This master prospectus is for the following Shariah funds managed by Amanah Mutual Berhad (AMB):

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2 PREFACE Dear valued investors and prospective clients, Thank you for your interest in our Funds. Our comprehensive range of funds offers a full spectrum of investment solutions to meet your specific investment needs and objectives. You can find information on our funds in this Master Prospectus for Shariah Funds and the Master Prospectus for Conventional Funds which are available at our business office and appointed Distribution Channels. This master prospectus is for the following Shariah funds managed by Amanah Mutual Berhad (AMB): Fund Category (1) AMB Dana Yakin (AMBDY) Equity fund (2) AMB Dana Ikhlas (AMBDI) Balanced fund (3) AMB Dana Arif (AMBDA) Sukuk fund (4) AMB Dana Nabeel (AMBDN) Money market fund (5) AMB Shariah Value Plus Fund (AMBSVPF) - Equity fund You may refer to the key features of the Funds in section 3 of this master prospectus which includes details such as investment objectives, asset allocation, investment policies and strategies. This will enable you to determine the type of fund that may be suitable for your investment needs. Please note that there are risks involved in all investments. The risk profile of a Fund depends on the assets composition of the Fund s underlying investments as well as market conditions. You can refer to section 4 of this master prospectus for the inherent risks of investing in the Funds. There are fees and charges that you will directly and indirectly incur when you invest in the respective Funds. Details of these fees and charges are disclosed in section 9 of this master prospectus. Investments in our Funds can be made directly at our office at 34th Floor, Menara PNB, 201 A Jalan Tun Razak, Kuala Lumpur or at any of our appointed Distribution Channels nationwide. Details of the Distribution Channels are available in section 20 of this master prospectus. We hope you will find the information in this master prospectus useful. Should you have any further inquiries, you may call AMB Client Services Unit at or us at ambcare@pnb.com.my. You are also welcome to browse our company website at for more information. As always, thank you for allowing us to be of service to you. Yours faithfully, For and on behalf of Amanah Mutual Berhad Aldilla@Zilfalila binti Abdul Halim Chief Executive Officer AMB Client Services i

3 RESPONSIBILITY STATEMENTS This master prospectus has been reviewed and approved by the directors of Amanah 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 the 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 the Securities Commission Malaysia recommends the said Funds or assumes responsibility for the correctness of any statement made or 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 STATEMENTS No units of the said Funds will be issued or sold based on this master prospectus later than one year after the date of this master prospectus. Investors should note that they may seek recourse under the Capital Markets and Services Act 2007 for breaches of securities laws and regulations 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. AMB Dana Yakin, AMB Dana Ikhlas, AMB Dana Arif, AMB Dana Nabeel and AMB Shariah Value Plus Fund have been certified as being Shariah compliant by the Shariah Committee appointed for the said Funds. The Funds will not be offered for sale in the United States of America, its territories or possessions and all areas subject to its jurisdiction, or to any U.S. Person(s). Accordingly, investors may be required to certify that they are not U.S. Person(s) before making an investment in the Funds. In the event that the Manager becomes aware that a U.S. Person is holding Units, a notice will be issued to that person requesting him/her to either withdraw his/her Units or transfer his/her Units to a non-u.s Person within 30 days, failing which the Manager may close the account. ii AMB Client Services

4 CONSENT TO DISCLOSURE The Manager shall be entitled to transfer, release and disclose from time to time any information relating to the investors to the Manager s parent company, subsidiaries, associate company, affiliates, delegates, service providers and/or agents (including outsourcing agents and data processors) for any purpose on the basis that the recipients shall continue to maintain the confidentiality of information disclosed; as required by law, regulation or directive, or in relation to any legal action; or to any court, regulatory agency, government body or authority. This master prospectus does not constitute an offer or solicitation by anyone in any jurisdiction in which an offer or solicitation is not lawful or in which the person making such offer or solicitation is not qualified to do so or to anyone to whom it is unlawful to make such a solicitation. It is the responsibility of any person in possession of this master prospectus and any person wishing to apply for Units to inform themselves and to observe all applicable laws and regulations of any relevant jurisdiction. Prospective investors should inform themselves as to the legal requirements of applying for Units and any applicable exchange control regulations and taxes in the countries of their respective citizenship, residence, domicile or incorporation. AMB Client Services iii

5 TABLE OF CONTENTS SECTION PAGE 1 GLOSSARY OF TERMS/ABBREVIATIONS 1 2 CORPORATE DIRECTORY 6 3 SUMMARY OF KEY FEATURES OF THE FUNDS General Information Fees and Charges Other Information 24 4 RISK FACTORS 25 5 DETAILED INFORMATION ON THE FUNDS AMB Dana Yakin AMB Dana Ikhlas AMB Dana Arif AMB Dana Nabeel AMB Shariah Value Plus Fund Permitted Investments Investment Restrictions for AMBDY, AMBDI, AMBDA AND AMBDN Investment Restrictions for AMBSVPF 47 6 INVESTMENT PROCESS OF THE FUNDS Investment Process Shariah Investments Bases of Valuation of Investments Policy on Gearing and Liquid Assets 56 7 FUNDS PERFORMANCE AMB Dana Yakin AMB Dana Ikhlas AMB Dana Arif AMB Dana Nabeel AMB Shariah Value Plus Fund Basis of Calculation for Funds Performance 66 8 HISTORICAL FINANCIAL HIGHLIGHTS OF THE FUNDS Extracts of the Financial Statements of the Funds Total Annual Expenses incurred by the Funds in the last Financial Year Management Expense Ratio 71 iv AMB Client Services

