INVESTORS SHOULD RELY ON THEIR OWN EVALUATION TO ASSESS THE MERITS AND RISKS OF THE INVESTMENT.

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2 Responsibility Statement This Master Prospectus has been reviewed and approved by the directors of Public Mutual Berhad 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 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 the management company 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 Investors should note that they may seek recourse under the Capital Markets and Services Act 2007 for breaches of securities laws including any statement in the Master Prospectus that is false, misleading, or from which there is a material omission; or for any misleading or deceptive act in relation to the Master Prospectus or the conduct of any other person in relation to the funds. i

3 CONTENTS GLOSSARY OF TERMS/ABBREVIATIONS 3-7 CORPORATE DIRECTORY 8 1. INFORMATION ON THE FUNDS Fund Profiles Risk Factors Permitted Investments Investment Restrictions Valuation of Permitted Investments Cross Trade Policy FEES, CHARGES AND EXPENSES Charges Imposed on Purchase and Redemption of Units Fees and Expenses of The Funds Policy on Stockbroking Rebates and Soft Commissions TRANSACTION INFORMATION Determination of Prices Computation of Prices Where to Purchase or Redeem Units of The Funds How to Purchase Units of The Funds How to Redeem Units of The Funds How to Switch Units Between Funds How to Transfer Units of The Funds Minimum Account Balance Cooling-Off Right Distribution Unclaimed Monies Keeping Track of Your Investments Avenue for Advice THE MANAGER Corporate Profile of Public Mutual Roles, Duties and Responsibilities of The Manager The Investment Committee Profile of Key Investment Personnel Related Party Transactions/Conflict of Interest Documents Available for Inspection Policies and Procedures on Money Laundering Activities THE TRUSTEES Trustees of the Funds Roles, Duties and Responsibilities of The Trustees Corporate Profile of AmanahRaya Trustees Berhad Corporate Profile of Maybank Trustees Berhad Corporate Profile of CIMB Commerce Trustee Berhad 139 1

4 CONTENTS (CONT D) 6. SALIENT TERMS OF THE DEED Unitholders Rights and Liabilities Maximum Fees and Charges Permitted by The Deed Permitted Expenses Payable Out of The Funds Retirement, Removal and Replacement of The Manager Retirement, Removal and Replacement of The Trustee Termination of The Funds Unitholders Meeting 144 TAXATION OF THE FUNDS AND UNITHOLDERS DIRECTORY OF PUBLIC MUTUAL BRANCH OFFICES AND CUSTOMER SERVICE CENTRES DIRECTORY OF PUBLIC MUTUAL AGENCY OFFICES 151 2

5 Glossary of Terms/Abbreviations ART blue chip stocks Bursa Securities Business Day(s) AmanahRaya Trustees Berhad ( T) High quality stocks of companies which have a track record of stable earnings and dividends of at least 10 years. Bursa Malaysia Securities Berhad Each weekday in which Bursa Securities is open for dealing. Note: The Manager may declare certain Business Days to be a non-business Day, although Bursa Securities is open for business, if one or more of the foreign markets in which the fund(s) are invested therein are closed for business. This is to ensure that you will be given a fair valuation of the fund(s) at all times, be it when purchasing or redeeming units of the fund(s). CCTB CMSA 2007 CMSRL cooling-off right CIMB Commerce Trustee Berhad ( A) Capital Markets and Services Act 2007 as originally enacted and amended from time to time. Capital Markets Services Representative s Licence The right of a unitholder who is investing with Public Mutual for the first time, to change his mind and cancel an investment within 6 Business Days from the date of receipt by Public Mutual, of the investment application form and payment and will obtain a full refund of the said investment within 10 days of receipt of cooling-off notice by Public Mutual. The cooling-off right, however, does not extend to a corporation or institution, the staff of Public Mutual and persons registered to deal in unit trust funds. deposits dividend stocks Sum of money placed with licensed financial institutions in accordance with Financial Services Act 2013 and Islamic Financial Services Act Stocks which offer consistent dividend yields. Eligible Market A market that (a) is regulated by a regulatory authority; (b) operates regularly; (c) is open to the public; and (d) has adequate liquidity for the purposes of the fund in question. EPF EPF-MIS Extraordinary Resolution FDR FIMM forward pricing Employees Provident Fund Employees Provident Fund Members Investment Scheme A resolution passed at a meeting of unitholders duly convened and held in accordance with the provisions of the Deed and carried by a majority consisting of not less than three quarters of the unitholders voting thereat upon a show of hands or if a poll is duly demanded and taken by a majority consisting of not less than three quarters in number of the votes given on such poll. For the purposes of termination or winding-up of a fund, an extraordinary resolution is passed by a majority in number representing at least three-fourth of the value of the units held by unitholders at the meeting duly convened and held in accordance with the provisions of the Deed. fixed deposit rate Federation of Investment Managers Malaysia The purchase or redemption of units is based on the NAV per unit of the fund next determined or calculated after the application to purchase or redemption request from unitholder(s) is received by the Manager in proper form. 3

6 Glossary of Terms/Abbreviations (CONT D) GDP growth stocks GST high growth stocks incidental index stocks IOSCO Refers to Gross Domestic Product which is the monetary value of all finished goods and services produced within a country in a specific period of time. Stocks of companies with potential price appreciation where the earnings growth potential of the companies is projected to exceed the GDP growth of the country in which the stock is listed in. Goods and Services Tax Stocks of companies with brighter earnings growth prospects than growth stocks. The term incidental in relation to distribution policy of the fund implies that the main focus of the fund will be on securing capital growth. Index component stocks of a selected benchmark market index. International Organization of Securities Commissions Foreign markets which are ordinary/associate members of the IOSCO include: Asia Pacific United States of America - Australia Europe - China - France - Hong Kong - Germany - India - Italy - Indonesia - Luxembourg - Japan - Netherlands - New Zealand - Spain - Philippines - Switzerland - Singapore - United Kingdom - South Korea - Taiwan - Thailand - Vietnam Please refer to the updated list in our website at IPO KLIBOR long term Initial Public Offering Kuala Lumpur Interbank Offered Rate Long term refers to a period of more than 5 years. Master Prospectus Master Prospectus 1 of Public Series of Funds dated 10 September medium to long term MSCI AC Far-East Ex-Japan Index Medium to long term refers to a period of 3 years or more. Morgan Stanley Capital International All Country Far-East Ex-Japan Index MSCI All Country World Index Morgan Stanley Capital International All Country World Index MTB Maybank Trustees Berhad (5004-P) 4

7 Glossary of Terms/Abbreviations (CONT D) NAV Net Asset Value ( NAV ) of the fund is determined by deducting the value of all the fund s liabilities (include all amounts payable by the fund, accrued expenses and taxes, and any appropriate provisions for contingencies) from the value of the fund s assets, at the valuation point. For the purpose of computing the annual management fee and the annual trustee fee, the NAV of the fund should be inclusive of the management fee and trustee fee for the relevant day. NAV per unit OTC PMO The NAV per unit is the NAV of a fund divided by the number of units in circulation at the valuation point. It forms the basis upon which the prices of units of a fund are calculated. Over-the-counter Public Mutual Online ( PMO ) is an online facility which allows you to perform fund transactions (such as purchase, redemption and switching of units) and gives you quick and easy access to information on your investments. Investors can apply for PMO by submitting the PMO Service Application Form personally at any Public Mutual or Public Bank branch. Alternatively, you may register online for PMO via our website or through our Customer Service Centre kiosks located at selected Customer Service Centres/branches or Public Bank s Automated Teller Machines (ATMs) if you are a Public Bank ATM user or via if you are a subscriber of PBe. Public Bank Public Mutual or the Manager Public Series of Funds Public Bank Berhad (6463-H) Public Mutual Berhad (23419-A) Funds under this series include Public Savings Fund, Public Growth Fund, Public Index Fund, Public Industry Growth Fund, Public Aggressive Growth Fund, Public Regular Savings Fund, Public SmallCap Fund, Public Equity Fund, Public Focus Select Fund, Public Dividend Select Fund, Public Far-East Select Fund, Public Regional Sector Fund, Public Global Select Fund, Public Far-East Dividend Fund, Public China Select Fund, Public Far-East Property & Resorts Fund, Public South-East Asia Select Fund, Public Sector Select Fund, Public Far-East Consumer Themes Fund, Public China Titans Fund, Public Far-East Telco & Infrastructure Fund, Public Select Alpha-30 Fund, Public Worldwide Equity Fund, Public Australia Equity Fund, Public Far-East Alpha-30 Fund, Public Optimal Growth Fund, Public Indonesia Select Fund, Public Singapore Equity Fund, Public Strategic SmallCap Fund, Public Strategic Growth Fund, Public Select Treasures Equity Fund, Public Advantage Growth Equity Fund, Public Regular Savings Sequel Fund, Public Emerging Opportunities Fund, Public Optimal Equity Fund, Public ASEAN Growth Fund, Public Greater China Fund, Public India-Global Equity Fund, Public Tactical Allocation Fund, Public Select Mixed Asset Growth Fund, Public Select Mixed Asset Conservative Fund, Public Navigator Growth Fund, Public Balanced Fund, Public Far-East Balanced Fund, Public Growth Balanced Fund, Public Strategic Balanced Fund, Public Bond Fund, Public Enhanced Bond Fund, Public Select Bond Fund, Public Strategic Bond Fund, Public Enterprises Bond Fund and Public Money Market Fund. Please refer to our website at for the current list of funds under this series. 5

8 Glossary of Terms/Abbreviations (CONT D) Public Series of Shariah-Based Funds under this series include Public Ittikal Fund, Public Islamic Equity Fund, Public Funds Islamic Opportunities Fund, Public Islamic Dividend Fund, Public Asia Ittikal Fund, Public Islamic Asia Dividend Fund, Public Islamic Sector Select Fund, Public China Ittikal Fund, Public Islamic Select Treasures Fund, Public Islamic Optimal Growth Fund, Public Islamic Select Enterprises Fund, Public Islamic Asia Leaders Equity Fund, Public Islamic Alpha-40 Growth Fund, Public Islamic Treasures Growth Fund, Public Ittikal Sequel Fund, Public Islamic Savings Fund, Public Islamic Growth & Income Fund, Public Islamic Enterprises Equity Fund, Public Islamic Advantage Growth Equity Fund, Public Islamic Emerging Opportunities Fund, Public Islamic Optimal Equity Fund, Public Islamic Global Equity Fund, Public Islamic ASEAN Growth Fund, Public Islamic Mixed Asset Fund, Public Islamic Asia Tactical Allocation Fund, Public Ehsan Mixed Asset Growth Fund, Public Ehsan Mixed Asset Conservative Fund, Public Islamic Growth Balanced Fund, Public Islamic Bond Fund, Public Islamic Enhanced Bond Fund, Public Islamic Select Bond Fund, Public Islamic Infrastructure Bond Fund, Public Islamic Strategic Bond Fund, Public Sukuk Fund, Public Islamic Income Fund and Public Islamic Money Market Fund. Please refer to our website at for the current list of funds under this series. RM SC SC Guidelines stocks which offer attractive dividend yields the Deed the funds / the fund Ringgit Malaysia Securities Commission Malaysia Guidelines on Unit Trust Funds issued by SC and as may be amended or replaced from time to time. Stocks with consistency in rewarding shareholders via dividend payouts. The Deed means the master deed dated 28 January 1999 and all supplemental deeds entered into between the trustee and the Manager for the registered holders of the funds. The following 52 funds covered under this Master Prospectus are collectively called the funds and individually called the fund : Public Savings Fund Public Growth Fund Public Index Fund Public Industry Growth Fund Public Aggressive Growth Fund Public Regular Savings Fund Public SmallCap Fund Public Equity Fund Public Focus Select Fund Public Dividend Select Fund Public Far-East Select Fund Public Regional Sector Fund Public Global Select Fund Public Far-East Dividend Fund Public China Select Fund Public Far-East Property & Resorts Fund Public South-East Asia Select Fund Public Sector Select Fund Public Far-East Consumer Themes Fund Public China Titans Fund Public Far-East Telco & Infrastructure Fund Public Select Alpha-30 Fund Public Worldwide Equity Fund PSF PGF PIX PINDGF PAGF PRSF P SmallCap PEF PFSF PDSF PFES PRSEC PGSF PFEDF PCSF PFEPRF PSEASF PSSF PFECTF PCTF PFETIF PSA30F PWEF 6

9 Glossary of Terms/Abbreviations (CONT D) Public Australia Equity Fund Public Far-East Alpha-30 Fund Public Optimal Growth Fund Public Indonesia Select Fund Public Singapore Equity Fund Public Strategic SmallCap Fund Public Strategic Growth Fund Public Select Treasures Equity Fund Public Advantage Growth Equity Fund Public Regular Savings Sequel Fund Public Emerging Opportunities Fund Public Optimal Equity Fund Public ASEAN Growth Fund Public Greater China Fund Public India-Global Equity Fund Public Tactical Allocation Fund Public Select Mixed Asset Growth Fund Public Select Mixed Asset Conservative Fund Public Navigator Growth Fund Public Balanced Fund Public Far-East Balanced Fund Public Growth Balanced Fund Public Strategic Balanced Fund Public Bond Fund Public Enhanced Bond Fund Public Select Bond Fund Public Strategic Bond Fund Public Enterprises Bond Fund Public Money Market Fund PAUEF PFA30F POGF PINDOSF PSGEF PSSCF PSTGF PSTEF PAVGEF PRSSQF PEMOF POEF PASGF PGCF PINGEF PTAF PSMAGF PSMACF PNVGF PBF PFEBF PGRBF PSTBLF P BOND PEBF PSBF PSTBF PENTBF PMMF UIC UTC valuation point Units in circulation ( UIC ) refers to the total number of units in issue at a point in time. Unit trust consultant Valuation point refers to such a time(s) on a Business Day as may be decided by the Manager wherein the NAV of the fund is calculated. Under normal circumstances, only one valuation is conducted on each Business Day. For funds with no foreign investments, the valuation of the funds is conducted on each Business Day at the close of Bursa Securities. For funds with foreign investments, the valuation of funds will be conducted after the close of business of Bursa Securities for the relevant day. As certain foreign markets in which the funds may invest in have yet to close due to the different time zones of these countries, the valuation point may be extended to 9.00 a.m. (or any other such time as may be permitted by the relevant authorities from time to time) on the following day in which the Manager is open for business. 7

