Your gateway to Asia s strong growth potential. Schroder Asian Income

Transcription

1 Your gateway to Asia s strong growth potential

2 Asian economies rank amongst the fastest-growing and most dynamic globally. The region is set to remain as the world s growth engine for years to come. (the Fund ) captures this strong potential through a diversified portfolio of Asian equities and bonds aimed at providing investors with both income and long-term capital growth. Three key benefits Reap sustainable income with potential payouts of 4.75% p.a. 1 paid monthly Capture strong growth potential of Asia through high-yielding equities and bonds with strong track record Gain from active asset allocation to achieve steady return with a volatility of 4.7% 2 1 Distributions at a variable percentage per annum of the net asset value per unit of the (the Fund ) will be declared monthly. The distributions are not guaranteed and might be changed at the Manager s discretion in accordance with the Trust Deed. Ordinarily, they will be reviewed annually. In the event of the Fund s income and realised gains being less than the intended distribution, distributions will be made from capital, subject to trustee approval. Investors should be aware that the distributions may exceed the income and realised gains of the Fund at times and lead to a reduction of the amount originally invested, depending on the date of initial investment. 2 As at 31 October Volatility calculated based on daily NAV since inception on 21 October

3 Capture income and growth opportunities in Asia with Emphasis on attractive, sustainable income The Fund derives its yield primarily through investments in dividend yielding Asian equities and Asian bonds. Current portfolio yield: 4.9% p.a. Asian Bonds 4.4% yield p.a. Asian Equities 5.3% yield p.a. We only select securities that are of high-quality and offer sustainable incomes. Through diversification, an investor can reduce specific risks inherent within individual asset classes and securities, reducing the likelihood of permanent capital loss. Source: Schroders, as at 30 November The portfolio yield may fluctuate due to market movements. Flexible and active asset allocation strategy The Fund is dynamically managed between: Asian Bonds 30 70% Asian Equities 30 70% Cash 0 30% Other Asset Classes % A benchmark-unconstrained approach to asset allocation allows us capture yield opportunities and deliver more consistent returns during all phases of the economic cycle. 39% 36% 40% 50% Recovery Expansion Slowdown Recession 60% 1% 58% 5% 1% 35% 5% 20% 45% 5% Source: Schroders, as at 30 November For illustration purposes only. The Fund s actual investments may differ from the model portfolio. Other asset classes include commodities and real estate securities. ²Other asset classes include commodities and real estate securities. Managed by specialist investment teams Multi-Asset Team Overall asset allocation and risk management The Fund is designed to draw on the asset allocation, stock selection and risk management expertise of three specialist investment teams at Schroders. This collaborative approach can generate the most efficient access to opportunities across all asset classes. Asian Fixed Income Team Asian bond selection Asian Equity Team Asian stock selection Source: Schroders, as at 31 December

4 Proven track record Cumulative performance of SGD ; 21 Oct Nov Total Return = +60.7% Annualised Return = +8.1% p.a. 90 Oct 11 Nov 12 Nov 13 Nov 14 Nov 15 Nov 16 Nov 17 SGD Representative Index Source: Morningstar, bid to bid, dividends reinvested in SGD as at 30 November On an offer-to-bid basis, the Fund s Total Return = +52.4%, Annualised Return = +7.2% p.a. Past performance is not an indicator of future performance. Inception Date as of 21 October Representative Index: 50% MSCI AC Asia Pacific ex Japan & 50% JP Morgan Asia Credit Index (SGD hedged). Morningstar All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. Fund characteristics 58.1% 32.9% 18.9% 16.6% 4.8% 3.7% 5.2% 3.4% Overall Portfolio Allocation Overall Country Allocation 2.8% 0.5% 0.5% 4.6% 4.0% 13.3% 18.0% 4.2% 4.6% 4.0% Equity Japanese REITs Fixed Income Cash Other Asset Classes 1 China Cash Singapore India Others Thailand Indonesia Taiwan Australia Global Korea Japan Hong Kong Top 5 equities Top 5 bonds Capitaland Commercial Trust REIT 2.1% GOHL Capital Limited 24 Jan % 0.5% HK Electric Investments & HK Electric Investments Limited 2.1% China Southern Power Grid Company Limited 08 May % 0.5% Mapletree Greater China Commercial Trust REIT 1.8% Link REIT 1.8% Fortune REIT 1.7% Phoenix Lead Limited 23 Feb % 0.4% Newcastle Coal Infrastructure Group Limited 4.4% 29 September % Country Garden Holdings Company 9 March % 0.4% Source: Schroders, as at 30 November For illustration purposes only. This does not represent a recommendation to invest or divest in the aforementioned securities. 1 Other asset classes include commodities and real estate securities. 4

