BIMB i FLEXI FUND ANNUAL REPORT FOR THE FINANCIAL YEAR ENDED 31 MARCH 2017 LAPORAN TAHUNAN BAGI TAHUN KEWANGAN BERAKHIR 31 MAC 2017

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1 BIMB i FLEXI FUND ANNUAL REPORT FOR THE FINANCIAL YEAR ENDED 31 MARCH 2017 LAPORAN TAHUNAN BAGI TAHUN KEWANGAN BERAKHIR 31 MAC 2017 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 March Economic and Market Review Market Outlook and Strategy Asset Allocation as at 31 March Other Performance Data for the Financial Year Ended 31 March Unit Holdings as at 31 March Policy on Rebate and Soft Commission Trustee s Report Shariah Committee s Report Directors Declaration Report Independent Auditors Report Financial Statements (Audited) Corporate Directory 63 2

3 1.0 Manager s Report Dear Unit Holders, We are pleased to present the Manager s report of BIMB i Flexi Fund for the financial year ended 31 March 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 i Flexi Fund Growth Shariah-compliant mixed asset The Fund seeks to achieve long term 1 capital growth by investing in a diversified portfolio of Shariah-compliant securities. Note: Any material change to the investment objective of the Fund would require Unit Holders approval. The selected performance benchmark for this Fund is based on 50:50 ratio of the FBM Emas Shariah Index and 12-month Term Deposit-i Tawarruq (TDT-i) rate of Bank Islam Malaysia Berhad. Fund Performance Benchmark Fund Distribution Policy Note: The benchmark reflects the investment and asset allocation strategies of the Fund, where the Fund is allowed to invest its asset in Shariah-compliant equities as well as Sukuk and Islamic money market instruments, depending on the outlook of the market. The risk profile of the Fund is not the same as the risk profile of the performance benchmark. The distribution of income is incidental. 1 Long term in this context refers to a period of more than five (5) years. 3

4 1.2 Performance for the financial year ended 31 March Performance review For the financial year under review, BIMB i Flexi Fund ( the Fund ) registered a return of 7.58% as compared to its benchmark s return of 3.00%. The Fund had met its objective of achieving capital growth following the Fund s investment strategy to overweigh export oriented sector. The selected performance benchmark for the Fund is 50:50 ratio of the FBM Emas Shariah Index and 12-month Bank Islam Term Deposit-i Tawarruq (TDT-i) rates. Our strategy has consistently been to remain focus on well-established companies that have better prospects for earnings growth and capital appreciation. Moving forward, more attention will be given to sector allocation and rotational play to capitalize on Net Asset Value (NAV) appreciation. As at 31 March 2017, the Fund has 88.97% exposure to equities and 11.03% to cash and money market instruments. The total NAV of the Fund is RM6.1 million whereas the NAV per unit of the Fund is RM For the financial year under review, 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 financial year ended 31 March 2017 BIMB i Flexi Fund Total Return (%) Average Total Return (%) Total Return (%) Benchmark Average Total Return (%) 1-Year Period Year Period Year Period Total return for the financial years Financial Year BIMB i Flexi Fund (%) Total Return Benchmark (%) 31 March March March

6 Figure 1: Movement of the Fund versus the Benchmark Note: Data Source Data verified by Benchmark : BIMB Investment Management Berhad : Novagni Analytics & Advisory Sdn. Bhd. (formerly known as Perkasa Normandy Advisers Sdn. Bhd.) : 50: 50 FBM Emas Shariah Index & 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. (formerly known as Perkasa Normandy Advisers Sdn. Bhd.) ( W) 2. Average Total Return is derived by this formula: Total Return Number of Years under Review 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 a) Global US Gross Domestic Product (GDP) grew at 2.1% in the last quarter of 2016, bringing full year GDP growth to 1.6% versus 2.6% in US headline inflation rose to 2.5% in March 2017 from 1.1% in April 2016 contributed by the improving US economic conditions on better job market. US unemployment rate in March 2017 fell to 4.5% from 5.0% in April 2016 as the US economy continues the pace of robust hiring. Euro zone s GDP grew by 0.5% in the fourth quarter of 2016, bringing full year GDP growth to 1.7% and was slightly lower than 2% GDP growth achieved in Euro zone s inflation rate stood at 1.5% in March 2017 from -0.2% in April 2016 as a result of sharp rebound in oil and energy price during the first quarter of 2017 to above USD50/bbl. Euro zone s unemployment rate fell to 9.5% in March 2017 from 10.2% in April 2016, driven by higher employment in Spain and Portugal. Germany retains the lowest jobless rate of 3.9% within the region. China s GDP growth was 6.9% in the first quarter of 2017, supported by government infrastructure spending and a rebound in housing market activities. The GDP Growth for China seems to have bottomed out from its low of 6.7% achieved in Q1 of (Source: Bloomberg, Eurostats, RHB Investment Bank and Maybank Investment Bank) b) Local Malaysia s real GDP growth was 4.5% in the fourth quarter of 2016, underpinned by the expansion of manufacturing and services sector. This has brought full year GDP growth of 4.2% for Malaysia s annual inflation rate rose to 5.1% in March 2017 from 2.1% in April 2016 as hikes in RON95 fuel prices in January and February 2017 had pushed transport and related cost higher for the local economy. 7