10 CORPORATE DIRECTORY MANAGER Public Mutual Berhad (23419-A) Registered and business address: 8 th Floor, Menara Public Bank 2 No. 78 Jalan Raja Chulan Kuala Lumpur Tel: Fax: Hotline: customer@publicmutual.com.my Web: TRUSTEES AmanahRaya Trustees Berhad ( T) Registered address: Tingkat 11, Wisma AmanahRaya No. 2, Jalan Ampang Kuala Lumpur Business address: Tingkat 2, Wisma AmanahRaya II No. 21, Jalan Melaka Kuala Lumpur Tel: Fax: Web: Maybank Trustees Berhad (5004-P) Registered and business address: 8 th Floor, Menara Maybank 100, Jalan Tun Perak Kuala Lumpur Tel: / Fax: mtb.ut@maybank.com.my CIMB Commerce Trustee Berhad ( A) Registered address: Level 13, Menara CIMB Jalan Stesen Sentral 2 Kuala Lumpur Sentral Kuala Lumpur Tel: Web: Business address: Level 21, Menara CIMB Jalan Stesen Sentral 2 Kuala Lumpur Sentral Kuala Lumpur Tel:

11 1 INFORMATION ON THE FUNDS 1.1 FUND PROFILES This section lays out the key features of the following funds: Fund Name Launch Date Pages Equity Funds Public Savings Fund Public Growth Fund Public Index Fund Public Industry Growth Fund Public Aggressive Growth Fund Public Regular Savings Fund Public SmallCap Fund Public Equity Fund Public Focus Select Fund Public Dividend Select Fund Public Far-East Select Fund Public Regional Sector Fund Public Global Select Fund Public Far-East Dividend Fund Public China Select Fund Public Far-East Property & Resorts Fund Public South-East Asia Select Fund Public Sector Select Fund Public Far-East Consumer Themes Fund Public China Titans Fund Public Far-East Telco & Infrastructure Fund Public Select Alpha-30 Fund Public Worldwide Equity Fund Public Australia Equity Fund Public Far-East Alpha-30 Fund Public Optimal Growth Fund Public Indonesia Select Fund Public Singapore Equity Fund Public Strategic SmallCap Fund Public Strategic Growth Fund Public Select Treasures Equity Fund Public Advantage Growth Equity Fund Public Regular Savings Sequel Fund Public Emerging Opportunities Fund Public Optimal Equity Fund

12 Fund Name Launch Date Pages Public ASEAN Growth Fund Public Greater China Fund Public India-Global Equity Fund Mixed Asset Funds Public Tactical Allocation Fund* Public Select Mixed Asset Growth Fund Public Select Mixed Asset Conservative Fund Public Navigator Growth Fund Balanced Funds Public Balanced Fund* Public Far-East Balanced Fund* Public Growth Balanced Fund Public Strategic Balanced Fund Bond Funds Public Bond Fund Public Enhanced Bond Fund Public Select Bond Fund Public Strategic Bond Fund Public Enterprises Bond Fund Money Market Funds Public Money Market Fund Notes: * Complimentary insurance coverage is provided for unitholders of these funds, subject to terms and conditions. Please refer to the brochure on complimentary insurance for more information. Please visit our website at for the list of EPF-MIS funds. 10

13 PUBLIC SAVINGS FUND (PSF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 December Annual To achieve long-term capital appreciation while at the same time producing a reasonable level of income*. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks (minimum 40% of NAV), blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 70% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 11

14 Selected Performance Benchmark for PSF The benchmark of the fund is the FTSE Bursa Malaysia KLCI (FBM KLCI). Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PSF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ("FTSE") or by Bursa Malaysia Berhad ("BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the "LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ("the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. "FTSE ", "FT-SE " and "Footsie " are trade marks of LSEG and are used by FTSE under licence. "BURSA MALAYSIA" is a trade mark of BURSA MALAYSIA. 12

15 PUBLIC GROWTH FUND (PGF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 July Incidental To achieve long-term capital appreciation with income* considered incidental. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 70% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 13

16 Selected Performance Benchmark for PGF The benchmark of the fund is the FTSE Bursa Malaysia KLCI (FBM KLCI). Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PGF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ("FTSE") or by Bursa Malaysia Berhad ("BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the "LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ("the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. "FTSE ", "FT-SE " and "Footsie " are trade marks of LSEG and are used by FTSE under licence. "BURSA MALAYSIA" is a trade mark of BURSA MALAYSIA. 14

17 PUBLIC INDEX FUND (PIX) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 January Incidental To achieve long-term capital appreciation while at the same time attempting to outperform the FTSE Bursa Malaysia Top 100 Index. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks (minimum 60% of NAV), blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 80% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Location of Assets Investment Approach Foreign assets Malaysia Fixed income securities and money market instruments None Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. PIX is not a passive index fund and there may exist differences in the fund s performance when compared to the benchmark due to various reasons such as investments in non-index stocks, variation in equity weightings and the weighting strategies employed for the index components. As a result, the fund will not exactly replicate or track the underlying benchmark s return. The fund undergoes portfolio rebalancing on an ongoing basis with the view of outperforming the benchmark. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 15

18 Selected Performance Benchmark for PIX The benchmark of the fund is the FTSE Bursa Malaysia Top 100 Index (FBM 100). Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PIX is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ("FTSE") or by Bursa Malaysia Berhad ("BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the "LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA TOP 100 INDEX ("the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. "FTSE ", "FT-SE " and "Footsie " are trade marks of LSEG and are used by FTSE under licence. "BURSA MALAYSIA" is a trade mark of BURSA MALAYSIA. Top 10 Holdings in % of NAV as at 29 June 2018 FBM 100 % Weight in Index PIX % of NAV 1 Public Bank Berhad 10.6 Public Bank Berhad Tenaga Nasional Berhad 8.6 Tenaga Nasional Berhad Malayan Banking Berhad 6.1 LPI Capital Berhad CIMB Group Holdings Berhad 5.3 Malayan Banking Berhad Petronas Chemicals Group Berhad 3.5 CIMB Group Holdings Berhad Genting Berhad 2.8 Genting Berhad Sime Darby Plantation Berhad 2.8 Petronas Chemicals Group Berhad Axiata Group Berhad 2.6 Sime Darby Plantation Berhad IHH Healthcare Berhad 2.5 Dialog Group Berhad DiGi.Com Berhad 2.2 IHH Healthcare Berhad 2.7 Additional Disclosure The FBM 100 is a market capitalisation weighted index of 100 stocks designed to measure the performance of Bursa Securities. The index is constructed to reflect the performance of listed companies that are representative of the major sectors of the Malaysian economy. The index is rebalanced periodically based on criteria as determined by the FTSE Bursa Malaysia Advisory Committee. A minimum of 60% of the fund s NAV will be maintained in component stocks of the FBM 100. PIX is not a passive index fund and will also invest in non-fbm 100 stocks with good growth prospects and attractive valuations to enhance its investment performance. Tracking error of the fund s movements vs the FBM 100 may arise as the fund may invest in non-index stocks. Differences in weights of index stocks held by the fund vs the respective stock s weightings in the FBM 100 will also contribute to tracking errors. As a result, there is no guarantee that the fund will exactly replicate or track the underlying benchmark s return. However the fund will be rebalanced on an ongoing basis to manage its tracking error versus the benchmark. The risk of investing in equity index funds relate to risks arising from its equity holdings which will fluctuate in line with the stockmarket s movements. Risk of price movements on a stock specific basis can also affect the fund s overall returns. There is no guarantee or assurance of exact or identical replication at any time of the performance of the index. The index composition may change and component securities of the underlying index may be delisted. The investment of the fund may be concentrated in securities of a single issuer or several issuers. 16

19 PUBLIC INDUSTRY GROWTH FUND (PINDGF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 October Incidental To achieve a high level of capital appreciation over the medium to long term period through investments in growth industries. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 70% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 17

20 Selected Performance Benchmark for PINDGF The benchmark of the fund is the FTSE Bursa Malaysia KLCI (FBM KLCI). Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PINDGF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 18

21 PUBLIC AGGRESSIVE GROWTH FUND (PAGF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 March Incidental To seek high capital growth over the medium to long term period through investments in situational and high growth stocks. Investment Policy and Strategy Note: Any material changes to the investment objective of the fund would require unitholders approval. Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Asset Allocation Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 19

22 Selected Performance Benchmark for PAGF The benchmark of the fund is the FTSE Bursa Malaysia KLCI (FBM KLCI). Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PAGF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 20

23 PUBLIC REGULAR SAVINGS FUND (PRSF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 March Annual To achieve consistent capital growth over the medium to long term period and to achieve a steady growth in income*. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 70% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 25% of the fund s NAV Location of Assets Malaysia Up to 25% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 21

24 Selected Performance Benchmark for PRSF The benchmarks of the fund is a composite benchmark index comprising: Percentage Index 90% FTSE Bursa Malaysia Top 100 Index (FBM 100) 10% 3-Month KLIBOR This composite benchmark index is an appropriate performance benchmark for PRSF as the fund is an equity fund which generally has an equity weight of 90% of its NAV over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index FBM Month KLIBOR Source FTSE International Limited. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at The PRSF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA TOP 100 INDEX ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 22

25 PUBLIC SMALLCAP FUND (P SmallCap) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 August Incidental To achieve high capital growth through investments in companies with small market capitalisation with special focus on growth stocks. Notes: The fund will invest in companies with small market capitalisation at the point of purchase. The fund may remain invested in counters which have moved above the market capitalisation range stated in the fund s investment policy and strategy. Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks with market capitalisation of up to RM1.25 billion at the point of purchase. Component stocks of the FTSE Bursa Malaysia Small Cap Index and small cap stock market indexes of selected foreign markets at the point of purchase. Stocks of companies which form the bottom 15% of the cumulative market capitalisation of the market which the stock is listed on at the point of purchase. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 70% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. 23

26 Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for P SmallCap The benchmark of the fund is the FTSE Bursa Malaysia Small Cap Index. Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The P SmallCap is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA SMALL CAP INDEX ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 24

27 PUBLIC EQUITY FUND (PEF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 October Incidental To achieve capital growth through the aggressive selection of growth stocks from diversified economic sectors. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Asset Allocation Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Minimum 80% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 25

28 Selected Performance Benchmark for PEF The benchmark of the fund is the FTSE Bursa Malaysia KLCI (FBM KLCI). Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PEF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 26

29 PUBLIC FOCUS SELECT FUND (PFSF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 December Incidental To achieve capital growth through investments in medium and small-sized companies in terms of market capitalisation from diversified economic sectors. Notes: The fund may remain invested in counters which have moved above the market capitalisation range stated in the fund s investment policy and strategy. Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks of medium and small-sized companies listed on Bursa Securities within the market capitalisation range of FTSE Bursa Malaysia Small Cap Index and FTSE Bursa Malaysia Mid 70 Index respectively at the point of purchase. Component stocks of the mid and small cap stock market indices of selected foreign markets at the point of purchase. Stocks of companies which form the bottom 30% of the cumulative market capitalisation of the market in which the stock is listed on at the point of purchase, if mid and small cap stock market indices are not available for a foreign market. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 70% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. 27

30 Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PFSF The benchmark of the fund is the FTSE Bursa Malaysia Mid 70 Index. Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PFSF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA MID 70 INDEX ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 28

31 PUBLIC DIVIDEND SELECT FUND (PDSF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 May Semi-annual To provide steady recurring income* by investing in a portfolio of stocks which offer or have the potential to offer attractive dividend yields. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks that offer or have the potential to offer attractive dividend yields. Growth or recovery stocks that have the potential to eventually adopt a dividend payout policy. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 29

32 Selected Performance Benchmark for PDSF The benchmarks of the fund is a composite benchmark index comprising: Percentage Index 90% FTSE Bursa Malaysia Top 100 Index (FBM 100) 10% 3-Month KLIBOR This composite benchmark index is an appropriate performance benchmark for PDSF as the fund is an equity fund which generally has an equity weight of 90% of its NAV over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index FBM Month KLIBOR Source FTSE International Limited. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at The PDSF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA TOP 100 INDEX ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 30

33 PUBLIC FAR-EAST SELECT FUND (PFES) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 May Incidental To seek long-term capital appreciation by investing in blue chips and growth stocks in domestic and regional markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets South Korea Singapore China Philippines Hong Kong Thailand Taiwan Indonesia Malaysia Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Investment Approach Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 31

34 Selected Performance Benchmark for PFES The benchmark of the fund is the MSCI AC Far-East Ex-Japan Index. Information on the benchmark can be obtained from Bloomberg L.P. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI s express written consent. 32

35 PUBLIC REGIONAL SECTOR FUND (PRSEC) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 May Incidental To seek long-term capital appreciation by investing in selected market sectors. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets 50% to 98% of the fund s NAV Location of Assets Malaysia South Korea Singapore China Philippines Japan Thailand Hong Kong Indonesia Taiwan Australia Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Investment Approach The fund will invest in a maximum of 6 sectors but will maintain its investment in a minimum of 3 sectors. To facilitate the transition of one sector to another, the fund may temporarily invest in more than 6 sectors when it is undertaking the portfolio rebalancing exercise. The selection of market sectors is based primarily on the growth prospects of the sectors. After sectors are identified, the fund manager will review the stocks available in the market for selected sectors. Stocks will be selected based on bottom-up approach which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 33

36 Selected Performance Benchmark for PRSEC The benchmark of the fund is a composite benchmark index comprising: Percentage Index 90% MSCI AC Far-East Ex-Japan Index* 10% 3-Month KLIBOR This composite benchmark index is an appropriate performance benchmark for PRSEC as the fund is an equity fund which generally has an equity weight of 90% of its NAV over the long term. * As indices which focus on Far-East markets have a relatively high index weight for Japanese stocks, an index which excludes the Japan market is used as the fund s equity benchmark as it is more representative of the fund s investment strategy. Information on the benchmarks can be obtained from the following sources: Index MSCI AC Far-East Ex- Japan Index 3-Month KLIBOR Source Bloomberg L.P. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI s express written consent. 34

37 PUBLIC GLOBAL SELECT FUND (PGSF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 May Incidental To seek long-term capital appreciation by investing in equities and collective investment schemes in domestic and global markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets United States of America South Korea United Kingdom China Germany Japan France Hong Kong Switzerland Taiwan Spain Malaysia Italy Singapore Luxembourg India Australia Philippines New Zealand Thailand Netherlands Indonesia Investment Approach Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 35

38 Selected Performance Benchmark for PGSF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 90% MSCI All Country World Index (MSCI ACWI) 10% 1-Month KLIBOR The component stocks of MSCI ACWI comprise major stocks from key global markets including United States of America, Europe, Japan, Asia and Australia. This composite benchmark index is an appropriate performance benchmark for PGSF as the fund is an equity fund which generally has an equity weight of 90% of its NAV over the long term. Information on the benchmarks can be obtained from the following sources: Index MSCI ACWI 1-Month KLIBOR Source Bloomberg L.P. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at 36