6 SECTION PAGE 9 FEES, CHARGES AND EXPENSES Charges Fees Funds Expenses Policy on Brokerage Rebates and Soft Commissions TRANSACTION INFORMATION Pricing of Units Transaction Details on Purchase and Repurchase of Units Cooling-Off Transfer, Switching and Coversion of Units Distribution Channels Income Distribution Policy Policy on Unclaimed Monies COMMUNICATIONS WITH UNIT HOLDERS Customer Information Service Regular Reports and Statements on Your Investment Register of Unit Holders Anti-Money Laundering Policy Tax Reporting Obligations Under Foreign Account Tax Compliance Act Material Contracts THE MANAGEMENT AND ADMINISTRATION OF THE FUNDS Corporate Profile of the Manager Past Performance of the Manager Profile of the Board of Directors of the Manager Company Secretary Senior Compliance Officer Chief Risk Officer Profile of the Key Management Staff of the Manager The Investment Committee The Shariah Committee External Investment Managers Permodalan Nasional Berhad UOB Asset Management (Malaysia) Berhad CIMB-Principal Asset Management Berhad Kenanga Islamic Investors Berhad 106 AMB Client Services v

7 SECTION PAGE 12 THE MANAGEMENT AND ADMINISTRATION OF THE FUNDS (CONTD.) Designated Investment Manager of the Funds Declaration of Conflict of Interest Involving EIMs Manager s Delegate Material Litigation and Arbitration THE TRUSTEES OF THE FUNDS Profile of AmanahRaya Trustees Berhad Profile of CIMB Islamic Trustee Berhad Duties and Obligations of the Trustees Statement of Disclaimer SALIENT TERMS OF THE DEEDS Rights and Liabilities of Unit Holders Maximum Fees and Charges Permitted by the Deeds Increase in Fees and Charges from the Level Disclosed in the Master Prospectus and the Maximum Rate Provided by the Deeds 14.4 Permitted Expenses Payable out of the Funds Property Retirement, Removal or Replacement of the Manager Retirement, Removal or Replacement of the Trustee Termination of Fund or Class Unit Holders Meeting Classes of AMBDA and AMBSVPF Permitted by the Deed EXEMPTIONS AND VARIATIONS GRANTED BY THE SC RELATED PARTY TRANSACTIONS/CONFLICT OF INTEREST TAX ADVISORS LETTER CONSENTS DOCUMENTS AVAILABLE FOR INSPECTION LIST OF DISTRIBUTION CHANNELS vi AMB Client Services

8 1. GLOSSARY OF TERMS / ABBREVIATIONS Master Prospectus for Shariah Funds 2016/2017 The following words or abbreviations shall have the following meanings in this master prospectus unless otherwise stated: A-MYR A-SGD ACMF ACMF Retail MoU ACMF Signatory Act or CMSA AMB, or Manager, we, us or our AMB Family of Funds AMBDA AMBDI AMBDN AMBDY AMBSVPF ASEAN ASNB B-JPY B-SGD B-USD Base Currency Class of Units of AMBDA and/or AMBSVPF denominated in MYR under income distribution policy for retail investors. Class of Units of AMBDA and/or AMBSVPF denominated in SGD under income distribution policy for retail investors. ASEAN Capital Markets Forum The memorandum of understanding on streamlined authorisation framework for cross-border public offers of ASEAN Collective Investment Schemes. Signatory refers to the securities regulator of the ASEAN jurisdiction which has signed the ACMF Retail MoU. The Capital Markets and Services Act 2007 (Malaysia) as may be amended from time to time. Amanah Mutual Berhad ( U). All funds under the management of the Manager. AMB Dana Arif. AMB Dana Ikhlas. AMB Dana Nabeel. AMB Dana Yakin. AMB Shariah Value Plus Fund. Association of Southeast Asian Nations. Amanah Saham Nasional Berhad (47457-V), the holding company of the Manager. Class of Units of AMBSVPF denominated in JPY under accumulation of Units policy for retail investors. Class of Units of AMBSVPF denominated in SGD under accumulation of Units policy for retail investors. Class of Units of AMBSVPF denominated in USD under accumulation of Units policy for retail investors. The base currency of AMBDA and/or AMBSVPF i.e. MYR. AMB Client Services

9 Bursa Malaysia Business Day(s) C-MYR C-USD Class(es) Deed(s) Distribution Channel Eligible Market EPF External Investment Manager or EIM FBM EMAS Shariah Index FiMM Forward Pricing Fund(s) GIA The Malaysian stock exchange, operated and maintained by Bursa Malaysia Securities Berhad. A day on which the Bursa Malaysia is open for trading in securities. For AMBSVPF, the Manager may declare certain Business Days to be a non-business Day if the Fund s investment in foreign markets which are closed for business is 50% of the Fund s NAV. This is to ensure Unit Holders are given a fair valuation of the Fund when making investment transactions. Class of Units of AMBDA and/or AMBSVPF denominated in MYR under income distribution policy for institutional investors. Class of Units of AMBDA denominated in USD under income distribution policy for institutional investors. Any class or classes of Units of AMBDA and/or AMBSVPF representing similar interests in the assets of the Fund differentiated by one or more of the following: (i) currency denomination; (ii) income distribution policy; (iii) retail or institutional investor; and (iv) rate of annual management fee. The deed(s) including any supplementary deeds between the Manager, the Trustee and the Unit Holders for the Fund(s). An instituition, corporation or an organisation that is appointed by AMB for the purpose of marketing and distributing the Funds as allowed by the applicable laws. Any market, such as the equity market, futures market, money market and any over-the-counter corporate bonds market, as agreed in writing from time to time by the Manager and Trustee, which falls within the definition of an Eligible Market as defined in the Guidelines. Employees Provident Fund. Permodalan Nasional Berhad (PNB) for AMBDN; UOB Asset Management (Malaysia) Berhad for AMBDY; CIMB-Principal Asset Management Berhad for AMBDI and AMBDA; and Kenanga Islamic Investors Berhad for AMBSVPF. FTSE Bursa Malaysia EMAS Shariah Index. Federation of Investment Managers Malaysia. The price of a Unit that is the NAV per Unit calculated at the next Valuation Point after an application for purchase or repurchase request is received. AMBDY, AMBDI, AMBDA, AMBDN and/or AMBSVPF. General Investment Account. 2 AMB Client Services