8 Bank Negara Malaysia decided to maintain the Overnight Policy Rate (OPR) at 3.00% at the Monetary Policy Committee (MPC) meeting on 2 March The monetary policy will remain accommodative and supportive to the domestic economy as heightened risks in the global economic and financial environment persist. Bank Negara Malaysia's (BNM) international reserves stood at USD94.9 billion as at 31 March 2017 from USD97.2 billion as at 15 April The reserves position as at 31 March 2017 were sufficient to finance 8.3 months of retained imports and is 1.1 times the short-term external debt. (Source: Bloomberg, Department of Statistics Malaysia and Bank Negara Malaysia) Market Review Equity FTSE Bursa Malaysia Emas Shariah Index ( FBM Shariah ) commenced the period under review at 12, points on 1 April 2016 and rose to the highest level of 12, points on 29 March 2017 and hit a low of 11, points on 16 May It closed the year under review at 12, points on 31 March For the year under review, the FBM Shariah was up points or 2.64%. Among the key factors that contributed to the movement of the index are highlighted below: In May 2016, MSCI announced the reduction of Malaysia s index weightage within its index, prompting a sell down in the domestic market and further weakening the Ringgit to USD/MYR In June 2016, the global equities and currency market were hit by a shocking Brexit vote result that sent shockwaves across European Union as United Kingdom citizens opted to leave the European Union due to frustration over the union s multiple policies that are perceived to be not in favor of the UK economy. Bank Negara Malaysia had cut the Overnight Policy Rate (OPR) unexpectedly by 25bps to 3.00% in July 2016 as a preventive measure to cushion the negative impact from the Brexit referendum outcome on the back of a slowing domestic economy. Statement from Janet Yellen after meeting at Jackson Hole in late August 2016 points to a strengthening case for possible rate hike ahead, while global oil prices and Ringgit remain weak as oversupply concerns continues to weigh on commodity prices across the globe. The U.S. Federal Reserve declined to raise interest rates in September 2016 ahead of the US presidential election in November 2016 and reckons that the US economy still have room to improve before it run the risk of overheating. 8

9 Malaysia s Prime Minister unveiled the country s budget for 2017 on 21 October 2016 with the aim of capping the federal budget deficit at 3.0% versus 3.1% for 2016 with a GDP growth target of between 4% to 5% for An average crude oil price of USD45 per barrel is being used for Federal government s 2017 budget. In November 2016, Donald Trump s victory in the U.S. presidential election caught the general markets off-guard as investors flock to safe heaven assets like gold, bond and the Japanese yen, perceiving Trump s administration would bring uncertainty to the markets. The Asian markets reacted with a sharp selldown, however subsequently, global investors rebalanced their portfolio to take advantage of the perceived stronger US growth and higher US bond yields. In December 2016, the Federal Reserve raise the widely anticipated interest rate hike by 0.25% to 0.75% in light of the healthy expansion pace of the US economy while counteracting the President elect s goal to further stimulate a recovering economy. During the month, OPEC members agreed to cut oil production to reduce the global oil supply glut which caused oil prices to rise to a 16-month high above $55 on 5 December In January 2017, Mr. Donald Trump s inauguration as the new president for United States of America had brought more policy uncertainty to the world from the new president with regards to US-Mexico cross border trade and potential new restriction on immigration and travelling into US. Nonetheless, the Dow Jones Index and global financial market remains steady during the month. The global equities market welcomed another surprise 25bps rate hike from US Federal Reserve on the back of stronger than expected US economic data and also more hawkish interest rate stance by the new administration, bringing the Fed fund rates to 1.00% post rate hike on 15 th March (Source: Bloomberg and Bank Negara Malaysia) 9

