BIMB DANA AL-MUNSIF ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2018 LAPORAN TAHUNAN BAGI TAHUN BERAKHIR 31 OGOS 2018

Transcription

1 BIMB DANA AL-MUNSIF ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2018 LAPORAN TAHUNAN BAGI TAHUN BERAKHIR 31 OGOS 2018 MANAGER: BIMB INVESTMENT MANAGEMENT BERHAD ( X)

2 Table of Content No. Particulars Page 1.0 Manager s Report Fund Name/ Fund Type/ Fund Category/ Fund Investment Objective/ Fund Performance Benchmark/ Fund Distribution Policy Performance for the Financial Year Ended 31 August Economic and Market Review Market Outlook And Strategy Asset Allocation as at 31 August Other Performance Data for the Financial Year Ended 31 August Unit Holdings as at 31 August Policy on Rebate And Soft Commission Trustee s Report Shariah Committee s Report Directors Declaration Independent Auditors Report To The Unitholders of BIMB Dana Al- Munsif Financial Statements (Audited) Corporate Directory 56 2

3 1.0 Manager s Report Dear Unit Holders, We are pleased to present the Manager s report of BIMB Dana Al-Munsif for the financial year ended 31 August Fund Name/ Fund Type/ Fund Category/ Fund Investment Objective/ Fund Performance Benchmark/ Fund Distribution Policy Fund Name Fund Type Fund Category Fund Investment Objective BIMB Dana Al-Munsif Income and growth Balanced The principal investment objective of the Fund is to provide a steady and consistent income and capital appreciation of the units over the medium to long term period. Accordingly, returns shall be in the form of long term capital growth and regular income distribution to the unit holders. Note: Any material change to the investment objective of the Fund would require unit holders approval. Fund Performance Benchmark Fund Distribution Policy Payment Mode for Income Distribution 60:40 ratio of the FBM Emas Shariah Index and 12-month Term Deposit-i Tawarruq (TDT-i) rate of Bank Islam Malaysia Berhad The Fund intends to pay out annual income distribution to Unit Holders if sufficient investment income has been accumulated during the year. Payment into Unit Holders bank account or reinvestment. 3

4 1.2 Performance for the financial year ended 31 August Performance review for BIMB Dana Al-Munsif For the financial year under review, BIMB Dana Al-Munsif (Fund) registered a return of -6.89%, as compared to its benchmark s return of 1.82%. From its commencement on 27 December 2001 to 31 August 2018, the Fund has registered a total return of 94.37% as compared to its benchmark s return of %. The selected performance benchmark for the Fund is based on 60:40 ratio of the FBM Emas Shariah Index and 12-month Term Deposit-i Tawarruq (TDT-i) rate of Bank Islam Malaysia Berhad. The Fund s strategy has remained to focus on well-established companies that could potentially pay sustainable dividends and have good prospects for earnings growth. During its financial year ended 31 August 2018, the Fund managed to declare a distribution of 4.86 sen or representing a yield of 10% to unit holders. However, the Net Asset Value (NAV) of the Fund was negatively impacted by adverse market sentiment such as US-China trade war. As at 31 August 2018, the Fund has 55.42% exposure in equities, 43.86% in Islamic debt securities and 0.72% in short term investments, cash and cash equivalents. In terms of total NAV, the Fund size as at 31 August 2018 was at RM9.15 million, as compared to RM17.96 million as at 31 August The NAV per unit of the Fund has decreased to RM as at 31 August 2018 from RM as at 31 August For the financial year ended 31 August 2018, there were no significant changes to the state of affairs of the Fund and no circumstances that materially affect the interest of Unit Holders that have taken place up to the date of this Manager s Report. 4

5 1.2.2 Total return and average total return for the respective financial year ended 31 August 2018 Period 1-Year (Sep 17 Aug 18) 3-Year (Sep 15 Aug 18) 5-Year (Sep 13 Aug 18) BIMB Dana Al-Munsif Total Return (%) Average Total Return (%) Total Return (%) Benchmark Average Total Return (%) Total return for the last 5 financial years Financial Years BIMB Dana Al-Munsif (%) Total Return Benchmark (%) 31 August August August August August

6 Figure 1: Movement of the Fund versus the Benchmark Note: Data Source : BIMB Investment Management Berhad Data verified by :Novagni Analytics & Advisory Sdn. Bhd. Benchmark :60:40 ratio of the FBM Emas Shariah Index and 12- month Term Deposit-i Tawarruq (TDT-i) rate of Bank Islam Malaysia Berhad. Notes: 1. Total Return of the Fund has been verified by Novagni Analytics & Advisory Sdn. Bhd. ( W) 2. Average Total return is derived by this formula: Total Return Number of Years under Review The calculation of average total returns is based on methods obtained from Lipper Asia Ltd. Past performance is not necessarily indicative of future performance and unit prices and investment returns may go down, as well as up. 6

7 1.3 Economic and Market Review Economy Global US Gross Domestic Product (GDP) growth increased to 4.2% in the second quarter of 2018 as compared to 2.2% in the first quarter of 2018 and 2.3% in the fourth quarter of Strong consumer and business spending as well as a surge in exports ahead of US retaliatory tariffs on China s goods, helped drive the economic growth. The US inflation rate increased to 2.7% in August 2018 as compared to 1.9% in August US unemployment rate continues to improve to 3.9% in August 2018 as compared to 4.4% in August The Euro zone economy grew by 0.4% for the second quarter 2018 unchanged from the first quarter of 2018 and 0.6% in the fourth quarter of During the period, global trade uncertainty has significantly affected the Euro zone s economic performance. The Euro zone inflation rate rose to 2.0% in August 2018 as compared to 1.5% in August Unemployment in the Euro zone has fallen to 8.1% in August 2018 from 9.1% in August The Chinese economy grew by 6.7% for the second quarter of 2018, compared to 6.8% in the first quarter of 2018 and the fourth quarter of The lower economic expansion was the result of Beijing's efforts to contain debt risk, however it has affected the domestic economic growth. The escalating trade war with the US will also affect China s export in the longer term. (Source: Reuters, Bloomberg and RHB Research Institute Sdn. Bhd.) Local The Malaysian economy grew at 4.5% in the second quarter of 2018, compared to 5.4% the first quarter of 2018 and 5.9% in the fourth quarter of The GDP result was affected by the supply disruption for the mining and agriculture sector, although the private sector continued to be the primary driver of growth for the quarter. Bank Negara Malaysia ( BNM ) has decided to maintain the Overnight Policy Rate (OPR) at 3.25% at the Monetary Policy Committee (MPC) meeting on 11 July The degree of monetary accommodativeness is consistent with the policy stance to ensure that the domestic economy continues on a steady growth path amid lower inflation. BNM s international reserves amounted to USD104.4 billion as at 30 August The reserves position is sufficient to finance 7.5 months of retained imports and was 0.9 times the short-term external debt. (Source: Bloomberg, Bank Negara Malaysia and RHB Research Institute Sdn Bhd) 7