39 PUBLIC FAR-EAST DIVIDEND FUND (PFEDF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 November Annual To provide income* by investing in a portfolio of stocks in domestic and regional markets which offer or have the potential to offer attractive dividend yields. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks that offer or have the potential to offer attractive dividend yields. Growth or recovery stocks that have the potential to eventually adopt a dividend payout policy. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets South Korea Philippines China Indonesia Taiwan Singapore Hong Kong Thailand Malaysia Australia Investment Approach Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 37

40 Selected Performance Benchmark for PFEDF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 90% MSCI AC Far-East Ex-Japan High Dividend Yield Index 10% 3-Month KLIBOR The component stocks of MSCI AC Far-East Ex-Japan High Dividend Yield Index comprises securities in the MSCI AC Far-East Ex-Japan Index that have higher-than-average dividend yield, a track record of consistent dividend payments and the capacity to sustain future dividend payments. This composite benchmark index is an appropriate performance benchmark for PFEDF as the fund is an equity fund which generally has an equity weight of 90% of its NAV over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index MSCI AC Far-East Ex- Japan High Dividend Yield Index 3-Month KLIBOR Source MSCI. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI s express written consent. 38

41 PUBLIC CHINA SELECT FUND (PCSF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 July Incidental To achieve capital growth over the medium to long-term period by investing in a portfolio of investments in the greater China region namely in Hong Kong, China and Taiwan markets and including China based companies listed on overseas markets. The fund may also invest in companies listed on Bursa Securities and other foreign markets which have significant or potentially significant business operations in the greater China region. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets Investment Approach Hong Kong China Taiwan The fund may also invest in: China based companies listed on overseas markets such as Singapore and United States of America and other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Companies listed on Bursa Securities and permitted markets which have significant or potentially significant business operations in the greater China region. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 39

42 Selected Performance Benchmark for PCSF The benchmark of the fund is the MSCI Golden Dragon Index. Information on the benchmark can be obtained from Bloomberg L.P. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI s express written consent. 40

43 PUBLIC FAR-EAST PROPERTY & RESORTS FUND (PFEPRF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 July Annual Seeks to achieve capital growth over the medium to long term period by investing in companies that are principally engaged in property investment and development, hotel and resorts development and investment and real estate investment trusts (REITs) in domestic and regional markets. The fund may also invest in companies which have significant* property or real estate assets. Notes: * Companies which have at least 70% of their assets comprised of property or real estate assets. Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks of companies that are principally engaged in property investment and development, hotel and resorts development and investment. Stocks of companies which have significant property or real estate assets, i.e. at least 70% of their assets comprised of property or real estate assets. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes which include REITs. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets South Korea New Zealand China Malaysia Japan Philippines Taiwan Indonesia Hong Kong Singapore Australia Thailand Investment Approach Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. and REITs Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 41

44 Selected Performance Benchmark for PFEPRF The benchmark of the fund is a customised benchmark by S&P Dow Jones Indices, LLC based on the constituents within the real estate sector of S&P BMI Asia Pacific Index which is customised to the following weights i.e. 20% Japan, 20% Australia, 20% Malaysia and the balance of the 40% for the rest of the countries within the index universe currently including China H Shares, Hong Kong, Indonesia, New Zealand, Philippines, Singapore, Taiwan, South Korea and Thailand. The real estate sector is as defined by the then-current Global Industry Classification Standard (GICS). This customised benchmark index is an appropriate performance benchmark for PFEPRF as it is representative of the markets that the fund is permitted to invest in over the medium to long term. Information on the benchmark can be obtained from S&P Dow Jones Indices, LLC. The performance of the fund and its benchmark is available on Public Mutual s website at The customised benchmark index for PFEPRF (the Index ) is the exclusive property of S&P Opco, LLC, a subsidiary of S&P Dow Jones Indices LLC ( SPDJI ) and/or its affiliates. Public Mutual has contracted with SPDJI to calculate and maintain the Index. All rights reserved. Redistribution, reproduction and/or photocopying in whole or in part are prohibited without written permission of SPDJI. S&P is a registered trademark of Standard & Poor s Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. Neither SPDJI, its affiliates nor their third parties licensors make any representation or warranty, express or implied, as to the ability of any index to accurately represent the asset class or market sector that it purports to represent, nor shall they have any liability for any errors, omissions, or interruptions of any index or the data included therein. For more information on any of SPDJI s or its affiliate s indices or its custom calculation services, please visit 42

45 PUBLIC SOUTH-EAST ASIA SELECT FUND (PSEASF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 October Incidental To achieve capital growth over the medium to long-term period by investing in a portfolio of investments in South-East Asia markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets Indonesia Singapore Philippines Thailand Malaysia Vietnam Investment Approach Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 43

46 Selected Performance Benchmark for PSEASF The benchmark of the fund is the FTSE/ASEAN 40 Index. Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PSEASF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by the London Stock Exchange Group companies ( LSEG ) and neither FTSE nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE/ASEAN 40 INDEX ( the Index ) and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE in conjunction with Indonesia Stock Exchange, Bursa Malaysia Berhad, The Philippine Stock Exchange, Inc., Singapore Exchange Securities Trading Limited and the Stock Exchange of Thailand (the Exchanges ). However, neither FTSE nor LSEG nor the Exchanges shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor the LSEG nor the Exchanges shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of the LSEG and are used by FTSE International Limited under licence. 44

47 PUBLIC SECTOR SELECT FUND (PSSF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 October Incidental To seek long-term capital appreciation by investing in a portfolio of securities, mainly equities, primarily in the domestic market. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 25% of the fund s NAV Location of Assets Malaysia Up to 25% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. The fund will invest in a minimum of 3 sectors and maximum of 8 sectors at any point of time. Market sectors are defined as industry groups which the companies are classified based on Bloomberg classification. The sector allocations will be monitored on an ongoing basis and fund s sector exposure will be rebalanced on a dynamic basis. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 45

48 Selected Performance Benchmark for PSSF The benchmark of the fund is the FTSE Bursa Malaysia Top 100 Index (FBM 100). Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PSSF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA TOP 100 INDEX ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 46

49 PUBLIC FAR-EAST CONSUMER THEMES FUND (PFECTF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 June Incidental To achieve long term capital appreciation by investing in securities, mainly equities, in the consumer sector in the domestic and foreign markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Consumer sector stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets Japan Malaysia Korea Singapore Taiwan Thailand China Philippines Hong Kong Indonesia Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. The fund may also invest in multinational corporations in the consumer sectors which have their products sold in Far-East markets or have distribution outlets/ establishment in the Far-East region and are listed in United States of America, Europe and Australian markets. The companies should have at least 25% of their existing/projected revenue derived from the Far-East region. Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 47

50 Selected Performance Benchmark for PFECTF The benchmark of the fund is a customised index by S&P Dow Jones Indices, LLC based on the constituents within the selected sectors of the S&P BMI Asia Ex-Japan Index* comprising Malaysia, Singapore, Thailand, Indonesia, Philippines, Hong Kong, China H Shares, Taiwan and South Korea. The selected sectors are the Consumer Discretionary and Consumer Staples sectors as defined by the then-current Global Industry Classification Standard (GICS). Therefore, the returns for the customised index for any given period of time would comprise of the returns from the Consumer Discretionary and Consumer Staples sectors of S&P BMI Asia Ex-Japan Index. This customised benchmark index is an appropriate performance benchmark for PFECTF as the fund invests in a portfolio of stocks in the consumer sector in the domestic and foreign markets. * As indices which focus on Asian markets have a relatively high index weight for Japanese stocks, an index which excludes the Japan market is used as the fund s equity benchmark as it is more representative of the fund s investment strategy. Information on the benchmark can be obtained from S&P Dow Jones Indices, LLC. The performance of the fund and its benchmark is available on Public Mutual s website at The customised benchmark index for PFECTF (the Index ) is the exclusive property of S&P Opco, LLC, a subsidiary of S&P Dow Jones Indices LLC ( SPDJI ) and/or its affiliates. Public Mutual has contracted with SPDJI to calculate and maintain the Index. All rights reserved. Redistribution, reproduction and/or photocopying in whole or in part are prohibited without written permission of SPDJI. S&P is a registered trademark of Standard & Poor s Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. Neither SPDJI, its affiliates nor their third parties licensors make any representation or warranty, express or implied, as to the ability of any index to accurately represent the asset class or market sector that it purports to represent, nor shall they have any liability for any errors, omissions, or interruptions of any index or the data included therein. For more information on any of SPDJI s or its affiliate s indices or its custom calculation services, please visit 48

51 PUBLIC CHINA TITANS FUND (PCTF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 May Incidental To achieve capital growth over the medium to long-term period by investing in companies with market capitalisation of RM10 billion and above in the greater China region namely China, Hong Kong and Taiwan markets and including China based companies listed on overseas markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks of companies with market capitalisation of RM10 billion and above. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets Investment Approach China Hong Kong Taiwan The fund may also invest in: China based companies listed on overseas markets such as Singapore and United States of America and other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Companies listed on Bursa Securities and permitted markets which have significant or potentially significant business operations in the greater China region. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 49

52 Selected Performance Benchmark for PCTF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 40% Hang Seng China Enterprises Index (HSCEI) 30% Hang Seng Index (HSI) 30% MSCI Taiwan Large Cap Index The component stocks of these 3 indexes comprise major stocks from their respective markets namely China 'H' Shares, Hong Kong and Taiwan. This composite benchmark index represents an appropriate performance benchmark for PCTF as it is representative of the markets that the fund is permitted to invest in over the medium to long term. Information on the benchmarks can be obtained from Bloomberg L.P. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI s express written consent. 50

53 PUBLIC FAR-EAST TELCO & INFRASTRUCTURE FUND (PFETIF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 April Incidental To achieve capital growth over the medium to long term period by investing in securities, mainly equities, in the telecommunications, infrastructure and utilities sectors in Far- East markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks in the telecommunications, infrastructure and utilities sectors. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets South Korea Philippines China Indonesia Japan Malaysia Taiwan Singapore Hong Kong Thailand Investment Approach Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 51

54 Selected Performance Benchmark for PFETIF The benchmark of the fund is a customised index by S&P Dow Jones Indices, LLC based on the constituents within the selected sectors of the S&P BMI Asia Ex-Japan Index* comprising Malaysia, Singapore, Thailand, Indonesia, Philippines, Hong Kong, China H Shares, Taiwan and South Korea. The selected sectors are customised to the following weights i.e. 40% Telecommunication Service, 30% Construction & Materials and 30% Utilities sectors as defined by the then-current Global Industry Classification Standard (GICS). This customised benchmark index is an appropriate performance benchmark for PFETIF as it is representative of the sectors that the fund is permitted to invest in over the medium to long term. * As indices which focus on Asian markets have a relatively high index weight for Japanese stocks, an index which excludes the Japan market is used as the fund s equity benchmark as it is more representative of the fund s investment strategy. Information on the benchmark can be obtained from S&P Dow Jones Indices, LLC. The performance of the fund and its benchmark is available on Public Mutual s website at The customised benchmark index for PFETIF (the Index ) is the exclusive property of S&P Opco, LLC, a subsidiary of S&P Dow Jones Indices LLC ( SPDJI ) and/or its affiliates. Public Mutual has contracted with SPDJI to calculate and maintain the Index. All rights reserved. Redistribution, reproduction and/or photocopying in whole or in part are prohibited without written permission of SPDJI. S&P is a registered trademark of Standard & Poor s Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. Neither SPDJI, its affiliates nor their third parties licensors make any representation or warranty, express or implied, as to the ability of any index to accurately represent the asset class or market sector that it purports to represent, nor shall they have any liability for any errors, omissions, or interruptions of any index or the data included therein. For more information on any of SPDJI s or its affiliate s indices or its custom calculation services, please visit 52

55 PUBLIC SELECT ALPHA-30 FUND (PSA30F) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 November Incidental To achieve capital growth over the medium to long-term period by investing in up to a maximum of 30 stocks primarily listed on Bursa Securities. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. The fund will invest in up to a maximum of 30 stocks. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 53

56 Selected Performance Benchmark for PSA30F The benchmark of the fund is the FTSE Bursa Malaysia KLCI (FBM KLCI). Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PSA30F is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 54

57 PUBLIC WORLDWIDE EQUITY FUND (PWEF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 November Incidental To achieve capital growth over the medium to long-term period by investing in global markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets United States of America China United Kingdom Japan Germany Hong Kong France Taiwan Switzerland Malaysia Spain Singapore Italy India Luxembourg Philippines Australia Thailand South Korea Indonesia Investment Approach Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 55

58 Selected Performance Benchmark for PWEF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 50% Dow Jones Industrial Average 30% STOXX Europe 50 Index 10% TOPIX Core 30 Index 10% 3-Month KLIBOR The component stocks of Dow Jones Industrial Average, STOXX Europe 50 Index and TOPIX Core 30 Index comprise major stocks from their respective markets. The ratio stated in the composite benchmark index is representative of the fund s investments in global markets over the medium to long-term. Information on the benchmarks can be obtained from the following sources: Index Dow Jones Industrial Average; STOXX Europe 50 Index; and TOPIX Core 30 Index 3-Month KLIBOR Source Bloomberg L.P. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at 56

59 PUBLIC AUSTRALIA EQUITY FUND (PAUEF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 July Incidental To achieve capital growth over the medium to long-term period by investing in the Australian market with the balance invested in the New Zealand and domestic markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets Australia New Zealand and Malaysia (up to 30% of NAV) Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PAUEF The benchmark of the fund is the S&P/ASX 200 Index. Information on the benchmark can be obtained from Bloomberg L.P. The performance of the fund and its benchmark is available on Public Mutual s website at 57

60 PUBLIC FAR-EAST ALPHA-30 FUND (PFA30F) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 November Incidental To achieve capital appreciation over the medium to long term period by investing in the domestic and regional markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Equity linked participation notes for selected regional stocks listed on the Luxembourg Stock Exchange. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets South Korea Indonesia China Malaysia Taiwan Singapore Japan Thailand Hong Kong Australia Philippines Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Investment Approach The fund will invest in up to a maximum of 30 stocks. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 58

