is also a regular trainer and speaker for various seminars and in-house training
workshops organized by Bank Negara Malaysia (BNM), Securities Industries
Development Corporation (SIDC), Islamic Banking and Finance Institute Malaysia
(IBFIM) and other event organizers, both locally and internationally.
He is currently an Islamic capital market consultant to Securities Commission Malaysia.
Prior to this, he was the chief executive officer of ABRAR Discounts Berhad from 1994
to 2006. He started his career in corporate finance department with Aseambankers
(Malaysia) Berhad in 1977 before moving to Bank Islam Malaysia Berhad in 1983 under
various capacities.
He has been a member of the following:
1)
Task Force on Islamic Banking and Takaful for Labuan Offshore Financial
Services Authority (LOFSA) Malaysia;
2)
Islamic Capital Markets Working Group (ICMWG) Securities Commission
Malaysia;
3)
Market and Product Development Committee under the International Islamic
Financial Market (IIFM), Bahrain representing LOFSA;
4)
Private Debt Securities Task Force of the Islamic Banking & Finance Institute
Malaysia (IBFIM), a body under BNM;
5)
Islamic Banking Committee, Majlis Tindakan Ekonomi Negara (MTEN) under the
Prime Ministers Department.
He graduated from Institut Teknologi MARA (ITM) in 1976 and in the same year was
accepted as a professional member of the Institute of Statisticians, United Kingdom (now
merged with the Royal Statistical Society UK). In 1983, he completed his Post Graduate
Diploma in Islamic Banking & Economics from the International Institute of Islamic
Banking & Economics (in association with Al Azhar University, Cairo), in the Turkish
Federated State of Cyprus.
Encik Wan Abdul Rahim has written various articles and presentations on the subjects of
sukuk, corporate governance in Shariah, rating of Islamic financial institutions, Islamic
factoring, Islamic asset backed securities, Islamic gold dinar and securitization.
5)
Encik Mohd Fadhly Md Yusoff

Encik Mohd Fadhly Md Yusoff (Encik Mohd Fadhly) has more than 13 years of
experience in Islamic Capital Market during his tenure as manager with Islamic capital
market department of Securities Commission Malaysia from 1995 to 2008. During this
period, he was involved in Shariah compliance supervision in relation to submissions for
the issuances of sukuk, structured products, collective investment schemes and Islamic
REITs. In addition, he has also undertaken in-depth research for the development of new
Islamic capital market instruments as well as providing technical inputs for the
preparation of various guidelines issued by Securities Commission Malaysia.
Currently, Encik Mohd Fadhly also serves as a member of Shariah committee of Sun Life
Malaysia Takaful Bhd as well as an external Shariah adviser for University Tenaga
Nasional.
He has actively participated in various industry development initiatives namely the
International Organization of Securities Commission (IOSCO) Task Force on Islamic
Capital Market, Islamic Financial Services Boards (IFSB) Governance of Islamic
Investment Funds Working Group, technical member for the publication of Resolutions
311

of the Securities Commission Shariah Advisory Council and Islamic capital market
educational/promotional programs.
He obtained his Bachelor of Syariah (1st Class Honours) from University of Malaya,
Malaysia in 1995.
6)
Puan Shabnam Mohamad Mokhtar

Puan Shabnam Mohamad Mokhtar (Puan Shabnam) is currently the Vice President of
SHAPE Knowledge Services; an Islamic finance consulting firm based in Kuwait. Puan
Shabnam spearheads research and development activities including financial analysis,
strategic & business plan formulation, design and implementation of customized survey,
research and training for different clients at SHAPE. Formerly, she was heading the
capital markets research for the International Shariah Research Academy (ISRA), an
institution established by the Central Bank of Malaysia. Her focus area was case study
based research projects in the Sukuk market.
Puan Shabnam successfully completed her Master of Accounting with distinction from
University of Illinois at Urbana Champaign, USA. Her prior positions include a faculty
member teaching accounting, finance and bank management courses at University Putra
Malaysia. She has conducted various training programs on Islamic banking, sukuk &
Islamic capital market products, risk management and financial reporting for clients in
the ASEAN region, GCC and the European market.
Puan Shabnam has contributed chapters in Housing the Nation (Cagamas 2013), Managing
Fund Flows, Risks and Derivatives: Applications in Islamic Institutions (Sweet &
Maxwell 2012), Islamic Financial System: Principles & Operations Market (ISRA, 2011),
Sukuk (Sweet & Maxwell 2009), and Partnership Accounting, Principles and Practice
(McGraw Hill). She also served as a member of the Shariah Board of Malaysian Ratings
Corporation (MARC). Puan Shabnam divides her time between Kuala Lumpur and
Kuwait.
9.11
The External Investment Manager

MF
ICMF
The Manager has appointed RHB Islamic International Asset Management Berhad as the
External Investment Manager to manage the Funds. The role and responsibilities of the External
Investment Manager includes management of the investment portfolio in accordance with the
investment objective and subject to the Capital Markets and Services Act 2007 and the
Guidelines on Unit Trust Funds as well as the terms and conditions of the investment
management agreement.
RHB Islamic International Asset Management Berhad, a wholly-owned subsidiary of the
Manager, is a holder of a Capital Markets Services Licence to carry out Islamic fund
management activities and a Restricted Dealing Licence to deal in unit trusts issued under the
Capital Markets and Services Act 2007. The Manager, which in turn is a wholly-owned
subsidiary of RHB Investment Bank Berhad, a holder of a Capital Markets Services Licence to
carry out fund management activities and a Restricted Dealing Licence to deal in unit trusts
issued under the Capital Markets and Services Act 2007. The External Investment Manager was
incorporated on 17 November 2009 with a current authorised and paid-up capital of RM13
million. As at the Latest Practicable Date, the Manager has assets under management in excess
of RM2.25 billion.
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The Manager delegated its power to manage the Funds to the External Investment Manager
pursuant to a mandate between them, as may be varied from time to time. In conformity with
the mandate, the External Investment Manager will be paid its management fee by the Manager
from its annual management fee remuneration.
The following is the designated personnel at the External Investment Manager for the Funds:
Puan Sharizad Binti Jumaat
Puan Sharizad Binti Jumaat (Puan Sharizad) joined the External Investment Manager in
September 2013 as chief investment officer and was appointed as chief executive officer on 15
January 2016. She has been in the capital market and asset management industry for over 25
years. She has accumulated experience both in the technical aspects and managerial skills of
investment and finance after spending her early years in Permodalan Nasional Bhd as
investment analyst, 16 years in Employees Provident Fund as head of treasury and later head of
equity investment. Prior to joining the External Investment Manager, she was the chief
executive officer of Amanahraya Investment Management Sdn Bhd, a licenced asset
management company.
Puan Sharizad has diverse investment experience that covers equity, treasury, fixed income,
credit analysis, private equity, structured finance and real estates, both in domestic and foreign
markets. Apart from managing investment portfolios, she is also experienced in managing
strategic interest, partnerships and private equity ventures.
She graduated with BSc (Hons) Second Class Upper in Biochemistry from Universiti
Kebangsaan Malaysia and Master in Business Administration (Finance) from Michigan State
University, United States of America. She has been licensed by the Securities Commission
Malaysia to carry out fund management activities since 2002. She currently holds the Securities
Commission Malaysias Capital Markets Services Representatives Licence for fund
management. She is also registered as a unit trust consultant with the Federation of Investment
Managers Malaysia. She completed the global leadership development program (GLDP) at
Harvard University, Boston, United States of America in 2009.
9.12
Managers Delegates
RHB Banking Group is a fully integrated financial products and services group in Malaysia. Its
businesses are offered through its main subsidiaries RHB Bank Berhad, RHB Islamic Bank
Berhad, RHB Investment Bank Berhad (RHB Investment) and RHB Insurance Berhad. The
Manager has appointed RHB Bank Berhad as its delegate to carry out certain functions.
RHB Bank Berhad (RHB Bank) was incorporated in Malaysia on 4 October 1965 as a public
company limited by shares under the name of Development and Commercial Bank Berhad
Limited and commenced business in November 1965. It changed its name to Development &
Commercial Bank (Limited) Berhad on 15 April 1966 and to Development and Commercial
Bank Berhad on 20 September 1982. It was listed on the Kuala Lumpur Stock Exchange
(currently known as Bursa Securities) on 2 August 1983.
In 1990, RHB acquired equity interest in Development and Commercial Bank Berhad. On 17
December 1994, it changed its name to DCB Bank Berhad and was delisted on 29 December
1994. It assumed its present name on 1 July 1997.
In 1992, RHB Bank established its offshore bank in Labuan, namely RHB Bank (L) Ltd in
response to the Governments call to promote Labuan as an international Offshore Financial
Centre.
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On 1 July 1997, the commercial banking business of Kwong Yik Bank Berhad was merged
with RHB Bank and on 1 July 1998, the operations of RHB Finance Berhad were merged with
RHB Bank. Pursuant to the acquisition of Sime Bank Berhad, the banking business was vested
in RHB Bank on 30 June 1999. On 27 October 2000, RHB Bank acquired the equity interest in
Delta Finance Berhad (DFB) and Interfinance Berhad (IFB). On 1 December 2000, the
finance company business of IFB was merged into DFB and with effect from 8 January 2001,
the finance company business of DFB has been conducted under the new name of RHB Delta
Finance Berhad. On 1 January 2006, RHB Delta Finance Berhad was merged with RHB Bank.
On 1 May 2003, Bank Utama (Malaysia) Berhad was merged with RHB Bank. On 2 February
2005, RHB Islamic Bank Berhad (RHB Islamic Bank), a wholly-owned subsidiary of RHB
Bank, was incorporated. Pursuant to the vesting order issued by the High Court of Malaya on 8
March 2005, the Islamic banking business of RHB Bank was transferred to RHB Islamic Bank
on 16 March 2005.
RHB Indochina Bank Limited (RHB Indochina Bank) became a wholly-owned subsidiary of
RHB Bank on 9 April 2013 whilst RHB Indochina Securities Limited became a wholly owned
subsidiary of RHB Investment on 25 December 2015.
On 30 May 2014, RHB Bank Lao Limited was incorporated as a wholly-owned subsidiary of
RHB Bank.
RHB Bank, as part of the RHB Banking Group offers a comprehensive range of financial
products and services ranging from retail, commercial and corporate banking to Islamic
products and services and electronic banking.
The following functions are delegated by the Manager to RHB Bank:
Operations
Information technology;
Central administration (procurement, property management); and
Central operations (licensing, business continuity management);