8 1.3.2 Market Review Equity FTSE Bursa Malaysia EMAS Shariah Index (FBM Shariah) commenced the year under review at 12, before it peaked to the highest level of 13, points on 9 January Subsequently, the FBM Shariah declined to the lowest level of 11, on 28 June 2018 before it closed at 12, points on 30 August For the financial year under review, the FBM Shariah gained by points or 0.46%. Among the key factors that contributed to the movement of the index are highlighted below: In August 2017, the North Korea and U.S dispute escalated to new heights post of North Korea s missile testing exercise that had prompted US President Trump to issue a retaliation warning. Also during the month, the Federal Reserve planned to retire USD3.6 trillion or 50% of its quantitative easing money in the market within three years time that will reduce liquidity in the market. In February 2018, US Commerce Department recommended steep tariffs on foreign steel and aluminum while declaring these imports as national security threat. Trade sanctions between US and China will potentially worsen global trade issues and hurt the recovering momentum of the world economy. In March 2018, the US Federal Reserve raised the target range for the federal funds rate by a quarter point from 1.5% to 1.75% percent and in line with market expectations, on the basis of US economic outlook has strengthened in recent months. (Source: Bank Negara Malaysia, Bloomberg and RHB Research Institute Sdn. Bhd.) Bond Market and Money Market a) Global US Treasury yields seen traded on a range-bound mode, supported by safe haven USD assets flows. 10-year UST reached a high of 2.96% as per 8th August before bond yields converged lower to hover back 2.86%, supported by renewed demand for safe haven USD assets. Lingering concerns spooked by contagion risks emanating from Turkey and now Argentina appears to have spurred demand for flight to quality. Nevertheless, it is viewed that the risks of contagion remains contained for now. 8

9 Figure 2: US Treasury Yields US TREASURY (UST) YIELDS 31/8/ /8/ % 2.80% 2.70% 2.74% 2.81% 2.86% 2.95% 3.02% YIELD 2.30% 2.47% 2.73% 2.12% 1.80% 1.95% 1.70% 1.30% 1.44% UST-3Y UST-5Y UST-7Y UST-10Y UST-20Y UST-30Y TENURE Source: US Treasury Department, 31 August 2018 b) Local The sovereign bonds dominated the local bond market activities when Malaysian Government Securities (MGS) and Government Investment Issues (GII) recorded secondary market traded volume of RM817.2 billion for the financial year under review. Both the government bond yields and corporate bonds yields increased across the yield curve after the increase of the Fed Fund rate in March and June 2018 along with the market expectation that the US Federal Reserve will increase the Fed Fund Rate in the second half of

10 Tenure/Date 3-Year Bonds Table 1: Sukuk/ Islamic Bond Yields 31 August 2018 (%) 31 August 2017 (%) Change * (bps) GII AAA Corporate Year Bonds GII AAA Corporate Year Bonds GII AAA Corporate Year Bonds GII AAA Corporate Source: Bond Pricing Agency Malaysia (BPAM), 31 August 2018 Figure 3: Overnight Policy Rate (OPR) OVERNIGHTPOLICY RATE (OPR) 3.30% 3.25% 31-Aug-2018, 3.25% 3.20% 3.15% RATE 3.10% 3.05% 3.00% 2.95% 2.90% Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 DATE Source: Bank Negara Malaysia (BNM), 31 August

11 1.4 Market Outlook and Strategy a) Equity For 2018, the Malaysian equities are expected to catch up in terms of performance, driven by domestic demand, corporate earnings recovery, national 2018 budget stimulus to spur consumption and growth as well as the possibility of recovery in global crude oil price. Overall we are positive on the export sector that will be the beneficiary of domestic and regional GDP growth. The electrical and electronics sector s exposure over the fast growing automotive sector will benefit from the resilient spending stemming from a resilient global consumer demand. The export and health care sector will also be benefiting from the improving global economic recovery, particularly the US GDP growth performance. Consequently, it is anticipated that, the stronger external demand is expected to spill over and benefit domestic demand growth going forward. b) Sukuk Market and Money Market Given the renewed concerns over contagion effects emanating from Turkey and Argentina, it is expected that these factors to influence the movement in bond yields across global markets. Investors will continue to weigh out the risk of capital flows, with potential shifts towards flight to quality USD assets if financial stresses in Turkey and Argentina become more intensified. It is viewed that risks of such contagion effects are still contained for now. On the monetary policy front, given the reinforced view of OPR staying put at 3.25% for the remaining of 2018, it is expected that demand for duration to persist although investors may embark on tactical trading opportunities to buy on dips should bond yields edge higher. Vis-à-vis other Asian peer markets, it is viewed that the Malaysian bond space remains one of the more resilient compared to its neighboring peers. It is believed bond dynamics remains reasonably healthy supported by healthy demand from onshore real money investors who are constantly on the lookout for compelling values to emerge. 11

12 1.5 Asset allocation as at 31 August BIMB Dana Al-Munsif Investment in Quoted Securities 2018 (%) 2017 (%) 2016 (%) Construction Consumer Products Financial Industrial Products Infrastructure Plantation Properties Technology Trading and Services Warrant INVESTMENT IN ISLAMIC DEBT SECURITIES: CASH AND SHORT TERM INVESTMENTS:

