AmInvestment Services Berhad ( A) AmCumulative Growth. (the Fund ) RESPONSIBILITY STATEMENTS

Transcription

1 AmInvestment Services Berhad ( A) AmCumulative Growth (the Fund ) 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 authorised the issuance of AmCumulative Growth and a copy of this Product Highlights Sheet has been lodged with the Securities Commission Malaysia. The authorisation of the AmCumulative Growth and lodgement of this Product Highlights Sheet, should not be taken to indicate that the Securities Commission Malaysia recommends the AmCumulative Growth 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 the AmInvestment Services Berhad responsible for the AmCumulative Growth and takes no responsibility for the contents of 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. AmCumulative Growth 1

2 This Product Highlights Sheet only highlights the key features and risks of the Fund. Investors are advised to request, read and understand the Prospectus of the Fund ( Prospectus ) before deciding to invest. PRODUCT HIGHLIGHTS SHEET This Product Highlights 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. What is the Fund about? AmCumulative Growth is an equity unit trust fund issued by AmInvestment Services Berhad that aims to provide long-term capital growth mainly through investments in securities with superior growth potential. Who is the Fund suitable for? The Fund is suitable for investors who: seek for a diversified portfolio of equities with strong emphasis on growth; want capital growth rather than regular income* distribution; and have a long-term investment goals of at least 5 years. Note: *Income distribution (if any) is incidental. What am I investing in? Fund Category Fund Type Investment Objective Equity Growth AmCumulative Growth aims to provide long-term capital growth mainly through investments in securities with superior growth potential. As such, income* will be incidental to the overall capital growth objective and a substantial portion of the income* from investments will be reinvested, rather than distributed. Investment Strategy Asset Allocation Base Currency of the Fund Performance Benchmark Note : *Income distribution (if any) is incidental. Any material change to the investment objective of the Fund would require Unitholders approval. In seeking to achieve its investment objective, the Fund can under normal circumstances, invest up to 95% of its net asset value ( NAV ) in equities. Value-add from equities investments is derived from active stock selection with focus on undervalued stock relative to its earnings growth potential and/or its intrinsic value. The equity range is normally from 80% to 95% of the Fund s NAV. In times of actual or anticipated stock market weakness the equity portfolio may be reduced accordingly to 40% of the Fund s NAV. Ringgit Malaysia Launch Date 24 July 1996 Initial Offer Price Income Distribution Who am I investing with? MSCI Far East Ex-Japan Composite Index (source: RM per unit Income distribution (if any) is incidental and could be in the form of units or cash. Manager : AmInvestment Services Berhad ( AIS ) Investment Manager : AmInvestment Management Sdn Bhd ( AIM ) Trustee : HSBC (Malaysia) Trustee Berhad ( HSBC Trustee ) Trustee s Delegate (Custodian for local assets) : The Hongkong and Shanghai Banking Corporation Limited Trustee s Delegate (Custodian for foreign assets) : HSBC Institutional Trust Services (Asia) Limited 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 AIM, AmIslamic Funds Management Sdn Bhd ( AIFM ), AmInvestment Bank Berhad, AmBank (M) Berhad and AmIslamic Bank Berhad. AmCumulative Growth 2

