AmAsia Pacific REITs Plus*

Transcription

1 AmInvestment Services Bhd ( A) AmAsia Pacific REITs Plus* RESPONSIBILITY STATEMENTS This Product Highlights Sheet has been reviewed and approved by the directors of AmInvestment Services Berhad, and they collectively and individually accept full responsibility for the accuracy of the information. Having made all reasonable inquiries, they confirm to the best of their knowledge and belief, there are no false or misleading statements, or omission of other facts which would make any statement in this Product Highlights Sheet false or misleading. STATEMENTS OF DISCLAIMER The Securities Commission Malaysia has authorized the issuance of AmAsia Pacific REITs Plus* and a copy of this Product Highlights Sheet has been lodged with the Securities Commission Malaysia. The authorization of the AmAsia Pacific REITs Plus* and the lodgement of this Product Highlights Sheet, should not be taken to indicate that the Securities Commission Malaysia recommends the AmAsia Pacific REITs Plus* or assumes responsibility for the correctness of any statement made or opinion or report expressed in this Product Highlights Sheet. The Securities Commission Malaysia is not liable for any non-disclosure on the part of AmInvestment Services Berhad responsible for the AmAsia Pacific REITs Plus* and takes no responsibility for the contents in this Product Highlights Sheet. The Securities Commission Malaysia makes no representation on the accuracy or completeness of this Product Highlights Sheet, and expressly disclaims any liability whatsoever arising from, or in reliance upon, the whole or any part of its contents. * The word Plus is used in the Fund s name as the Fund is a continuation of the AmAsia Pacific REITs and the Fund may invest in listed equities in the real estate sector. AmAsia Pacific REITs Plus 1

2 This Product Highlights Sheet only highlights the key features and risks of AmAsia Pacific REITs Plus*. Investors are advised to request, read and understand the AmInvest Prospectus for AmAsia Pacific REITs Plus* dated 14 June 2013 ( Prospectus ) before deciding to invest. AmAsia Pacific REITs Plus* (the Fund ) This Product Highlight Sheet is an important document: It is a summary of the salient information about the Fund. You MUST NOT invest in the Fund based on this Product Highlights Sheet alone. Please read the Prospectus before deciding to make an investment. If you do not have a copy, please contact us to ask for one. You should not invest in the Fund if you do not understand it or are not comfortable with the accompanying risks. * The word Plus is used in the Fund s name as the Fund is a continuation of the AmAsia Pacific REITs and the Fund may invest in listed equities in the real estate sector. What is the Fund about? The Fund is an open-end fund issued by AmInvestment Services Berhad that aims to provide regular income (income distribution, if any, in the form of units or cash) and to a lesser extent capital appreciation over the medium to long term (at least 3 years) by investing in real estate investment trusts ( REITs ) and equities in the real estate sector. Who is the Fund suitable for? The Fund is suitable for investors who: wish to have investment exposure in real estate sector through a diversified portfolio of REITs and real estate equities in Asia Pacific region. Portfolio diversification is obtained by investing in REITs of various sub-sectors (for example, residential, commercial and industrial) and real estate equities; and seeks regular income* and to a lesser extent capital appreciation over the medium to long term**. Note : * Income distribution (if any) could be in the form of units or cash. ** Medium to long term means an investment horizon of at least three (3) years. What am I investing in? Fund Category Fund Type Investment Objective Investment Strategy Real Estate (REITs) Income & Growth The Fund aims to provide regular income* and to a lesser extent capital appreciation over the medium to long term** by investing in real estate investment trusts (REITs) and equities in the real estate sector. Note: * Income distribution (if any) could be in the form of units or cash. **Medium to long term refers to an investment horizon of at least three (3) years. Any material change to the investment objective of the Fund would require unit holder s approval. The Fund seeks to achieve its investment objective by investing a minimum of 70% of its net asset value ( NAV ) in REITs and a maximum of 29% of its NAV in listed equities in the real estate sector, which are listed in the Asia Pacific region, which includes but not limited to Australia, Hong Kong, Indonesia, Japan, Malaysia, New Zealand, Philippines, Singapore, South Korea, Taiwan and Thailand. In addition to country diversification, the Fund will also diversify into different REITs subsectors such as residential, commercial and industrial. The Fund will also hold a minimum of 1% of its NAV in liquid assets. AmInvestment Management Sdn Bhd ( Investment Manager ) employs an active allocation strategy, which means the asset allocation decisions will be made after reviewing the macroeconomic trends and REITs market outlook of the respective countries in the Asia Pacific region. The Investment Manager will be targeting REITs that have been generating regular income returns with the potential for capital growth. In evaluating the suitability of REITs for investment, the Investment Manager will conduct a review of the track record of the REIT, investment portfolio of the REIT, financial status, income distribution policy, cost factors and other factors deemed important by the Investment Manager. For equities, the Investment Manager will employ bottom-up security selection strategy and focus on undervalued companies which demonstrate sound corporate fundamentals and are expected to provide dividends yield above the market average on a medium to long term* basis. The Investment Manager may also select companies with improving stock valuation fundamentals and growth at AmAsia Pacific REITs Plus 2