13 1.6 Other Performance Data for the Financial Year Ended 31 August BIMB Dana Al-Munsif Unit Prices (RM) Highest NAV per unit for the year * * Lowest NAV per unit for the year * * Net Asset Value (NAV) and Units in Circulation (UIC) as at the End of the Year Total NAV (RM) 9,153,760 17,964,710 31,310,926 Units in Circulation (UIC) 22,659,383 36,956,669 72,404,772 NAV per unit (RM) * * (a) [page 17] Return of Fund (%) Capital Growth (%) (b) % Income Return (%) (c) 10.00% Return of Fund (%) Gross Distribution per Unit (Sen) Net Distribution per Unit (Sen) NAV per Unit before Distribution (RM) NAV per Unit after Distribution (RM)* Date of Distribution 30 August August 2016 Management Expense Ratio (MER) (%) (d) Portfolio Turnover Ratio (PTR) (times) (e) * The price and net asset value per unit are ex-distribution. Note: a) Return of the Fund = NAV per unit (end of year) - 1 NAV per unit (beginning of year) b) Capital Growth = Total Return of the Fund Income Return c) Income Return = {Income Distribution per Unit / NAV per Unit on beginning of year} x 100 d) Management Expense Ratio e) Portfolio Turnover Ratio = The management expense ratio is the total management expenses expressed as an annual percentage of the Fund s average Net Asset Value. = It represents the average of the total acquisitions and disposals of the investment in the Fund for the annual period over the average Net Asset Value of the Fund calculated on a daily basis. 13

14 1.7 Unit Holdings as at 31 August 2018 BIMB Dana Al-Munsif Size of Holdings No. of Unit Holders No. of Units Held No. % Units % 5,000 and below , ,001 to 10, , ,001 to 50, ,500, ,001 to 500, ,720, ,001 and above ,965, , ,659, Unit Held by Manager Grand Total for The Fund 1, ,659, Policy on Rebate and Soft Commission Any stock broking rebates received by the Manager will be directed to the account of the Fund. Any soft commissions received from the brokers which are in the form of research and advisory services that assist in the decision-making process relating to the Fund s investment may be retained by the Manager. The Manager did not receive any soft commission from brokers in the form of research and advisory services during the year under review. For and on behalf of The Manager BIMB INVESTMENT MANAGEMENT BERHAD Date: 25 October

15 1.0 Laporan Pengurus Para Pemegang Unit yang Dihormati, Kami dengan sukacitanya membentangkan Laporan Pengurus BIMB Dana Al-Munsif bagi tahun kewangan berakhir pada 31 Ogos Nama Dana/ Jenis Dana/ Kategori Dana/ Objektif Pelaburan Dana/ Penanda Aras Dana/ Polisi Agihan Dana Nama Dana Jenis Dana Kategori Dana Objektif Pelaburan Dana Penanda Aras Dana Polisi Agihan Dana Kaedah Pembayaran Agihan Pendapatan BIMB Dana Al-Munsif Pendapatan dan pertumbuhan Seimbang Objektif utama pelaburan Dana adalah untuk menyediakan pendapatan yang stabil serta konsisten dan peningkatan modal Unit dalam jangkamasa sederhana hingga jangkamasa panjang. Sehubungan dengan itu, pulangan adalah dalam bentuk pertumbuhan modal jangkamasa panjang dan pengagihan pendapatan yang konsisten kepada pemegang unit. Nota: Sebarang perubahan ketara kepada objektif pelaburan Dana memerlukan kelulusan daripada pemegang unit. Nisbah 60:40 daripada Indeks Syariah FBM Emas dan 12 bulan Deposit Bertempoh-i Tawarruq (TDT-i) Bank Islam Malaysia Berhad Dana ini bertujuan untuk membayar agihan pendapatan tahunan kepada pemegang unit sekiranya pendapatan pelaburan sepanjang tahun terkumpul adalah mencukupi. Bayaran ke akaun bank pelabur atau pelaburan semula. 15

16 1.2 Pencapaian bagi tahun berakhir 31 Ogos Kajian Pencapaian BIMB Dana Al-Munsif Bagi tahun kewangan dalam kajian, BIMB Dana Al-Munsif (Dana) telah mencatatkan pulangan sebanyak -6.89%, berbanding dengan pulangan penanda aras sebanyak 1.82% Sejak penubuhannya pada 27 Disember 2001 hingga 31 Ogos 2018, Al-Munsif mencatatkan pulangan berjumlah 94.37% berbanding pulangan penanda aras sebanyak %. Penanda aras terpilih prestasi Dana adalah berdasarkan kepada nisbah 60:40 Indeks Syariah Emas FBM dan kadar 12 bulan Deposit Berjangka Tawarruq-i (TDT-i) Bank Islam Malaysia Berhad. Strategi Dana adalah secara konsisten memberikan tumpuan kepada syarikat-syarikat kukuh yang berpotensi membayar dividen secara mampan atau berkekalan dan mempunyai prospek yang baik untuk mencatat pertumbuhan pendapatan. Dalam tahun kewangannya yang berakhir pada 31 Ogos 2018, Dana berjaya mengisytiharkan pengagihan sebanyak 4.86 sen atau mewakili pulangan sebanyak 10% kepada para Pemegang Unit. Walau bagaimanapun, Nilai Aset Bersih (NAB) Dana telah terjejas dengan faktor seperti perang perdagangan antara AS dengan China. Setakat 31 Ogos 2018, Dana mempunyai pendedahan sebanyak 55.42% dalam ekuiti, 43.86% dalam sekuriti hutang Islam dan 0.72% dalam pelaburan jangka pendek, tunai dan setara tunai. Dari segi jumlah NAB, saiz Dana sehingga pada 31 Ogos 2018 adalah RM9.15 juta, berbanding RM17.96 juta pada 31 Ogos NAB seunit Dana telah berkurangan kepada RM pada 31 Ogos 2018 daripada RM pada 31 Ogos Bagi tahun kewangan berakhir pada 31 Ogos 2018, tidak terdapat sebarang perubahan ketara dalam hal ehwal pengurusan Dana dan tidak juga berlaku sebarang keadaan yang boleh menjejaskan kepentingan para Pemegang Unit sehingga tarikh Laporan Pengurus disediakan. 16