Finance;
Human resource;
Risk management;
Internal audit;
Secretariat*;
Legal*; and
Corporate Communications*.
* Pursuant to an internal reorganisation within the RHB Banking Group, RHB Capital Berhad
(RHB Capital), the parent company of RHB Bank at the material time, transferred its entire
equity interest in its subsidiaries to RHB Bank (Internal Reorganisation). Following the
completion of the Internal Reorganisation on 14 April 2016, a distribution and capital
repayment exercise was carried out by RHB Capital and completed on 13 June 2016 following
which RHB Capital ceased to be the parent company within the RHB Banking Group.
Subsequently, the shareholders of RHB Capital had at its extraordinary general meeting held on
24 June 2016 approved the members voluntary winding up of RHB Capital pursuant to Section
254(1)(b) of the Company Act, 1965. The functions which were previously delegated by the
Manager to RHB Capital have accordingly been novated to and will be performed by RHB
Bank, which became the holding company of the RHB Banking Group with effect from 13 June
2016.
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CHAPTER 10: THE TRUSTEE OF THE FUNDS

10.
THE TRUSTEES OF THE FUNDS
10.1

DF
CF
Maybank Trustees Berhad (Company No. 5004-P) is the trustee of the Funds with its registered
office at 8th Floor, Menara Maybank, 100 Jalan Tun Perak, 50050 Kuala Lumpur.
The Trustee was incorporated on 12 April 1963 and registered as a trust company under the
Trust Companies Act 1949 on 11 November 1963. It was one of the first local trust companies
to provide trustee services with the objective of meeting the financial needs of both individual
and corporate clients.
10.1.1 Financial Position
The following is a summary of the past performance of the Trustee based on audited financial
statements for the past 3 financial years:
Paid-up capital
Shareholders funds
Turnover
Profit Before Taxation
Profit After Taxation
31 December
2015
RM
500,000
37,819,277
19,199,588
8,977,223
6,368,612
Year Ended
31 December
2014
RM
500,000
31,450,665
25,573,893
14,090,866
10,448,192
31 December
2013
RM
500,000
21,002,473
21,316,197
11,826,263
8,895,021
10.1.2 Experience in Trustee Business

With more than 22 years of experience as trustee to unit trust funds/schemes, the Trustee has
under its trusteeship a total of sixty two (62) unit trust funds, six (6) wholesale funds, one (1)
private retirement scheme (consisting of four (4) funds) and four (4) real estate investment
trust/property trust funds as at the Latest Practicable Date.
10.1.3 Board of Directors
En Zainal Abidin Jamal
Dato Mohd. Hanif bin Suadi
Dato Dr Tan Tat Wai
Ms Ong Sau Yin
Non-independent non-executive director & chairman

Non-independent non-executive director
Independent non-executive director
Independent non-executive director
10.1.4 Key Personnel