10 Bond Market and Money Market a) Global US Treasury yields increased across the yield curve during the year under review with 10-year bond yields increased by 50 basis points to 2.28% and the 20-year bond yields also increased by 45 basis points to 2.65%. Figure 2: US Treasury Yields b) Local Source: US Treasury Department, 31 March 2017 The Malaysian Government Securities (MGS) and Government Investment Issue (GII) dominated the local bond market activities with traded volume of RM1, billion for the year under review. The government bond yields increased due to the Donald Trump s victory in the U.S. presidential election caught the general markets off-guard as investors flock to safe heaven assets. 10

11 Tenure/Date 3-Year Bonds Table 1: Sukuk/ Islamic Bond Yields 31 March March 2016 (%) (%) 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 March 2017 Figure 3: Overnight Policy Rate (OPR) Source: Bank Negara Malaysia (BNM), 31 March

12 1.4 Market Outlook and Strategy a) Equity The equity market outlook for 2017 is expected to be another volatile year. External factors may likely influence the domestic market sentiment, which includes OPEC and Non-OPEC commitment to stabilize the oil glut, President Trump s stance on trade policy and economic growth, ramifications of US interest rate hikes and currency movement, political sentiment in the Euro zone, China s economic development, monetary policies employed by central banks and possible global recession fears that may cause volatility in the domestic market. With potential interest on selective sector to support the domestic market, the local bourse should be able to withstand external shocks given the ample domestic liquidity and buying interest of foreign and local institutional investors. Global economy outlook continues to remain sluggish as growth across economies has been uneven. While the US economic recovery path is on track, the Euro zone, Japan and China s growth remain weak. In Asia, growth is being continuously sustained by the expansion in domestic demand and exports. For Malaysia, the resilience of domestic consumption remains the support for growth. With higher spending on infrastructure projects underway, higher public sector wages, improve outlook for crude palm oil (CPO) price and a rebound in government consumption and expenditure will help to improve corporate earnings and consumer spending for the year. Going forward, domestic demand will still remain the key driver of growth as the Malaysian economy is still projected to grow between 4.2% to 4.7%. The strategy is to invest in companies with good earnings visibility, strong balance sheet, reasonable valuation and good growth prospects. We have a long term approach to investment with the objective to outperform the benchmark. b) Sukuk Market & Money Market The Sukuk market is expected to see positive flow, but gains were pretty mild amid the tight levels. Despite the tighter levels, it is expected to see two-way flows going forward, while profit-taking pressure should be well-absorbed, underpinned by prevailing investor demand. Looking forward, changes in OPR will depend on economic data on growth and inflation. The money market deposit rates are expected to remain stable at current levels over the medium-term. 12

13 Our Sukuk strategy is to invest in good quality Sukuk with minimum AA3/AA-rating by Rating Agency Malaysia (RAM)/Malaysian Rating Corporation Berhad (MARC) and attractive profit rate. Our money market strategy is to invest in money market investments to maximize return while providing liquidity and regular income for investors. 1.5 Asset Allocation as at 31 March BIMB i Flexi Fund 2017 (%) 2016 (%) Investment in Quoted Securities Construction Consumer Products Industrial Products Infrastructure Plantation Technology Trading and Services CASH AND SHORT TERM INVESTMENTS:

14 1.6 Other Performance Data for the Financial Year Ended 31 March BIMB i Flexi Fund Unit Prices (MYR) 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 (MYR) 6,165,178 7,648,688 Units in Circulation (UIC) 27,328,980 36,478,527 NAV per unit (MYR) Return of Fund (%) Capital Growth (%) (b) Income Return (%) (c) - - Return of Fund (%) (a) Management Expense Ratio (MER) (%) (d) Portfolio Turnover Ratio (PTR) (times) (e) 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 Expenses Ratio e) Portfolio Turnover Ratio = It 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. 14

15 1.7 Unit Holdings as at 31 March 2017 Size of Holdings BIMB i Flexi Fund No. of Unit Holders No. of Units Held No. % Units % 5,000 and below , ,001 to 10, , ,001 to 50, , ,001 to 500, ,054, ,001 and above * ,473, Units Held by Holders ,328, Units Held by Manager Grand Total for the Fund ,328, *included under this category are nominee accounts. 1.8 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 broker 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 received soft commission from brokers in the form of research and advisory services during the financial year. For and on behalf of The Manager BIMB INVESTMENT MANAGEMENT BERHAD Date: 30 May