17 1.2.2 Jumlah pulangan dan purata jumlah pulangan bagi setiap tahun berakhir 31 Ogos 2018 Jangkamasa 1-Tahun (Sep 17 Ogos 18) 3-Tahun (Sep 15 Ogos 18) 5-Tahun (Sep 13 Ogos 18) BIMB Dana Al-Munsif Jumlah Pulangan (%) Purata Jumlah Pulangan (%) Jumlah Pulangan (%) Penanda Aras Purata Jumlah Pulangan (%) Jumlah pulangan tahunan bagi 5 tahun kewangan yang lalu Tahun Kewangan BIMB Dana Al-Munsif (%) Jumlah Pulangan Penanda Aras (%) 31 Ogos Ogos Ogos Ogos Ogos

18 Rajah 1: Pergerakan Dana Berbanding Penanda Aras JUMLAH PULANGAN JUMLAH PULANGAN DANA DAN PENANDA ARAS 15.00% BIMB Dana Al-Munsif Penanda Aras 12.42% 10.00% 5.00% 0.00% -5.00% 7.14% 6.58% 5.14% 2.92% 1.82% 0.13% 31-Ogos Ogos Ogos Ogos Ogos % -6.90% -6.89% % % Nota: Sumber Data : BIMB Investment Management Berhad Data disahkan oleh : Novagni Analytics & Advisory Sdn. Bhd. Penanda Aras : Nisbah 60:40 Indeks Syariah FBM Emas dan 12 bulan Deposit Bertempoh-i Tawarruq (TDT-i) Bank Islam Malaysia Berhad Nota: 1. Jumlah Pulangan telah disahkan oleh Novagni Analytics & Advisory Sdn. Bhd. ( W) 2. Jumlah Pulangan Purata adalah berpandukan formula berikut: Jumlah Pulangan Bilangan Tahun Bawah Kajian Prestasi tahun-tahun sebelum ini tidak semestinya menjadi petunjuk prestasi masa depan dan harga unit serta pulangan pelaburan mungkin turun dan naik. 18

19 1.3 Ekonomi dan Kajian Pasaran Ekonomi Global Pertumbuhan Keluaran Dalam Negeri Kasar (KDNK) AS meningkat kepada 4.2% pada suku kedua 2018 berbanding 2.2% pada suku pertama 2018 dan 2.3% pada suku keempat Perbelanjaan pengguna dan perniagaan yang kukuh serta peningkatan dalam eksport menjelang pengenaan tarif berbalas AS ke atas barangan China, membantu memacu pertumbuhan ekonomi. Kadar inflasi AS meningkat kepada 2.7% pada Ogos 2018 berbanding 1.9% pada Ogos Kadar pengangguran AS terus bertambah baik kepada 3.9% pada Ogos 2018 berbanding 4.4% pada Ogos Ekonomi zon Euro meningkat sebanyak 0.4% pada suku kedua 2018, tidak berubah berbanding suku pertama 2018 dan 0.6% pada suku keempat Sepanjang tempoh ini, ketidaktentuan perdagangan dunia telah memberi kesan yang ketara terhadap prestasi ekonomi zon Euro. Kadar inflasi zon Euro meningkat kepada 2.0% pada bulan Ogos 2018 berbanding 1.5% pada bulan Ogos Kadar pengangguran di zon Euro jatuh kepada 8.1% pada bulan Ogos 2018 daripada 9.1% pada bulan Ogos Ekonomi China berkembang sebanyak 6.7% pada suku kedua 2018, berbanding 6.8% pada suku pertama 2018 dan suku keempat Pengembangan ekonomi yang lebih rendah adalah disebabkan oleh usaha pentadbiran Beijing untuk mengekang risiko hutang, tetapi tindakan itu menyebabkan pertumbuhan ekonomi domestik terjejas. Perang perdagangan yang semakin sengit dengan Amerika Syarikat juga akan menjejaskan eksport China dalam tempoh jangka panjang. (Sumber: Reuters, Bloomberg dan RHB Research Institute Sdn. Bhd.) Dalam Negara Ekonomi Malaysia berkembang sebanyak 4.5% pada suku kedua 2018, berbanding 5.4% pada suku pertama 2018 dan 5.9% pada suku keempat Keputusan KDNK itu telah disebabkan oleh gangguan bekalan pengeluaran bagi sektor perlombongan dan pertanian, walaupun sektor swasta terus menjana pertumbuhan utama bagi suku tersebut. Bank Negara Malaysia ("BNM") telah membuat keputusan untuk mengekalkan Kadar Dasar Semalaman (OPR) pada paras 3.25% dalam mesyuarat Jawatankuasa Dasar Monetari (MPC) yang diadakan pada 11 Julai Tahap keupayaan kewangan adalah selaras dengan pendirian dasar memastikan ekonomi domestik terus berada pada landasan pertumbuhan stabil di tengah-tengah inflasi yang lebih rendah. Rizab antarabangsa Bank Negara Malaysia berjumlah AS$104.4 bilion pada 30 Ogos Kedudukan rizab ini mencukupi untuk membiayai 7.5 bulan import tertangguh dan mewakili 0.9 kali hutang jangka pendek luar negara. (Sumber: Bloomberg, Bank Negara Malaysia dan RHB Research Institute Sdn Bhd) 19