As at the Latest Practicable Date, the Trustee has a total of thirty three (33) staff, comprising
twenty six (26) executives and seven (7) non-executives.
Mr Chong Kin Tuck
Mr Chong Kin Tuck joined the Trustee in September 2014. Kin Tuck has more than 20 years of
work experience in the banking industry, covering securities services and lending. This includes
a banking career in Citibank for 20 years; covering loans operations, mortgage business, share
financing & investment operations, securities & fund services operations, securities services
product development and most recently as head of direct custody & clearing at J.P Morgan
Chase Bank Berhad.
315
Mr Samuel Hwa
Officer in charge
Head, business development & strategies
Mr Samuel Hwa joined the Trustee in August 2013. He holds a Bachelor of Law degree from
the University of London and a Bachelor of Science in Business from Pennsylvania State
University double majoring in finance and marketing/management. He started his career in
America as a business analyst and later joined an insurance company in Malaysia. Prior to
joining Maybank, he was with CIMB Investment Bank Berhad. Mr Samuel has worked in the
securities services industry for over 5 years.
Ms Bernice K.M Lau
Head, operations
Ms Bernice Lau was appointed as head, operations in November 2013. Prior to her
appointment, she was the head, corporate trust of the Trustee. She joined the Trustee in
December 2008. Prior to joining the Trustee, she was a legal & compliance officer of UOB
Trustees Bhd which subsequently merged with OSK Trustees Berhad. She has more than eight
(8) years of experience in trustee industry.
She holds a LL.B (Hons) from University of London and a Certificate in Legal Practice from
Legal Profession Qualifying Board, Malaysia.
10.1.5 Duties and Responsibilities of the Trustee
The Trustees role is mainly to act as custodian of the Funds and to exercise all due diligence
and vigilance in carrying out its functions and duties and to safeguard the rights and interests of
the Unit Holders. Apart from being the legal owner of the Funds assets, the Trustee is
responsible for ensuring that the Manager performs its obligations in accordance with the
provisions of the Deed and the relevant laws.
10.1.6 Delegate of the Trustee
The Trustee has delegated its custodian function to Malayan Banking Berhad. The custodian
function is run under Maybank Securities Services (MSS), a unit within Malayan Banking
Berhad. MSS provides a comprehensive end to end clearing and custody services for global and
domestic equities and fixed income securities. MSS provides a complete suite of corporate
outsourcing solutions with a proven track record in servicing international institutional clients:
sub custodian for major foreign banks and global custodians. MSS also provides global custody
services in more than 100 different markets via a special arrangement with their reputable
partners. They have also consistently been awarded in the global custodian awards for
excellence as well as other major publications. The roles and duties of the Trustees delegate,
MSS, are as follows:
Safe keep, reconcile and maintain assets holdings records of the Funds against the Trustee's
instructions;
Act as settlement agent for shares and monies to counterparties against the Trustee's
instructions;
Act as agents for money market placement where applicable against the Trustee's
instructions;
Disseminate listed companies' announcements to and follow through for corporate actions
instructions from the Trustee;
Compile, prepare and submit holdings report to the Trustee and beneficial owners where
relevant; and
Other ad-hoc payments for work done for the Funds against the Trustee's instructions, etc.
316
The custodian acts only in accordance with instructions from the Trustee.
10.1.7 Trustees Statement of Responsibility
The Trustee has given their willingness to assume the positions and all the obligations that
come along with them under the Deed and all relevant written laws. The Trustee is entitled to be
indemnified out of the assets of the Funds for any liability incurred by the Trustee in performing
or exercising any of its powers or duties in relation to the Funds. This indemnity is in addition
to any indemnity allowed by law. However, it does not extend to liabilities arising from a
breach of trust or failure to show the due care and diligence required of the Trustee having
regard to its powers, authorities and discretions under the Deed.
10.1.8 Material Litigation and Arbitration
As at the Latest Practicable Date, save for the suits mentioned herein below, the Trustee is not
engaged in any material litigation as plaintiff or defendant and the Trustee is not aware of any
proceedings, pending or threatened or of any facts likely to give rise to any proceedings which
might materially and adversely affect its financial position or business.
1.
The bondholders of the Al-Bai Bithaman Ajil (ABBA) bonds (bondholders) issued
by Pesaka Astana (M) Sdn Bhd (PASB) have sued PASB for its failure to meet its bonds
payment obligations under Kuala Lumpur High Court Civil Suit No. D5(D6)-22-1810-2005 (the
ABBA Suit) and cited the Trustee as one of 12 co-defendants in the ABBA Suit. The claim in
the ABBA Suit is for RM149,315,000.00 or any other sum that the court deems fit. The other
defendants in the ABBA Suit include among others the arranger, PASBs chief executive
officer, one of PASBs directors and associate companies of the chief executive officer and the
said director. The Trustee has defended the ABBA Suit and its trial has concluded.
The Trustee had appealed against the decision made by the High Court on 30 June 2010 in
respect of the ABBA Suit in awarding judgement against it. The appeals proceeded on 22, 23,
26, 27, 28, 29 and 30 September 2011 and 3 October 2011. The Court of Appeal had on 8
November 2011 awarded the Trustee and the arranger a limited indemnity against PASB,
PASBs chief executive officer, one of PASBs directors and associate companies of the chief
executive officer and the said director (collectively PASB And Their Associated Defendants)
but found the Trustee and the Arranger equally liable to the bondholders. The Federal Court had
on 5 April 2012 granted the Trustee leave to appeal to the Federal Court against certain parts of
the decision of the Court of Appeal (Federal Court Appeal). The Federal Court Appeal was
heard on 6, 7, 8, 20, 21 and 23 November 2012 and on 2, 3 and 4 January 2013. The hearing
dates of 17 to 19 October 2012 and 19 November 2012 were vacated.
The Federal Court had on 10 February 2014 delivered its decision (Decision) wherein it had,
among others, allowed the Trustee a full indemnity against PASB And Their Associated
Defendants and reduced judgment sum against the Trustee to approximately RM107 million
without apportionment of liability against the arranger.
PASBs chief executive officer and associate companies of the chief executive officer
(collectively the Pesaka Defendants) had filed an application for the Federal Court to grant
leave to review its Decision against them (Review Application 1). On 29 September 2014, the
Federal Court allowed the Pesaka Defendants application to withdraw Review Application 1.
Most of the bondholders had filed an application for the Federal Court to grant leave to review
its Decision in finding the arranger not liable (Review Application 2). On 29 September 2014,
the Federal Court dismissed Review Application 2.
2.
Connected to the ABBA Suit, Amanah Short Deposits Berhad [now MIDF Amanah
Investment Bank Berhad (MIDF)], a Noteholder of the Combined Commercial Papers and/or
Medium Term Notes/Letters of Credit/Financial Guarantee Facilities (CP/MTN) totalling
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RM13 million and issued by PASB, has also sued PASB for full payment under the CP/MTN
arising from a cross-default by PASB under its ABBA Bonds under Kuala Lumpur High Court
Civil Suit No. D2-22-1085-2006 (the CP/MTN Suit). The Trustee was cited as one of 5 codefendants in the CP/MTN Suit. The claim in the CP/MTN Suit is for RM13 million or any
other sum that the court deems fit and damages. The other defendants in the CP/MTN Suit are
the arranger, PASBs chief executive officer and one of PASBs directors. MIDF withdrew its
claim against the arranger in November 2014. The Trustee has defended the CP/MTN suit and
the trial has concluded. On 14 August 2015, the high court dismissed MIDFs claim against the
Trustee (Dismissal) and found PASB/s CEO and one of PASBs directors liable for MIDFs
loss. MIDF has filed a notice of appeal against the Dismissal (Appeal). The Appeal is fixed
for hearing on 28 July 2016.
The Trustee has obtained leave of the court to proceed with the actions against PASB given that
further to an unrelated suit a provisional liquidator had been appointed against PASB. The
Trustee has also obtained leave of the court to proceed with the actions against PASB following
the court's order to wind-up PASB further to an unrelated suit.
In any event, any successful claim that may be established against the Trustee will be covered
by the Trustees insurer and/or Malayan Banking Berhad as the ultimate holding company of
the Trustee. As such, the ABBA Suit and the CP/MTN Suit will not materially affect the
business or financial position of the Trustee.
3.
Several holders of the bonds (bondholders) issued by Aldwich Berhad [In
Receivership] (Aldwich) have sued Aldwich for its failure to settle its indebtedness to the
bondholders following the default of the said bonds in 2010 and cited the Trustee as one of 6
co-defendants under Kuala Lumpur High Court Civil Suit No. D-22NCC-1622-11/2012 (the
Adwich Bondholders Suit). The claim against the Trustee is for the sum of
RM177,248,747.31 or any other sum that the court deems fit. The other defendants are the
holding company of Aldwich, the chief executive officer of the holding company of Aldwich,
the security agent and the reporting accountant. The Trustee does not admit liability to the
Aldwich Bondholders Suit and has defended it. Trial has concluded and the decision date will
be notified by the court. The Aldwich Bondholders Suit will not materially affect the business
or financial position of the Trustee.
318

10.2

BF
CMF
ATRF
GLF Today
ICMF
GLF 2020
DVEF
GLF 2030
GFF
The Trustee is HSBC (Malaysia) Trustee Berhad (Company No. 1281-T), a company
incorporated in Malaysia since 1937 and registered as a trust company under the Trust
Companies Act 1949, with its registered address at 13th Floor, Bangunan HSBC, South Tower,
No 2, Leboh Ampang, 50100 Kuala Lumpur.
10.2.1
Financial Position
The Trustee has a paid-up capital of RM500,000.00. As at 31 December 2015, its
shareholders funds totalled RM65.51 million and it achieved a profit before tax of RM10.80
million.
The following is a summary of the past performance of the Trustee based on audited accounts
for the last 3 years:
Paid-up share capital

Shareholders funds
Turnover
Profit before tax
Profit after tax
10.2.2
2013
(RM)
500,000
48,058,506
24,287,694
12,381,200
9,273,605
Year Ended 31 December

2014
2015
(RM)
(RM)
500,000
500,000
57,329,602
65,514,817
25,328,744
28,829,204
10,804,012
12,466,627
9,271,171
8,042,027
Experience in Trustee Business

Since 1993, the Trustee has acquired experience in the administration of unit trusts and as at
the Latest Practicable Date is the trustee for 182 funds (including unit trust funds, exchange
traded funds, wholesale funds and funds under private retirement scheme).
As at the Latest Practicable Date, the Trustee has a workforce of 47 employees consisting of
40 executives and 7 non-executives. A good number of the staff has been with the Trustee for
many years.
10.2.3
Board of Directors
Mr Piyush Kaul
Mr Kaleon Leong Bin Rahan
Mr Yee Yit Seeng
10.2.4
Profile of Key Personnel

Mr Kaleon Leong Bin Rahan chief executive officer
He has been involved in the fund management industry since 1996, having served stints in a
regulatory body, fund management company, trustee and audit firm. He is a chartered
accountant and holds a Masters in Information Technology Management.
Mr Yee Yit Seeng chief operating officer
He joined the Trustee in July 1984. He holds a Diploma in Banking and Finance and is a
senior associate of Institut Bank-Bank Malaysia. He has more than 22 years of experience in
trust operations including client service, systems/projects & office administration, compliance,
319

internal control & audit, and business development. He was also seconded to the HSBC backend processing office in Cyberjaya, Malaysia to support the global securities operations.
10.2.5
Duties and Responsibilities of the Trustee