10 GII GST Guidelines Investment Committee Investment Management Agreement Islamic deposits IUTA JPY Licensed Financial Institution Liquid Assets Long Term LPD Medium Term MYR, RM or Ringgit Net Asset Value or NAV NAV per Unit Government Investment Issues. Goods and Services Tax. The Guidelines on Unit Trust Funds and any other relevant guidelines on unit trust funds issued by the SC as amended from time to time. The investment committee of the respective Funds. The agreement between AMB and the EIM setting out the terms and conditions upon which the respective EIM has been appointed and has agreed to act as the EIM of the respective Funds. Has the same meaning as given under the Islamic Financial Services Act Any institutional unit trust adviser, which is an institution, a corporation or an organisation that is registered with FiMM or other relevant authorities for distribution of unit trust funds. The lawful currency of Japan i.e. Japanese Yen. Any bank or investment bank licensed under the Financial Services Act 2013 or Islamic Financial Services Act 2013 or if the institution is outside Malaysia, any institution that is licensed/registered/ approved/authorised by the relevant banking regulator to provide financial services. Refers to: (i) deposits with Licensed Financial Institutions; and (ii) any other instruments capable of being converted into cash within 7 days and confined to the permitted investments of the Fund. A period of more than 5 years. The latest practicable date for the purposes of ascertaining the information contained in this master prospectus, i.e. 30 June A period between 3 to 5 years. The lawful currency of Malaysia i.e. Malaysian Ringgit. The NAV of the Fund is determined by deducting the value of all the Fund s liabilities from the value of all the Fund s assets, at the Valuation Point. For the purpose of computing the annual management fee and annual trustee fee, the NAV is inclusive of the management fee and trustee fee for the relevant day. The NAV of a Class is the NAV of the Fund attributable to a Class at the same Valuation Point. For AMBDY, AMBDI and AMBDN, it is the NAV of the Fund divided by the number of Units in Circulation, at the Valuation Point. For AMBDA and AMBSVPF, it is the NAV of a Class divided by the number of Units in Circulation for that Class, at the Valuation Point. AMB Client Services

11 Organised Market PNB Qualifying CIS RAM SAC SC SGD Shariah Committee Shariah Principles Short Term Standards of Qualifying CIS Sukuk Transferable Securities An exchange, government securities market or an over-the-counter market: (a) that is regulated by the relevant competent regulatory authority of that jurisdiction; (b) that is of good repute; (c) that is open to the public or a substantial number of market participants; and (d) on which financial instruments are regularly traded. Permodalan Nasional Berhad (38218-X), the ultimate holding company of the Manager. A unit trust fund: (a) constituted or established in a country of an ACMF Signatory and has been approved for offer to the public in its domicile country; and (b) has been assessed by the ACMF Signatory whose jurisdiction the fund is domiciled in, as suitable for cross-border offering to the public in other ACMF Signatory countries pursuant to the ACMF Retail MoU. RAM Rating Services Berhad. Shariah Advisory Council. Securities Commission Malaysia. The lawful currency of Singapore i.e. Singapore Dollar. The committee appointed by the Manager to the Funds. Principles derived from Islamic law originating from the Qur an (the holy book of Islam), and its practices and explanations rendered by the Prophet Muhammad (PBUH) and ijtihad of ulamak (personal effort by qualified Shariah scholars) to determine the true ruling of the divine law on matters whose revelations are not explicit. A period of less than 3 years. A set of rules and regulations, as agreed and may be amended from time to time amongst the ACMF Signatories, which applies only to a Qualifying CIS under the ACMF Retail MoU. Documents or certificates of equal value documenting undivided ownership or investment in the assets using Shariah principles and concepts endorsed by the SAC of the SC. Refers to: a) equities and other securities equivalent to equities; and b) Sukuk and other forms of securitised debt; but do not include money market instruments or any security the title to which can be transferred only with the consent of a third party. 4 AMB Client Services

12 Trustee Unit Holder(s) Unit(s) Units in Circulation or UIC U.S (United States) Person(s) USD Valuation Point AmanahRaya Trustees Berhad as trustee for AMBDY, AMBDI, AMBDA and AMBDN; and CIMB Islamic Trustee Berhad as trustee for AMBSVPF. For AMBDY, AMBDI and AMBDN, a person or persons registered as holder(s) of Units of the Funds and whose name(s) appear(s) in the register of Unit Holders. For AMBDA and AMBSVPF, a person or persons registered as holder(s) of Units of any Class and whose name(s) appear(s) in the register of Unit Holders. Unit(s) of AMBDY, AMBDI, AMBDN and/or units of any Class of AMBDA and AMBSVPF. Units created and fully paid. A person who is: (1) A citizen or resident of the U.S; (2) A U.S partnership; (3) A U.S. corporation; (4) Any estate other than a non-u.s. estate; (5) Any trust if: A court within the U.S is able to exercise primary supervision over the administration of the trust, and One or more U.S. persons have the authority to control all substantial decisions of the trust; or (6) Any other person that is not a non-u.s. person. The lawful currency of the United States of America i.e. United States Dollar. The time(s) on a Business Day when the Manager calculates the NAV per Unit. Under normal circumstances, only one valuation is conducted on each Business Day. For Funds with foreign investments, the valuation of the foreign investments will be conducted after the close of business of Bursa Malaysia for the relevant day, as certain foreign markets in which the Fund may invest in have yet to close due to the different time zones of these countries. As such, the Valuation Point will be after the close of Bursa Malaysia but not later than 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. For the avoidance of doubt, any references to time in this master prospectus shall refer to Malaysian local time which is Greenwich Mean Time (GMT) + 8:00. Definitions or meanings of words not otherwise expressly defined above shall have the meaning or interpretation as ascribed in the Act, the Guidelines and any other relevant laws governing unit trust funds. AMB Client Services