20 1.3.2 Kajian Pasaran Ekuiti Indeks Syariah EMAS FTSE Bursa Malaysia (FBM Syariah) memasuki tahun kewangan yang dikaji pada paras 12, sebelum meningkat ke paras tertinggi 13, mata pada 9 Januari FBM Syariah jatuh ke paras terendah 11, pada 28 Jun 2018 sebelum ia ditutup kepada 12, mata pada 30 Ogos Bagi tahun kewangan dalam kajian, FBM Syariah meningkat sebanyak mata atau 0.46%. Antara faktor utama yang menyumbang kepada pergerakan indeks ini adalah seperti berikut: Pada Ogos 2017, pertikaian antara Korea Utara dengan AS mencapai ke kemuncaknya yang baharu apabila Korea Utara melakukan ujian peluru berpandu sehingga menyebabkan Presiden AS, Donald Trump memberikan amaran untuk bertindak balas. Pada bulan itu juga, Rizab Persekutuan AS merancang menghentikan pembelian bon berjumlah AS$3.6 trilion atau 50 peratus daripada program kelonggaran kuantitatif dalam tempoh tiga tahun yang akan mengurangkan mudah tunai pasaran. Pada Februari 2018, Jabatan Perdagangan AS mencadangkan pengenaan tarif yang lebih tinggi terhadap keluli dan aluminium import sambil mengisytiharkan produk keluaran asing itu sebagai ancaman kepada keselamatan negara. Sekatan perdagangan yang berlaku antara AS dan China berpotensi memburukkan lagi isu perdagangan global dan menjejaskan momentum pemulihan ekonomi dunia. Pada Mac 2018, Rizab Persekutuan AS menaikkan julat sasaran kadar dana persekutuan sebanyak satu suku mata daripada 1.5% hingga 1.75% sejajar dengan jangkaan pasaran, berdasarkan prospek ekonomi AS yang semakin kukuh dalam bulan-bulan kebelakangan ini. (Sumber: Bank Negara Malaysia, Bloomberg dan RHB Research Institute Sdn. Bhd.) Pasaran Bon dan Pasaran Wang a) Global Hasil Perbendaharaan AS diniagakan dalam jajaran dengan disokong oleh aliran aset selamat dalam mata wang dolar. Bon UST bertempoh matang 10-tahun mencapai paras tertinggi sebanyak 2.96% pada 8 Ogos sebelum kadar hasil bon menjadi lebih rendah berlegar sekitar 2.86%, disokong oleh permintaan baharu terhadap aset selamat dalam mata wang AS. Kebimbangan yang berlegar-legar menghantui tentang risiko penularan kemelut kewangan Turki dan kini Argentina mendorong permintaan terhadap pelaburan berkualiti. Walau bagaimanapun, risiko penularan buat masa ini masih dapat dikekang. 20

21 Rajah 2: Kadar Pulangan Perbendaharaan AS KADAR PULANGAN PERBENDAHARAAN AS 31/8/ /8/ % 2.80% 2.70% 2.74% 2.81% 2.86% 2.95% 3.02% 2.73% Kadar Pulangan 2.30% 1.80% 1.30% 1.44% 1.70% 1.95% 2.12% 2.47% UST-3THN UST-5THN UST-7THN Tempoh UST-10THN UST-20THN UST-30THN Sumber : Jabatan Perbendaharaan AS, 31 Ogos 2018 b) Dalam Negara Bon kedaulatan menguasai aktiviti pasaran bon tempatan apabila Sekuriti Kerajaan Malaysia (MGS) dan Terbitan Pelaburan Kerajaan (GII) mencatatkan jumlah dagangan dalam pasaran sekunder sebanyak RM817.2 bilion bagi tahun kewangan dalam kajian. Kedua-dua hasil bon kerajaan dan bon korporat meningkat merentasi keluk hasil selepas kenaikan kadar Dana Rizab Persekutuan atau Fed Fund pada bulan Mac dan Jun 2018 bersama-sama dengan jangkaan pasaran bahawa bank pusat itu akan menaikkan kadar Dana Rizab Persekutuan pada separuh kedua

22 Tempoh/ Tarikh Bon 3 Tahun Jadual 1: Kadar Pulangan Sukuk/ Bon Islam 31 Ogos 2018 (%) 31 Ogos 2017 (%) Perubahan * (bps) GII Korporat AAA Bon 5 Tahun GII Korporat AAA Bon 7 Tahun GII Korporat AAA Bon 10 Tahun GII Korporat AAA Sumber: Agensi Penetapan Harga Bon Malaysia (BPAM), 31 Ogos 2018 Rajah 3: Kadar Polisi Semalaman (OPR) Sumber: Bank Negara Malaysia (BNM), 31 Ogos

23 1.4 Tinjauan Pasaran dan Strategi a) Ekuiti Bagi tahun 2018, ekuiti Malaysia dijangka kembali meningkat untuk bersaing dengan bursa-bursa lain dari segi prestasi, dipacu oleh permintaan dalam negara, pemulihan pendapatan korporat, rangsangan belanjawan negara 2018 untuk memacu penggunaan dan pertumbuhan serta kemungkinan pemulihan harga minyak mentah global. Secara keseluruhan, kami mempunyai pandangan positif terhadap sektor eksport yang akan mendapat manfaat daripada pertumbuhan KDNK domestik dan serantau. Pendedahan sektor elektrik dan elektronik terhadap sektor automotif yang pantas berkembang akan mendapat manfaat daripada perbelanjaan berdaya tahan berikutan permintaan pengguna global yang ampuh. Sektor eksport dan penjagaan kesihatan juga akan mendapat faedah daripada peningkatan pemulihan ekonomi global, terutamanya prestasi pertumbuhan KDNK AS. Berikutan itu, adalah dijangkakan permintaan luar yang lebih kukuh akan memberikan kesan limpahan dan memanfaatkan pertumbuhan permintaan dalam negara dalam melangkah ke hadapan. b) Pasaran Sukuk dan Pasaran Wang Memandangkan terdapat semula kebimbangan terhadap penularan kemelut kewangan berasal dari Turki dan Argentina, faktor-faktor ini dijangka akan mempengaruhi pergerakan hasil bon di seluruh pasaran global. Para pelabur akan terus menilai risiko aliran modal, dengan potensi beralih kepada pelaburan asset mata wang dolar yang berkualiti sekiranya kemelut kewangan di Turki dan Argentina bertambah buruk. Bagaimanapun, risiko penularannya buat masa ini dilihat masih dapat dikekang. Bagi dasar monetari, berdasarkan pandangan padu bahawa OPR akan kekal pada paras 3.25% dalam baki tempoh tahun 2018, permintaan dalam tempoh berkenaan dijangka akan bertahan walaupun para pelabur mungkin melaksanakan peluang-peluang perdagangan taktikal untuk membeli pada harga jatuh sekiranya hasil bon meningkat lebih tinggi. Berbanding dengan bursa-bursa saham yang sama di rantau Asia ini, pasaran bon Malaysia dilihat kekal sebagai salah satu yang lebih berdaya tahan. Keadaan bon yang dinamik akan kekal sihat disokong oleh permintaan yang baik daripada para pelabur pasaran wang dalam negara yang sentiasa mencari nilai yang menarik untuk pelaburan mereka. 23