61 Selected Performance Benchmark for PFA30F The benchmark of the fund is a composite benchmark index comprising: Percentage Index 80% Customised index by MSCI based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index 10% Tokyo Stock Price Index (TOPIX) 10% 3-Month KLIBOR The component stocks of the customised index based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index comprise major stocks from key regional markets including China, Hong Kong, Indonesia, South Korea, Malaysia, Philippines, Singapore, Taiwan and Thailand, while the component stocks of TOPIX comprise major stocks from Japan. This composite benchmark index represents an appropriate performance benchmark for PFA30F as the fund is an equity fund which generally has an equity weight of 90% of its NAV over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index Customised index based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index TOPIX 3-Month KLIBOR Source MSCI. Bloomberg L.P. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. The MSCI data is comprised of a custom index calculated by MSCI for, and as requested by, Public Mutual Berhad. The MSCI data is for internal use only and may not be redistributed or used in connection with creating or offering any securities, financial products or indices. Neither MSCI nor any other third party involved in or related to compiling, computing or creating the MSCI data (the MSCI Parties ) makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and the MSCI Parties hereby expressly disclaim all the warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to such data. Without limiting any of the foregoing, in no event shall any of the MSCI Parties have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. 59

62 PUBLIC OPTIMAL GROWTH FUND (POGF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 July Annual To provide income* and capital growth by investing in stocks which offer attractive dividend yields and growth stocks in the domestic market. Investment Policy and Strategy Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Typical Asset Classes Equity and equity-related securities, which include: Stocks which offer attractive dividend yields (50% of the fund s equity investments). Growth stocks (50% of the fund s equity investments). Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Location of Assets Investment Approach Foreign assets Malaysia Fixed income securities and money market instruments None Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 60

63 Selected Performance Benchmark for POGF The benchmark of the fund is the FTSE Bursa Malaysia Top 100 Index (FBM 100). Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The POGF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA TOP 100 INDEX ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 61

64 PUBLIC INDONESIA SELECT FUND (PINDOSF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 August Incidental To achieve capital growth over the medium to long-term period by investing in a portfolio of investments primarily in the Indonesia market. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets Indonesia Malaysia and any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO (up to 30% of NAV) Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PINDOSF The benchmark of the fund is the Jakarta LQ-45 Index (LQ 45). Information on the benchmark can be obtained from Bloomberg L.P. The performance of the fund and its benchmark is available on Public Mutual s website at 62

65 PUBLIC SINGAPORE EQUITY FUND (PSGEF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 September Incidental To achieve capital growth over the medium to long-term period by investing in a portfolio of investments primarily in the Singapore market. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets Singapore Malaysia and any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO (up to 30% of NAV) Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 63

66 Selected Performance Benchmark for PSGEF The benchmark of the fund is the MSCI Singapore Index. Information on the benchmark can be obtained from Bloomberg L.P. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI s express written consent. 64

67 PUBLIC STRATEGIC SMALLCAP FUND (PSSCF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 September Incidental To achieve capital appreciation over the medium to long term period through investments primarily in companies with small market capitalisation. Notes: The fund will invest in small-sized companies at the point of purchase. The fund may remain invested in counters which have moved above the market capitalisation range stated in the fund s investment policy and strategy. Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks of companies with market capitalisation of up to RM1.25 billion at the point of purchase. Component stocks of the FTSE Bursa Malaysia Small Cap Index and small cap stock market indexes of selected foreign markets at the point of purchase. Stocks of companies which form the bottom 15% of the cumulative market capitalisation of the market in which the stock is listed on at the point of purchase. Equity linked participation notes for selected regional stocks listed on the Luxembourg Stock Exchange. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities Liquid assets which include money market instruments and deposits. Asset Allocation 70% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. 65

68 Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PSSCF The benchmark of the fund is the FTSE Bursa Malaysia Small Cap Index. Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PSSCF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA SMALL CAP INDEX ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 66

69 PUBLIC STRATEGIC GROWTH FUND (PSTGF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 August Incidental To achieve capital growth over the medium to long-term period by investing in a diversified portfolio of stocks. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. The fund will generally invest 50% to 70% of its NAV in the domestic equity market. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 67

70 Selected Performance Benchmark for PSTGF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 60% FTSE Bursa Malaysia KLCI (FBM KLCI) 15% Dow Jones Industrial Average 15% Customised index by MSCI based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index 10% 3-Month KLIBOR The component stocks of the customised index based on the Top 30 constituents of MSCI Far-East Ex-Japan Index comprises major stocks from key regional markets including China, Hong Kong, Indonesia, South Korea, Malaysia, Philippines, Singapore, Taiwan and Thailand. This composite benchmark index represents an appropriate performance benchmark for PSTGF as the fund is an equity fund which invests in domestic and foreign markets and generally has an equity weight of 90% of its NAV over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index FBM KLCI Dow Jones Industrial Average Customised index based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index 3-Month KLIBOR Source FTSE International Limited. Bloomberg L.P. MSCI. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at The PSTGF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. Source: MSCI. The MSCI data is comprised of a custom index calculated by MSCI for, and as requested by, Public Mutual Berhad. The MSCI data is for internal use only and may not be redistributed or used in connection with creating or offering any securities, financial products or indices. Neither MSCI nor any other third party involved in or related to compiling, computing or creating the MSCI data (the MSCI Parties ) makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and the MSCI Parties hereby expressly disclaim all the warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to such data. Without limiting any of the foregoing, in no event shall any of the MSCI Parties have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. 68

71 PUBLIC SELECT TREASURES EQUITY FUND (PSTEF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 August Incidental To achieve capital growth over the medium to long-term period by investing in a portfolio of investments comprising small and medium-sized companies in terms of market capitalisation from diversified economic sectors. Notes: The fund may remain invested in counters which have moved above the market capitalisation range stated in the fund s investment policy and strategy. Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks of small and medium-sized companies listed on Bursa Malaysia within the market capitalisation range of FTSE Bursa Malaysia Small Cap Index and FTSE Bursa Malaysia Mid 70 Index respectively at the point of purchase. Component stocks of the small and mid cap stock market indices of selected foreign markets at the point of purchase. Stocks of companies which form the bottom 30% of the cumulative market capitalisation of the market in which the stock is listed on at the point of purchase, if small and mid cap stock market indices are not available for a foreign market. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 25% of the fund s NAV Location of Assets Malaysia Up to 25% of NAV may be invested in foreign markets which include:- China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. 69

72 Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PSTEF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 70% FTSE Bursa Malaysia Mid 70 Index 20% FTSE Bursa Malaysia Small Cap Index 10% 3-Month KLIBOR This composite benchmark index is an appropriate performance benchmark for PSTEF which is an equity fund that invests in small and mid cap stocks and generally has an equity weight of 90% of its NAV over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index FTSE Bursa Malaysia Mid 70 Index; and FTSE Bursa Malaysia Small Cap Index 3-Month KLIBOR Source FTSE International Limited. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at The PSTEF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA MID 70 INDEX and FTSE BURSA MALAYSIA SMALL CAP INDEX ( the Indices ), and/or the figure at which the said Indices stands at any particular time on any particular day or otherwise. The Indices are compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Indices and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 70

73 PUBLIC ADVANTAGE GROWTH EQUITY FUND (PAVGEF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 September Incidental To achieve capital growth over the medium to long-term period by investing in a diversified portfolio of stocks. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks of companies with potential earnings growth that is above the average earnings growth rate of the market, index stocks and blue chip stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 25% of the fund s NAV Location of Assets Malaysia Up to 25% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 71

74 Selected Performance Benchmark for PAVGEF The benchmark of the fund is the FTSE Bursa Malaysia KLCI (FBM KLCI). Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PAVGEF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 72

75 PUBLIC REGULAR SAVINGS SEQUEL FUND (PRSSQF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 28 February Annual To achieve capital growth and provide income* over the medium to long-term period. Notes: Any material changes to the investment objective of the fund would require unitholders approval. This is neither a capital guaranteed nor a capital protected fund. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks, growth stocks and stocks that offer or have the potential to offer attractive dividend yields. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 70% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Location of Assets Investment Approach Foreign assets Malaysia Fixed income securities and money market instruments None Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 73

76 Selected Performance Benchmark for PRSSQF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 90% FTSE Bursa Malaysia Top 100 Index (FBM 100) 10% 3-Month KLIBOR This composite benchmark index is an appropriate performance benchmark for PRSSQF as it is reflective of the fund s equity investments in the domestic market over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index FBM Month KLIBOR Source FTSE International Limited. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at The PRSSQF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA TOP 100 INDEX ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 74

77 PUBLIC EMERGING OPPORTUNITIES FUND (PEMOF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 January Incidental To achieve capital growth through investments in companies with mid and small market capitalisation. Notes: The fund may remain invested in counters which have moved above the market capitalisation range stated in the fund s investment policy and strategy. Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Stocks of medium and small-sized companies listed on Bursa Securities within the market capitalisation range of FTSE Bursa Malaysia Small Cap Index and FTSE Bursa Malaysia Mid 70 Index respectively at the point of purchase. Component stocks of the mid and small cap stock market indices of selected foreign markets at the point of purchase. Stocks of companies which form the bottom 30% of the cumulative market capitalisation of the market in which the stock is listed on at the point of purchase, if mid and small cap stock market indices are not available for a foreign market. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 25% of the fund s NAV Location of Assets Malaysia Up to 25% of NAV may be invested in foreign markets which include:- China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. 75

78 Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PEMOF The benchmarks of the fund is a composite benchmark index comprising: Percentage Index 60% FTSE Bursa Malaysia Mid 70 Index 30% FTSE Bursa Malaysia Small Cap Index 10% 3-Month KLIBOR This composite benchmark index is an appropriate performance benchmark for PEMOF which is an equity fund that invests in small and mid cap stocks and generally has an equity weight of 90% of its NAV over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index FTSE Bursa Malaysia Mid 70 Index; and the FTSE Bursa Malaysia Small Cap Index 3-Month KLIBOR Source FTSE International Limited. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at The PEMOF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA MID 70 INDEX and FTSE BURSA MALAYSIA SMALL CAP INDEX ( the Indices ), and/or the figure at which the said Indices stands at any particular time on any particular day or otherwise. The Indices are compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Indices and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 76

79 PUBLIC OPTIMAL EQUITY FUND (POEF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 28 February Incidental To achieve capital growth over the medium to long-term period by investing in a diversified portfolio of stocks. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in fixed income securities and liquid assets. The fund will generally invest 50% of its NAV in equities of foreign markets. It may increase its foreign exposure if the outlook for the domestic market is less favourable. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets Malaysia China Singapore South Korea Indonesia Taiwan Thailand Hong Kong Philippines Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Investment Approach Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 77

80 Selected Performance Benchmark for POEF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 50% Customised index by MSCI based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index 40% FTSE Bursa Malaysia KLCI (FBM KLCI) 10% 3-Month KLIBOR The component stocks of the customised index by MSCI based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index comprise major stocks from key regional markets including China, Hong Kong, Indonesia, South Korea, Malaysia, Philippines, Singapore, Taiwan and Thailand. This composite benchmark index is an appropriate performance benchmark for POEF as it is reflective of the fund s equity investments in the domestic and foreign markets over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index Customised index based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index FBM KLCI 3-Month KLIBOR Source MSCI. FTSE International Limited. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at The POEF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. Source: MSCI. The MSCI data is comprised of a custom index calculated by MSCI for, and as requested by, Public Mutual Berhad. The MSCI data is for internal use only and may not be redistributed or used in connection with creating or offering any securities, financial products or indices. Neither MSCI nor any other third party involved in or related to compiling, computing or creating the MSCI data (the MSCI Parties ) makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and the MSCI Parties hereby expressly disclaim all the warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to such data. Without limiting any of the foregoing, in no event shall any of the MSCI Parties have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. 78

81 PUBLIC ASEAN GROWTH FUND (PASGF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 November Incidental To achieve capital growth over the medium to long-term period by investing in a portfolio of investments in ASEAN markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV will be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets Indonesia Singapore Philippines Thailand Malaysia Vietnam Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Investment Approach Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 79

82 Selected Performance Benchmark for PASGF The benchmark of the fund is the FTSE/ASEAN 40 Index. Information on the benchmark is sourced from FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PASGF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by the London Stock Exchange Group companies ( LSEG ) and neither FTSE nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE/ASEAN 40 INDEX ( the Index ) and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE in conjunction with Indonesia Stock Exchange, Bursa Malaysia Berhad, The Philippine Stock Exchange, Inc., Singapore Exchange Securities Trading Limited and the Stock Exchange of Thailand (the Exchanges ). However, neither FTSE nor LSEG nor the Exchanges shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor the LSEG nor the Exchanges shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of the LSEG and are used by FTSE International Limited under licence. 80

83 PUBLIC GREATER CHINA FUND (PGCF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 30 November Incidental To achieve capital growth over the medium to long-term period by investing in a portfolio of investments primarily in the greater China region namely in Hong Kong, China and Taiwan markets and including China based companies listed on overseas markets. Notes: Overseas markets include Malaysia and any other permitted markets apart from Hong Kong, China and Taiwan markets where the regulatory authority is an ordinary or associate member of the IOSCO. Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV The balance of the fund s NAV will be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets Hong Kong China Taiwan Malaysia and any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO (up to 25% of NAV). Investment Approach Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 81

84 Selected Performance Benchmark for PGCF The benchmark of the fund is the MSCI Golden Dragon Index. Information on the benchmark can be obtained from Bloomberg L.P. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI s express written consent. 82

85 PUBLIC INDIA-GLOBAL EQUITY FUND (PINGEF) Category of Fund Financial Year End Distribution Policy Fund Objective Equity 31 January Incidental To achieve capital growth over the medium to long-term period by investing in a portfolio of investments in the India and global markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 75% to 98% of the fund s NAV At least 30% of the fund s NAV will be invested in India market with the balance invested in other markets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. The balance of the fund s NAV may be invested in fixed income securities and liquid assets. Foreign assets Up to 98% of the fund s NAV Location of Assets India Netherlands United States of America South Korea Germany China France Hong Kong Switzerland Taiwan Spain Malaysia Italy Singapore Luxembourg Philippines Australia Thailand New Zealand Indonesia Investment Approach Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 83

86 Selected Performance Benchmark for PINGEF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 40% MSCI India Index 25% Dow Jones Industrial Average 25% Customised index by MSCI based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index 10% 3-Month Kuala Lumpur Interbank Offered Rate (KLIBOR) The component stocks of the customised index based on the Top 30 constituents of MSCI Far-East Ex-Japan Index comprises major stocks from key regional markets including China, Hong Kong, Indonesia, South Korea, Malaysia, Philippines, Singapore, Taiwan and Thailand. The ratio stated in the composite benchmark index is representative of the fund s investments in India and other markets over the medium to long-term. Information on the benchmarks can be obtained from the following source: Index MSCI India Index; Customised index by MSCI based on the Top 30 constituents of MSCI AC Far-East Ex- Japan Index Dow Jones Industrial Average 3-Month KLIBOR Source MSCI. Bloomberg L.P. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI s express written consent. The MSCI data is comprised of a custom index calculated by MSCI for, and as requested by, Public Mutual Berhad. The MSCI data is for internal use only and may not be redistributed or used in connection with creating or offering any securities, financial products or indices. Neither MSCI nor any other third party involved in or related to compiling, computing or creating the MSCI data (the MSCI Parties ) makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and the MSCI Parties hereby expressly disclaim all the warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to such data. Without limiting any of the foregoing, in no event shall any of the MSCI Parties have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. 84