13 2. CORPORATE DIRECTORY MANAGER Amanah Mutual Berhad ( U) Registered Office 4th Floor, Balai PNB 201-A, Jalan Tun Razak Kuala Lumpur Telephone : (603) Facsimile : (603) Business Office 34th Floor, Menara PNB 201-A, Jalan Tun Razak Kuala Lumpur Telephone : (603) Facsimile : (603) / (603) AMB Client Services Unit : (603) ambcare@pnb.com.my Website : Business Hours : 9.00 a.m. to 6.00 p.m. BOARD OF DIRECTORS Tan Sri Dato Sri Abdul Wahid bin Omar (Chairman) (Non-Executive/Non-Independent Director) Tan Sri Dato Sri Hamad Kama Piah bin Che Othman (Non-Executive/Non-Independent Director) Tan Sri Dato Dr. Wan Mohd. Zahid bin Mohd. Noordin (Non-Executive/Independent Director) Tan Sri Dato Md. Desa bin Pachi (Non-Executive/Independent Director) Encik Mohammad bin Hussin (Non-Executive/Non-Independent Director) INVESTMENT COMMITTEE Tan Sri Dato Sri Abdul Wahid bin Omar Chairman (Non-Independent member) Tan Sri Dato Dr. Wan Mohd. Zahid bin Mohd. Noordin (Independent member) Tan Sri Dato Md. Desa bin Pachi (Independent member) 6 AMB Client Services

14 SHARIAH COMMITTEE Dato Dr. Abdul Halim bin Ismail Chairman Prof. Datuk Dr. Syed Othman bin Syed Hussin Alhabshi Prof. Dato Dr. Abdul Monir bin Yaacob Prof. Dato Dr. Mahmood Zuhdi bin Hj Ab Majid Datuk Dr. Mohd Daud Bakar AUDIT COMMITTEE Tan Sri Dr. Wan Abdul Aziz bin Wan Abdullah Chairman (Independent member) Tan Sri Dato Md. Desa bin Pachi (Independent member) Tan Sri Datuk Amar Bujang bin Mohammed Bujang Mohammed Nor (Independent member) COMPLIANCE COMMITTEE Tan Sri Dr. Wan Abdul Aziz bin Wan Abdullah Chairman (Independent member) Tan Sri Dato Sri Hamad Kama Piah bin Che Othman (Non-Independent member) Tan Sri Dato Md. Desa bin Pachi (Independent member) Encik Paisol bin Ahmad (Non-Independent member) RISK MANAGEMENT COMMITTEE Tan Sri Datuk Amar Bujang bin Mohammed Bujang Mohammed Nor Chairman Tan Sri Asmat bin Kamaluddin Tan Sri Dato Md. Desa bin Pachi Tan Sri Dato Seri Ainum binti Mohamed Saaid COMPANY SECRETARY Puan Adibah Khairiah binti Daud (MIA 13755) 4th Floor, Balai PNB 201-A, Jalan Tun Razak Kuala Lumpur AMB Client Services

15 TRUSTEE For AMBDY, AMBDI, AMBDA and AMBDN AmanahRaya Trustees Berhad ( T) Registered Office: Tingkat 11, Wisma AmanahRaya No. 2, Jalan Ampang Kuala Lumpur Telephone : (603) Business Office: Tingkat 2, Wisma AmanahRaya II No. 21, Jalan Melaka Kuala Lumpur Telephone : (603) Facsimile : (603) Website : AmanahRaya Trustees Berhad s Delegate for AMBDA Malayan Banking Berhad (Custody & Services Dept.) 8 th Floor, Menara Maybank 100 Jalan Tun Perak, Kuala Lumpur Telephone : (603) Facsimile : (603) / For AMBSVPF CIMB Islamic Trustee Berhad ( M) Registered Office: Level 13, Menara CIMB Jalan Stesen Sentral 2 Kuala Lumpur Sentral Kuala Lumpur Telephone : (603) Facsimile : (603) Business Office: Level 21, Menara CIMB Jalan Stesen Sentral 2 Kuala Lumpur Sentral Kuala Lumpur Telephone : (603) Facsimile : (603) Website : 8 AMB Client Services

16 CIMB Islamic Trustee Berhad s Delegate CIMB Islamic Bank Berhad ( H) Registered Office: Level 13, Menara CIMB Jalan Stesen Sentral 2 Kuala Lumpur Sentral Kuala Lumpur Telephone : (603) Facsimile : (603) Website : Business Office: Level 21, Menara CIMB Jalan Stesen Sentral 2 Kuala Lumpur Sentral Kuala Lumpur Telephone : (603) Facsimile : (603) EXTERNAL INVESTMENT MANAGERS For AMBDN Permodalan Nasional Berhad (38218-X) 4th Floor, Balai PNB 201-A, Jalan Tun Razak Kuala Lumpur Telephone : (603) Website : For AMBDY UOB Asset Management (Malaysia) Berhad ( X) Level 22, Vista Tower, The Intermark 348 Jalan Tun Razak, Kuala Lumpur Telephone : (603) Facsimile : (603) Website : For AMBDI and AMBDA CIMB-Principal Asset Management Berhad ( K) 10 th Floor, Bangunan CIMB, Jalan Semantan Bukit Damansara, Kuala Lumpur Telephone : (603) Facsimile : (603) Website : AMB Client Services