24 1.5 Peruntukan Aset Pada 31 Ogos BIMB Dana Al-Munsif Pelaburan Sekuriti Tersiarharga: 2018 (%) 2017 (%) 2016 (%) Pembinaan Barangan Pengguna Kewangan Barangan Industri Infrastruktur Perladangan Hartanah Teknologi Perdagangan dan Perkhidmatan Waran PELABURAN DALAM SEKURITI HUTANG SECARA ISLAM: TUNAI DAN PELABURAN JANGKA PENDEK:

25 1.6 Lain-Lain Data Prestasi Bagi Tahun Berakhir 31 Ogos BIMB Dana Al-Munsif Harga Unit (RM) NAB tertinggi seunit dalam setahun * * NAB terendah seunit dalam setahun * * Nilai asset Bersih (NAB) dan Unit Dalam Edaran (UDE) pada Akhir Tahun Jumlah NAB (RM) 9,153,760 17,964,710 31,310,926 Unit Dalam Edaran (UDE) 22,659,383 36,956,669 72,404,772 NAB seunit (RM) * * Jumlah Pulangan Dana (%) (a) Pertumbuhan Modal (%) (b) % Pulangan Pendapatan (%) (c) 10.00% Jumlah Pulangan Dana (%) Agihan Kasar seunit (Sen) Agihan Bersih seunit (Sen) Nilai Aset Bersih sebelum Pengagihan (RM) Nilai Aset Bersih selepas Pengagihan (RM) Tarikh Pengagihan 30 Ogos Ogos 2016 Nisbah Perbelanjaan Pengurusan (NPP) (d) (%) Nisbah Pusing Ganti Portfolio (Kali) (e) * Harga NAB selepas pengagihan pendapatan. Nota:- a) Pulangan ke atas Dan b) Penambahan Modal c) Pulangan Pendapatan d) Nisbah Perbelanjaan Pengurusan e) Nisbah Pusing Ganti Portfolio = Harga seunit (pada akhir tahun) - 1 Harga seunit (pada awal tahun) = Pulangan Ke atas Dana Pulangan Pendapatan = {Pengagihan Pendapatan Se Unit / NAB se unit pada awal tahun} x 100 = Ia dikira dengan mengambil jumlah perbelanjaan pengurusan sepertimana yang dinyatakan sebagai peratusan tahunan daripada jumlah purata Nilai Aset Bersih Dana. = Ia dikira dengan mengambil purata jumlah perolehan dan pelupusan pelaburan dalam Dana bagi tempoh tahunan dibahagi dengan purata Nilai Aset Bersih Dana yang dikira pada asas harian 25

26 1.7 Pecahan Pegangan Unit pada 31 Ogos 2018 BIMB Dana Al-Munsif Saiz Dipegang Bilangan Pemegang Unit Bilangan Unit Pegangan Bilangan % Bilangan % Kurang daripada 5, , ,001 hingga 10, , ,001 hingga 50, ,500, ,001 hingga 500, ,720, ,001 dan ke atas ,965, Unit yang dipegang oleh Pengurus Jumlah Keseluruhan Dana 1, ,659, , ,659, Polisi Rebat dan Komisyen Bukan Tunai Sebarang rebat broker saham yang diterima oleh Pengurus akan dimasukkan ke dalam akaun Dana. Mana-mana komisen ringan (bukan tunai) yang diterima daripada broker dalam bentuk perkhidmatan penyelidikan dan khidmat nasihat bertujuan membantu proses membuat keputusan berkaitan dengan pelaburan Dana boleh disimpan oleh Pengurus. Pengurus tidak menerima sebarang komisen bukan tunai daripada broker dalam bentuk perkhidmatan penyelidikan dan khidmat nasihat bagi tahun dalam kajian. Bagi dan bagi pihak Pengurus BIMB INVESTMENT MANAGEMENT BERHAD Tarikh: 25 Oktober 2018 Nota: Laporan ini telah diterjemahkan daripada laporan asal (dalam Bahasa Inggeris). Jika terdapat perbezaan, sila rujuk kepada laporan Bahasa Inggeris 26

27 2.0 Trustee s Report SCBMB TRUSTEE BERHAD ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2018 To the Unit Holders of BIMB Dana Al-Munsif We have acted as Trustee of BIMB Dana Al-Munsif ( the Fund ) for the year ended 31 August To the best of our knowledge, BIMB Investment Management Berhad ( the Manager or the Management Company ) has managed the Fund in accordance with the following: 1. The limitations imposed on the investment powers of the Management Company and the Trustee under the Deeds, the Securities Commission s Guidelines on Unit Trust Funds, the Capital Markets and Services Act 2007 and other applicable laws; 2. The valuation or pricing of the Funds is carried out in accordance with the Deeds and any regulatory requirement; 3. The creation and cancellation of units of the Funds are carried out in accordance with the Deeds and any regulatory requirement; and 4. The distribution of income by the Fund for the period is appropriate and reflects the investment objective of the Fund. For SCBMB Trustee Berhad.. Prasad A/L S Vijayasundram Chief Executive Officer Date: 25 October

28 3.0 Shariah Committee s Report ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2018 To the Unit Holders of BIMB Dana Al-Munsif ب س م ٱهلل ٱلر ح م ن ٱلر ح يم We have acted as the Shariah Committee of BIMB Dana Al-Munsif. Our responsibilities are to ensure that the procedures and processes employed by BIMB Investment Management Berhad and that the provisions of the Deed dated 6 December 2001 are in accordance with Shariah principles. In our opinion, BIMB Investment Management Berhad has managed BIMB Dana Al- Munsif in accordance with Shariah principles and complied with applicable guidelines, rulings or decisions issued by the Securities Commission pertaining to Shariah matters for the year ended 31 August In addition, we also confirm that the investment portfolio of BIMB Dana Al-Munsif comprises securities which have been classified as Shariah-compliant by the Shariah Advisory Council (SAC) of the Securities Commission, as the case may be and that all deposits and money market instruments placed by the Funds are Shariah-compliant. ا علم والله For and on behalf of the Shariah Committee.. USTAZ DR. AHMAD SHAHBARI@SOBRI SALAMON (Chairman).. USTAZ DR. YUSOF RAMLI (Committee Member).. USTAZAH DR. ASMAK AB. RAHMAN (Committee Member) Date: 25 October