3 reasonable valuations. Stock valuation fundamentals considered are earnings per share growth rate, return on equity, price earnings ratio and price to book multiples. Equities in real estate sector include real estate investment companies that derive revenue from rental income and/or capital appreciation from real estate as well as real estate development companies. Note: *Medium to long term refers to an investment horizon of at least three (3) years. Asset Allocation REITs 70% - 98% of the Fund s NAV Base Currency of the Fund Performance Benchmark Real estate listed equities Liquid assets Ringgit Malaysia 1% - 29% of the Fund NAV 1% - 29% of the Fund s NAV S&P Pan Asia Property Index (obtainable via Note: The risk profile of the Fund may not be the same as the risk profile of the performance benchmark. The performance benchmark is only a measurement of the Fund s performance and there is no guarantee it will be achieved. Initial Offer Period A period commencing from 1 July 2013 to 21 July Initial Offer Price Income Distribution RM per unit Who am I investing with? Subject to availability of income, distribution will be paid at least once a year. Manager : AmInvestment Services Berhad ( AIS ) Manager s Delegate (as fund accounting and valuation service provider) : Investment Manager Deutsche Bank (Malaysia) Berhad ( DBMB ) : AmInvestment Management Sdn Bhd ( AIM ) Trustee : Deutsche Trustees Malaysia Berhad ( DTMB ) Trustee s Delegate (Custodian) : Deutsche Bank (Malaysia) Berhad ( DBMB ) Taxation Advisor : Deloitte KassimChan Tax Services Sdn Bhd Auditor : Ernst &Young All transactions with related parties are to be executed on terms which are best available to the Fund and which are not less favourable to the Fund than on arm s length transaction between independent parties. The Fund may have dealings with parties related to the Manager. The related parties defined are AmInvestment Management Sdn Bhd, AmIslamic Funds Management Sdn Bhd ( AIFM ), AmInvestment Bank Berhad, AmBank(M) Berhad and AmIslamic Bank Berhad. The directors of AIS may have direct or indirect interest through their directorship in AIM and AIFM. However, AIS does not carry on a similar business as AIM and AIFM. The Fund's valuation and fund accounting function is outsourced to DBMB. DTMB has appointed DBMB as the custodian of the assets of the Fund. Both DTMB and DBMB are members of Deutsche Bank Group. As DTMB is the trustee for the Fund, there may be related party transactions involving or in connection with the Fund in the following events: (1) where the Fund invests in products offered by Deutsche Bank AG and any of its group companies (e.g. money market placements, etc); (2) where the Fund has obtained financing from Deutsche Bank AG and any of its group companies, as permitted under the Securities Commission s guidelines and other applicable laws; (3) where the Manager appoints DBMB and/or DTMB to perform its back office functions (e.g. fund accounting and valuation and/or registrar and transfer agent); and (4) where DTMB has delegated its custodian functions for the Fund to DBMB. DTMB will rely on the Manager to ensure any related-party transactions, dealings, investments and appointments are on terms which are the best that are reasonably available for or to the Fund and are on an arm s length basis as if between independent parties. While DTMB has internal policies intended to prevent or manage conflicts of interests, no assurance is given that their application will necessarily prevent or mitigate conflicts of interests. AmAsia Pacific REITs Plus 3