The Trustees main functions are to act as trustee and custodian of the assets of the Funds and
to safeguard the interests of Unit Holders. In performing these functions, the Trustee has to
exercise all due care, diligence and vigilance and is required to act in accordance with the
provisions of the respective Deeds, the Capital Markets and Services Act 2007 and the
Guidelines on Unit Trust Funds (Guidelines). Apart from being the legal owner of the
Funds assets, the Trustee is also responsible for ensuring that the Manager performs its duties
and obligations in accordance with the provisions of the respective Deeds, the Capital Markets
and Services Act 2007 and the Guidelines. In respect of monies paid by an investor for the
application of units, the Trustees responsibility arises when the monies are received in the
relevant account of the Trustee for the Funds and in respect of redemption, the Trustees
responsibility is discharged once it has paid the redemption amount to the Manager.
10.2.6
Trustees Statement of Responsibility

The Trustee has given its willingness to assume the position as trustee of the Funds and all the
obligations in accordance with the respective Deeds, all relevant laws and rules of law. The
Trustee shall be entitled to be indemnified out of the Funds against all losses, damages or
expenses incurred by the Trustee in performing any of its duties or exercising any of its
powers under the Deeds in relation to the Funds. The right to indemnity shall not extend to
loss occasioned by breach of trust, willful default, negligence, fraud or failure to show the
degree of care and diligence required of the Trustee having regard to the provisions of the
respective Deeds.
10.2.7
Anti-Money Laundering and Anti-Terrorism Financing Provisions

The Trustee has in place policies and procedures across the HSBC group, which may exceed
local regulations. Subject to any local regulations, the Trustee shall not be liable for any loss
resulting from compliance of such policies, except in the case of negligence, willful default or
fraud of the Trustee.
10.2.8
Statement of Disclaimer
The Trustee is not liable for doing or failing to do any act for the purpose of complying with
law, regulation or court orders.
10.2.9
Trustees Disclosure of Material Litigation

As at the Latest Practicable Date, the Trustee is not engaged in any material litigation and
arbitration, including those pending or threatened, and is not aware of any facts likely to give
rise to any proceedings which might materially affect the business and/or financial position of
the Trustee and any of its delegates.
10.2.10 Consent to Disclosure

The Trustee shall be entitled to process, transfer, release and disclose from time to time any
information relating to the Funds, Manager and Unit Holders for purposes of performing its
duties and obligations in accordance to the respective Deeds, the Capital Markets and Services
Act 2007, Guidelines and any other legal and/or regulatory obligations such as conducting
financial crime risk management, to the Trustees parent company, subsidiaries, associate
companies, affiliates, delegates, service providers, agents and any governing or regulatory
authority, whether within or outside Malaysia (who may also subsequently process, transfer,
320

release and disclose such information for any of the above mentioned purposes) on the basis
that the recipients shall continue to maintain the confidentiality of information disclosed, as
required by law, regulation or directive, or in relation to any legal action, or to any court,
regulatory agency, government body or authority.
10.2.11 Trustees Delegate
The Trustee has appointed The Hongkong And Shanghai Banking Corporation Ltd as
custodian of the quoted and unquoted local investments of the Funds. The assets of the Funds
are held through their nominee company, HSBC Nominees (Tempatan) Sdn Bhd. If and when
the Funds should invest overseas, HSBC Institutional Trust Services (Asia) Limited will be
appointed as the custodian of the foreign assets of the Funds. Both The Hongkong And
Shanghai Banking Corporation Ltd and HSBC Institutional Trust Services (Asia) Limited are
wholly owned subsidiaries of HSBC Holdings Plc, the holding company of the HSBC group.
The custodians comprehensive custody and clearing services cover traditional settlement
processing and safekeeping as well as corporate related services including cash and security
reporting, income collection and corporate events processing. All investments are registered in
the name of the Trustee for the respective Fund or to the order of the Trustee for the respective
Fund. The custodian acts only in accordance with instructions from the Trustee.
The Trustee shall be responsible for the acts and omissions of its delegate as though they were
its own acts and omissions.
However, the Trustee is not liable for the acts, omissions or failure of third party depository
such as central securities depositories, or clearing and/or settlement systems and/or authorised
depository institutions, where the law or regulation of the relevant jurisdiction requires the
Trustee to deal or hold any asset of any Fund through such third parties.
Trustees Delegates
1) The Hongkong And Shanghai Banking Corporation Limited (As Custodian) and
assets held through HSBC Nominees (Tempatan) Sdn Bhd (Co. No. 258854-D)
No 2 Leboh Ampang
50100 Kuala Lumpur
Telephone No: (603)2075 3000
Fax No: (603)2179 6488
2) HSBC Institutional Trust Services (Asia) Limited
6th Floor, Tower One
HSBC Centre
No 1 Sham Mong Road
Kowloon, Hong Kong
Telephone No: (852)2822 1111
Fax No: (852)2810 5259
321

10.3

MDF
MF
IBF
CIMB Islamic Trustee Berhad (Company No. 167913-M) was incorporated on 19 January 1988
and registered as a trust company under the Trust Companies Act, 1949 and having its
registered office at Level 13, Menara CIMB, Jalan Stesen Sentral 2, Kuala Lumpur Sentral,
50470 Kuala Lumpur, Malaysia. The Trustee is qualified to act as a trustee for collective
investment schemes approved under the Capital Markets and Services Act 2007.
The Trustee has an authorised capital of RM5,000,000 divided into 500,000 ordinary shares of
RM10.00 each of which the total issued capital is RM2,000,000 divided into 200,000 ordinary
shares of RM10.00 each, and the total paid up capital is RM1,000,000 divided into 200,000
ordinary shares of RM10.00 each and partly paid-up at RM5.00 each.
for the past three (3) financial years ended 31 December:
2015
2014
2013
RM000
1,000
5,690
RM000
1,000
5,018
RM000
1,000
6,573
3,549
3,403
2,788
Pretax Profit
945
1,312
370
Profit After Tax
671
945
263
Paid-Up Capital
Shareholders Fund
Turnover*
*Only Shariah-compliant income is recognised since the Trustees conversion to Islamic in

2012.
As at the Latest Practicable Date, the Trustee acts as trustee to one (1) real estate investment
trust fund, twenty two (22) unit trust funds, twenty three (23) wholesale funds and one (1)
private retirement scheme (consisting of three (3) funds) and has more than twenty six (26)
years of experience as trustee of unit trust funds.
In addition to overseeing these funds, the Trustee also acts as trustee to private debt securities
issues such as sukuk, bonds and notes. Other than being the administrator of deceaseds estates,
executor of wills, trustee for minors or incapacitated persons, the Trustee also acts as trustee for
public, charitable, staff retirement, and pension/gratuity fund scheme, custodian trustee for
associations, clubs and others.
The Trustee is supported by seventeen (17) staff, comprising of thirteen (13) executives and
four (4) non-executives as at the Latest Practicable Date.
322

10.3.3 Board of Directors
The following table sets out information regarding the board of directors of the Trustee:
Name
Position/Directorship
Zahardin Bin Omardin
Non-executive, independent director & chairman
Mohamad Safri Bin Shahul Hamid
Non-executive, non-independent director
Liew Pik Yoong
Executive, non-independent director
10.3.4 Key Management Staff

Liew Pik Yoong (chief executive officer)
Ms Liew holds the position of CEO, Group Trustee Services in addition to her role as Head of
Securities Services in CIMB. She joined CIMB group in 2011 and has over 29 years
experience in the financial market and securities industry. Prior to joining CIMB group, she
held various leadership roles such as head/director of investors & intermediaries, head of
securities services, vice president/head of department with local foreign banks mainly
responsible for capital market products such as custody, nominees, unit trust, fund
administration and share margin services. She was also previously the chief operating officer
with a local foreign trustee company. She holds a professional degree from the Institute of
Chartered Secretaries & Administrators (ICSA).
Lee Kooi Yoke (chief operating officer)
Ms Lee holds a Bachelor Degree in Administration (Finance) from Griffith University,
Australia and she is a member of the Certified Practising Accountants (CPA) Australia, the
Malaysia Institute of Accountant and Financial Planning Association Malaysia. She has more
than 23 years of working experience in the financial industry. Prior to her current appointment,
she headed the operations of a unit trust management company responsible for transfer agency,
investment back-office, system and projects and retail and corporate agency operations. Also,
prior to this position, she headed the investment operations of an established insurance company
in Malaysia and Singapore.
The Trustees functions, duties and responsibilities are set out in the respective Deeds. The
general functions, duties and responsibilities of the Trustee include, but are not limited to, the
following:
(a)
Take into custody the investments of the Funds and hold the investments in trust for the
Unit Holders;
(b)
Ensure that the Manager operates and administers the Funds in accordance with the
provisions of the respective Deeds, Guidelines on Unit Trust Funds (Guidelines) and
acceptable business practice within the unit trust industry;
(c)
As soon as practicable, notify the Securities Commission of any irregularity or breach of

