If you've noticed, I have reduced the Top 10 Best Performing Unit Trust fund review from every fortnightly to monthly. The main reason for doing so is because I am lazy believe that the gains or losses for unit trust over a one month period is more significant as compared to every two weeks.
That aside, let us begin with the review!
Review
Fund Category : Asia excluding Japan
Benchmark performance over 1 month : -1.41%
Average Gain/Loss of Top 10 funds over 1 month : +3.77%
Fund Category : Asia excluding Japan
Top 10 Best Performing Fund for Category Asia excluding Japan (ranked according to 5 Years Annualized Performance):
 |
| Click to Enlarge |
4 Weeks Gain/Loss Ranking Table for Category Asia excluding Japan
Fund Name
|
YTD as of
10th July 2013 |
YTD as of
7th Aug 2013 |
4 Weeks
Gain / Loss (%) |
4 Weeks Gain/
Loss Rankings |
Previous
4 Weeks Gain/Loss Rankings |
Public Islamic Asia
Dividend Fund
|
-2.2
|
1.3
|
3.5
|
5
|
2
|
Public Asia Ittikal Fund
|
-3.18
|
0.59
|
3.77
|
4
|
3
|
PB Islamic Asia Equity
Fund
|
-4.12
|
-0.27
|
3.85
|
3
|
5
|
Eastspring Investments
Asia Pacific Shariah Equity Fund
|
-4.06
|
-1.13
|
2.93
|
9
|
6
|
Pheim Asia Ex-Japan
Islamic
|
5.09
|
8.31
|
3.22
|
7
|
1
|
CIMB Islamic Asia Pacific
Equity Fund
|
-5.38
|
-1
|
4.38
|
2
|
9
|
MAAKL Shariah
Asia-Pacific Fund
|
-10.58
|
-7.12
|
3.46
|
6
|
7
|
Public Regional Sector
Fund
|
Newcomer
|
11.13
|
N/A
|
N/A
|
N/A
|
PB Islamic Asia Strategic
Sector Fund
|
-1.86
|
1.24
|
3.1
|
8
|
4
|
MAAKL Pacific Fund
|
-4.83
|
0.91
|
5.74
|
1
|
8
|
AVERAGE 4 WEEKS GAIN/LOSS (%)
|
3.77
|
||||
Review of Asia excluding Japan Fund
An interesting month for the Asia excluding Japan market as seen by the Average 4 Weeks Gain of all 10 funds achieved +3.77%. Largely buoyed by the positive performance of the China market, all funds posted reasonable gains lead by MAAKL Pacific Fund at +5.74%.
The average gain of +3.77% for the period of 10th July to 7th Aug 2013 is the highest average gain over a one month period since our review started in 31 Jan 2013. Comparing the performance of the Top 10 Fund vs MSCI Asia Excluding Japan Index Benchmark:
Average Gain/Loss of Top 10 funds over 1 month : +3.77%
Is this a positive sign of better performance to come?
Over the short duration, most Asian countries market performance are dragged down by news of the US stimulus, the impending tapering as well as the exit of foreign investors from the Asian market.
Over the short duration, most Asian countries market performance are dragged down by news of the US stimulus, the impending tapering as well as the exit of foreign investors from the Asian market.
Since funds in this category include stocks from China, the losses caused by news from the United States were countered off by gains coming from China. This will be further elaborated under the China Fund review. Furthermore, Asian countries which are dependent on exports to China have also benefit from some positive economic data coming from China over the past one month.
The impending tapering should be seen as a good sign of recovery for the economy of United State. Eventual recovery would lead to increasing demands for products from Asia countries to the world largest economy. If economic data from China continues to meet the targets, we are looking at an opportunity for investment into the Asia Excluding Japan funds.
In my honest opinion, there is an opportunity for investment via lump sum over a period of 1 to 3 years. However, please do invest only if you have additional cash to do so.
Recommended funds for investing:
Pheim Asia Ex-Japan Islamic Fund
Reason : Has shown robustness with YTD returning +8.31% while other funds in the top 10 are in the negative zone.
Kenanga Asia Pacific Total Return Fund
Reason : A newly launched fund that you might want to consider as this fund has set a target of achieving 10% per annum return. Secondly, the fund investment strategy will be based on Absolute Return philosophy.
Hwang Select Asia (ex) Quantum
Reason : Has zero exposure to China and South Koreaequities. The fund targets investment in Asia Pacific equities such as Singapore, Thailand, Indonesia, etc therefore shielding direct losses (if any) that comes from China's volatility. With no direct exposure to China and South Korea, this fund has yielded +27.70% between 1st January 2013 to 31st May 2013.
Fund Category : Greater China
Review of Greater China Fund
What caused the mini revival? Two reasons:
1. China's economic growth met the forecast result of 7.5% in the 2nd quarter. This has helped to ease worries among investors that China might not be able to meet the forecast target which was previously revised downward from 8.0% to 7.5%.