87 PUBLIC TACTICAL ALLOCATION FUND (PTAF) Category of Fund Financial Year End Distribution Policy Fund Objective Mixed asset 30 April Incidental To achieve capital growth over the medium to long-term period by investing in equities, collective investment schemes and fixed income securities in domestic and foreign markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities which include redeemable loan stocks with convertible features. Liquid assets which include money market instruments and deposits. Asset Allocation 30% to 98% of the fund s NAV The balance of the fund s NAV will be invested in fixed income securities and liquid assets. If the outlook for equity market is unfavourable, the equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets South Korea Indonesia Hong Kong Philippines Japan Australia China United States of America Taiwan Germany Malaysia France Singapore United Kingdom Thailand Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Investment Approach Top-down approach is employed to manage exposures to each of the asset classes bearing in mind the risk-reward profile of the respective asset class. Fixed income securities and money market instruments Bottom-up approach is employed in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between long-tenured and short-tenured fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 85

88 Selected Performance Benchmark for PTAF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 70% MSCI AC Far-East Ex-Japan Index* 30% 3-Month KLIBOR This composite benchmark index is an appropriate performance benchmark for PTAF as it is reflective of the fund s asset allocation which will typically be 70% of NAV in equities over the medium to long term. * As indices which focus on Far-East markets have a relatively high index weight for Japanese stocks, an index which excludes the Japan market is used as the fund s equity benchmark as it is more representative of the fund s investment strategy. Information on the benchmarks can be obtained from the following sources: Index MSCI AC Far-East Ex- Japan Index 3-Month KLIBOR Source Bloomberg L.P. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI s express written consent. 86

89 PUBLIC SELECT MIXED ASSET GROWTH FUND (PSMAGF) Category of Fund Financial Year End Distribution Policy Fund Objective Mixed asset 30 April Incidental To achieve capital growth over the medium to long-term period primarily through a portfolio allocation across equities and fixed income securities. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities which include redeemable loan stocks with convertible features. Liquid assets which include money market instruments and deposits. Asset Allocation 40% to 70% of the fund s NAV Fixed income securities 30% to 60% of the fund s NAV The balance of the fund s NAV will be invested in liquid assets. If the outlook for the respective asset classes is unfavourable, the equity and/or fixed income securities exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Top-down approach is employed to manage exposures to each of the asset classes bearing in mind the risk-reward profile of the respective asset class. Fixed income securities and money market instruments Bottom-up approach is employed in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between long-tenured and short-tenured fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 87

90 Selected Performance Benchmark for PSMAGF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 70% FTSE Bursa Malaysia KLCI (FBM KLCI) 30% 3-Month KLIBOR This composite benchmark index is an appropriate performance benchmark for PSMAGF as it is reflective of the fund s asset allocation in equities and fixed income securities over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index FBM KLCI 3-Month KLIBOR Source FTSE International Limited. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at The PSMAGF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 88

91 PUBLIC SELECT MIXED ASSET CONSERVATIVE FUND (PSMACF) Category of Fund Financial Year End Distribution Policy Fund Objective Mixed asset (conservative) 30 April Annual To provide income* and achieve capital growth over the medium to long-term period primarily through a portfolio allocation across fixed income securities and equities. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities which include redeemable loan stocks with convertible features. Liquid assets which include money market instruments and deposits. Asset Allocation Fixed income securities 60% to 75% of the fund s NAV Up to 35% of the fund s NAV The balance of the fund s NAV will be invested in liquid assets. If the outlook for the respective asset classes is unfavourable, the fixed income securities and/or equity exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 25% of the fund s NAV Location of Assets Malaysia Up to 25% of NAV may be invested in foreign markets which include:- China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. 89

92 Investment Approach Fixed income securities and money market instruments The asset allocation between long-tenured and short-tenured fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PSMACF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 65% 3-Month KLIBOR 35% FTSE Bursa Malaysia KLCI (FBM KLCI) This composite benchmark index is an appropriate performance benchmark for PSMACF as it is reflective of the fund s asset allocation in fixed income securities and equities over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index 3-Month KLIBOR FBM KLCI Source Business sections of the daily newspapers. FTSE International Limited. The performance of the fund and its benchmark is available on Public Mutual s website at The PSMACF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 90

93 PUBLIC NAVIGATOR GROWTH FUND (PNVGF) Category of Fund Financial Year End Distribution Policy Fund Objective Mixed asset 31 August Incidental To achieve capital growth over the long-term period by investing in a diversified portfolio of equities and fixed income securities in the domestic and foreign markets. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Blue chip stocks, index stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities which include redeemable loan stocks with convertible features. Liquid assets which include money market instruments and deposits. Asset Allocation Up to 98% of the fund s NAV Fixed income securities Up to 98% of the fund s NAV The balance of the fund s NAV will be invested in liquid assets. Foreign assets Up to 98% of the fund s NAV Location of Assets United States of America South Korea United Kingdom China Germany Japan France Hong Kong Finland Taiwan Switzerland Malaysia Spain Singapore Italy Philippines Luxembourg Thailand Australia Indonesia Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Investment Approach Top-down approach is employed to manage exposures to each of the asset classes bearing in mind the risk-reward profile of the respective asset class. Fixed income securities and money market instruments Bottom-up approach is employed in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between long-tenured and short-tenured fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 91

94 Selected Performance Benchmark for PNVGF The fund seeks to achieve an average growth rate of 8% per annum over the long-term period. This is not a guaranteed return and is only a measurement of the fund s performance. The fund may or may not achieve the target return in any particular financial year but targets to achieve this growth over the long term. 92

95 PUBLIC BALANCED FUND (PBF) Category of Fund Financial Year End Distribution Policy Fund Objective Balanced 31 May Incidental To provide a steady income* and capital growth over the medium to long-term period. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 40% to 60% of the fund s NAV Fixed income securities 40% to 60% of the fund s NAV The balance of the fund s NAV will be invested in liquid assets. If the outlook for the respective asset classes is unfavourable, the equity and/or fixed income securities exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 93

96 Selected Performance Benchmark for PBF To better reflect the scope and parameters of the fund especially with regards to the equity constraints of 60%, the Public Balanced Equity Index (PBEIX) was created. PBEIX is a composite index whose value is subject to the daily changes in the FTSE Bursa Malaysia KLCI (FBM KLCI) and the 3-Month KLIBOR on a 60:40 basis. The index is assumed to be rebalanced to 60% equity exposure at the end of each trading day. Public Balanced Equity Index (PBEIX) is a proprietary composite benchmark index comprising of a hypothetical investment in the FBM KLCI and 3-Month KLIBOR in a 60:40 ratio. Therefore, the returns for PBEIX for any given period of time would be made up of 60% from the returns of the FBM KLCI and 40% from 3-Month KLIBOR interest earned for the same period of time. The FBM KLCI is a free-float adjusted market capitalisation weighted index which comprises the Bursa Malaysia Main Market s 30 largest companies by full market capitalisation. As it is also very widely followed and easily understood representation of the Bursa Securities, it is deemed that the most appropriate equity benchmark for this fund is the FBM KLCI. For the purpose of this index, the returns for 3-Month KLIBOR is calculated by accruing interest earned on a daily basis from the daily closing quoted 3-Month KLIBOR. This index represents an appropriate performance benchmark for gauging the performance of PBF in view of the fund s 60% equities portfolio composition. The performance of the fund and its benchmark is available on Public Mutual s website at The PBF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 94

97 PUBLIC FAR-EAST BALANCED FUND (PFEBF) Category of Fund Financial Year End Distribution Policy Fund Objective Balanced 30 April Incidental To provide income* and capital growth over the medium to long-term period. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 40% to 60% of the fund s NAV Fixed income securities 40% to 60% of the fund s NAV The balance of the fund s NAV will be invested in liquid assets. If the outlook for the respective asset classes is unfavourable, the equity and/or fixed income securities exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 60% of the fund s NAV Location of Assets Malaysia Up to 60% of NAV may be invested in foreign markets which include:- South Korea Singapore China Philippines Hong Kong Thailand Taiwan Indonesia Japan Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. 95

98 Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PFEBF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 60% MSCI AC Far-East Ex-Japan Index* 40% 3-Month KLIBOR This composite benchmark index represents an appropriate performance benchmark for PFEBF as the fund may only invest up to 60% of its NAV in a portfolio of stocks in domestic and regional markets, while the balance of the fund's NAV is invested in fixed income securities and liquid assets. * As indices which focus on Far-East markets have a relatively high index weight for Japanese stocks, an index which excludes the Japan market is used as the fund s equity benchmark as it is more representative of the fund s investment strategy. Information on the benchmarks can be obtained from the following sources: Index MSCI AC Far-East Ex- Japan Index 3-Month KLIBOR Source Bloomberg L.P. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI s express written consent. 96

99 PUBLIC GROWTH BALANCED FUND (PGRBF) Category of Fund Financial Year End Distribution Policy Fund Objective Balanced 31 October Incidental To achieve capital growth over the medium to long-term period through a balanced asset allocation approach. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 40% to 60% of the fund s NAV Fixed income securities 40% to 60% of the fund s NAV The balance of the fund s NAV will be invested in liquid assets. If the outlook for the respective asset classes is unfavourable, the equity and/or fixed income securities exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 25% of the fund s NAV Location of Assets Malaysia Up to 25% of NAV may be invested in foreign markets which include:- Investment Approach China Singapore Hong Kong Thailand South Korea Indonesia Taiwan United States of America Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Fixed income securities and money market instruments The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 97

100 Selected Performance Benchmark for PGRBF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 60% FTSE Bursa Malaysia KLCI (FBM KLCI) 40% 3-Month KLIBOR This composite benchmark index is an appropriate performance benchmark for PGRBF as it is reflective of the fund s asset allocation in equities and fixed income securities over the medium to long term. Information on the benchmarks can be obtained from the following sources: Index FBM KLCI 3-Month KLIBOR Source FTSE International Limited. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at The PGRBF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA KLCI ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. 98

101 PUBLIC STRATEGIC BALANCED FUND (PSTBLF) Category of Fund Financial Year End Distribution Policy Fund Objective Balanced 30 September Incidental To seek capital growth over the medium to long-term period through a balanced asset allocation approach. Note: Any material changes to the investment objective of the fund would require unitholders approval. Investment Policy and Strategy Typical Asset Classes Equity and equity-related securities, which include: Index stocks, blue chip stocks and growth stocks. Stocks of IPO companies seeking a listing in Eligible Markets. Unlisted equities. Warrants. Collective investment schemes. Fixed income securities. Liquid assets which include money market instruments and deposits. Asset Allocation 40% to 60% of the fund s NAV Fixed income securities 40% to 60% of the fund s NAV The balance of the fund s NAV will be invested in liquid assets. If the outlook for the respective asset classes is unfavourable, the equity and/or fixed income securities exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 98% of the fund s NAV Location of Assets United States of America South Korea United Kingdom China Germany Japan France Hong Kong Netherlands Taiwan Switzerland Malaysia Spain Singapore Italy India Luxembourg Philippines Australia Thailand New Zealand Indonesia Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. Investment Approach Fixed income securities and money market instruments Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 99

102 Selected Performance Benchmark for PSTBLF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 20% Dow Jones Industrial Average 20% STOXX Europe 50 Index 20% Customised index by MSCI based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index* 40% 3-Month KLIBOR The component stocks of the customised index by MSCI based on the Top 30 constituents of MSCI AC Far-East Ex-Japan Index comprise major stocks from key regional markets including China, Hong Kong, Indonesia, South Korea, Malaysia, Philippines, Singapore, Taiwan and Thailand. The ratio stated in the composite benchmark index is representative of the fund s investments in global markets over the medium to long-term. * As indices which focus on Asia Pacific markets have a relatively high index weight for Japanese and Australia stocks, an index which excludes the Japan and Australia markets is used as the fund s equity benchmark as it is more representative of the fund s investment strategy. Information on the benchmarks can be obtained from the following sources: Index Dow Jones Industrial Average; STOXX Europe 50 Index; and Customised index by MSCI based on the Top 30 constituents of MSCI AC Far-East Ex- Japan Index 3-Month KLIBOR Source Bloomberg L.P. Business sections of the daily newspapers. The performance of the fund and its benchmark is available on Public Mutual s website at Source: MSCI. The MSCI data is comprised of a custom index calculated by MSCI for, and as requested by, Public Mutual Berhad. The MSCI data is for internal use only and may not be redistributed or used in connection with creating or offering any securities, financial products or indices. Neither MSCI nor any other third party involved in or related to compiling, computing or creating the MSCI data (the MSCI Parties ) makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and the MSCI Parties hereby expressly disclaim all the warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to such data. Without limiting any of the foregoing, in no event shall any of the MSCI Parties have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. 100

103 PUBLIC BOND FUND (P BOND) Category of Fund Financial Year End Distribution Policy Fund Objective Bond 31 July Annual To provide a steady stream of income* returns through investment in the money market and private debt securities. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Private debt securities shall also mean corporate bonds. Investment Policy and Strategy Typical Asset Classes Fixed income securities which have a minimum credit rating of BBB at the point of purchase, which include: Government and government-sponsored bonds. Corporate bond. Redeemable loan stocks with convertible features.* Liquid assets which include money market instruments and deposits. Note: * These loan stocks may not be converted but will be disposed prior to or held to maturity. Loan stocks which are held to maturity will not be converted to equity but will be redeemed for cash at its maturity date. Asset Allocation Fixed income securities 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in liquid assets. If the outlook for fixed income securities market is unfavourable, the fixed income securities exposure may be reduced to below the range indicated above as a temporary defensive strategy. Location of Assets Malaysia Up to 30% of its NAV in selected foreign markets which include:- Investment Approach United States of America Hong Kong Australia Indonesia Singapore Fixed income securities and money market instruments Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. The fund seeks to invest in fixed income securities that command higher yields than money market instruments. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for P BOND The benchmark of the fund is an accumulation index based on the 12-Month FDR quoted by Malayan Banking Berhad. The performance of the fund and its benchmark is available on Public Mutual s website at 101