16 1.0 Laporan Pengurus Para Pemegang Unit, Kami dengan sukacitanya membentangkan laporan Pengurus BIMB i Flexi Fund bagi tahun berakhir pada 31 Mac Nama Dana/ Jenis Dana/ Kategori Dana/ Objektif Pelaburan Dana/ Penanda Aras Dana/ Polisi Agihan Dana Nama Dana Jenis Dana Kategori Dana Objektif Pelaburan Dana BIMB i Flexi Fund Dana Pertumbuhan Aset Campuran berlandaskan Shariah Tujuan utama Dana ini adalah untuk mencapai pertumbuhan modal dalam jangkamasa panjang 1 dengan melabur dalam pelbagai portfolio sekuriti patuh Shariah. Nota: Sebarang perubahan ketara kepada objektif pelaburan Dana memerlukan kelulusan daripada Pemegang Unit. Penanda aras prestasi terpilih bagi Dana ini adalah berdasarkan kepada nisbah 50:50 Indeks FBM Emas Shariah dan pulangan 12 bulan Deposit Bertempoh-i Tawarruq (TDT-i) Bank Islam Malaysia Berhad. Penanda Aras Dana Nota: Penanda aras ini mencerminkan strategi pelaburan dan peruntukan aset Dana, di mana Dana dibenarkan untuk melaburkan asetnya ke dalam ekuiti patuh Shariah, Sukuk dan instrumen pasaran wang Islam, bergantung kepada prospek pasaran. Profil risiko Dana tidak sama dengan profil risiko penanda aras prestasi. 1 Jangkamasa panjang dalam konteks ini merujuk kepada tempoh lebih dari lima (5) tahun. 16

17 1.2 Pencapaian bagi tahun kewangan berakhir pada 31 Mac Kajian Pencapaian Bagi tahun kewangan dalam kajian, BIMB i Flexi Fund ("Dana") mencatatkan pulangan sebanyak 7.58% berbanding penanda aras yang memperoleh 3.00%. Dana telah memenuhi objektifnya untuk mencapai pertumbuhan modal berikutan strategi pelaburan Dana yang memberikan tumpuan kepada sektor pengeksportan. Penanda aras prestasi terpilih Dana adalah nisbah 50:50 Indeks Syariah Emas FBM dan kadar 12-bulan Deposit Bertempoh-i Tawarruq (TDT-i). Strategi kami adalah secara konsistennya mengekalkan tumpuan terhadap syarikat-syarikat terkemuka yang mempunyai prospek lebih baik dalam menawarkan pertumbuhan pendapatan dan peningkatan modal. Dalam melangkah ke hadapan, perhatian lebih akan diberikan kepada peruntukan mengikut sektor dan pelaburan secara kitaran atau berubahubah (rotational play) untuk mengambil kesempatan daripada peningkatan Nilai Aset Bersih (NAB). Sehingga 31 Mac 2017, Dana mempunyai pendedahan sebanyak 88.97% dalam pasaran ekuiti, dan 11.03% pegangan tunai dan pasaran wang instrumen. Jumlah Nilai Aset Bersih (NAB) Dana adalah sebanyak RM6.1 juta manakala NAB seunit Dana adalah RM Bagi tahun kewangan dalam kajian, 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. 17

18 1.2.2 Jumlah Pulangan dan Purata Jumlah Pulangan bagi tahun kewangan berakhir 31 Mac BIMB i Flexi Fund Penanda Aras Jumlah Pulangan (%) Purata Jumlah Pulangan (%) Jumlah Pulangan (%) Purata Jumlah Pulangan (%) Jangkamasa 1 Tahun Jangkamasa 2 Tahun Jangkamasa 3 Tahun Jumlah Pulangan Tahunan Tahun Kewangan BIMB i Flexi Fund (%) Jumlah Pulangan BIMB i Flexi Fund (%) 31 Mac Mac Mac