17 For AMBSVPF Kenanga Islamic Investors Berhad ( D) Registered Office: 8 th Floor, Kenanga International Jalan Sultan Ismail Kuala Lumpur Telephone : (603) Facsimile : (603) Website : Business Office: Suite 12.03, 12 th Floor Kenanga International Jalan Sultan Ismail Kuala Lumpur Telephone : (603) Facsimile : (603) Investment Adviser to Kenanga Islamic Investors Berhad Kenanga Investors Berhad ( P) Registered Office 8th Floor, Kenanga International Jalan Sultan Ismail Kuala Lumpur Telephone : (603) Facsimile : (603) Website : Business Office Suite 12.02, 12th Floor Kenanga International Jalan Sultan Ismail Kuala Lumpur Telephone : (603) / Facsimile : (603) MANAGER S DELEGATE Permodalan Nasional Berhad (38218-X) 4th Floor, Balai PNB 201-A, Jalan Tun Razak Kuala Lumpur Telephone : (603) Website : 10 AMB Client Services

18 For AMBSVPF CIMB Islamic Trustee Berhad ( M) (Fund accounting and fund valuation functions) Registered Office Level 13, Menara CIMB Jalan Stesen Sentral 2 Kuala Lumpur Sentral Kuala Lumpur Telephone : (603) Facsimile : (603) Website : Business Office Level 21, Menara CIMB Jalan Stesen Sentral 2 Kuala Lumpur Sentral Kuala Lumpur Telephone : (603) Facsimile : (603) AUDITORS Messrs. Ernst & Young (AF: 0039) Chartered Accountants Level 23A Menara Milenium, Jalan Damanlela Pusat Bandar Damansara, Kuala Lumpur Telephone : (603) Facsimile : (603) TAX ADVISORS For AMBDY PricewaterhouseCoopers Taxation Services Sdn. Bhd. ( M) Level 10, 1 Sentral, Jalan Travers, Kuala Lumpur Sentral P.O. Box 10192, Kuala Lumpur Telephone : (603) Facsimile : (603) For AMBDI, AMBDA, AMBDN and AMBSVPF Ernst & Young Tax Consultants Sdn. Bhd. ( K) Level 23A Menara Milenium Jalan Damanlela, Pusat Bandar Damansara, Kuala Lumpur Telephone : (603) Facsimile : (603) AMB Client Services

19 PRINCIPAL BANKER For AMBDY, AMBDI, AMBDA and AMBDN Malayan Banking Berhad (3813-K) Kuala Lumpur Main Office 100 Jalan Tun Perak Kuala Lumpur Telephone : (603) Facsimile : (603) Website : Maybank Islamic Berhad ( M) Level 10, Tower A, Dataran Maybank 1, Jalan Maarof Kuala Lumpur Telephone : (603) Facsimile : (603) Website : For AMBSVPF CIMB Islamic Bank Berhad ( H) CIMB Islamic Bank Berhad Ground Floor, Menara CIMB No. 1, Jalan Stesen Sentral 2 Kuala Lumpur Sentral Kuala Lumpur Telephone : Facsimile : (603) Website : SOLICITORS Messrs. Zainal Abidin & Co. Suite , 18th Floor, Plaza Permata Jalan Kampar Off Jalan Tun Razak Kuala Lumpur Telephone : (603) Facsimile : (603) FEDERATION OF INVESTMENT MANAGERS MALAYSIA (FiMM) , 6th Floor, Wisma Tune 19, Lorong Dungun, Damansara Heights Kuala Lumpur Telephone : (603) Facsimile : (603) Website : 12 AMB Client Services

20 3. SUMMARY OF KEY FEATURES OF THE FUNDS Master Prospectus for Shariah Funds 2016/2017 This section is only a summary of the salient information for the Funds. Investors should read and understand the whole master prospectus before making investment decisions. 3.1 GENERAL INFORMATION AMB DANA YAKIN (AMBDY) Details on page : Fund category / Type Investment objective of the Fund Investment strategy Asset allocation Performance Benchmark Specific risks associated with the Fund Investors profile Distribution policy Equity fund / Growth fund (Shariah) To achieve a steady capital growth over the Medium to Long Term period through investments permissible under the Shariah Principles. The Fund s investment strategy is to enhance the value of the Fund through diversification of Shariah-compliant equities listed on the Bursa Malaysia. However, the Fund may invest up to 25% of the Fund s NAV in the Asia Pacific markets. The Fund may also invest in Shariah-compliant stocks that derive the majority of their revenue from the Asia Pacific markets. Minimum 70% to maximum 98% in Shariah-compliant equities Minimum 2% in Shariah-compliant Liquid Assets 90% of the FBM EMAS Shariah Index 10% of the 1-month GIA rates of commercial banks Note: The risk profile of the Fund is different from the risk profile of the benchmark. Equity specific risk Credit and default risk Interest rate risk Currency risk Country risk The Fund is suitable for investors who: are looking for investments in a diversified portfolio of Shariah-compliant assets. have a Medium Term to Long Term investment horizon. Income distribution (if any) is declared at the end of the financial year of the Fund or for any specified period at the Manager s discretion External Investment Manager UOB Asset Management (Malaysia) Berhad ( X) 103 Trustee AmanahRaya Trustees Berhad ( T) 110 Launch date 24 November 2000 Financial year end 30 April AMB Client Services