104 PUBLIC ENHANCED BOND FUND (PEBF) Category of Fund Financial Year End Distribution Policy Fund Objective Bond 31 January Annual Seeks to provide a combination of annual income* and modest capital growth primarily through a portfolio allocation across quality bonds and equities. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Fixed income securities which include: Corporate bonds. Government and government-sponsored bonds. Redeemable loan stocks with convertible features.* Equity and equity-related securities, which include: Stocks with defensive profiles and blue chip stocks that are supported by high dividend yields. Stocks of IPO companies seeking a listing in Eligible Markets. Warrants. Collective investment schemes. Liquid assets which include money market instruments and deposits. Asset Allocation Note: * This loan stocks may be redeemed at maturity or converted to equities. Fixed income securities 70% to 85% of the fund s NAV Up to 20% of the fund s NAV The balance of the fund s NAV may be invested in liquid assets. If the outlook for fixed income securities market is unfavourable, the fixed income securities exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of its NAV in selected foreign markets which include:- China Thailand Hong Kong Indonesia South Korea United States of America Taiwan Australia Singapore Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. 102

105 Investment Approach Fixed income securities and money market instruments Equity The fund seeks to invest in fixed income securities that command higher yields than money market instruments. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Bottom-up approach in stock selection process which relies on fundamental research where the financial health, industry prospects, management quality and past track records of companies are assessed. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PEBF The benchmark of the fund is an accumulation index based on the 12-Month FDR quoted by Malayan Banking Berhad. The performance of the fund and its benchmark is available on Public Mutual s website at 103

106 PUBLIC SELECT BOND FUND (PSBF) Category of Fund Financial Year End Distribution Policy Fund Objective Bond 31 May Annual To provide annual income* through investments in fixed income securities which have a remaining maturity of 7 years and below and money market instruments. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Fixed income securities which have remaining maturities of 7 years and below; comprising sovereign and corporate bonds. Redeemable loan stocks with convertible features.* Liquid assets which include money market instruments and deposits. Note: * These loan stocks may not be converted but will be disposed prior to or held to maturity. Loan stocks which are held to maturity will not be converted to equity but will be redeemed for cash at its maturity date. Asset Allocation Fixed income securities 75% to 98% of the fund s NAV The balance of the fund s NAV may be invested in liquid assets. If the outlook for fixed income securities market is unfavourable, the fixed income securities exposure may be reduced to below the range indicated above as a temporary defensive strategy. Location of Assets Investment Approach Foreign assets Malaysia Fixed income securities and money market instruments None The fund seeks to invest in fixed income securities that command higher yields than money market instruments. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PSBF The benchmark of the fund is an accumulation index based on the 12-Month FDR quoted by Malayan Banking Berhad. The performance of the fund and its benchmark is available on Public Mutual s website at 104

107 PUBLIC STRATEGIC BOND FUND (PSTBF) Category of Fund Financial Year End Distribution Policy Fund Objective Bond 31 December Annual To provide annual income* to investors through investments in fixed income securities and money market instruments. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Fixed income securities which have remaining maturities of: 5 years and below (50% of its investments in fixed income securities). more than 5 years (50% of its investments in fixed income securities). Liquid assets which include money market instruments and deposits. Asset Allocation Fixed income securities At least 75% of the fund s NAV The balance of the fund s NAV may be invested in liquid assets. If the outlook for fixed income securities market is unfavourable, the fixed income securities exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 25% of the fund s NAV Location of Assets Malaysia Up to 25% of its NAV in selected foreign markets which include:- Investment Approach United States of America Hong Kong Australia Indonesia Singapore Fixed income securities and money market instruments Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. The fund seeks to invest in fixed income securities that command higher yields than money market instruments. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. Selected Performance Benchmark for PSTBF The benchmark of the fund is an accumulation index based on the 12-Month FDR quoted by Public Bank. The performance of the fund and its benchmark is available on Public Mutual s website at 105

108 PUBLIC ENTERPRISES BOND FUND (PENTBF) Category of Fund Financial Year End Distribution Policy Fund Objective Bond 30 September Annual To provide annual income* through investments in fixed income securities and money market instruments. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Fixed income securities which include: Sovereign bonds. Corporate bonds. Redeemable loan stocks with convertible features.* Liquid assets which include money market instruments and deposits. Asset Allocation Notes: Fixed income securities invested must have minimum credit rating of BBB for long-term instruments and P1 for short duration instruments as rated by a local or foreign rating agency, at the point of purchase. At least 75% of NAV will be invested in corporate bonds issued by entities with total assets exceeding RM3 billion at the point of purchase. * This loan stocks may not be converted but will be disposed prior to or held to maturity. Loan stocks which are held to maturity will not be converted to equity but will be redeemed for cash at its maturity date. Fixed income securities At least 75% of the fund s NAV The balance of the fund s NAV may be invested in liquid assets. If the outlook for fixed income securities market is unfavourable, the fixed income securities exposure may be reduced to below the range indicated above as a temporary defensive strategy. Foreign assets Up to 30% of the fund s NAV Location of Assets Malaysia Up to 30% of its NAV in selected foreign markets which include:- Investment Approach United States of America Hong Kong Australia Indonesia Singapore Fixed income securities and money market instruments Any other permitted markets where the regulatory authority is an ordinary or associate member of the IOSCO. The fund seeks to invest in fixed income securities that command higher yields than money market instruments. The asset allocation between fixed income securities and money market instruments will depend on economic growth, interest rate trends and market liquidity conditions. Although the fund is actively managed, the frequency of its trading strategy will very much depend on market opportunities. 106

109 Selected Performance Benchmark for PENTBF The benchmark of the fund is an accumulation index based on the 12-Month FDR quoted by Public Bank. The performance of the fund and its benchmark is available on Public Mutual s website at 107

110 PUBLIC MONEY MARKET FUND (PMMF) Category of Fund Financial Year End Distribution Policy Fund Objective Money market 31 January Annual To provide liquidity and current income*, while maintaining capital stability. Notes: Any material changes to the investment objective of the fund would require unitholders approval. * Current income refers to distributable income. Distribution (if any) will be reinvested unless unitholders opt for distribution to be paid out. Please refer to page 131 for more information on distribution policy. Investment Policy and Strategy Typical Asset Classes Money market instruments which include bankers acceptance and negotiable instruments of deposits. Fixed income securities which include: Short-dated government and government-sponsored bonds. Short-dated corporate bonds which include commercial papers. Deposits. Asset Allocation Money market instruments and deposits Up to 100% of the fund s NAV Foreign assets None Location of Assets Investment Approach Malaysia At least 90% of the fund s NAV must be invested in instruments which mature within 365 days or 1 year. Up to 10% of the fund s NAV can be invested in instruments exceeding 365 days but not longer than 732 days. The asset allocation of the fund will depend on economic growth, interest rate trends and market liquidity conditions. Note: The fund s investment in fixed income securities must have a minimum credit rating of BBB for long duration instruments and P1 for short duration instruments, at the point of purchase. Selected Performance Benchmark for PMMF The benchmark of the fund is a composite benchmark index comprising: Percentage Index 90% Public Bank 1-Month FDR 10% Public Bank Savings Rate ACE Account This composite benchmark index is an appropriate performance benchmark for PMMF as it is reflective of the fund s investments in short duration instruments. The performance of the fund and its benchmark is available on Public Mutual s website at Investment in the fund is not the same as placement in a deposit with a financial institution. There are risks involved and investors should rely on their own evaluation to assess the merits and risks when investing in the fund. 108

111 1.2 RISK FACTORS General Risks 1. Market risk: Market risk refers to the possibility that an investment will lose value because of a general decline in financial markets, due to economic, political and/or other factors, which will result in a decline in the fund s NAV. 2. Liquidity risk: Liquidity risk refers to the ease of liquidating an asset depending on the asset s volume traded in the market. If the fund holds assets that are illiquid, or are difficult to dispose of, the value of the fund will be negatively affected when it has to sell such assets at unfavourable prices. 3. Manager risk: This risk refers to the day-to-day management of the fund by the fund manager which will impact the performance of the fund. For example, investment decisions undertaken by the fund manager pertaining to asset allocation and stock selection which may not be in line with market movements, or nonconformance with regulations and internal policies and procedures, may adversely affect the performance of the fund. 4. Loan financing risk: This risk occurs when investors take a loan/financing to finance their investment. The inherent risk of investing with borrowed money includes investors being unable to service the loan repayments. In the event units are used as collateral, an investor may be required to top-up the investors existing instalment if the prices of units fall below a certain level due to market conditions. Failing which, the units may be sold at a lower NAV per unit as compared to the NAV per unit at the point of purchase towards settling the loan. The Manager does not encourage the practice of loan financing in the purchase of unit trust funds. 5. Counterparty risk associated with OTC derivatives: The use of OTC derivatives involve counterparty risk arising from counterparties default or a decline in the counterparties credit rating which may have adverse impact on the NAV of the fund. In such circumstances, efforts will be taken to liquidate the derivative position. Specific Risks of the Funds Equity, Mixed Asset and Balanced Funds 1. Specific security risk: Prices of a particular security may fluctuate in response to the circumstances affecting individual companies. As such, adverse price movements of a particular security invested by the fund may adversely affect the fund s NAV and unit price. 2. Unlisted security risk: This risk relates to investments in securities which are not listed on a securities exchange, such as stocks of unlisted companies. Investment in unlisted securities may subject the fund to liquidity risks upon the disposal of these securities which may impact the value of the fund. 3. Interest rate risk: Interest rate risk refers to the impact of interest rate changes on the valuation of fixed income securities and liquid assets. When interest rates rise, fixed income securities prices generally decline and this may lower the market value of the fund s investment in fixed income securities. The reverse applies when interest rates fall. The returns of the fund s investments in liquid assets move in tandem with interest rates. A decline in interest rates will lower the returns of the fund s investments in liquid assets. For example, when interest rates fall, deposit placements would be reinvested at lower interest rates and subsequently yield lower returns to the fund. 4. Credit risk: Credit risk relates to the creditworthiness of the issuer of the securities or liquid assets which is dependent on the issuer s ability to make timely payments of interest and/or principal. In the event that the issuer of a security or liquid assets defaults in the payment of interest and/or principal, the value of the fund may be adversely affected. 5. Currency risk: If the fund invests in assets denominated in foreign currency, the fund may be exposed to currency fluctuation risks. If the currencies in which the investments are denominated depreciate against the local currency, the fund s NAV may be adversely affected and vice versa. To mitigate such risk, the fund may undertake hedging strategies. However, the fund would not benefit from any potential upside if currencies move in the opposite direction of the hedging strategy. 109

112 6. Country risk: Funds with foreign investments may be affected by changes in the economic and political climate, restriction on currency repatriation or other developments in the law or regulations of the country in which the fund invests in. For example, the deteriorating economic condition of such countries may adversely affect the value of the investments undertaken by the fund in those affected countries. This in turn may cause the NAV of the fund or prices of units to fall. Regional/country funds which may invest a greater portion of their NAV in foreign markets and may be more affected by changes in the political and economic conditions of the region/country. 7. Industry/Sector Risk: Industry/sector risk arises when the fund is predominantly invested in specific industries or sectors. Due to the reduced degree of diversification by industries/sectors, the fund may be more vulnerable to factors associated with the particular industries/sectors it is invested in. PFEPRF: Any material changes associated with the property investment and development sector and real estate investment trusts (REITs) may have an adverse impact on the NAV of the fund. PFECTF: Any material changes associated with the consumer sector may have an adverse impact on the NAV of the fund. PFETIF: Any material changes associated with the telecommunications and infrastructure sector may have an adverse impact on the NAV of the fund. PINDGF, PRSEC, PSSF and PSTEF: Any material changes associated with the sectors that the funds invest in may have an adverse impact on the NAV of the funds. 8. Risk associated with investments in warrants: The market price of warrants held by the fund may be impacted by changes in market price of the underlying securities as well as the exercise price and expiry date of the warrants. Any adverse movements in the market price of the warrants may impact the fund s NAV and unit price. 9. Risk associated with investments in equity linked participation notes: Equity linked participation notes are instruments designed to track designated securities. The movement of these notes are similar to the underlying shares listed in their respective markets. These notes are issued by international foreign broking houses for investment by investors who are not able to invest directly in the underlying foreign shares. These notes are purchased and sold by investors in a similar manner to the trading of shares. Investments in equity linked participation notes involve counterparty risk whereby the issuer of the notes may not be able to fulfill its obligation. It also presents market risk as these notes may not track the movement of their underlying shares closely. Bond Funds 1. Interest rate risk: Interest rate risk refers to the impact of interest rate changes on the valuation of fixed income securities and liquid assets. When interest rates rise, fixed income securities prices generally decline and this may lower the market value of the fund s investment in fixed income securities. The reverse applies when interest rates fall. The returns of the fund s investments in liquid assets move in tandem with interest rates. A decline in interest rates will lower the returns of the fund s investments in liquid assets. For example, when interest rates fall, deposit placements would be reinvested at lower interest rates and subsequently yield lower returns to the fund. 2. Credit risk: Credit risk relates to the creditworthiness of the issuer of the securities or liquid assets which is dependent on the issuer s ability to make timely payments of interest and/or principal. In the event that the issuer of a security or liquid assets defaults in the payment of interest and/or principal, the value of the fund may be adversely affected. Money Market Fund 1. Interest rate risk: Interest rate risk refers to the impact of interest rate changes on the valuation of fixed income securities and liquid assets. When interest rates rise, fixed income securities prices generally decline and this may lower the market value of the fund s investment in fixed income securities. The reverse applies when interest rates fall. The returns of the fund s investments in liquid assets move in tandem with interest rates. A decline in interest rates will lower the returns of the fund s investments in liquid assets. For example, when interest rates fall, deposit placements would be reinvested at lower interest rates and subsequently yield lower returns to the fund. 110