2. Second reason is the rise in foreign investment into China resulting from reason no.1.
Despite the positive euphoria enveloping China, I am still against placing your investment into a single bucket (in this case a fund that purely invest into China). The volatility of the Shanghai Stock Exchange over a 1 year period as shown below is just too much for my risk appetite:
Fund Category : Equity Malaysia
4 Weeks Gain/Loss Ranking Table for Category Equity Malaysia:
Review of Equity Malaysia Funds:
There is no place like home..free of natural disasters such as earthquake or massive floods, our economy and stock market are not affected by the "Act of God". Despite concerns over our massive Government debts affecting the economy, I strongly believe that sound investing philosophy practiced by certain fund managers (when it comes to selecting companies to invest in) should be able to weather out storm if the stock market crashes. Furthermore, a stock market crash is considered a major housekeeping practice to weed out dodgy companies from the good quality and sustainable ones.
Back to our review, in terms of Average 4 Weeks Gain/Loss, the top 10 funds managed to achieve an average gain of +1.67%. An acceptable average gain if you compare it with the the Kuala Lumpur Stock Exchange Index which managed to gain only +0.60% over the same period.
In terms of individual fund performance, CIMB Principal Wholesale Equity Fund is the top performing Equity Malaysia fund, adding +4.25% to the fund's YTD. 9/10 of the top 10 funds managed to perform above the benchmark KLSE index except for Public Focus Select Fund.
With no major local economic news happening over the past one month, the top 10 funds did not experience any major gains or losses. For long term investors, continue to invest consistently and utilize the Dollar Cost Averaging strategy to mitigate the downside of the stock market.
Recommended Funds for Long Term Investment (Conventional):
1. Phillip Master Equity Fund
Recommended Funds for Long Term Investment (Syariah Compliant)
1. Hwang AIIMAN Growth Fund
2. Kenanga Syariah Growth Fund
That's all for this month's review!
Cheers and Happy Investing!
P/s : If you like to invest into Philip Master Equity Growth Fund, Hwang AIIMAN Growth or any other funds that you feel is right for you, drop me an email at shanesee03@gmail.com
If you like reading this post, it would do me a great favor by:
1. Sharing this post on your Facebook!
2. Liking my Facebook Page
The impending tapering should be seen as a good sign of recovery for the economy of United State. Eventual recovery would lead to increasing demands for products from Asia countries to the world largest economy. If economic data from China continues to meet the targets, we are looking at an opportunity for investment into the Asia Excluding Japan funds.
In my honest opinion, there is an opportunity for investment via lump sum over a period of 1 to 3 years. However, please do invest only if you have additional cash to do so.
Recommended funds for investing:
Pheim Asia Ex-Japan Islamic Fund
Reason : Has shown robustness with YTD returning +8.31% while other funds in the top 10 are in the negative zone.
Kenanga Asia Pacific Total Return Fund
Reason : A newly launched fund that you might want to consider as this fund has set a target of achieving 10% per annum return. Secondly, the fund investment strategy will be based on Absolute Return philosophy.
Hwang Select Asia (ex) Quantum
Reason : Has zero exposure to China and South Koreaequities. The fund targets investment in Asia Pacific equities such as Singapore, Thailand, Indonesia, etc therefore shielding direct losses (if any) that comes from China's volatility. With no direct exposure to China and South Korea, this fund has yielded +27.70% between 1st January 2013 to 31st May 2013.
Review
Fund Category : Greater China
Top 10 Best Performing Fund for Category Greater China (ranked according to 5 Years Annualized Performance):
4 Weeks Gain/Loss Ranking Table for Category Greater China:
|
Fund Name
|
YTD as of
10th July 2013 |
YTD as of
7th Aug 2013 |
4 Weeks
Gain / Loss (%) |
4 Weeks Gain/
Loss Rankings |
Previous
4 Weeks Gain/Loss Rankings |
|
CIMB-Principal Greater
China Equity Fund
|
-8.28
|
0.23
|
8.51
|
1
|
8
|
|
CIMB-Principal Greater
China Equity Fund
|
-8.28
|
0.23
|
8.51
|
1
|
8
|
|
PB China Titans Fund
|
-3.14
|
0.65
|
3.79
|
8
|
4
|
|
Public China Ittikal Fund
|
-3.23
|
3.28
|
6.51
|
4
|
1
|
|
PB China Pacific Equity
Fund
|
-2.93
|
3.71
|
6.64
|
3
|
5
|
|
Public China Select Fund
|
0.26
|
5.8
|
5.54
|
6
|
3
|
|
AmIslamic Greater China
|
-7.6
|
-3.87
|
3.73
|
9
|
2
|
|
Eastspring Investments
Dinasti Equity Fund
|
-4.56
|
2.6
|
7.16
|
2
|
7
|
|
Hwang China Select Fund
|
8.12
|
14.47
|
6.35
|
5
|
6
|
|
MAAKL Greater China Fund
|
-7.95
|
-2.54
|
5.41
|
7
|
10
|
|
AVERAGE 4 WEEKS GAIN/LOSS (%)
|
6.22
|
||||
Review of Greater China Fund
China funds have done well for the past one month averaging about +6.22% in terms of average gains. Top performing fund for this review goes to CIMB-Principal Greater China Equity Fund, gaining +8.51% over the 1 month period. An impressive figure whereby helping the fund to return to positive figures in terms of Yield to Date (YTD). Even the poorest performer, AmIslamic Greater China managed to gain +3.73%!