5 Fund details Also available: Share Class SGD AUD Hedged USD Hedged GBP Hedged EUR Hedged Investment Objective The investment objective of is to provide income and capital growth over the medium to longer term by investing primarily in Asian equities and Asian fixed income securities Inception Date 21 Oct Oct Mar Oct May 2017 Launch Price SGD1.00 AUD1.00 USD1.00 GBP1.00 EUR1.00 Minimum Subscription Amount SGD1,000 AUD1,000 USD1,000 GBP1,000 EUR1,000 Subscription Method Cash / SRS Cash Payout 4.75% p.a. 1 monthly 5.25% 6.25% p.a. 1,2 monthly 4.5% 5.5% p.a. 1,2 monthly 4% 4.25% p.a. 1,2 monthly NA Sales Charge Up to 5% p.a. Management Fees Up to 1.25% p.a. Dealing Frequency Daily Bloomberg Ticker SCHASIN:SP SCHASIA:SP SCHASUH:SP SCHAIGH:SP SCHAIEH:SP ISIN Code SG SG SG SG SG Reference Benchmark 50% MSCI AC Asia Pacific ex Japan & 50% JP Morgan Asia Credit Index (SGD hedged) Fund Size SGD 4.2 billion (as at 30 Nov 2017) 1 Distributions at a variable percentage per annum of the net asset value per unit of the (the Fund ) will be declared monthly. The distributions are not guaranteed and might be changed at the Manager s discretion in accordance with the Trust Deed. Ordinarily, they will be reviewed annually. In the event of the Fund s income and realised gains being less than the intended distribution, distributions will be made from capital, subject to trustee approval. Investors should be aware that the distributions may exceed the income and realised gains of the Fund at times and lead to a reduction of the amount originally invested, depending on the date of initial investment. 2 The AUD Hedged/USD Hedged/GBP Hedged share classes makes regular distributions at a variable rate, based on gross investment income plus a premium when the foreign currency interest rate is higher than the base currency (SGD) interest rate, and minus a discount when the foreign currency interest rate is lower. The level of premium or discount is determined by differences in the foreign and base currency interest rates and is not part of the fund s objective or investment policy. For example, when AUD interest rates are higher than SGD interest rates, distributions will include a premium paid out of capital. The distributions paid out by this share class may be significantly reduced if AUD interest rates fall compared to SGD interest rates. 5

6 schroders.com.sg Important Notes This is prepared by Schroders for information and general circulation only and the opinions expressed are subject to change without notice. It does not constitute an offer or solicitation to deal in units of any Schroders fund (the Fund ) and does not have regard to the specific investment objectives, financial situation or the particular needs of any specific person who may receive this. Investors may wish to seek advice from a financial adviser before purchasing units of any Fund. In the event that the investor chooses not to seek advice from a financial adviser, he should consider whether the Fund in question is suitable for him. Past performance of the Fund or the manager, and any economic and market trends or forecast, are not necessarily indicative of the future or likely performance of the Fund or the manager. The value of units in the Fund, and the income accruing to the units, if any, from the Fund, may fall as well as rise. Investors should read the prospectus, available from Schroder Investment Management (Singapore) Ltd or its distributors, before deciding to subscribe for or purchase units in any Fund. Funds may carry a sales charge of up to 5%. Published: January 2018 Schroders Reg. No H