113 2. Credit risk: Credit risk relates to the creditworthiness of the issuer of the securities or liquid assets which is dependent on the issuer s ability to make timely payments of interest and/or principal. In the event that the issuer of a security or liquid assets defaults in the payment of interest and/or principal, the value of the fund may be adversely affected. Risk Management Strategies Equity, Mixed Asset and Balanced Funds Asset allocation, liquidity management and diversification strategies employed are central to the efforts to manage the risks posed to the fund. To mitigate risks arising from significant volatilities in times of adverse market movements, foreign currency exposure and foreign interest rate movements, the non-epf MIS funds may employ hedging strategies utilising futures contracts, foreign exchange forward contracts and options. As for EPF-MIS funds, the funds may employ hedging strategies utilising foreign exchange forward contracts to mitigate risks arising from foreign currency exposure. Participation in these instruments are for hedging purposes only. Investments in warrants will be assessed on ongoing basis as it can potentially increase the volatility of the fund s returns. To manage credit risk, credit analysis is conducted and credit ratings of financial institutions are monitored on an ongoing basis. The fund will focus on securities issued by companies with sound financial position whereby gearing ratio and interest cover ratio are within acceptable levels of the industry in which the issuer company operates. Bond Funds The risk management process focuses on managing the impact of changes in the interest rate trend and credit risk profile of the individual fixed income securities issuer. The fund manager will adopt various investment strategies which include portfolio diversification and varying the asset allocation between the long-tenured and short-tenured fixed income securities and money market instruments to adjust the risk and return characteristics of the fund. To manage credit risk, credit analysis is conducted and credit rating of financial institutions is monitored on an ongoing basis. The fund will focus on securities issued by companies with sound financial position whereby gearing ratio and interest cover ratio are within acceptable levels of the industry in which the issuer company operates. To mitigate risks arising from foreign currency exposure and foreign interest rate movements, the non-epf MIS funds may employ hedging strategies utilising futures contracts, foreign exchange forward contracts and options. As for EPF-MIS funds, the funds may employ hedging strategies utilising foreign exchange forward contracts to mitigate risks arising from foreign currency exposure. Participation in these instruments for hedging purposes will be assessed on ongoing basis as it can potentially increase the volatility of the fund s returns. Money Market Fund Essentially, the fund has been structured such that it is confined to instruments of short duration to maturity in order to minimise the impact of fluctuations in interest rates on the performance of the fund. Money market instruments are issued by licensed financial institutions with investment grade rating. The credit risks assumed are limited to the extent that any fixed income securities invested in must have a minimum credit rating of BBB for long duration instruments and P1 for short duration instruments, at the point of purchase. In the event that the credit rating of a particular debt issue is downgraded below the stipulated minimum investment grade, the Manager will take the necessary steps to divest the asset at risk. However, in order to protect the best interest of the fund, the Manager has the discretion to take into consideration all relevant factors that affect the fair value of the investment via an internal credit assessment process before deciding on the manner and time frame of the liquidation. 111

114 1.3 PERMITTED INVESTMENTS The Manager has absolute discretion, subject to the Deed, the investment policy for each of the funds and the requirements of the SC and other regulatory body, as to how the assets of the funds are invested. Equity, Mixed Asset and Balanced Funds (a) All equity, mixed asset and balanced funds will invest in the following: i. Equity and equity-related securities such as warrants listed in Eligible Markets; ii. iii. iv. Stocks of IPO companies seeking a listing in Eligible Markets; Listed fixed income securities traded in Eligible Markets; Unlisted fixed income securities traded in Eligible Markets; v. Sovereign fixed income securities traded in Eligible Markets; vi. vii. viii. ix. Malaysian Government Securities, Treasury Bills, Bank Negara Monetary Notes, Government Investment Issues and other Government approved and/or guaranteed securities; Deposits and money market instruments with licensed domestic and foreign financial institutions; Units of other collective investment schemes; and Any other form of investments which is in line with the objective of the funds as may be agreed upon by the Manager and the trustee from time to time. (b) P SmallCap, PFEDF, PFA30F, PWEF, PSSCF, PEMOF, POEF, PASGF, PGCF, PTAF, PNVGF and PSTBLF will also invest in/utilise the following: i. Unlisted equity and equity related securities whether or not approved for listing and quotation in Eligible Markets, which are offered directly by the company to the funds; and ii. Futures contracts and options traded on the futures and options market of an exchange company approved, or exempt futures and options market declared, by the Minister under the CMSA 2007 (for hedging purpose only). (c) PFA30F and PSSCF will also invest in participation notes of equity and equity-related securities of companies listed in Eligible Markets. The funds may participate in lending of securities within the meaning of the SC Guidelines on Securities Borrowing and Lending when permitted by the SC and other relevant authorities. Bond Funds (a) All bond funds will invest in the following: i. Listed fixed income securities traded in Eligible Markets; ii. iii. iv. Unlisted fixed income securities traded in Eligible Markets; Sovereign bonds traded in Eligible Markets; Malaysian Government Securities, Treasury Bills, Bank Negara Monetary Notes, Government Investment Issues and other Government approved and/or guaranteed securities; v. Deposits and money market instruments with licensed domestic and foreign financial institutions; vi. vii. Units of other collective investment schemes; and Any other form of investments which is in line with the objective of the funds as may be agreed upon by the Manager and the trustee from time to time. (b) P BOND and PENTBF will also utilise futures contracts and options traded in the futures and options market of an exchange company approved, or exempt futures and options market declared, by the Minister under the CMSA 2007 (for hedging purpose only). 112

115 (c) PEBF will also invest in the following: i. Equity and equity-related securities such as warrants listed in Eligible Markets; ii. Stocks of IPO companies seeking a listing in Eligible Markets. The funds may participate in lending of securities within the meaning of the SC Guidelines on Securities Borrowing and Lending when permitted by the SC and other relevant authorities. Money Market Fund PMMF will invest in the following: i. Listed RM denominated fixed income securities traded in Eligible Markets; ii. iii. iv. Unlisted RM denominated fixed income securities traded in Eligible Markets; Malaysian Government Securities, Treasury Bills, Bank Negara Monetary Notes, Government Investment Issues and other Government approved and/or guaranteed securities; Deposits and money market instruments with licensed domestic and foreign financial institutions; v. Units of other collective investment schemes; and vi. Any other form of investments which is in line with the objective of the fund as may be agreed upon by the Manager and the trustee from time to time. 1.4 INVESTMENT RESTRICTIONS The funds are subject to the following investment restrictions in the course of execution of their investment policies and strategies: Equity, Mixed Asset and Balanced Funds (i) Investment Spread Limits Investment Limits (% of the respective fund s NAV) Value of investments in ordinary shares issued by any single issuer 10%* Value of investments in transferable securities and money 15% market instruments issued by any single issuer Value of placement in deposits with any single institution 20% For investments in derivatives:- (i) exposure to underlying assets; (ii) value of OTC derivative transaction with any single counterparty Value of investments in structured products issued by a single counter-party Aggregate value of investments in transferable securities, money market instruments, deposits, OTC derivatives and structured products issued by or placed with, as the case may be, any single issuer/institution 113 spread limits stipulated in this section 10% 15% 25% Value of investments in units of any collective investment scheme 20% Value of investments in transferable securities and money market instruments issued by any group of companies 20%* Note: * For PIX, the single issuer limit and single group limit specified above may be exceeded provided that the fund s investment in any component securities does not exceed its respective weightings in the FBM 100.

116 (ii) Investment Concentration Limits Investment Investments in transferable securities (other than debentures) Investments in debentures Investments in money market instruments Investments in collective investment schemes Limits 10% of the securities issued by any single issuer 20% of the debentures issued by any single issuer 10% of the instruments issued by any single issuer Note: This limit does not apply to money market instruments that do not have predetermined issue size. 25% of the units in any one collective investment scheme. Note: Transferable securities refer to equities, debentures and warrants. (iii) Exposure Limits Investment Limits (% of the respective fund s NAV) Value of investments in unlisted securities 10% Value of holdings in foreign investments (i) PSF, PGF, PINDGF, PAGF, P SmallCap, PEF, PFSF, PDSF, PSA30F, PSSCF, PBF, PSTGF and PSMAGF (ii) PFES, PFEDF, PSEASF, PRSEC, PGSF, PFEPRF, PCSF, PFECTF, PCTF, PFETIF, PAUEF, PWEF, PFA30F, PINDOSF, PSGEF, POEF, PASGF, PGCF, PINGEF, PTAF, PNVGF and PSTBLF (iii) PFEBF (iv) PRSF, PSSF, PSTEF, PAVGEF, PEMOF, PSMACF and PGRBF Listed fixed income securities, unlisted loan stocks and corporate debt invested by PBF. Note: This exposure limit does not apply to:- a) equities not listed or quoted on a stock exchange but have been approved by the relevant authority for such listing and quotation, and are offered directly to the fund by the issuer; b) debentures traded on an organised OTC market; and c) structured products. 30% 98% 60% 25% Must either be bank guaranteed, or rated BBB by RAM and/or other recognised rating agencies Exposure from derivatives position NAV of the fund at all times. 114

117 Bond Funds P BOND, PSBF, PSTBF and PENTBF (i) Investment Spread Limits Limits Investment (% of the respective fund s NAV) Value of investments in debentures issued by any single issuer 20% Note: This limit may be increased to 30% if 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. Value of placement in deposits with any single institution 20% For investments in derivatives:- (i) exposure to underlying assets; (ii) value of OTC derivative transaction with any single counterparty Value of investments in structured products issued by a single counter-party Aggregate value of investments in debentures, money market instruments, deposits, OTC derivatives and structured products issued by or placed with, as the case may be, any single issuer/ institution spread limits stipulated in this section 10% 15% 25% Note: This limit may be increased to 30% if the single issuer limit for value of investment in debentures is increased to 30%. Value of investments in units of any collective investment scheme Value of investments in debentures issued by any group of companies 20% 30% (ii) Investment Concentration Limits Investment Investments in debentures Investments in money market instruments Investments in collective investment schemes Limits 20% of the debentures issued by any single issuer 10% of the instruments issued by any single issuer. Note: This limit does not apply to money market instruments that do not have predetermined issue size. 25% of the units in any one collective investment scheme. 115

118 (iii) Exposure Limits Investment Limits (% of the respective fund s NAV) Value of investments in unlisted securities 10% Value of holdings in foreign investments Note: This exposure limit does not apply to:- (i) debentures traded on an organised OTC market; and (ii) structured products (i) (ii) P BOND and PENTBF PSTBF 30% 25% Exposure from derivatives position NAV of the fund at all times. PEBF (i) Investment Spread Limits Investment Limits (% of the fund s NAV) Value of investments in debentures issued by any single issuer 20% Note: This limit may be increased to 30% if 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. Value of the fund s investments in ordinary shares issued by any single issuer 10% Value of placement in deposits with any single institution 20% For investments in derivatives, the exposure to underlying assets Aggregate value of investments in transferable securities, money market instruments and deposits issued by or placed with, as the case may be, any single issuer/institution Value of investments in units of any collective investment scheme Value of investments in debentures issued by any group of companies Value of the fund s investments in transferable securities (other than debentures) and money market instruments issued by any group of companies spread limits stipulated in this section 25% Note: This limit may be increased to 30% of the respective fund s NAV if the single issuer limit for value of investment in debenture is increased to 30%. 20% 30% 20% 116

119 (ii) Investment Concentration Limits Investment Investments in debentures Limits 20% of the debentures issued by any single issuer Investments in transferable securities (other than debentures) 10% Investments in money market instruments Investments in collective investment schemes 10% of the instruments issued by any single issuer. Note: This limit does not apply to money market instruments that do not have predetermined issue size. 25% of the units in any one collective investment scheme. (iii) Exposure Limits Investment Limits (% of the fund s NAV) Value of investments in unlisted securities 10% Note: This exposure limit does not apply to debentures traded on an organised OTC market. Value of holdings in foreign investments 30% Exposure from derivatives position NAV of the fund at all times. Money Market Fund (i) Investment Spread Limits Investment Value of investments in debentures and money market instruments issued by any single issuer Limits (% of the fund s NAV) 20% Note: This limit may be increased to 30% if 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. Value of placement in deposits with any single institution 20% Value of investments in debentures and money market instruments issued by any group of companies Value of the fund s investments in units of any collective investment scheme 30% 20% 117

120 (ii) Investment Concentration Limits Investment Investments in debentures Investments in money market instruments Investments in collective investment schemes Limits 20% of the securities issued by any single issuer 20% of the instruments issued by any single issuer 25% of the units in any collective investment scheme (iii) Exposure Limits Investment Limits (% of the fund s NAV) Value of investments in permitted investments 90% Value of investment in permitted investments which have a remaining maturity period of not more than 365 days Value of investment in permitted investments which have a remaining maturity period of not more than 365 days but fewer than 732 days 90% 10% Minimum credit rating of PMMF s investments in fixed income securities, at the point purchase: (i) Long duration instruments (ii) Short duration instruments BBB P1 (As rated by RAM or equivalent rating by other recognised rating agencies.) Note: Permitted investments refer to debentures, money market instruments and placements of deposits with financial institutions. The above limits and restrictions stated shall be complied with at all times based on the most up-to-date value of the respective funds, and the value of their investments and instruments. However, a 5 per cent allowance in excess of any limits or restrictions may be permitted where the limit or restriction is breached through the appreciation or depreciation in value of the each fund s investment or instruments, or as a result of redemption of units or payment made from the fund. The Manager should, within a reasonable period of not more than 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 that are issued or guaranteed by the Government or Bank Negara Malaysia. 118

121 1.5 VALUATION OF PERMITTED INVESTMENTS Listed equities, warrants and options valuation is based on market price of the respective exchanges. If no market price is available or valuation based on market price does not represent the fair value of investments, the securities will 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. Unlisted equities fair valuations which are based on methods that are acceptable to the Manager, verified by the auditor and approved by the trustee. Listed and unlisted fixed income securities for listed fixed income securities, the last traded prices quoted on a recognised exchange will be used. If no market price is available or valuation based on market price does not represent the fair value of the fixed income securities, the fixed income securities will 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. In the case of unlisted fixed income securities denominated in RM, valuations are carried out on a daily basis using fair value prices quoted by a Bond Pricing Agency (BPA) registered with the SC. If the Manager is of the view that the price quoted by the BPA for a specific fixed income security differs from the market price by more than 20 basis points, the Manager may use the market price provided that the Manager adheres to the requirements stipulated by the SC. Market price for fixed income securities are derived from market quotations obtained from the panel of at least three active financial institutions that are governed by the Financial Services Act 2013 and/or Islamic Financial Services Act 2013 (FSA/IFSA). Other unlisted fixed income securities which include foreign unlisted fixed income securities are valued daily based on fair value by reference to the average indicative yield quoted by at least three independent and established institutions. Commercial papers commercial papers are valued at purchase yields with interest accrued daily. Money market instruments money market instruments which include negotiable instrument of deposits are valued at market yields based on the remaining days to maturity. Deposits the value of such investments shall be determined on a daily basis by reference to their nominal values and the accrued interest thereon for the relevant period. Units in other collective investment schemes the last published repurchase price per unit or if not available, the units will be valued at fair value as determined in good faith by the Manager, based on methods or bases approved by the trustee after appropriate technical consultation. Foreign exchange forward contracts all foreign exchange forward contracts are marked-to-market daily and valued at fair value using forward rate of the remaining tenure to maturity. Futures contracts all futures contracts are marked-to-market at the end of each trading day. Any gains or losses are immediately reflected upon marking to market. Suspended securities will be valued at their suspended price unless there is conclusive evidence to indicate that the value of such stocks have gone below the suspended price, whereupon their value will be ascertained in a manner as agreed upon by the Manager and trustee. All foreign securities and assets are converted into RM based on the bid exchange rate quoted by Thomson Reuters/ Bloomberg at United Kingdom time 4:00 p.m. the same day. 1.6 CROSS TRADE POLICY Cross trade transactions between funds managed by Public Mutual as part of the portfolio rebalancing process, may be undertaken if such transactions are deemed to be in the best interest of the funds and are transacted through a dealer or a financial institution on an arm s length and fair value basis. 119