the provisions of the respective Deeds, Guidelines and any other matters which in the
Trustee's opinions may indicate that the interests of Unit Holders are not served;
(d)
Exercise reasonable diligence in carrying out its functions and duties, actively monitoring
the operations and management of the Funds by the Manager to safeguard the interests of
Unit Holders;
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(e)
Maintain, or cause the Manager to maintain, proper accounting records and other records
as are necessary to enable a complete and accurate view of the Funds to be formed and to
ensure that the Funds are operated and managed in accordance with the respective Deeds,
prospectus, the Guidelines and securities law; and
(f)
Require that the accounts be audited at least annually.
The Trustee has covenanted in the respective Deeds that it will exercise all due diligence and
vigilance in carrying out its roles, duties and responsibilities, and in safeguarding the rights and
interests of Unit Holders.
10.3.6 Statement of Responsibility by the Trustee
obligations in accordance with the respective Deeds, all relevant laws and rules of law.
10.3.7 Material Litigation and Arbitration
rise to any proceedings which might materially affect the business and/or financial position of
the Trustee or any of its delegates.
10.3.8 Trustees Delegate
The Trustee has appointed CIMB Bank Berhad as the custodian of the Funds assets. CIMB
Bank Berhad's ultimate holding company is CIMB Group Holdings Berhad, a listed company in
Bursa Malaysia and currently the second largest financial services provider in Malaysia. CIMB
Bank provides full fledged custodial services, typically clearing settlement and safekeep all
types of investment assets and classes, to a cross section of investors and intermediaries client
base, both locally and overseas.
For the local Ringgit assets, they are held through its wholly owned nominee subsidiary CIMB
Group Nominees (Tempatan) Sdn Bhd. For foreign non-Ringgit assets, CIMB Bank Berhad
appoints global custodian as its agent bank to clear, settle and safekeep on its behalf and to its
order.
All investments are automatically registered in the name of the custodian to the order of the
Trustee of the respective Funds. CIMB Bank Berhad acts only in accordance with instructions
from the Trustee.
10.3.9 Trustees Obligation
The Trustees obligation in respect of monies paid by an investor for the application of Units
arises when the monies are received in the relevant account of the Trustee for the Funds and the
Trustees obligation is discharged once it has paid the redemption amount to the Manager.
324

10.4
TMF Trustees Malaysia Berhad

USEF
TMF Trustees Malaysia Berhad (Company No. 610812-W) was incorporated in Malaysia on 1
April 2003 under the Companies Act 1965 and registered as a trust company under the Trust
Companies Act 1949 on 9 October 2003. Its registered and business address is at 10th Floor,
Menara Hap Seng, No. 1 & 3, Jalan P. Ramlee, 50250 Kuala Lumpur, Malaysia.
The Trustee is part of TMF group, an independent global service provider in the trust and
fiduciary sector. The group has more than 120 offices in 80 jurisdictions in the world. TMF
Trustees started in Malaysia in 1992 with its first office in Labuan International Business
Financial Centre (IBFC), providing trust and fiduciary services. The Kuala Lumpur office was
established in 2003 to support the Labuan office in servicing Malaysian clients and to undertake
domestic trust business.

for the last 3 years:
Financial Year ended 31st December
2015
RM000
2014
RM000
2013
RM000
Turnover
5,128
4,348
3,862
Profit Before Tax
2,554
1,679
1,449
Profit After Tax
1,892
1,258
1,085
Issued and Paid-up capital
1,800
1,800
1,800
Shareholders Funds
7,374
5,482
4,224

As at the Latest Practicable Date, the Trustees operations in Malaysia are supported by a staff
strength of 87, consisting of 81 executives and 6 non-executives. The staffs are mostly
comprised of professionals from various disciplines in trusts, legal, accounting and company
secretarial.
The Trustee provides various types of trustee business, such as trustee for private debt
securities (PDS), corporate administrator to asset-backed securities (ABS), trustee for unit trust
funds & private trust. As at the Latest Practicable Date, the Trustee has 28 unit trust funds and
34 wholesale funds under its trusteeship. The TMF group provides a comprehensive range of
corporate secretarial services, financial accounting, HR administrative and payroll outsourcing
services.
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10.4.3 Board of Directors of the Trustee
The following table sets out information regarding the board of directors of the Trustee as at the
Latest Practicable Date:
Name
Directorship
Ms Celine Chan Hooi Li

Ms Shu Wai Ling
chief executive officer (CEO) & managing director

executive director
Mr Soh Ooi Kean Jin
Independent, non-executive director
10.4.4 Profile of Key Personnel

Ms Celine Chan Hooi Li CEO & managing director
Celine was appointed as the CEO & Managing Director of the Trustee on 9 July 2015. She is a
graduate from RMIT Melbourne, Australia with a Bachelor of Business (Accounting). She
started her working career as an accountant in one of the major accounting firms before moving
into a start-up a records management company, then grew it into leading player in Malaysia.
She was the CEO of one of the largest share registrar company in Malaysia prior to joining
TMF.
Celine has more than 20 years of experience in the service industry, being in senior
management leadership positions in various industries, including logistics, IT & business
process outsourcing and capital markets.
Ms Shu Wai Ling - director, fund services
Shu is an associate member of the Institute of Chartered Secretaries and Administrators (ACIS).
She has over 20 years of work experience in investment settlement and operations, fund
administration including fund accounting, fund valuation and investment compliance. She was
the head of operations in an investment management company and an insurance company,
responsible for the investment operation and fund accounting. She then progressed to the
position of head of business development in an established trust company with more than 150
unit trust funds under their trusteeship. With her exposure in these financial institutions, she has
extensive experience and knowledge in business processes in the administration of investment
fund and implementation of fund accounting and valuation.
The Trustees main functions are to act as trustee and custodian of the assets of the Funds and to
safeguard the interests of Unit Holders. In carrying out these functions and duties, the Trustee
has to exercise all due care, skills, diligence and vigilance and is required to act in accordance
with the provisions of the Deed, all relevant laws and the Guidelines on Unit Trust Funds
(Guidelines). Apart from being the legal owner of the Funds assets, the Trustee is also
responsible for ensuring that the Manager performs its duties and obligations in accordance
with the provisions of the Deed, all relevant laws and the Guidelines.
10.4.6 Trustees Statement of Responsibility
obligations in accordance with the Deed, all relevant laws and the Guidelines.
326

10.4.7 Trustees Disclosure of Material Litigation and Arbitration
rise to any proceedings which might materially and adversely affect the financial position or
business of the Trustee.
10.4.8 Trustees Delegates
The Trustee has appointed Standard Chartered Bank Malaysia Berhad (SCBM) as custodian
of the quoted and unquoted investments of the Funds. SCBM is responsible for the Funds
assets settlement and custodising the Funds asset. The assets are held in the name of the Funds
through the custodians wholly owned subsidiary and nominee company, Cartaban Nominees
(Tempatan) Sdn Bhd. All investments are automatically registered into the name of the relevant
Funds. The custodian acts only in accordance with instruction from the Trustee.
SCBM was incorporated in Malaysia on 29 February 1984 under the Companies Act 1965 as a
public limited company and is a subsidiary of Standard Chartered PLC (the holding company
of a global banking group). Standard Chartered Bank Malaysia Bhd was granted a licence on 1
July 1994 under the Financial Services Act 2013.
327
CHAPTER 11: RELATED-PARTY TRANSACTION AND CONFLICT OF INTEREST