Positive economic data released this month in China boosted the Shanghai Stock Exchange. The SSE gained +4.69% between 5 July 2013 to 12 Aug 2013.
Comparing the SSE Gain with the Gains of the Top 10 funds, only 2 funds failed to meet the benchmark.
1. China's economic growth met the forecast result of 7.5% in the 2nd quarter. This has helped to ease worries among investors that China might not be able to meet the forecast target which was previously revised downward from 8.0% to 7.5%.
2. Second reason is the rise in foreign investment into China resulting from reason no.1.
Despite the positive euphoria enveloping China, I am still against placing your investment into a single bucket (in this case a fund that purely invest into China). The volatility of the Shanghai Stock Exchange over a 1 year period as shown below is just too much for my risk appetite:
Review
Fund Category : Equity Malaysia
Top 10 Best Performing Fund for Category Equity Malaysia (click Image to Enlarge):
|
Fund Name
|
YTD as of
10th July 2013 |
YTD as of
7th Aug 2013 |
4 Weeks
Gain / Loss (%) |
4 Weeks Gain/
Loss Rankings |
Previous
4 Weeks Gain/Loss Rankings |
|
MAAKL-HDBS Flexi Fund
|
12.43
|
12.4
|
-0.03
|
10
|
6
|
|
Kenanga Growth Fund
|
14.8
|
16
|
1.2
|
7
|
5
|
|
Phillip Master Equity
Growth Fund
|
23.79
|
26.48
|
2.69
|
2
|
1
|
|
Kenanga Syariah Growth
Fund
|
13.65
|
15.12
|
1.47
|
5
|
3
|
|
Hwang AIIMAN Growth
|
16.3
|
17.66
|
1.36
|
6
|
9
|
|
CIMB-Principal Wholesale
Equity Fund
|
13.99
|
18.24
|
4.25
|
1
|
2
|
|
CIMB-Principal Equity
Fund
|
13.31
|
16.04
|
2.73
|
3
|
4
|
|
AMB Dividend Trust Fund
|
6.25
|
8.39
|
2.14
|
4
|
8
|
|
MAAKL Dividend Fund
|
12
|
12.71
|
0.71
|
8
|
7
|
|
Public Focus Select Fund
|
7.55
|
7.73
|
0.18
|
9
|
10
|
|
AVERAGE 4 WEEKS GAIN/LOSS (%)
|
1.67
|
||||
Review of Equity Malaysia Funds:
There is no place like home..free of natural disasters such as earthquake or massive floods, our economy and stock market are not affected by the "Act of God". Despite concerns over our massive Government debts affecting the economy, I strongly believe that sound investing philosophy practiced by certain fund managers (when it comes to selecting companies to invest in) should be able to weather out storm if the stock market crashes. Furthermore, a stock market crash is considered a major housekeeping practice to weed out dodgy companies from the good quality and sustainable ones.
Back to our review, in terms of Average 4 Weeks Gain/Loss, the top 10 funds managed to achieve an average gain of +1.67%. An acceptable average gain if you compare it with the the Kuala Lumpur Stock Exchange Index which managed to gain only +0.60% over the same period.
In terms of individual fund performance, CIMB Principal Wholesale Equity Fund is the top performing Equity Malaysia fund, adding +4.25% to the fund's YTD. 9/10 of the top 10 funds managed to perform above the benchmark KLSE index except for Public Focus Select Fund.
With no major local economic news happening over the past one month, the top 10 funds did not experience any major gains or losses. For long term investors, continue to invest consistently and utilize the Dollar Cost Averaging strategy to mitigate the downside of the stock market.
Recommended Funds for Long Term Investment (Conventional):
1. Phillip Master Equity Fund
Recommended Funds for Long Term Investment (Syariah Compliant)
1. Hwang AIIMAN Growth Fund
2. Kenanga Syariah Growth Fund
That's all for this month's review!
Cheers and Happy Investing!
P/s : If you like to invest into Philip Master Equity Growth Fund, Hwang AIIMAN Growth or any other funds that you feel is right for you, drop me an email at shanesee03@gmail.com
If you like reading this post, it would do me a great favor by:
1. Sharing this post on your Facebook!
2. Liking my Facebook Page
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