19 Rajah 1: Pulangan Dana Berbanding Pulangan Penanda Aras Nota: Sumber Data : BIMB Investment Management Berhad Data disahkan oleh : Novagni Analytics & Advisor Sdn. Bhd. (dahulunya dikenali sebagai Perkasa Normandy Managers Sdn.Bhd) Penanda Aras :50:50 Indeks FBM Emas Shariah dan Deposit Bertempoh-i Tawarruq (TDT-i) 12 Bulan Bank Islam Malaysia Berhad. Nota: 1. Jumlah Pulangan telah disahkan oleh Novagni Analytics & Advisor Sdn. Bhd. ( W) 2. Jumlah Pulangan Purata adalah berpandukan formula berikut: Jumlah Pulangan Bilangan Tahun Bawah Kajian Prestasi tahun sebelum ini tidak semestinya menjadi petunjuk prestasi masa depan dan harga unit serta pulangan pelaburan mungkin turun dan naik. 19

20 1.3 Ekonomi dan Kajian Pasaran Ekonomi a) Global Keluaran Dalam Negara Kasar (KDNK) Amerika Syarikat (AS) berkembang 2.1% pada suku terakhir tahun 2016, menjadikan pertumbuhan KDNK bagi tempoh setahun penuh adalah sebanyak 1.6% berbanding 2.6% pada tahun Kadar inflasi utama AS meningkat kepada 2.5% pada Mac 2017 berbanding 1.1% pada April 2016 apabila keadaan ekonomi AS semakin meningkat dengan pasaran pekerjaan yang lebih baik. Kadar pengangguran AS pada Mac 2017 jatuh kepada 4.5% daripada 5.0% pada April 2016 apabila ekonomi AS terus menyumbang kepada peningkatan penawaran kerja yang banyak. KDNK zon Euro meningkat sebanyak 0.5% pada suku keempat tahun 2016, menjadikan pertumbuhan KDNK bagi tempoh setahun penuh sebanyak 1.7% dan ia merosot sedikit berbanding pertumbuhan KDNK sebanyak 2% yang dicapai pada tahun Kadar inflasi zon Euro kekal 1.5% pada Mac 2017 berbanding -0.2% pada April 2016 apabila harga minyak mentah dan tenaga melonjak semula sepanjang suku pertama 2017 untuk berada di atas paras AS$50/setong. Kadar pengangguran di zon Euro jatuh kepada 9.5% pada Mac 2017 berbanding 10.2% pada April 2016 disebabkan oleh peningkatan tenaga kerja di Sepanyol dan Portugal. Jerman masih mencatatkan kadar pengangguran yang terendah sebanyak 3.9% di rantau berkenaan. Pertumbuhan KDNK China adalah 6.9% pada suku pertama 2017, disokong oleh perbelanjaan infrastruktur kerajaan dan pemulihan dalam aktiviti pasaran perumahan. Pertumbuhan KDNK China itu dilihat kembali meningkat daripada paras terendahnya iaitu 6.7% yang dicatatkan pada suku pertama (Sumber: Bloomberg, Eurostats, RHB Investment Bank dan Maybank Investment Bank) 20

21 b) Dalam Negara Malaysia mencatatkan pertumbuhan KDNK benar sebanyak 4.5% pada suku keempat 2016, disokong oleh sektor perkembangan pembuatan dan perkhidmatan. Ini menjadikan pertumbuhan KDNK bagi tempoh setahun penuh adalah sebanyak 4.2% untuk Kadar inflasi tahunan Malaysia meningkat kepada 5.1% pada Mac 2017, daripada 2.1% pada April 2016 berikutan kenaikan harga runcit minyak RON95 pada Januari dan Februari 2017 menjadikan kos pengangkutan dan kos berkaitan dalam ekonomi tempatan lebih tinggi. Bank Negara Malaysia memutuskan untuk mengekalkan Kadar Dasar Semalaman (OPR) pada 3.00% dalam mesyuarat Jawatankuasa Dasar Monetari (MPC) yang diadakan pada 2 Mac Dasar monetari akan kekal akomodatif dan menyokong ekonomi domestik berikutan memuncaknya risiko secara berterusan dalam ekonomi global dan persekitaran kewangan. Rizab Bank Negara Malaysia (BNM) berjumlah AS$94.9 bilion setakat 31 Mac 2017 berbanding AS$97.2 bilion pada 15 April Paras rizab pada 31 Mac 2017 adalah memadai untuk membiayai 8.3 bulan import tertangguh dan mewakili 1.1 kali hutang jangka pendek luar negara. (Sumber: Bloomberg, Jabatan Perangkaan dan Bank Negara Malaysia) Kajian Pasaran Ekuiti Indeks Syariah Emas FTSE Bursa Malaysia ("FBM Shariah") berada dalam tempoh kajian pada 1 April 2016 dengan catatan 12, mata sebelum meningkat ke paras tertinggi 12, mata pada 29 Mac 2017 dan berada paras rendah 11, mata pada 16 Mei Indeks mengakhiri tahun kajian pada paras 12, mata pada 31 Mac Dalam tempoh kajian, FBM Syariah meningkat mata atau 2.64%. Antara faktor utama yang menyumbang kepada pergerakan indeks dinyatakan di bawah: Pada Mei 2016, MSCI mengumumkan pengurangan wajaran indeks Malaysia dalam indeksnya, menyebabkan berlakunya penjualan secara besar-besaran dalam pasaran domestik dan melemahkan lagi nilai Ringgit berbanding dolar Amerika kepada AS$/MYR