11.
RELATED-PARTY TRANSACTION AND CONFLICT OF INTEREST

The directors and officers of the Manager and members of the investment committee should
avoid any conflict of interest arising, and if any conflict arises, should ensure that the Funds
are not disadvantaged by the transaction concerned. Any transaction carried out by or on
behalf of the Funds should be executed on terms which are the best available for the Funds and
which are no less favourable to the Funds than an arms length transaction between
independent parties. In the event the interest of any directors and employees of the Manager,
and members of the investment committee is directly or indirectly involved, he or she would
abstain from being involved with any decision making process of the said transaction.
No fees other than the ones set out in this Master Prospectus have been paid to any promoter
of the Funds, or the Trustee (either to become a trustee or for other services in connection with
the Funds), or the Manager for any purpose or as allowed by regulations or approved by the
authorities.
Interests in the Funds and employees securities dealings
Subject to the paragraph below and any legal and regulatory requirement, any officers or
directors of the Manager, Trustee or any of their respective related corporations, may invest in
the Funds. Such officers or directors will receive no payments from the Funds other than usual
income distributions that they may receive as a result of investment in the Funds.
The Manager has in place a policy contained in its rules of business conduct, which regulates
its employees securities dealings. An annual declaration of securities trading is required of all
employees to ensure that there is no potential conflict of interest between the employees
securities trading and the execution of the employees duties to the Manager and customers of
the Manager.
The Funds may also invest in related companies and/or instruments issued by related
companies of the Manager and/or deposit money in financial institutions related to the
Manager. All related party transaction will be transacted at arms length and are established on
terms and conditions that are stipulated in the applicable regulations of the respective stock
exchanges and/or other applicable laws and market convention.
Cross trades
The Funds may conduct cross trades with another fund under the management of the Manager
provided that:
1)
the sale and purchase decisions are in the best interest of both funds;
2)
transactions are executed on arms length and fair value basis;
3)
reason for such transactions is documented prior to execution; and
4)
transaction is executed through a dealer or a financial institution.
Cross trades between staff personal account and the Funds account(s), and cross trades
between proprietary accounts and the Funds account(s) are prohibited.
328

In relation to BF, GLF Today, GLF 2020, GLF 2030, CMF, ICMF, DVEF, GFF and ATRF:
As the trustee for the Funds, there may be related party transaction involving or in connection
with the Funds in the following events:1)
2)
3)
4)
Where the Funds invest in instruments offered by the related party of the Trustee (e.g
placement of monies, structured products, etc);
Where the Funds are being distributed by the related party of the Trustee as Institutional
Unit Trust Adviser (IUTA);
Where the assets of the Funds are being custodised by the related party of the Trustee
both as sub-custodian and/or global custodian of the Funds (Trustees delegate); and
Where the Funds obtain financing as permitted under the Guidelines on Unit Trust
Funds, from the related party of the Trustee.
The Trustee has in place policies and procedures to deal with conflict of interest, if any. The
Trustee will not make improper use of its position as the owner of the Funds assets to gain,
directly or indirectly, any advantage or cause detriment to the interests of Unit Holders. Any
related party transaction is to be made on terms which are best available to the Funds and which
are not less favourable to the Funds than an arms length transaction between independent
parties.
Subject to the above and any local regulations, the Trustee and/or its related group of companies
may deal with each other, the Funds or any Unit Holder or enter into any contract or transaction
with each other, the Funds or any Unit Holder or retain for its own benefit any profits or
benefits derived from any such contract or transaction or act in the same or similar capacity in
relation to any other scheme.
In relation to MDF, MF and IBF:
The Trustee is independent of the Manager. The Trustee will carry out transactions on an arms
length basis and on terms which are best available for the Funds, as well as act at all times in the
best interest of the Unit Holders. The Trustee also has adequate procedures and processes in
place to prevent or control conflicts of interest.
In relation to DF and CF:
length basis and on terms which are best available for the Funds, as well as act at all times in the
The board of directors of the Trustee declare that the requirements of the guidelines on allowing
a person to be appointed or to act as trustee under subsection 290(1) of the Capital Markets and
Services Act 2007 have been complied with at the appointment of application.
329

In relation to USEF:
TMF Trustees Malaysia Berhad
length basis and on terms which are best available for the Fund, as well as act at all times in the
The Trustees board of directors declare that the requirements of the guidelines on allowing a
person to be appointed or to act as trustee under subsection 290(1) of the Capital Markets and
Services Act 2007 have been complied with at the point of application.
Other Declarations
Wei Chien & Partners has given its confirmation that there are no existing or potential conflicts
of interest in its capacity as the solicitors for the Manager.
KPMG Tax Services Sdn Bhd has given its confirmation that there are no existing or potential
conflicts of interest in its capacity as the tax adviser for the Funds.
330
CHAPTER 12: TAX ADVISERS LETTER ON THE TAXATION OF THE FUNDS AND UNIT
HOLDERS
12.
TAX ADVISERS LETTER ON THE TAXATION OF THE FUNDS AND UNIT

HOLDERS
(Prepared for inclusion in this Master Prospectus)
Private and confidential
The Board of Directors
19th Floor, Plaza OSK
Jalan Ampang
50450 Kuala Lumpur
30 April 2016
Dear Sirs
Re:
Taxation of the Funds and Unit Holders
This letter has been prepared for inclusion in the master prospectus dated 15 July 2016 in
connection with the offer of units in the following unit trust funds (the Funds):1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
RHB DYNAMIC FUND

RHB CAPITAL FUND
RHB BOND FUND
RHB MALAYSIA DIVA FUND
RHB GOLDENLIFE FUNDS CONSISTING OF:
- RHB GOLDENLIFE TODAY
- RHB GOLDENLIFE 2020
- RHB GOLDENLIFE 2030
RHB CASH MANAGEMENT FUND 1
RHB MUDHARABAH FUND
RHB ISLAMIC BOND FUND
RHB ISLAMIC CASH MANAGEMENT FUND
RHB DIVIDEND VALUED EQUITY FUND
RHB GLOBAL FORTUNE FUND
RHB ASIAN TOTAL RETURN FUND
RHB-GS US EQUITY FUND
Taxation of the Funds

Income Tax
The Funds are treated as unit trusts for Malaysian tax purposes. The taxation of the Funds is
therefore governed principally by Sections 61 and 63B of the Malaysian Income Tax Act, 1967
(the Act).
Any reference to interest in the Act shall apply, mutatis mutandis, to gains or profits received
and expenses incurred, in lieu of interest, in transactions conducted in accordance with the
principles of Shariah. The effect of this is that any gains or profits received and expenses
incurred, in lieu of interest, in transactions conducted in accordance with the principles of
Shariah, will be accorded the same tax treatment as if they were interest.
Subject to certain exemptions, the income of the Funds in respect of investment income derived
from or accruing in Malaysia after deducting tax allowable expenses, is liable to Malaysian
income tax at the rate of 24% with effect from Year of Assessment (YA) 2016.
331
HOLDERS
Investment income derived from sources outside Malaysia and received in Malaysia by a
resident unit trust is exempt from Malaysian income tax. However, such income may be subject
to tax in the country from which it is derived.
Gains from the realisation of investments (whether local or foreign) by the Funds will not be
subject to tax in Malaysia.
Gains or profits earned by the Funds from the following are exempt from tax:
any savings certificates issued by the Government of Malaysia; or
securities or bonds issued or guaranteed by the Government of Malaysia; or
debentures or sukuk, other than convertible loan stock, approved or authorised by, or
lodged with the Securities Commission; or
Bon Simpanan Malaysia issued by the Central Bank of Malaysia; or
a bank or financial institution licensed under the Financial Services Act 2013 or Islamic
Financial Services Act 2013; or
any development financial institution regulated under the development financial

institution regulated under the Development Financial Institutions Act 2002; or
Sukuk originating from Malaysia, other than convertible loan stock, issued in any
currency other than Ringgit and approved or authorised by, or lodged with the Securities
Commission or approved by the Labuan Financial Services Authority; or
A Sukuk Wakala, other than a convertible loan stock, issued in any currency by Wakala
Global Sukuk Berhad; or
A Sukuk Wakala issued in accordance with the principle of Wakala Bil Istithmar with the
nominal value of up to one billion and five hundred million United States Dollars, other than a
convertible loan stock, issued by the Malaysia Sovereign Sukuk Berhad
Any income received by the Funds from a Sukuk Issue which has been issued by the Malaysia
Global Sukuk Inc will be exempt from tax.
Any income received by the Funds from a Sukuk Ijarah, other than convertible loan stock,
issued in any currency by 1Malaysia Sukuk Global Berhad will be exempt from tax.
Discounts earned by the Funds from the following are also exempt from tax:
securities or bonds issued or guaranteed by the Government of Malaysia; or
debentures or sukuk, other than convertible loan stock, approved or authorized by, or
lodged with the Securities Commission; or
Bon Simpanan Malaysia issued by the Central Bank of Malaysia.
Deductions in respect of the Funds expenses such as managers remuneration, maintenance of

