Target Fund Sector Allocation as at 30 April 2023
HLMT MAKMUR FUND
(HLMTDM)
April 2023
Fund Features
1. Investment Objective Target Fund Top 5 Holdings as at 30 April 2023
HLMT Makmur Fund - HLMTDM (“The Fund”) aims to achieve
a consistent capital growth over a medium-to-long term 1 Genetec Technology Berhad 6.34%
investment horizon by investing in compliance with the
Shariah requirements.
2 Pentamaster Corporation Berhad 5.76%
2. Investment Strategy & Approach
At inception, the Fund will invest by feeding into Hong Leong 3 Top Glove Corporation Berhad 5.36%
Dana Makmur (“Target Fund”), a shariah-compliant unit trust
fund managed by Hong Leong Asset Management Berhad.
4 YBS International Berhad 5.27%
Generally, the Target Fund selects undervalued companies
that have the potential to offer good medium-to-long term (3 5 Star Media Group Berhad 5.00%
to 5 years) capital growth.
3. Asset Allocation Historical Performance
The Fund will be investing a minimum of 90% of the Fund’s
net asset value (“NAV”) in the Target Fund and a maximum
of 10% of the Fund’s NAV in money market instruments
and/or deposits.
The indicative asset allocation for the Target Fund is to invest
a minimum 70% of its NAV into Shariah-compliant equities
and a maximum 30% of its NAV into Islamic money market
instruments and Sukuk.
4. Target Market
The Fund is suitable for investors who:
a. Seek to achieve capital growth through a diversified
portfolio of investments.
b. Have a medium-to-long term investment horizon.
Fund Details
Unit Price (30/04/2023) RM 1.0050
1 1 3 5 Since
YTD
Fund Size (30/04/2023) RM 5.3mil Month Year Year Year Inception
Makmur 0.68% 4.47% 3.51% - - 0.50%
Fund Management Fee 1.50%
Benchmark* 0.19% -1.84% -10.69% - - -16.43%
Fund Manager Hong Leong MSIG Takaful Relative 0.49% 6.31% 14.20% - - 16.93%
Berhad
*Source: Bloomberg
Fund Category Islamic Equity/Growth
Fund Inception 13/04/2021
Benchmark FBM EMAS Shariah Index
Frequency of Unit
Daily
Valuation
*The company reserves the right to change the Fund Management Fee (%
p.a.) by giving the Certificate Owner ninety (90) days prior written notice.
*Investment-linked unit price will be updated and published daily in our
corporate website. Please refer to our website
www.hlmtakaful.com.my/Quick-Links/Fund-Prices.aspx
Hong Leong MSIG Takaful Berhad 200601018337 (738090-M)
Level 5, Tower B, PJ City Development, No. 15A, Jalan 219, Seksyen 51A, 46100 Petaling Jaya, Selangor.
Telephone 03-7650 1800 Facsimile 03-7620 6730
Market Review, Outlook & Strategy by the Target Fund Notice: Past performance is not an indication of its future
performance.
Equities Market
• Actual returns of the Target Fund on a net basis (net of
During the month of April, the FTSE BM KLCI fell by 0.47% to tax and charges) or since inception if shorter (warming
close at 1,416 points. Market in general was rather subdued, due statement: this is strictly the performance of the Target
to concern on the health of US banking sector. The broader market Fund, and not the returns earned on the actual
underperformed as the FTSE BM EMAS Index was up by 0.19% contributions paid of the Investment-Linked product.
to close at 10,737 points. Small cap also outperformed FBMKLCI,
rose by 1.14% as the FTSE BM Small Cap Index close at 15,495. • The investment returns shall be calculated based on the
The top three best-performing sectoral indices in April 23 were the unit price of the Target Fund and the formula shall be
telecommunication, utilities and transportation sectors. The top consistent with that of the benchmark indices.
three worst-performing sectors in April 23 were financials,
healthcare and technology.
• Any performance comparison of Target Fund must be
with that of a similar fund, in terms of investment
Foreign investors were the largest net sellers in April; they have objectives and focus and based on similar time frame of
been net selling Malaysia equities for the eighth consecutive at least 12 months.
month. Foreign net sell moderated from RM1.3 bn in March to
RM247 mil in April. On a positive note, local institutional investors
and retails were net buyers at RM213 mil and RM37 mil Investment Risks
respectively.
All investments carry risks. Investors must be prepared to accept a
certain degree of risk when investing in this Fund. The following
On the corporate front, Asia Digital Engineering, subsidiary of
are some but not an exhaustive list of all the potential risks
Capital A, has secured an investment of USD100 mil (RM446 mil)
associated with investment in the Target Fund.
to expand its maintenance, repair and overhaul business. ATA
IMS Bhd said its wholly-owned subsidiary; ATA Industrial is being
1. Market Risk
sued by an industrial products supplier over a RM2.57 mil claim.
Due to price fluctuations of securities invested in by the
Careplus Group is teaming up with an individual Woon Howl
Target Fund, the value of the investment may go up as well
Chuen to venture into the renewable energy (“RE”) and energy
as down. The movement in securities prices is influenced
efficiency management business.
by a number of factors, which include changes in economic,
political and social environment.
Malaysia is scheduled to release its Industrial Production Index
(“IPI”) for March and Bank Negara Malaysia’s (“BNM”) Monetary 2. Credit Risk
Policy Committee (“MPC”) meeting is scheduled in early May. Also Applies to debt-type investments such as debentures and
in focus will be the upcoming US Federal Open Market Committee sukuk. The institution invested in may not be able to make
(“FOMC”) on 2-3 May 2023. Investors will be also tracking the the required profit payments or repayment of principal.
potential dates of upcoming state polls (expected in mid-2023).