3 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. HSBC Trustee has appointed The Hongkong and Shanghai Banking Corporation Limited as custodian of the quoted and unquoted local investments of the Fund. The assets of the Fund are held through their nominee company, HSBC Nominees (Tempatan) Sdn Bhd. If and when the Fund should invest overseas, HSBC Institutional Trust Services (Asia) Limited will be appointed as the custodian of the foreign assets of the Fund. Both The Hongkong And Shanghai Banking Corporation Ltd and HSBC Institutional Trust Services (Asia) Limited are wholly owned subsidiaries of HSBC Holdings Plc, the holding company of the HSBC Group. As Trustee for the Fund, there may be related party transaction involving or in connection with the Fund in the following events:- 1) Where the Fund invests in instruments offered by the related party of the Trustee (e.g placement of monies, structured products, etc); 2) Where the Fund is being distributed by the related party of the Trustee as Institutional Unit Trust Adviser ( IUTA ); 3) Where the assets of the Fund are being custodised by the related party of the Trustee both as sub-custodian and/or global custodian of the Fund (Trustee s delegate); and 4) Where the Fund obtains financing as permitted under the Securities Commission Malaysia s Guidelines on Unit Trust, from the related party of the Trustee. The Trustee has in place policies and procedures to deal with conflict of interest, if any. The Trustee will not make improper use of its position as the owner of the Fund s assets to gain, directly or indirectly, any advantage or cause detriment to the interests of Unit Holders. Any related party transaction is to be made on terms which are best available to the Fund and which are not less favourable to the Fund than an arms-length transaction between independent parties. Subject to any local regulations, the Trustee and/or its related group of companies may deal with each other, the Fund or any Unit Holder or enter into any contract or transaction with each other, the Fund or any Unit Holder or retain for its own benefit any profits or benefits derived from any such contract or transaction or act in the same or similar capacity in relation to any other scheme. What are the possible outcomes of my investment? Best Case Mid Case Worst Case Capital appreciation and income distribution. No significant change in investment i.e. no capital appreciation and no income distribution. Capital loss and 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 Financing Risk Non-Compliance Risk This is the risk of prices of assets falling in response to general market conditions such as economic factors, socio-political 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 is the risk of the Investment Manager making poor investment decisions which may adversely affect the performance of the Fund. This is the risk that the Fund chosen by the investor may not be suitable for the needs and circumstances of the investor. This is the risk of investing with borrowed money, which includes the investor s inability to service the loan repayments and the adverse impact of an increase in interest rates on the loan repayments, where the investor may be subject to higher loan repayment installments. This is the risk of the Manager, the Investment Manager or the Trustee not complying with internal policies, the Deed of the Fund, securities law or guidelines issued by the regulators, which may adversely affect the performance of the Fund. Specific Risks associated with the Fund Securities Risk Liquidity Risk Country Risk Currency Risk This is the risk of prices of securities falling due to circumstances affecting individual companies. This is the risk of a security with poor liquidity selling at a discount to its fair value, which in turn would adversely affect the NAV of the Fund. As the Fund invests in foreign market(s), the foreign investment portion of the Fund may be affected by risks specific to the country in which it invests. This is the risk associated with investments that are denominated in currencies that are different from the base currency of the Fund. When the currency of foreign investments depreciates against the base currency of the Fund, the Fund will suffer currency losses. This is in addition to any capital gains/losses from the investment. 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. AmCumulative Growth 3

4 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 EPF Sales Maximum entry charge Up to 6.00% of NAV per unit of the Fund Not Applicable. This Fund is currently not approved under EPF Investment Scheme. Exit Penalty Transfer Fee Bank Charges/Fees Switching Fee 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. Direct Sales & IUTA: For every RM10,000 of investment in the Fund, you will be charged RM600 of entry charge. i.e. RM10,000 x 6.00% of entry charge. There will be no exit penalty charged by the Fund. Transfer of the Fund s units is allowed at the Manager's discretion. Bank charges/fees may be incurred upon withdrawals. For switches between any of the funds managed by AIS, you will be charged on the differences of entry charge between funds switched, which is up to a maximum of 6% of NAV per unit. What are the key ongoing fees charged to the Fund? Annual Management Fee Annual Trustee Fee Up to 1.50% p.a. of the NAV of the Fund. Up to 0.05% p.a. of the NAV of the Fund. 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: Management Fee per day Trustee Fee per day : (RM10,000 x 1.50%)/365 = RM0.41 : (RM10,000 x 0.05%)/365 = RM0.01 Note: You are advised to consider the fees and charges involved before investing in the Fund. Unit prices and distributions, 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 on a daily basis. How can I invest in or exit from this investment? How can I invest in this investment? An investor may submit an application to the Manager on any Business Day with complete documentation subject to the minimum initial investment amount and minimum additional investment amount (or such amount as the Manager may from time to time decide). Minimum Initial Investment Minimum Additional Investment Submission of application Cut-off time RM1,000 RM500 and RM200 (for autodebit) Monday to Friday (except public holiday) By 4.00 p.m. on a Business Day AmCumulative Growth 4

5 How can I exit from this investment? An investor may withdraw all or part of their units on any Business Day subject to the minimum withdrawal and to maintain a minimum holding for partial withdrawal (or such units as the Manager may from time to time decide). Minimum Withdrawal Minimum Holding Submission of repurchase notice Cut-off time Payment of withdrawal proceeds Cooling-off Period and Rights 500 units 1,000 units Monday to Friday (except public holiday) By 4.00 p.m. on a Business Day Within 10 days of receiving the repurchase notice. 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. Assuming that you wish to redeem 10,000 units from the Fund. The NAV per unit is RM and there is no exit penalty charged by the Fund. Hence, the withdrawal proceeds that you will receive is RM10,000. Gross withdrawal proceeds = Units redeemed x NAV per unit = 10,000 units x RM = RM10, Net withdrawal proceeds = Gross withdrawal proceeds Exit penalty = RM10,000 (10,000 units x RM x 0.00%) = RM10, 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 form available at (e) via letter to : Investor Affairs & Complaints Department Securities Commission Malaysia No 3 Persiaran Bukit Kiara Bukit Kiara Kuala Lumpur AmCumulative Growth 5