a register of unit holders, share registration expenses, secretarial, audit and accounting fees,
telephone charges, printing and stationery costs and postage are generally allowed based on a
332
HOLDERS
prescribed formula subject to a minimum of 10 percent and a maximum of 25 percent of the
total of these expenses.
Single-tier Malaysian dividends received by the Funds are exempted from tax and expenses
incurred by the Funds in relation to dividend income (which is paid or credited under the singletier system) are disregarded.
Real Property Gains Tax (RPGT)
Gains on disposal of investments by the Funds will generally not be subject to income tax in
Malaysia. However, such gains may be subjected to RPGT in Malaysia, if the gains are derived
from the sale of Malaysian real properties or shares in Malaysian real property companies (as
defined). The gains on the disposal of the chargeable assets would be subject to RPGT at the
applicable rate depending on the holding period of the chargeable assets.
Goods and Services Tax (GST)
GST has been implemented in Malaysia with effect from 1 April 2015, at a standard rate of 6%.
It replaced the Sale Tax and Service Tax.
The issue, holding or redemption of any unit under a trust fund is regarded as an exempt supply.
The investment activities of the Funds such as buying and selling of securities are exempt
supplies and thus not subject to GST. Thus, if the Funds are only making such exempt supplies,
they are not required to be registered for GST.
However, certain expenses incurred by the Funds such as fund managers fees, trustee fees and
professional fees will be subject to GST at a standard rate if the service providers are registered
persons. If the Funds are only making exempt supplies, any input tax incurred by the Funds for
the aforementioned expenses are not claimable.
Taxation of Unit Holders
Unit holders are taxed on an amount equivalent to their share of the total taxable income of the
Funds, to the extent that this is distributed to them. The income distribution from the Funds may
carry with it applicable tax credits proportionate to each unit holders share of the total taxable
income in respect of the tax paid by the respective Funds. Unit holders will be entitled to utilise
the tax credit as a set-off against the tax payable by them. Any excess over their tax liabilities
will be refunded to the unit holders. No other withholding taxes will be imposed on the income
distribution of the Funds.
With effect from YA 2016, corporate unit holders (resident or non resident in Malaysia), will be
taxed at the corporate tax rate of 24%, on distributions of income from the Funds to the extent
of an amount equivalent to their share of the total taxable income of the Funds. Resident
corporate unit holders whose paid-up capital in the form of ordinary shares does not exceed
RM2.5 million will be subject to a tax rate of 19% (effective from YA 2016) on chargeable
income of up to RM500,000. For chargeable income in excess of RM500,000, the tax rate of
24% (effective from YA 2016) is still applicable. However, the said tax rate of 20% on
chargeable income of up to RM500,000 will not apply if more than 50% of the paid up capital
in respect of ordinary shares of that company is directly or indirectly owned by a related
company which has a paid up capital exceeding RM2.5 million in respect of ordinary shares, or
vice versa, or more than 50% of the paid up capital in respect of ordinary shares of both
companies are directly or indirectly owned by another company.
Individuals and other non-corporate unit holders who are resident in Malaysia are generally
subject to income tax at scaled rates. The scaled tax rates range from 0% to 28% with effect
from YA 2016.
333
HOLDERS
Individuals and other non-corporate unit holders who are not resident in Malaysia, for tax
purposes, will be subject to Malaysian income tax at the rate of 28% with effect from YA 2016.
Non resident unit holders may also be subject to tax in their respective jurisdictions and
depending on the provisions of the relevant tax legislation and any double tax treaties with
Malaysia, the Malaysian tax suffered may be creditable in the foreign tax jurisdictions.
The distribution of single-tier dividends and other tax exempt income by the Funds will be
exempted from tax in the hands of the unit holders in Malaysia. Distribution of foreign income
will also be exempted from tax in the hands of the unit holders.
Units split by the Funds will be exempted from tax in Malaysia in the hands of the unit holders.
Any gains realised by the unit holders (other than financial institutions, insurance companies
and those dealing in securities) from the transfers or redemptions of the units are generally
treated as capital gains which are not subject to income tax in Malaysia. However, certain unit
holders may be subject to income tax in Malaysia on such gains, due to specific circumstances
of the unit holders.
The following gains or income received by the unit holders are not subject to GST:
the distribution of income from the Funds to the unit holders which may comprise of
dividends, interest income and gain from realisation of investments;
distribution of foreign income from the Funds;
unit split by the Funds and reinvestment of distribution; and
gain made from selling or redemption of units.
However, the following expenses incurred by the unit holders should be subject to GST if the
supplier is GST registered:
any fee based charges in relation to buying of the units such as sales charge; and
switching and transfer charges for switching or transferring the units.
The tax position is based on our understanding and interpretation of the Malaysian tax laws and
provisions as they stand at present. All prospective investors should not treat the contents of
this letter as advice relating to taxation matters and are advised to consult their own
professional advisers concerning their respective investments.
Yours faithfully
Ong Guan Heng

Executive Director
334
CHAPTER 13: EXPERTS REPORT

13.
EXPERTS REPORT
DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
There are no experts reports in respect of the Funds as no experts (i.e. any party providing
advice to the Manager) apart from the tax adviser were appointed for the Funds.
335
CHAPTER 14: CONSENT

14.
CONSENT
DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
(a)
The Trustees, the External Investment Manager, the Shariah Adviser, the solicitors, the
manager of Allianz Global High Payout Fund (Allianz Global Investors Singapore
Limited), the manager of United Asian Bond Fund (UOB Asset Management Ltd) and
the management company of Goldman Sachs US Equity Portfolio (Goldman Sachs
Asset Management Global Services Limited) have given their written consents to the
inclusion of their names in the form and context in which they appear in this Master
Prospectus and have not, before the date of issue of this Master Prospectus, withdrawn
such consents.
(b)
The tax adviser, KPMG Tax Services Sdn Bhd has given its written consent to the
inclusion of its name and its letter on taxation of the Funds and Unit Holders in the
form and context in which it appears in this Master Prospectus and has not, before the
date of issue of this Master Prospectus, withdrawn such consent.
336
CHAPTER 15: APPROVAL AND CONDITIONS

15.
APPROVALS AND CONDITIONS

DF
MF
GFF
CF
IBF
MDF
ICMF
CMF
DVEF
There are no other approvals required, sought or pending from any relevant authorities in
respect of the Funds.
There are no waivers or exemptions granted by the Securities Commission for the Funds as
none has been sought for.
BF
The Manager has received a variation to Securities Commissions investment restrictions on 8
May 1998 and is allowed to hold securities that are not traded in or under the rules of an eligible
market up to a maximum of 50% of the Net Asset Value. The normal restriction is 10% of the
Net Asset Value.
GLF
The Manager has received an exemption to clause 10.06 of the Guidelines on Unit Trust Funds
(Guidelines) on 24 February 2010, where:
(a)
the exemption to create units of GLF Today not for cash is applicable only for the
automatic termination and merger exercise with GLF 2020 and GLF 2030, on their
respective maturity dates as defined in the deed of the funds; and
(b)
the exemption to cancel units of GLF 2020 and GLF 2030 not for cash at the said
maturity dates, is applicable only for their automatic termination and merger with GLF
Today.
The approved exemption is subject to the following conditions:

(a)
The transfer of asset should be effected at arms length based on the market value of the
respective portfolios of GLF 2020 and GLF 2030 (Transferor Funds) at their maturity
dates;
(b)
The Trustee of GLF Today (Transferee Fund) must ensure that the receipt of assets
from the Transferor Funds at their respective automatic and merger dates-
(c)
1)
is not likely to result in any material prejudice to the interest of Unit Holders of the
Transferee Fund;
2)
is consistent with the investment objective and strategy of the Transferee Fund;
and
3)
could be effected without any breach of investments of the Transferee Fund;
The Manager must ensure that the portfolio of the Transferor Funds at the point of their
respective termination and merger is consistent with the investment objective and
strategy of the Transferee Fund; and
The Trustee of the Transferee Fund and the Manager are to submit a declaration confirming
items (b) and (c) above to Securities Commission, for the respective automatic termination and
merger of each Transferor Fund before the exercise is conducted.
337