21 AMB DANA IKHLAS (AMBDI) Details on page : Fund category / Type Balanced fund/ Income and growth fund (Shariah) Investment objective of the Fund To attain a mix of regular income stream and possible capital growth via investments in listed equities, Islamic debt instruments and other assets that are permissible under the Shariah Principles. Investment strategy The Fund invests in a wide range of Shariah-compliant assets Asset allocation Minimum 40% to maximum 58% in Shariah-compliant equities Minimum 40% to maximum 58% in Sukuk and Shariahcompliant money market instruments Minimum 2% in Shariah-compliant Liquid Assets 31 Performance Benchmark 50% of the FBM EMAS Shariah Index 50% of the 12-month GIA rates of commercial banks Note: The risk profile of the Fund is different from the risk profile of the benchmark. 30 Specific risks associated with the Fund Investors profile Distribution policy External Investment Manager Equity specific risk Credit and default risk Interest rate risk The Fund is suitable for investors who: seek a fully managed and balanced portfolio of Shariahcompliant investments. have a Long Term investment horizon. Income distribution (if any) is declared at the end of the financial year of the Fund or for any specified period at the Manager s discretion. CIMB-Principal Asset Management Berhad ( K) 104 Trustee AmanahRaya Trustees Berhad ( T) 110 Launch date 17 September Financial year end 30 November 14 AMB Client Services

22 AMB DANA ARIF (AMBDA) Details on page: Fund category / Type Investment objective of the Fund Investment strategy Base Currency Sukuk fund / Income fund To provide a steady appreciation of the NAV of the Fund with a regular flow of income through investments in debt securities that are permissible under Shariah Principles. The EIM will invest in a diversified portfolio of Sukuk in order to maximise return within acceptable risk parameters. Diversification is to be done across sectors, issuers and duration. Preferred investments will be in Sukuk that are undervalued relative to their ratings, potential credit rating upgrade candidates, and situational issues with potential for improvement in the credit quality. MYR Asset allocation Minimum 70% to maximum 98% in Sukuk and Shariahcompliant money market instruments Minimum 2% to maximum 30% in Shariah-compliant Liquid Assets 34 Performance Benchmark Specific risks associated with the Fund Investors profile Distribution policy External Investment Manager 12-month GIA rates of commercial banks Note: The risk profile of the Fund is different from the risk profile of the benchmark. Credit and default risk Interest rate risk Class currency risk Country risk The Fund is suitable for investors who: prefer a consistent and steady appreciation in value through investments in Shariah-compliant debt instruments. posses a Long Term investment horizon. Income distribution (if any) is declared at the end of the financial year of the Classes of the Fund or for any specified period at the Manager s discretion ,35 CIMB-Principal Asset Management Berhad ( K) Trustee AmanahRaya Trustees Berhad ( T) 110 Financial year end 31 May AMB Client Services

23 Information on Classes Class AMB DANA ARIF (AMBDA) Currency denomination of Units Category of investor Launch Date A-MYR MYR Retail 27 April 2004 C-MYR MYR Institutional 21 August 2013 A-SGD SGD Retail 4 September 2013 C-USD USD Institutional 17 September AMB Client Services

24 AMB DANA NABEEL (AMBDN) Details on page : Fund category / Type Investment objective of the Fund Investment strategy Asset allocation Performance Benchmark Specific risks associated with the Fund Investors profile Money market / Income (Shariah) The Fund aims to provide investors with high-level liquidity and regular income 1 stream to meet cash flow requirements based on Shariah Principles while maintaining capital preservation*. The Fund will invest at least 90% of the Fund s NAV in Islamic deposits, money market instruments and Sukuk with maturity of not more than 365 days and up to 10% of the Fund s NAV may be invested in Sukuk which have a remaining maturity period of more than 365 days but less than 732 days. The securities invested in would have a minimum local credit rating of at least A3 (long-term rating) or P2 (short-term rating) by RAM or equivalent rating agencies. Minimum 90% in Short Term Islamic deposits, money market instruments and Sukuk with maturity of not more than 365 days. Up to 10% in Short Term Sukuk exceeding 365 days but no longer than 732 days. Maybank 1-month GIA-i tier-1 rate Note: Please note that the portfolio of the Fund at any given time may consist of a mix of Islamic deposits, money market instruments, and Sukuk of varying tenure and credit rating, as allowed by this master prospectus. The risk profile of the Fund s portfolio may be higher than the risk profile of the benchmark. Therefore, the Fund s return can be potentially higher than the benchmark to commensurate with the risk profile of the underlying assets of the Fund. Interest rate risk Counterparty risk Credit and default risk The Fund is suitable for investors who: seek low risk investments that are in accordance with Shariah Principles. seek a fund with regular income 1 with potential yield to return better than Maybank 1-month GIA-i Tier-1 Rate ,38 *Capital preservation does not signify that the capital/ principal invested is guaranteed/ protected by any party. 1 Distribution of income, if any, will be automatically reinvested into the Unit Holder s account. Refer to section 10.6 for further details. AMB Client Services

25 Distribution policy External Investment Manager AMB DANA NABEEL (AMBDN) prefer Short Term investment horizon and wish to reduce exposure in higher risk investments. prefer investments with ease of entry and exit 2. Monthly reinvestment, depending on the level of income (if any) the Fund generates. Details on page: Permodalan Nasional Berhad (38218-X) 102 Trustee AmanahRaya Trustees Berhad ( T) 110 Launch date 6 July Financial year end 30 June Investment in the Fund is not the same as placement in a deposit with financial institutions. There are risks involved and investors should rely on their own evaluation to assess the merits and risks when investing in the Fund. 2 Ease of entry and exit refers to the following features of the Fund: - No sales and repurchase charge imposed (Refer to section 3.2(a) on page 21 and section 9.1(i) on page 72). - Later cut-off time for acceptance of complete applications to purchase Units as compared to other Funds (Refer to table on page 86). - Shorter time period for payment of a repurchase request made by Unit Holder as compared to other Funds (Refer to table on page 86). 18 AMB Client Services