3. Profit Rate Risk
Applied to sukuk, security prices move in the opposite
The Fund will continue to identify companies that are potential
direction of profit rates. If profit rates rise and the security
winners in growing industries helmed by capable management.
prices fall, this will lower the value of your investment and
vice versa.
Target Fund Performance
4. Liquidity Risk
The actual investment return for the Target Fund was as follows: Defined as the ease with which a security can be sold at or
near its fair value. This risk occurs in thinly traded or illiquid
securities. Should the Fund need to sell a relatively large
amount of such securities, such action itself may
significantly depress the selling price.
5. Concentration Risk
Concentration risk occurs when a portfolio is overweight on
a particular security, sector or asset class. As the fund
invests mainly into third party collective investment scheme
(CIS) and by virtue of the CIS investing in a diversified
portfolio of equities as well as dynamic asset allocation
strategy between equities and other financial instruments,
the concentration risk is mitigated.
Source: Hong Leong Asset Management Berhad
6. Target Fund(s) Risk
The fund invests in third party CIS which is being managed
by another fund manager. The CIS is carefully selected in
order to ensure that the objectives of said CIS are
appropriately aligned with the fund. Nevertheless, the Fund
Manager does not have control over the management of the
CIS and any adverse effect on the CIS will inevitably affect
the fund. In such instance, the Fund Manager may replace
the CIS with another CIS which the Fund Manager
considers to be more appropriate or invest directly in a
diversified portfolio in order to meet the objective of the fund.
Please also refer to the Target Fund’s prospectus for more
detailed and comprehensive information on Target Fund
Source: Hong Leong Asset Management Berhad specific risk.
7. Shariah Status Reclassification Risk Exceptional Circumstances
This risk refers to the risk that the currently held Shariah-
compliant securities by the target funds may be reclassified The Takaful Operator reserves the right to defer the payment of
to be Shariah non-compliant in the periodic review of the benefits (other than death benefit) under this Certificate for a
securities by the Shariah Advisory Council of Securities period not exceeding six (6) months from the date the payment
Commission Malaysia (SACSC) or the Shariah Adviser for would have been normally effected if not for intervening events
the Target Fund. If this occurs, the value of the Target Fund such as temporary closure of any Stock Exchange in which the
may adversely affect and the fund manager will take the fund is invested which the Takaful Operator, in its discretion,
necessary steps to dispose of such securities in may consider exceptional.
accordance with the advice from Shariah Adviser.
Basis of Calculation of Past Performance
If the fund invests in Foreign Assets, it will be exposed to the
following risks: The historical performance of the fund is calculated based on the
8. Country Risk price difference over the period in consideration compared to the
The foreign investments made by the fund are subjected to older price of the period in consideration.
risk specific to the country in which it invests. Such risks
include changes in a country’s economic fundamentals,
social and political stability, currency movement, foreign
investment policies and etc. The risk may be mitigated by
closely monitoring the developments in the countries in
order to identify any emerging risk. For the underlying target fund, past performance is calculated
9. Currency Risk on NAV per unit to NAV per unit basis with gross income (if any)
The risk applies to foreign investment, in which the from target fund reinvested, since launch, in MYR terms.
investment may rise or fall due to fluctuation in the foreign
currencies. Adverse movements in currencies exchange Others
rates can result in a loss to the investment.
HLMT Makmur Fund is managed by Hong Leong MSIG Takaful
Basis of Unit Valuation Berhad. Any amount invested in this fund is invested by Hong
Leong MSIG Takaful Berhad on behalf of Participant into the
1. The assets of every fund are to be valued to determine the Target Fund which will invest in shariah compliant equity, sukuk
value at which units of a particular fund can be liquidated and money market instrument/s. If the financial institutions
or purchased for investment purposes. and/or corporations issuing the funds defaults or insolvent, the
Participant risks losing part or all of his/her amount that were
2. The unit price of a unit of a fund shall be determined by the invested into the instruments on his/her behalf by Hong Leong
Company but in any event shall not be less than the value MSIG Takaful Berhad.
of fund of the relevant fund (as defined below), divided by
the number of units of the given fund in issue on the THIS IS A TAKAFUL PRODUCT THAT IS TIED TO THE
business day before the valuation date, and the result PERFORMANCE OF THE UNDERLYING ASSETS, AND IS
adjusted to the nearest one hundredth of a cent. NOT A PURE INVESTMENT PRODUCT SUCH AS UNIT
TRUSTS.
3. The maximum value of any asset of any fund shall not
exceed the following price: Disclaimer:
a. The last transacted market price at which those You must evaluate your options carefully and satisfy yourself that the
assets could be purchased or sold on the business investment-linked fund chosen meets your risk appetite. Past
daybefore the valuation date; or performance of the fund is not an indication of its future performance.
b. In the case of securities for which market values are The intention of this document is to enable Participant to better
understand the fund features.
not readily available, the price at which, in our
Investment Manager’s opinion, the asset may have
been purchased on the business day before the
valuation date; plus any expenses which would
have been incurred in its acquisition.
4. To ensure fair treatment to all unit holders, the cost of
acquiring and disposing of assets is recouped by making a
transaction cost adjustment to the NAV per unit.