29 4.0 Directors Declaration ANNUAL REPORT FOR THE YEAR ENDED 31 AUGUST 2018 To the Unit Holders of BIMB Dana Al-Munsif We, Dato Ghazali Bin Awang and Najmuddin Bin Mohd Lutfi, being two of the directors of the Manager, BIMB Investment Management Berhad, for BIMB Dana Al-Munsif, do hereby state that in our opinion, the accompanying Statement of Financial Position, Statement of Profit or Loss and other Comprehensive Income, Statement of Changes in Net Asset Value and Statement of Cash Flows are drawn up so as to give true and fair view of the Statement of Financial Position of the Fund as at 31 August 2018 and Statement of Profit or Loss and other Comprehensive Income, Statement of Changes in Net Asset Value and Statement of Cash Flows for the year ended on that date. For and on behalf of the Board of Directors, DATO GHAZALI BIN AWANG (Non Executive Independent Director) NAJMUDDIN BIN MOHD LUTFI (Chief Executive Officer) Date: 25 October

30 5.0 Independent Auditor s Report Independent Auditors Report to the Unitholders of BIMB Dana Al-Munsif (Established in Malaysia) Report on the Audit of the Financial Statements We have audited the financial statements of BIMB Dana Al-Munsif ( the Fund ), which comprise the statement of financial position as at 31 August 2018, and the statement of profit or loss and other comprehensive income, statement of changes in net asset value and cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies, as set out on pages 33 to 55. In our opinion, the accompanying financial statements give a true and fair view of the financial position of the Fund as at 31 August 2018, and of its financial performance and its cash flows f or the year then ended in accordance with Malaysian Financial Reporting Standards, International Financial Reporting Standards and Securities Commission s Guidelines on Unit Trust Funds in Malaysia. Basis for Opinion We conducted our audit in accordance with approved standards on auditing in Malaysia and International Standards on Auditing. Our responsibilities under those standards are further described in the Auditors Responsibilities for the Audit of the Financial Statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Independence and Other Ethical Responsibilities We are independent of the Fund in accordance with the By-Laws (on Professional Ethics, Conduct and Practice) of the Malaysian Institute of Accountants ( By-Laws ) and the International Ethics Standards Board for Accountants Code of Ethics for Professional Accountants ( IESBA Code ), and we have fulfilled our other ethical responsibilities in accordance with the By-Laws and the IESBA Code. Information Other than the Financial Statements and Auditors Report Thereon The Manager of the Fund is responsible for the other information. The other information comprises the information included in the annual report, but does not include the financial statements of the Fund and our auditors report thereon. Our opinion on the financial statements of the Fund does not cover the annual report and we do not express any form of assurance conclusion thereon. 30

31 Information Other than the Financial Statements and Auditors Report Thereon (continued) In connection with our audit of the financial statements of the Fund, our responsibility is to read the annual report and, in doing so, consider whether annual report is materially inconsistent with the financial statements of the Fund or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of the annual report, we are required to report that fact. We have nothing to report in this regard. Responsibilities of the Manager and Trustee for the Financial Statements The Manager of the Fund is responsible for the preparation of financial statements of the Fund that give a true and fair view in accordance with Malaysian Financial Reporting Standards, International Financial Reporting Standards and Securities Commission s Guidelines on Unit Trust Funds in Malaysia. The Manager is also responsible for such internal control as the Manager determine is necessary to enable the preparation of financial statements of the Fund that are free from material misstatement, whether due to fraud or error. In preparing the financial statements of the Fund, the Manager is responsible for assessing the ability of the Fund to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Manager either intend to liquidate the Fund or to cease operations, or have no realistic alternative but to do so. The Trustee is responsible for ensuring that the Manager maintains proper accounting and other records as necessary to enable true and fair presentations of these financial statement. Auditors Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements of the Fund as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with approved standards on auditing in Malaysia and International Standards on Auditing will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. As part of an audit conducted in accordance with approved standards on auditing in Malaysia and International Standards on Auditing, we exercise professional judgement and maintain professional scepticism throughout the audit. We also: Identify and assess the risk of material misstatement of the financial statements of the Fund, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. 31

32 Auditors Responsibilities for the Audit of the Financial Statements (continued) Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Fund s internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Manager. Conclude on the appropriateness of the Manager s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the ability of the Fund to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors report to the related disclosures in the financial statements of the Fund or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors report. However, future events or conditions may cause the Fund to cease to continue as a going concern. Evaluate the overall presentation, structure and content of the financial statements of the Fund, including the disclosures, and whether the financial statements of the Fund represents the underlying transactions and events in a manner that gives a true and fair view. We communicate with the Manager regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. Other matter This report is made solely to the unitholders of the Fund, as a body, in accordance with Securities Commission s Guidelines on Unit Trust Funds in Malaysia and for no other purpose. We do not assume responsibility to any other person for the content of this report. KPMG Desa Megat PLT (LLP LCA & AF 0759) Chartered Accountants Adrian Lee Lye Wang Approval Number: 02679/11/2019 J Chartered Accountant Petaling Jaya, Selangor Date: 25 October

33 6.0 Financial Statements (Audited) BIMB Dana Al-Munsif 6.1 Statement of Financial Position as at 31 August 2018 Note RM RM Assets Quoted securities 4 5,072,710 10,554,000 Islamic debt securities 5 4,014,680 4,024,920 Amount due from stockbroker 508,629 - Amount due from Manager 62,210 1,306 Other receivables 30,664 35,234 Cash and cash equivalents 6 119,242 3,414,603 Total assets 9,808,135 18,030,063 Liabilities Amount due to stockbroker 559,056 - Amount due to Manager - 9,813 Other payables 95,319 55,540 Total liabilities 654,375 65,353 Net asset value 9,153,760 17,964,710 Unitholders fund Unitholders capital 7 15,363,519 22,358,416 Accumulated losses (6,209,759) (4,393,706) Net asset value attributable to unitholders 9,153,760 17,964,710 Number of units in circulation 7 22,659,383 36,956,669 Net asset value per unit -Ex distribution (sen) The notes on pages 37 to 55 are an integral part of these financial statements. 33