26 AMB SHARIAH VALUE PLUS FUND (AMBSVPF) Details on page: Name of fund Base currency Fund category / Type Investment objective of the Fund Investment strategy Asset allocation Performance Benchmark Specific risks associated with the Fund AMB Shariah Value Plus Fund MYR Equity / Growth (Shariah) The Fund aims to provide investors with capital growth through investments in Shariah-compliant securities that are trading at a discount to their intrinsic values. The Fund seeks to maximise total returns by providing investors mainly from capital appreciation through diversified investments primarily in Shariah-compliant stocks listed on the Bursa Malaysia that are trading at a discount to their intrinsic values. However, the Fund may also invest up to 50% of the Fund s NAV in the Asia Pacific ex-japan markets. The countries that the Fund may invest in will include, but not limited to Malaysia, Singapore, Indonesia, Thailand, Philippines, India, Hong Kong and China (via the Hong Kong Stock Exchange), Korea, Taiwan, Australia and Vietnam. The Fund may also invest in Shariah-compliant stocks that derive the majority of their revenue from the Asia Pacific ex-japan markets. The investment approach for the Fund emphasises on a bottom up approach that focuses on specific stock selection rather than markets and sectors. Shariah-compliant stocks are selected for their value (value driven approach). Minimum 70% to maximum 98% in Shariah-compliant equities and equity related securities. Minimum 2% in Islamic deposits and/or Shariah-compliant money market instruments. An absolute of 8% annualised growth in NAV, compounded over the Long Term period. Note: This is not a guaranteed return, but a benchmark against which the performance of the Fund may be measured. Equity risk Credit and default risk Interest rate risk Currency risk Country risk Settlement risk ,43 AMB Client Services

27 AMB SHARIAH VALUE PLUS FUND (AMBSVPF) Details on page: Investors profile Distribution policy The Fund is suitable for investors who: seek investments that are in accordance with Shariah Principles. have a Long Term investment horizon. are willing to accept risks for returns presented by the equity markets. It is not the main objective of the Fund to distribute income as the main focus of the Fund is to secure capital growth in line with the performance of the Fund s benchmark. For Classes with distribution of income policy, income distribution (if any) is declared at the end of the financial year of the Fund or for any other specified period at the Manager s discretion. For Classes with accumulation Units policy, no income distributions are made. However, the value of the Unit Holder s investment may increase as reflected in the increase in the NAV per Unit (subject to the performance of the Fund) and vice versa. 89 External Investment Manager Kenanga Islamic Investors Berhad ( D) 106 Trustee CIMB Islamic Trustee Berhad ( M) 104 Financial year end 31 May Information on Classes Class Currency denomination of Units Category of investor Distribution policy Launch Date A-MYR* MYR Retail Distribution of income 16 June 2015 C-MYR* MYR Institutional Distribution of income 16 June 2015 B-JPY JPY Retail Accumulation Units 16 June 2015 A-SGD SGD Retail Distribution of income 1 February 2016 B-SGD SGD Retail Accumulation Units 16 June 2015 B-USD USD Retail Accumulation Units 16 June 2015 * These Classes are only offered in Malaysia. 20 AMB Client Services

28 3.2 FEES AND CHARGES (a) Charges This table describes the charges that you may directly incur when you do any of the following transactions: Fund Class Manager/Distribution Channel (% of NAV per Unit) Maximum sales charge 1 AMBSVPF A-MYR 5.5 Repurchase charge Sales charge under EPF Members Investment Scheme Transfer charge MYR 25 C-MYR 5.5 MYR 25 Switching charge 2 Refer to page 22 Refer to page 22 Conversion charge MYR 25 MYR 25 B-JPY 5.5 JPY Not Nil applicable A-SGD 5.5 SGD 25 B-SGD 5.5 SGD 25 B-USD 5.5 USD 25 AMBDA A-MYR 2.0 Not exceeding Refer to MYR 25 3% of NAV page 22 per Unit, as Refer to C-MYR 2.0 MYR 25 regulated by page 22 Nil EPF. A-SGD 2.0 SGD 25 Kindly refer to the Manager C-USD 2.0 USD 25 for the latest list of Funds Refer to AMBDY 5.5 Nil approved by MYR25 page 22 Not EPF for Refer to AMBDI 5.0 Nil applicable investment. MYR25 page 22 Refer to AMBDN Nil Nil Nil MYR25 page 22 Note: MYR 25 MYR 25 Not applicable Not applicable Not applicable 1 The sales charge is negotiable, subject to the Manager s discretion. 2 This excludes switching out to a money market fund within the AMB Family of Funds where the switching charge is nil. The above charges are subject to GST which is payable by the Unit Holders upon each transaction. AMB Client Services

29 Switching charge This table describes the switching charge that you may directly incur when you switch Units of Class A-MYR, Class C-MYR, AMBDY, AMBDI, and AMBDN. Equity To recipient fund Switching from Equity MYR25 per transaction Sukuk/Bond/ Fixed Income MYR25 per transaction Balanced MYR25 per transaction Money market Nil Sukuk /Fixed Income Up to 5% of amount switched MYR25 per transaction Up to 1% of amount switched Nil Balanced Up to 1% of amount switched MYR25 per transaction MYR25 per transaction Nil Money market Up to 5% of amount switched Up to 1% of amount switched Up to 5% of amount switched Not applicable Note: The above table is applicable for all switching transactions, except where the sales charge of the fund to be switched into is equal or lower than the sales charge of the Fund switched from, in which case the switching fee shall be MYR25 only. The above charges are subject to GST which is payable by the Unit Holders upon each transaction. Distribution units of conventional funds cannot be switched into Shariah funds as it is not permitted under the Shariah perspective. However the principal amount of conventional funds is allowed to be switched into Shariah funds. Other administrative charges In addition to the charges expressly allowed to be charged directly by the Manager and/or the Trustee, you may be required to pay a charge as allowed by the Deeds, where applicable, in respect of: a) any document supplied to you at your request; b) bank charges, courier charges and any other relevant charges incurred for repurchase of Units; or c) any act of administrative nature carried out at your request. The above charges are subject to GST which is payable by the Unit Holders upon each transaction. 22 AMB Client Services