4 What are the possible outcomes of my investment? Best case Mid case Worst case Income distribution with capital appreciation No significant change in investment i.e. no income distribution and capital appreciation Capital loss with no income distribution What are the key risks associated with the Fund? General Investment Risks Market Risk Inflation Risk Investment Manager Risk Mismatch Risk Loan/Financing Risk Non-Compliance Risk This is the risk of security prices falling in response to market factors such as economic factors, sociopolitical and regulatory factors and broad investor sentiment. This is the risk that investors investment in the Fund may not grow or generate income at a rate that keeps pace with inflation. This would reduce investors purchasing power even though the value of the investment in monetary terms has increased. This is the risk of the Investment Manager making poor investment decisions, which may adversely affect the performance of the Fund. The choice of investing in the Fund is made at the discretion of the investors. Therefore, there is a risk that the Fund chosen may not be suitable for the needs and circumstances of the investors. This risk occurs when an investor obtains loan/financing to finance the investor s purchase of unit trusts, which includes the inability to service the loan repayments and an increase in interest rates on the loan repayments. This is the risk of the Manager, the Investment Manager or the Trustee not complying with internal policies, the deed or guidelines issued by the regulators, which may adversely affect the investments of the Fund. Specific Risks associated with the Fund Risks Associated with investment in REITs and real estate equities Securities Risk Concentration Risk Income Distribution Risk Country Risk Currency Risk Regulatory Legal Risk Taxation Risk and Investing in REITs and real estate equities involves many of the same risks associated with direct ownership of real estate including but not limited to possible declines in real estate s value, increase in interest rates and real estate borrowing costs, changes in property taxes, higher operating expenses, damages from natural or man-made disasters and fall in market rental rates. This is the risk of security prices fluctuating due to circumstances affecting individual companies and in response to market conditions. As the Fund invests only in real estate sector, this Fund would be significantly affected by developments in this sector. It should be noted that the distribution of income is not guaranteed. The foreign investment portion of the Fund may be affected by risks specific to the countries in which it invests. The Fund would be exposed to currency risk, which is the risk associated with investments that are denominated in foreign currencies. The value of the Fund s investments may be affected by uncertainties such as political developments, changes in government policies, changes in taxation, restrictions on investment and currency repatriation and other developments in the law and regulations of the Asia Pacific countries in which investments are made. The proceeds from the sale of securities or the receipt of any dividends and other income in some markets may be subject to tax, levies, duties or other charges imposed by the relevant authorities. Note: The abovementioned risks which investors should consider before investing into a unit trust fund should not be considered to be an exhaustive list. Investors should be aware that investments in the Fund may be exposed to other unforeseeable risks from time to time. Investors are advised to consult their professional adviser. Please refer to the Prospectus under Risk Factors for further details on risks. AmAsia Pacific REITs Plus 4