USEF
In relation to the limit of repurchase imposed by the investment manager at target fund level,
i.e. Goldman Sachs US Equity Portfolio, the Manager has obtained approval from the Securities
Commission for variation to Clause 10.17 (a) of the Guidelines which allows the Manager to
pay Unit Holders within fifteen (15) Business Days after the request for redemption of Units is
received by the Manager instead of the required ten (10) days.
Should the Funds target fund, i.e. Goldman Sachs US Equity Portfolio extend the period of the
payment of their redemption proceeds beyond ten (10) days, the Manager will only pay Unit
Holders their redemption proceeds five (5) Business Days of such other extended period as may
be imposed by Goldman Sachs US Equity Portfolio, when the total redemption of shares in
Goldman Sachs US Equity Portfolio is more than 10% of the shares in the that target fund or a
particular share class of that target fund. Clause 10.17 (a) of the Guidelines states that a
management company should pay the Unit Holder in cash the proceeds of the repurchase of
Units as soon as possible, at most within ten (10) days of receiving the repurchase request.
In respect of the limit of repurchase imposed by the investment manager at Goldman Sachs US
Equity Portfolio, the Manager has obtained approval from the Securities Commission for
variation to Clause 10.38 of the Guidelines which allows the Manager to calculate the
redemption based on several valuation points on which the staggered payment request is met by
Goldman Sachs US Equity Portfolio (instead of at the next valuation point after the request for
repurchase of units is received by the management company), when the total redemption of
shares in Goldman Sachs US Equity Portfolio is more than 10% of the shares in that target fund
or a particular share class of that target fund. Clause 10.38 of the Guidelines states that any
dealing in units of the fund should be at a price that is the NAV per unit of the fund as at the
next valuation point after the request for sale or repurchase of units is received by the
management company (forward price).
ATRF
In relation to the limit of repurchase imposed by the investment manager at its target fund level,
i.e. the United Asian Bond Fund, the Manager has obtained approval from the Securities
Commission for variation to Clause 10.17 (a) and Clause 10.38 of the Guidelines, whereby
Clause 10.17 (a) of the Guidelines states that a management company should pay the Unit
Holder in cash the proceeds of the repurchase of Units as soon as possible, at most within ten
(10) days of receiving the repurchase request and Clause 10.38 of the Guidelines states that any
dealing in units of the fund should be at a price that is the NAV per unit of the fund as at the
next valuation point after the request for sale or repurchase of units is received by the
management company (forward price).
The approved variation is subject to the following terms and conditions:
Variation to Clause 10.17 (a) of the Guidelines
(i) In the event the United Asian Bond Fund imposes a limit of realisation on any particular
day when requests for redemption of its units exceed 10% of the total number of units in
issue in the United Asian Bond Fund (10% limit) and the payment of the redemption
request is received by the Manager from the United Asian Bond Fund within 10 business
days of the United Asian Bond Fund, the Manager is to pay the Unit Holders within fifteen
(15) Business Days upon the receipt of the redemption requests from the Unit Holders of
the Fund; or
(ii) In the event the United Asian Bond Fund imposes 10% limit or triggers suspension upon
receipt of the redemption request from the Manager and/or payment has yet to be made to
the Manager before the suspension is triggered, and the payment of the redemption request
is received by the Manager from the United Asian Bond Fund after 10 business days from
338

the day that the redemption request is received by the United Asian Bond Fund, the
Manager is to pay the Unit Holders five (5) Business Days after obtaining the redemption
proceeds from the United Asian Bond Fund.
Variation to Clause 10.38
(iii) In the event the United Asian Bond Fund imposes the 10% limit, the Manager is to
calculate the redemption request based on several valuation points until the full redemption
amount is completed by the United Asian Bond Fund.
339
CHAPTER 16: DOCUMENTS AVAILABLE FOR INSPECTION

16.
DOCUMENTS AVAILABLE FOR INSPECTION

DF
CMF
GFF
CF
MF
ATRF
BF
IBF
USEF
MDF
ICMF
GLF
DVEF
For a period of not less than twelve (12) months from the date of this Master Prospectus, Unit
Holders may inspect without charge at the registered office of the Manager or such other place
as the Securities Commission may determine, the following documents or copies thereof, where
applicable, in relation to the Funds in which they hold Units:
(a)
the relevant Deed;
(b)
each material contract disclosed in the Master Prospectus and, in the case of contracts
not reduced into writing, a memorandum which gives full particulars of the contracts;
(c)
the audited financial statements of the Funds for the current financial year (where
applicable) and for the last three (3) financial years or if the Fund has been established
for a period of less than three (3) years, the entire period preceding the date of this
Master Prospectus;
(d)
all reports, letters or other documents, valuations and statements by any expert, any part
of which is extracted or referred to in the Master Prospectus (if any). Where a summary
experts report is included in the Master Prospectus, the corresponding full experts
report shall be made available for inspection;
(e)
consent given by experts or persons whose statement appears in this Master

Prospectus; and
(f)
writ and relevant cause papers for all material litigation and arbitration disclosed in this
Master Prospectus.
340
DIRECTORY OF OUTLETS FOR PURCHASE AND SALE OF UNITS

For information on the participating distributors, please contact:
RHB Asset Management Sdn Bhds Registered/Principal Office and Branches.
(Kindly refer to the Corporate Directory for details.)
Investors may call our help-desk at Toll-Free Hotline number: 1-800-88-3175 at any time during
our office hours: Mondays through Fridays from 9.00 a.m. 5.00 p.m. or e-mail your enquiries to
rhbam@rhbgroup.com or visit our website, www.rhbgroup.com
341

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MASTER PROSPECTUS

Name of the Funds

RHB Mudharabah Fund

RHB Dividend Valued Equity Fund

INVESTORS ARE ADVISED TO READ AND UNDERSTAND THE CONTENTS OF THIS

KEY DATA SECTION ................................................................................................................ 9

KEY DATA SECTION OF RHB DYNAMIC FUND ............................................................... 9

GENERAL INFORMATION .................................................................................................9

FEES AND CHARGES ......................................................................................................10

TRANSACTION DETAILS ................................................................................................11

OTHER INFORMATION ...................................................................................................12

KEY DATA SECTION OF RHB CAPITAL FUND ............................................................... 13

GENERAL INFORMATION ...............................................................................................13

FEES AND CHARGES ......................................................................................................14

TRANSACTION DETAILS ................................................................................................15

OTHER INFORMATION ...................................................................................................16

KEY DATA SECTION OF RHB BOND FUND ..................................................................... 17

GENERAL INFORMATION ...............................................................................................17

FEES AND CHARGES ......................................................................................................18

TRANSACTION DETAILS ................................................................................................19

OTHER INFORMATION ...................................................................................................20

KEY DATA SECTION OF RHB MALAYSIA DIVA FUND ................................................ 21

GENERAL INFORMATION ...............................................................................................21

FEES AND CHARGES ......................................................................................................22

TRANSACTION DETAILS ................................................................................................23

OTHER INFORMATION ...................................................................................................24

KEY DATA SECTION OF RHB GOLDENLIFE FUNDS RHB GOLDENLIFE TODAY25

GENERAL INFORMATION ...............................................................................................25

FEES AND CHARGES ......................................................................................................26

TRANSACTION DETAILS ................................................................................................27

OTHER INFORMATION ...................................................................................................28

GENERAL INFORMATION ...............................................................................................29

FEES AND CHARGES ......................................................................................................30

TRANSACTION DETAILS ................................................................................................31

OTHER INFORMATION ...................................................................................................32

GENERAL INFORMATION ...............................................................................................33

FEES AND CHARGES ......................................................................................................34

TRANSACTION DETAILS ................................................................................................35

OTHER INFORMATION ...................................................................................................36

KEY DATA SECTION OF RHB CASH MANAGEMENT FUND 1 .................................... 37

GENERAL INFORMATION ...............................................................................................37

FEES AND CHARGES ......................................................................................................38

TRANSACTION DETAILS ................................................................................................38

OTHER INFORMATION ...................................................................................................40

KEY DATA SECTION OF RHB MUDHARABAH FUND ................................................... 41

GENERAL INFORMATION ...............................................................................................41

FEES AND CHARGES ......................................................................................................42

TRANSACTION DETAILS ................................................................................................43

OTHER INFORMATION ...................................................................................................44

1.10 KEY DATA SECTION OF RHB ISLAMIC BOND FUND ................................................... 45

GENERAL INFORMATION ...............................................................................................45

FEES AND CHARGES ......................................................................................................46

TRANSACTION DETAILS ................................................................................................47

OTHER INFORMATION ...................................................................................................48

GENERAL INFORMATION ...............................................................................................49

FEES AND CHARGES ......................................................................................................50

TRANSACTION DETAILS ................................................................................................51

OTHER INFORMATION ...................................................................................................52