30 (b) Fees This table describes the fees and expenses that you may indirectly incur. Fund Class Annual management fee (% of NAV) 1 AMBSVPF A-MYR 1.50 C-MYR 1.30 B-JPY 1.50 A-SGD 1.50 B-SGD 1.50 B-USD 1.50 Annual trustee fee (% of NAV) 1 Fund expenses Up to 0.06 AMBDA A-MYR 15:85 3 C-MYR 10: AMBDY AMBDI A-SGD 25:75 3 C-USD 20:80 3 Not applicable (inclusive of custodian fee) Sukuk portion : 1.00 Equity portion : AMBDN Up to 0.50 Up to The auditor s fees, tax agents fee and other relevant professional fees; The costs of printing & distribution of annual and interim reports, tax vouchers and warrants; Cost of modification of the Deeds other than those for the benefits of the Manager and/or Trustee; and Other notices to Unit Holders as well as expenses that are directly related and necessary for the administration of the Fund as set out in the Deed, including any applicable GST. These costs have been factored into the quoted NAV per Unit as they are related and necessary to the business of the Funds. Note: 1 The fees are calculated and accrued on a daily basis before deducting the annual management fee and annual trustee fee for the day, and shall be rounded to the nearest 2 decimal points. 2 Subject to a minimum fee of MYR 18,000 per annum per Fund calculated on a daily basis. 3 Profit sharing scheme not exceeding the above mentioned ratios of the net investment income of the Class between the Manager and the Unit Holder respectively. The above fees are subject to GST which is payable by the respective Funds. Please refer to section 9 commencing from page 72 for further details on the respective fees and charges of the Funds. There are fees and charges involved and investors are advised to consider them before investing in the Fund. AMB Client Services

31 3.3 OTHER INFORMATION (i) (ii) Foreign currency account (FCA) If you are investing in a Class denominated in currencies other than MYR, you are required to have a FCA denominated in the currency of the respective Classes with any financial institution. Any payments due to you for transaction in the respective Classes will be made to your FCA. For example, if you are investing in Class B-SGD, you should have a SGD foreign currency bank account. Details of Deeds For more specific information on the Funds, you may refer to the following Deeds which are available at the business office of the Manager: Fund Deed AMBDY Deed dated 25 October 2000 First supplemental deed dated 12 September 2003 Second supplemental deed dated 26 May 2005 Third supplemental deed dated 13 August 2008 Fourth supplemental deed dated 17 October 2014 AMBDI Deed dated 4 September 2002 First supplemental deed dated 13 August 2008 Second supplemental deed dated 17 October 2014 AMBDA Deed dated 29 March 2004 First supplemental deed dated 26 May 2005 Second supplemental deed dated 13 August 2008 Third supplemental deed dated 14 March 2013 Fourth supplemental deed dated 27 January 2016 AMBDN Deed dated 26 April 2011 First supplemental deed dated 27 January 2016 AMBSVPF Deed in relation to AMBSVPF dated 17 April 2015 There are fees and charges involved and investors are advised to consider the fees and charges before investing in the Funds. Prospective Unit Holders should read and understand the contents of this master prospectus and if necessary, consult your professional advisor. Unit prices and distributions payable, if any, may go down as well as up. For information concerning certain risk factors which should be considered by prospective investors see Risk Factors commencing on page 25. Past performance of the Funds is not an indication of its future performance. 24 AMB Client Services

32 4. RISK FACTORS Master Prospectus for Shariah Funds 2016/2017 All investments carry some form of risk. In addition to the other information stated in the master prospectus, you should consider the elements of risks before investing in the Funds as the value of your investment could fluctuate due to these risks. General risk 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. Manager s risk This risk refers to the day-to-day management of the fund by the manager which will impact the performance of the fund. For example, investment decisions undertaken by the manager, as a result of an incorrect view of the market or any non-compliance with internal policies, investment mandate, the deed, relevant law or guidelines due to factors such as human error or weaknesses in operational process and systems, may adversely affect the performance of the fund. The fund management function of the Funds is carried out by the EIMs who have expertise in managing funds. The Investment Committee of the Funds monitors the EIMs investment processes to ensure consistent fund performance and that the Funds are managed according to internal policies and relevant regulations. To mitigate other areas of manager s risk, the Manager has internal controls to ensure that compliance monitoring processes are undertaken. Inflation risk This is the risk that investors investment in the unit trust 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. Reclassification of Shariah status risk This risk refers to the risk that the currently held Shariah-compliant equities in the fund may be reclassified as Shariah non-compliant in the periodic review of the equities by the SAC of the SC, the fund s Shariah committee or the Shariah boards of the relevant Islamic indices. If this occurs, the Manager will take the necessary steps to dispose such equities. There may be opportunity loss to the Fund due to the Fund not being allowed to retain the excess capital gains derived from the disposal of the Shariah non-compliant equities. Disposal of the Shariah non-compliant securities in the Fund s portfolio may result in losses if the disposal of the Shariah non-compliant securities is at a price lower than the initial purchase price which will negatively affect the NAV of the Fund. The Shariah Committee is responsible for ensuring that the Fund is managed and administered in accordance to Shariah Principles. Section 6.2 describes the Fund s Shariah methodology on the treatment of gains and losses as a result of the reclassification of Shariah non-compliant equities. Liquidity risk Liquidity risk refers to the ease of disposing an asset depending on the asset s volume traded in the market. If the fund holds assets that are difficult to dispose of, the value of the fund will be negatively affected when it has to sell such assets at unfavourable prices. Generally, investments in securities of smaller companies or in smaller markets may expose the fund to greater liquidity risk due to smaller AMB Client Services