34 BIMB Dana Al-Munsif 6.2 Statement of Profit or Loss and Other Comprehensive Income for the financial year ended 31 August 2018 Note RM RM Income Gain/(Loss) on sale of quoted securities 1,980,698 (4,921,211) Gain on sale of Islamic debt securities - 4,096 Gross dividends from quoted securities 175, ,490 Income from Islamic debt securities 180, ,327 Income from short term investments 44,841 99,471 Hibah from Al-Wadiah account Net unrealised (loss)/gain from financial instruments at fair value through profit or loss (2,930,800) 6,844,217 (549,555) 2,628,990 Less: Amortisation of premium (4,514) (14,696) Gross income (554,069) 2,614,294 Expenses Manager s fee 8 197, ,740 Trustee s fee 9 18,000 18,546 Audit fee 13,000 13,000 Tax agent s fee 2,000 2,000 Administrative expenses 42,754 50, , ,432 Net (loss)/income before taxation (827,761) 2,182,862 Taxation 10-4,579 Net (loss)/income after taxation (827,761) 2,187,441 Other comprehensive income for the year - - Total comprehensive (loss)/income for the year (827,761) 2,187,441 Total comprehensive (loss)/income for the year consist of: Realised amount 2,103,039 (4,656,776) Unrealised amount (2,930,800) 6,844,217 (827,761) 2,187,441 The notes on pages 37 to 55 are an integral part of these financial statements. 34

35 BIMB Dana Al-Munsif 6.3 Statement of Changes in Net Asset Value for the financial year ended 31 August 2018 Unitholders Accumulated capital losses Total RM RM RM As at 1 September ,892,073 (6,581,147) 31,310,926 Creation of units 344, ,706 Cancellation of units (15,878,363) - (15,878,363) Total attributable to unitholders (15,533,657) - (15,533,657) Total comprehensive income for the year - 2,187,441 2,187,441 As at 31 August 2017/ 1 September ,358,416 (4,393,706) 17,964,710 Creation of units 169, ,568 Reinvestment of distributions 938, ,956 Cancellation of units (8,103,421) - (8,103,421) Distributions - (988,292) (988,292) Total attributable to unitholders (6,994,897) - (6,994,897) Total comprehensive loss for the year - (827,761) (827,761) As at 31 August ,363,519 (6,209,759) 9,153,760 The notes on pages 37 to 55 are an integral part of these financial statements. 35

36 BIMB Dana Al-Munsif 6.4 Statement of Cash Flows for the financial year ended 31 August RM RM Cash flows from operating activities Proceeds from sale of quoted securities 27,243,147 29,753,658 Purchase of quoted securities (22,655,805) (19,494,600) Maturity of Islamic debt securities - 5,542,900 Dividend received 178, ,346 Income from Islamic debt securities and short term investments 226, ,971 Management fee paid (209,139) (366,360) Trustee fee paid (16,951) (19,539) Audit fee paid (13,000) (22,000) Tax agent fee paid (4,500) (4,500) Payment for administrative expenses (39,660) (47,686) Cash generated from operations 4,709,208 16,136,190 Tax refund - 10,570 Net cash generated from operating activities 4,709,208 16,146,760 Cash flows from financing activities Cash receipt for creation of units 108, ,092 Cash payment for cancellation of units (8,113,233) (16,003,670) Payment of distributions - (17,968) Net cash used in financing activities (8,004,569) (15,676,546) Net (decrease)/ increase in cash and cash equivalents (3,295,361) 470,214 Cash and cash equivalents at 1 September 3,414,603 2,944,389 Cash and cash equivalents at 31 August 119,242 3,414,603 Cash and cash equivalents comprise: Cash at bank 119, ,465 Short term placements - 3,090, ,242 3,414,603 The notes on pages 37 to 55 are an integral part of these financial statements. 36

37 BIMB Dana Al-Munsif 6.5 Notes to the Financial Statements 1. Information on the Fund BIMB Dana Al-Munsif (hereinafter referred to as the Fund ) was constituted pursuant to the execution of a Deed dated 6 December 2001 between the Manager - BIMB Investment Management Berhad, the Trustee and the registered unitholders of the Fund. Effective from 5 September 2017 the trustee has been changed from Affin Hwang Trustee Berhad to SCBMB Trustee Berhad. The principal activity of the Fund is to invest in authorised investments as defined in the Deed, which include stocks and shares of companies quoted on Bursa Malaysia, short term placements and Islamic debt securities. The Manager, BIMB Investment Management Berhad, a company incorporated in Malaysia, is a subsidiary of Bank Islam Malaysia Berhad. The financial statements were approved by the Board of Directors of the Manager on 25 October Basis of preparation (a) Statement of compliance The financial statements of the Fund have been prepared in accordance with Malaysian Financial Reporting Standards ( MFRS ), International Financial Reporting Standards ( IFRS ), the Deed and Securities Commission s Guidelines on Unit Trust Funds ( Guidelines ) in Malaysia. The following are accounting standards, amendments and interpretations that have been issued by the Malaysian Accounting Standards Board ( MASB ) but have not been adopted by the Fund: MFRSs, Interpretations and amendments effective for annual periods beginning on or after 1 January 2018 MFRS 9, Financial Instruments (2014) MFRS 15, Revenue from Contracts with Customers Clarifications to MFRS 15, Revenue from Contracts with Customers IC Interpretation 22, Foreign Currency Transactions and Advance Consideration Amendments to MFRS 1, First-time Adoption of Malaysian Financial Reporting Standards (Annual Improvements to MFRS Standards Cycle) Amendments to MFRS 2, Share-based Payment Classification and Measurement of Share-based Payment Transactions Amendments to MFRS 4, Insurance Contracts Applying MFRS 9 Financial Instruments with MFRS 4 Insurance Contracts Amendments to MFRS 128, Investments in Associates and Joint Ventures (Annual Improvements to MFRS Standards Cycle) Amendments to MFRS 140, Investment Property Transfers of Investment Property 37