5 What are the fees and charges involved? There are fees and charges involved and you are advised to consider them before investing in the Fund. What will I be charged by AIS? Entry Charge Distribution Channel Direct Sales IUTA Maximum Entry Charge Up to 5.00% of NAV per unit of the Fund Up to 5.00% of NAV per unit of the Fund Exit Penalty Transfer Fee Bank charges/fees Example: For every RM10,000 of investment in the Fund, you will be charged RM500 of entry charge. i.e. RM10,000 x 5.00% of entry charge. Note: The entry charge is to be charged upon investment in the Fund. There will be no entry charge payable by AMMB Holdings Berhad and its group of companies staff. Investors are advised that they may negotiate for lower entry charge prior to the conclusion of sales. The Manager reserves the right to waive or reduce the entry charge from time to time at its absolute discretion. There will be no exit penalty charged by the Fund. Transfer of the Fund s units is allowed at the Manager's discretion, subject to a fee of RM50 per transfer. Bank charges/fees are incurred only upon withdrawals. Switching fee For switches between any of the funds managed by AmInvestment Services Bhd, a maximum of 6% may be charged on the amount switched, per switch. What are the key ongoing fees charged to the Fund? Annual Management Fee Up to 1.50% p.a. of the NAV of the Fund Example Assuming the amount you have invested in the Fund is RM10,000, the fees that will be calculated on a daily basis and will be paid monthly are as follows: Annual Management Fee per day : (RM10,000 x 1.50%)/365 = RM0.41 Annual Fee Trustee Up to 0.08% p.a. of the NAV of the Fund, subject to a minimum fee of RM10,000 p.a. Example Assuming the amount you have invested in the Fund is RM10,000, the fees that will be calculated on a daily basis and will be paid monthly are as follows: Trustee Fee per day : (RM10,000 x 0.08%)/365 = RM0.02 Note: You are advised to consider the fees and charges involved before investing in the Fund. Unit prices and distributions payable, if any, may go down as well as up. How will I be notified of any increase in fees and charges? A written communication will be sent to unit holders to notify of the higher rate and its effective date; A supplementary or replacement prospectus will be registered and issued; and A notice period of 90 days will be given to the unit holders prior to the effective date of the new fees and charges. How often are valuations available? We publish updated information on our website and the NAV per unit of the Fund is published in major newspapers daily. How can I exit from this investment and what are the risks and costs involved? An investor may withdraw all or part of their units on any business day subject to the minimum withdrawal of 500 units and minimum holding of 1,000 units (or such units as the Manager may from time to time decide) unless it is a complete withdrawal. AmAsia Pacific REITs Plus 5

6 Submission of withdrawal notice Cut-off time Payment of withdrawal proceeds Cooling-off Period and Rights Monday to Friday (except public holiday) By 4.00 p.m. on a business day By the 10th day of processing the transaction form. If you make an investment and later decide that the investment does not suit your needs, you may withdraw your money within the cooling-off period, which is within six (6) business days of making the investment. You should be aware that the cooling-off right is only available on your first investment with the Manager. Subsequent investments will not enjoy this right. The cooling-off right is not available to corporation/institution, staff of the Manager and persons registered to deal in unit trust funds of the Manager. Example Assuming that you wish to redeem 10,000 units from the Fund. The NAV per unit is RM and no exit penalty for this Fund. Hence, the total amount payable to you (total payment amount) is RM10,005. Gross withdrawal proceeds = Units redeemed x NAV per unit = 10,000 units x RM = RM10,005 Net withdrawal proceeds = Gross withdrawal proceeds Exit penalty = RM10,005 (10,000 units x RM x 0.00%) = RM10,005 No withdrawals will be paid in cash under any circumstances. Who should I contact for further information or to lodge a complaint? 1. For internal dispute resolution, you may contact our customer service representative: (a) via phone to : (b) via fax to : (c) via to : aminvest@ambankgroup.com (d) via letter to : AmInvestment Services Berhad Level 9, Bangunan AmBank Group No.55, Jalan Raja Chulan Kuala Lumpur 2. If you are dissatisfied with the outcome of the internal dispute resolution process, please refer your dispute to the Securities Industry Dispute Resolution Center (SIDREC): (a) via phone to : (b) via fax to : (c) via to : info@sidrec.com.my (d) via letter to : Securities Industry Dispute Resolution Center (SIDREC) Unit A-9-1, Level 9, Tower A Menara UOA Bangsar No.5, Jalan Bangsar Utama Kuala Lumpur 3. You can also direct your complaint to Securities Commission Malaysia (SC) even if you have initiated a dispute resolution process with SIDREC. To make a complaint, please contact the SC s Investor Affairs & Complaints Department: (a) via phone to the Aduan Hotline at : (b) via fax to : (c) via to : aduan@seccom.com.my (d) via online complaint from available at (e) via letter to : Investor Affairs & Complaints Department Securities Commission Malaysia No 3 Persiaran Bukit Kiara Bukit Kiara Kuala Lumpur AmAsia Pacific REITs Plus 6