22 Pada Jun 2016, pasaran ekuiti dan mata wang global dikejutkan oleh keputusan pungutan suara Brexit yang turut menggemparkan seluruh Kesatuan Eropah (EU) apabila rakyat United Kingdom (UK) memilih untuk meninggalkan Kesatuan itu kerana kecewa dengan pelbagai dasarnya yang dianggap tidak memihak kepada ekonomi negara itu. Bank Negara Malaysia secara di luar jangkaan telah mengurangkan Kadar Dasar Semalaman (OPR) sebanyak 25 mata asas kepada 3.00% pada Julai 2016 sebagai langkah pencegahan untuk mengurangkan impak negatif daripada keputusan pungutan suara atau referendum Brexit dengan keadaan ekonomi dalam negara yang perlahan. Kenyataan Janet Yellen selepas mesyuarat di Jackson Hole pada akhir Ogos 2016 menunjukkan terdapat asas kukuh tentang kemungkinan kenaikan kadar faedah yang seterusnya manakala harga minyak mentah dunia dan nilai mata wang Ringgit kekal rendah kerana kebimbangan berterusan terhadap lebihan bekalan terus menekan harga komoditi itu di seluruh dunia. Rizab Persekutuan AS enggan menaikkan kadar faedah pada September 2016 lebih awal daripada Pilihan Raya Presiden Amerika Syarikat yang diadakan pada November 2016 dan menganggap ekonomi AS masih mempunyai ruang untuk meningkat sebelum berdepan dengan risiko mengalami pertumbuhan yang terlalu tinggi. Perdana Menteri Malaysia membentangkan Bajet 2017 pada 21 Oktober 2016 bertujuan mengekang defisit bajet persekutuan pada paras 3.0% berbanding 3.1% pada tahun 2016 dengan menyasarkan pertumbuhan KDNK antara 4% hingga 5% bagi tahun Bajet 2017 itu disediakan berdasarkan harga purata minyak mentah pada paras AS$45 setong. Pada November 2016, kemenangan Donald Trump di luar jangkaan dalam Pilihan Raya Presiden AS mengejutkan pasaran amnya, apabila para pelabur berpusu-pusu mencari aset pelaburan yang selamat seperti emas, bon dan yen Jepun, kerana mempercayai bahawa pentadbiran Trump akan menyebabkan berlakunya ketidaktentuan dalam pasaran. Pasaran Asia pula mengalami kegiatan jualan secara besar-besaran sebelum para pelabur sejagat kemudiannya mengimbangi semula portfolio mereka untuk mengambil faedah daripada pertumbuhan lebih kukuh dalam ekonomi AS dan kadar hasil bon AS yang lebih tinggi. Pada Disember 2016, Rizab Persekutuan menaikkan kadar faedah sebanyak 0.25% kepada 0.75% seperti dijangkakan oleh banyak pihak berikutan berlakunya pengembangan yang menggalakkan dalam ekonomi AS sambil mengimbangi matlamat Presiden yang baru dipilih untuk terus merangsang ekonomi negara itu. Pada bulan ini, negara-negara anggota OPEC bersetuju mengurangkan pengeluaran minyak mentah dalam usaha menangani lebihan komoditi berkenaan yang mengakibatkan harga minyak mentah global meningkat ke paras tertinggi dalam tempoh 16-bulan iaitu di atas paras AS$55 setong pada 5 Disember