122 2 FEES, CHARGES AND EXPENSES 2.1 CHARGES IMPOSED ON PURCHASE AND REDEMPTION OF UNITS Sales charge and redemption charge (if any) that are to be levied on the purchase and redemption of units are computed based on the NAV per unit of the fund that has not been rounded up. Bank charges, courier charges and any other indirect charges as a result of purchase or redemption transactions will be borne by you. Below are the charges that you may directly incur when purchasing or redeeming units of the funds: Equity, Mixed Asset and Balanced Funds Bond Funds Money Market Fund Sales charge per unit Purchase of units through UTCs and the Manager: Up to 5.5% of NAV per unit Investments under the EPF-MIS will be levied a sales charge of up to 3% of NAV per unit, as regulated by EPF. Up to 1.0% of NAV per unit Nil The Manager may at its discretion charge a lower sales charge based on the size of investment and/or other criterion as may be determined from time to time. Please refer to page 126 for illustration on computation of sales charge. Redemption charge per unit Nil Please refer to page 127 for illustration on computation of redemption charge. Transfer charges Administration fee of up to RM50 is charged for each transfer transaction. 120

123 FEES, CHARGES AND EXPENSES (cont d) Switching charges Please refer to the table below for switching made within 90 days from the date of purchase or switching of units into that fund. Switch-out / (Exit) From To Recipient Fund Equity / Mixed Asset / Balanced funds Bond funds Money Market fund Equity / Mixed Asset / Balanced funds Switching fee of up to 0.75%* Switching fee of up to 0.75%* Switching fee of up to 0.75%* Bond funds - Loaded units # - 1%-load units ## - Low-load units ### Switching fee of up to 0.25%* Sales charge of up to 4.5% Sales charge of up to 5.25% Switching fee of up to 0.25%* Switching fee of up to 0.25%* Sales charge of up to 0.75% Switching fee of up to 0.25%* Switching fee of up to 0.25%* Switching fee of up to 0.25%* Money Market funds - Loaded units # - 1%-load units ## - Low-load units ### - Zero-load units #### Switching fee of up to RM25 Sales charge of up to 4.5% Sales charge of up to 5.25% Sales charge of up to 5.5% Switching fee of up to RM25 Switching fee of up to RM25 Sales charge of up to 0.75% Sales charge of up to 1.0% Switching fee of up to RM25 Switching fee of up to RM25 Switching fee of up to RM25 Switching fee of up to RM25 Note: * Subject to a minimum of RM50, whichever is the higher. This switching fee will be retained by the switch-out funds. 121

124 FEES, CHARGES AND EXPENSES (cont d) Switching charges Please refer to the table below for switching made after 90 days from the date of purchase or switching of units into that fund. Switch-out / (Exit) From To Recipient Fund Equity / Mixed Asset / Balanced funds Bond funds Money Market fund Equity / Mixed Asset / Balanced funds Switching fee of up to RM50 Switching fee of up to RM50 No switching fee Bond funds - Loaded units # - 1%-load units ## - Low-load units ### Switching fee of up to RM50 Sales charge of up to 4.5% Sales charge of up to 5.25% Switching fee of up to RM50 Switching fee of up to RM50 Sales charge of up to 0.75% No switching fee No switching fee No switching fee Money Market funds - Loaded units # - 1%-load units ## - Low-load units ### - Zero-load units #### Switching fee of up to RM50 Sales charge of up to 4.5% Sales charge of up to 5.25% Sales charge of up to 5.5% Switching fee of up to RM50 Switching fee of up to RM50 Sales charge of up to 0.75% Sales charge of up to 1.0% No switching fee No switching fee No switching fee No switching fee Notes: # Loaded units are units which have incurred a sales charge of 3% or more. ## 1%-load units are units which have incurred a sales charge of 1.0%. ### Low-load units are units which have incurred a sales charge of 0.25% or less. #### Zero-load units are units which have not incurred any sales charge. 122

125 FEES, CHARGES AND EXPENSES (cont d) 2.2 FEES AND EXPENSES OF THE FUNDS Operating a fund involves a variety of expenses for portfolio management, the manager s fee, trustee s fee, foreign custodian charges, auditor s fee, tax agent s fee and other administrative charges incurred in the administration of the fund. These costs are paid out of the fund s assets. Below are the fees that you may indirectly incur when you invest in the fund: Equity, Mixed Asset and Balanced Funds Bond Funds Money Market Fund Management fee PSMACF: 1.25% per annum of the NAV. PSF, PGF, PIX, PINDGF, PAGF, PRSF, P SmallCap, PEF, PFSF, PDSF, PSSF, PSA30F, POGF, PSSCF, PSTGF, PSTEF, PAVGEF, PRSSQF, PSMAGF, PBF and PGRBF: 1.50% per annum of the NAV. P BOND, PSBF, PSTBF and PENTBF: 0.75% per annum of the NAV. PEBF: 1.0% per annum of the NAV. PMMF: 0.375% per annum of the NAV. PFES, PRSEC, PFEDF, PCSF, PSEASF, PCTF, PFA30F, PSGEF, POEF, PASGF, PGCF, PFEBF and PSTBLF: 1.60% per annum of the NAV. PAUEF, PEMOF and PTAF: 1.65% per annum of the NAV. PFEPRF, PFECTF, PFETIF, PWEF and PINDOSF: 1.70% per annum of the NAV. PGSF, PNVGF and PINGEF: 1.80% per annum of the NAV. Trustee fee 0.06% per annum of the NAV, subject to a minimum fee of RM18,000 and a maximum fee of RM600,000 per annum % per annum of the NAV, subject to a minimum fee of RM18,000 and a maximum fee of RM300,000 per annum. 0.02% per annum of the NAV, subject to a minimum fee of RM18,000 and a maximum fee of RM300,000 per annum. The annual management fee and trustee fee are calculated and accrued daily, and payable monthly to the Manager and trustees respectively. Note: All the above fees and charges are subject to GST (if any) which are payable by you. 123

126 FEES, CHARGES AND EXPENSES (cont d) 2.3 POLICY ON STOCKBROKING REBATES AND SOFT COMMISSIONS The management company does not receive any form of rebates from any broker/dealer. The management company may receive goods or services which include research materials, data and quotation services and investment related publications by way of soft commissions provided they are of demonstrable benefit to the funds and unitholders. There are fees and charges involved and investors are advised to consider them before investing in the funds. 124

127 3 TRANSACTION INFORMATION 3.1 DETERMINATION OF PRICES Valuation Point Valuation of funds with no foreign investments is conducted on each Business Day at the close of Bursa Securities. For funds with foreign investments, valuation is conducted after the close of business of Bursa Securities for the relevant day. As certain foreign markets in which the funds may invest in have yet to close due to the different time zones of these countries, the valuation point may be extended to 9:00 a.m. (or any other such time as may be permitted by the relevant authorities from time to time) on the following day in which the Manager is open for business. As a result of having a valuation point later than 5:00 p.m., the daily prices of the funds will not be published on the next Business Day but instead will be published the next following Business Day (i.e. the prices will be 2 days old). NAV per Unit The NAV per unit is obtained by dividing the NAV of the fund by the number of units in issue. Illustration: Total NAV (RM) 352,625,000 UIC (units) = 1,410,500,000 NAV per unit (RM) Single Pricing Purchase and redemption of units are quoted and transacted at a single price, i.e. at the NAV per unit of the fund(s). Sales charge and redemption charge (if any) are computed and charged separately, and are not incorporated in the quoted prices of the funds. Forward Pricing Both the purchase and redemption transactions are traded at prices next determined. A request issued by you to purchase or redeem units of the fund will be carried out at a price as at the next valuation point after the application is received and accepted by the Manager. Investments banked in over the counter through Public Bank branches on any Business Day will be processed based on the price determined for the same Business Day. Before or at 4:00 p.m. Processed based on the price determined for the same Business Day. Investment via electronic channels After or at 4:00 p.m. Processed based on the price determined for the next Business Day. Any investment and transaction requests made on a non-business Day will be treated as investments or transaction requests made on the following Business Day. Incorrect Pricing In the event of any incorrect pricing of units of the funds, the Manager shall take immediate remedial action where that incorrect pricing (i) (ii) is equal or more than 0.5% of the NAV per unit; and results in a sum total of RM10.00 or more to be reimbursed to the affected unitholder for each purchase or redemption transaction. Subject to any regulatory requirements, the Manager shall have the right to amend, vary or revise the abovesaid limits or threshold from time to time. 125

128 TRANSACTION INFORMATION (cont d) 3.2 COMPUTATION OF PRICES Purchasing Units of the Funds Illustration: Investment amount : RM10,000 NAV per unit : RM Sales charge : 5.5% of NAV per unit GST rate : 0% Sales Charge Incurred = Investment Amount x Sales Charge (%) [1 + Sales Charge (%)] + [Sales Charge (%) x GST (%)] = RM10,000 x 5.5% [ ( %) + (5.5% x 0%) ] RM Goods and Services Tax (GST) = Sales Charge Incurred x GST (%) = RM x 0% Nil Net Investment Amount Investment Amount Less: Sales Charge Incurred Less: GST RM10,000 (RM521.33) (RM0.00) RM 9, Units Credited to Your Account = Net Investment Amount NAV per unit = RM9, RM , units DO NOT PAY CASH FOR YOUR INVESTMENT UTCs AND STAFF OF PUBLIC MUTUAL ARE NOT AUTHORISED TO COLLECT INVESTMENT AMOUNT IN CASH UNDER ANY CIRCUMSTANCES WHATSOEVER. Public Mutual will not be liable for any loss incurred should you give cash to our UTCs or staff. DO NOT PAY CASH TO A UTC OR STAFF OF PUBLIC MUTUAL. BNM/04/ DO NOT ISSUE A CHEQUE IN THE NAME OF A UTC OR STAFF OF PUBLIC MUTUAL. 126

129 TRANSACTION INFORMATION (cont d) Redeeming Units of the Funds Illustration: Unit redeemed NAV per unit : 40,000 units : RM Amount Redeemed = Units redeemed x NAV per unit = 40,000 units x RM RM10,000 Redemption Charge Incurred = Redemption charge (%) x NAV per unit x Units redeemed = 0% x RM x 40,000 units Nil Total Redemption Proceeds Received by You = Amount redeemed Redemption charge incurred = RM10,000 RM0 RM10,000 Note: All the above fees and charges are subject to GST (if any) which are payable by you. 3.3 WHERE TO PURCHASE OR REDEEM UNITS OF THE FUNDS UTCs who are registered with FIMM Public Mutual Online (PMO) Public Mutual Customer Service Centres Priority clients may access the exclusive Mutual Gold Service for value-added, time saving services. Please refer to pages 148 to 151 for the Directory of Public Mutual Branch Offices, Customer Services Centres and Agency Offices. 127

130 TRANSACTION INFORMATION (cont d) 3.4 HOW TO PURCHASE UNITS OF THE FUNDS Before investing, it is important that you read the Master Prospectus and product highlights sheet of the funds carefully, and seek further clarification on any matter that may concern you. Opening an Account Minimum initial investment*: RM1,000 Individual Investors For existing investors who are PMO subscribers, you can purchase units of the funds online. If you are not an existing PMO subscriber and would like to be one: - Submit the PMO Service Application form personally at any Public Mutual or Public Bank branch. - Alternatively, you may register online for PMO via our website or through our Customer Service Centre kiosks located at selected Customer Service Centres/ branches or Public Bank s Automated Teller Machines (ATMs) if you are a Public Bank ATM user or via if you are a subscriber of PBe. Otherwise: - Submit investment application form together with the investment amount made out in a cheque to any Public Bank branch. For first time investor of Public Mutual, you are also required to complete the new investor form. Investors Under EPF-MIS Submit investment application form for EPF-MIS and KWSP 9N (AHL) Form together with a copy of your NRIC to the UTC attending to you. Note: Application to invest will be subject to EPF s approval. Non- Individual/ Corporate Investors Submit investment application form with requisite statutory documents to any Public Mutual or Public Bank branch offices or Public Mutual Head Office (please refer to the new investor form for documents required). Please contact the corporate sales desk at for further assistance. Note: * The Manager may vary the minimum initial investment amount from time to time. Adding Regularly to Your Account Minimum additional investment: RM100 Additional investments can be executed via: (a) PMO. (b) Direct debit authorisation with banks. (c) Depositing your cheque into the collection accounts maintained at Public Bank. 128

131 TRANSACTION INFORMATION (cont d) How You Should Write Your Cheque Your cheques for investment are to be issued in the following manner: Individual Investors Initial Investment Additional Investment Cheque must be made payable to: Public Mutual Berhad - New NRIC No. of First Holder. Public Mutual Berhad - Account No. of Targeted Fund or Public Mutual Berhad - New NRIC No. of First Holder. For corporate investors, cheque for initial investment must be made payable to Public Mutual Berhad - Your Company Registration Number. Cheque for additional investment must be made payable to Public Mutual Berhad - Account No. of Targeted Fund or Your Company Registration Number. Please write down your name, new NRIC/passport number/company registration number and telephone number at the back of the cheque. Under the Deed, the Manager is given the exclusive right to effect the issue of units for the account of the fund and has absolute discretion to accept or reject in whole or in part any application for units. DO NOT PAY CASH FOR YOUR INVESTMENT UTCs AND STAFF OF PUBLIC MUTUAL ARE NOT AUTHORISED TO COLLECT INVESTMENT AMOUNT IN CASH UNDER ANY CIRCUMSTANCES WHATSOEVER. Public Mutual will not be liable for any loss incurred should you give cash to our UTCs or staff. DO NOT PAY CASH TO A UTC OR STAFF OF PUBLIC MUTUAL. BNM/04/ DO NOT ISSUE A CHEQUE IN THE NAME OF A UTC OR STAFF OF PUBLIC MUTUAL. 129