23 Pada Januari 2017, Donald Trump secara rasminya menjadi presiden baharu Amerika Syarikat namun beliau lebih banyak memperkenalkan dasar-dasar tidak jelas kepada dunia berkaitan perdagangan melangkaui sempadan AS-Mexico dan potensi halangan baharu imigresen dan perjalanan warga asing ke AS. Bagaimanapun, Indeks Dow Jones dan pasaran kewangan global kekal stabil pada bulan itu. Pasaran ekuiti global mengalu-alukan kenaikan mengejut kadar faedah AS sebanyak 25 mata asas oleh Rizab Persekutuan AS berikutan data ekonomi negara itu yang lebih kukuh berbanding jangkaan dan juga pendirian terhadap kadar faedah yang lebih agresif oleh pentadbiran baharu, menyebabkan kadar dana Persekutuan meningkat kepada 1.00% selepas kenaikan kadar faedah pada 15 Mac (Sumber: Bloomberg dan Bank Negara Malaysia) Pasaran Bon dan Pasaran Wang a) Global Hasil Perbendaharaan AS meningkat di seluruh keluk hasil sepanjang tahun dalam kajian dengan kadar hasil bon 10 tahun meningkat sebanyak 50 mata asas kepada 2.28% dan kadar hasil bon 20 tahun juga meningkat sebanyak 45 mata asas kepada 2.65%. 23

24 Rajah 2: Kadar Perbendaharaan AS Sumber: Jabatan Perbendaharaan AS, 31 Mac

25 b) Dalam Negara Sekuriti Kerajaan Malaysia (MGS) dan Terbitan Pelaburan Kerajaan (GII) mendominasi aktiviti pasaran bon tempatan dengan jumlah dagangan sebanyak RM1, bilion bagi tahun dalam kajian. Kadar hasil bon kerajaan kebanyakannya meningkat berikutan kemenangan Donald Trump dalam pilihanraya Presiden AS yang menyebabkan pelabur di pasaran am cenderung ke aset yang lebih selamat. Tempoh/ Tarikh Bon 3 Tahun Jadual 1: Kadar Pulangan Sukuk/ Bon Islam 31 Mac 2017 (%) 31 Mac 2016 (%) Pertukaran * (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 Mac

26 Rajah 3: Kadar Polisi Semalaman (OPR) Sumber: Bank Negara Malaysia (BNM), 31 Mac Tinjauan Pasaran dan Strategi a) Ekuiti Tinjauan menunjukkan pasaran ekuiti bagi tahun 2017 dijangka menjadi satu lagi tahun tidak menentu. Faktor-faktor luaran yang mungkin mempengaruhi sentimen pasaran domestik termasuklah komitmen OPEC dan negara-negara bukan anggota OPEC untuk menstabilkan lebihan minyak mentah dalam pasaran, pendirian Presiden Trump terhadap dasar perdagangan dan pertumbuhan ekonomi, kesan kenaikan kadar faedah AS dan pergerakan mata wang, sentimen politik di zon Euro, pembangunan ekonomi China, dasar kewangan yang digunakan oleh bank pusat dan kebimbangan terhadap kemungkinan berlakunya kemelesetan global yang boleh menyebabkan keadaan turun naik dalam pasaran domestik. Dengan terdapat potensi sektor-sektor terpilih untuk menyokong pasaran tempatan, bursa tempatan seharusnya dapat menghadapi kejutan luar kerana terdapatnya kecairan atau mudah tunai yang besar dalam negara dan minat belian pelabur asing dan pelabur institusi tempatan. 26

27 Prospek ekonomi global kekal tidak bermaya memandangkan pertumbuhan yang tidak sekata dalam ekonomi seluruh negara dunia. Ketika pemulihan ekonomi AS berada pada landasannya, pertumbuhan zon Euro, Jepun dan China masih lemah. Di Asia, pertumbuhan berlaku secara berterusan disebabkan oleh peningkatan permintaan domestik dan eksport. Bagi Malaysia, daya tahan penggunaan dalam negara kekal menjadi penyokong kepada pertumbuhan. Dengan perbelanjaan lebih tinggi terhadap projek-projek infrastruktur yang sedang dijalankan, gaji sektor awam yang lebih tinggi, tinjauan lebih baik dalam harga minyak sawit mentah dan lonjakan semula dalam penggunaan dan perbelanjaan kerajaan akan membantu meningkatkan pendapatan korporat dan perbelanjaan pengguna bagi tahun ini. Melangkah ke hadapan, permintaan dalam negeri kekal menjadi pemacu utama pertumbuhan ekonomi Malaysia yang masih dijangka berkembang antara 4.2% kepada 4.7%. Strategi kami adalah melabur dalam syarikat-syarikat yang dilihat mempunyai pendapatan yang baik, lembaran kira-kira yang kukuh, penilaian yang munasabah dan prospek pertumbuhan yang baik. Kami mempunyai pendekatan jangka panjang untuk pelaburan dengan objektif untuk mengatasi pencapaian penanda aras. b) Pasaran Sukuk & Pasaran Wang Pasaran Sukuk dijangka menyaksikan aliran positif, tetapi keuntungannya agak sederhana di tengah-tengah paras urus niaga yang ketat. Walaupun lebih ketat, ia dijangka menyaksikan aliran dua hala pada masa depan, manakala tekanan pengambilan untung dapat diserap dengan baik disokong oleh permintaan pelabur. Untuk masa hadapan, perubahan dalam kadar polisi semalaman bergantung kepada data ekonomi mengenai pertumbuhan dan inflasi. Kadar deposit pasaran wang dijangka stabil pada peringkat semasa berbanding peringkat pertengahan. Strategi Sukuk kami adalah melabur dalam Sukuk berkualiti sekurang-kurangnya bertaraf AA3/AA-oleh Rating Agency Malaysia (RAM)/Malaysian Rating Corporation Berhad (MARC) dan menawarkan kadar keuntungan yang menarik. Strategi pasaran wang kami adalah melabur dalam pelaburan pasaran wang untuk memaksimumkan pulangan di samping menyediakan kecairan atau mudah tunai dan pendapatan tetap kepada pelabur. 27

28 1.5 Peruntukan Aset pada 31 Mac BIMB i Flexi Fund 2017 (%) 2016 (%) Pelaburan Sekuriti Tersiarharga: Pembinaan Barangan Pengguna Barangan Industri Infrastruktur Perladangan Teknologi Perdagangan dan Perkhidmatan TUNAI DAN PELABURAN JANGKA PENDEK:

29 1.6 Lain-Lain Data Prestasi Bagi Tahun Kewangan Berakhir 31 Mac BIMB i Flexi Fund Harga Unit (RM) NAB tertinggi seunit bagi tahun NAB terendah seunit bagi tahun Nilai Aset Bersih (NAB) dan Unit Dalam Edaran (UDE) pada Akhir Tahun Jumlah NAB (RM) 6,165,178 7,648,688 Unit Dalam Edaran (UDE) 27,328,980 36,478,527 NAB seunit (RM) Jumlah Pulangan Dana (%) Pertumbuhan Modal (%) ( (%) (b) Pulangan Pendapatan (%) (c) - - Pulangan Dana (%) (a) Nisbah Perbelanjaan Pengurusan (NPP) (%) (d) Nisbah Pusing Ganti Portfolio (Kali) (e) Nota:- a) Pulangan ke atas Dana = Harga seunit (pada akhir tahun) - 1 Harga seunit (pada awal tahun) b) Penambahan Modal = Pulangan Ke atas Dana Pulangan Pendapatan c) Pulangan Pendapatan = {Pengagihan Pendapatan Se Unit / NAB se unit pada awal tahun} x 100 d) Nisbah Perbelanjaan Pengurusan = Ia dikira dengan mengambil jumlah perbelanjaan pengurusan sepertimana yang dinyatakan sebagai peratusan tahunan daripada jumlah purata Nilai Aset Bersih Dana e) Nisbah Pusing Ganti Portfolio = 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 29

30 1.7 Unit Holdings as at 31 March 2017 Saiz Dipegang Bilangan Pemegang Unit BIMB i Flexi Fund Jumlah Pegangan Unit Bilangan % Bilangan % 5,000 dan ke bawah , ,001 hingga 10, , ,001 hingga 50, , ,001 hingga 500, ,054, ,001 dan ke atas* ,473, Unit yang dipegang oleh Pemegang Unit Unit yang dipegang oleh Pengurus Jumlah Keseluruhan bagi Dana *Akaun Penama juga termasuk di bawah kategori ini. 1.8 Polisi Rebat dan Komisyen Bukan Tunai ,328, ,328, 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 perundingan bertujuan membantu proses membuat keputusan berkaitan dengan pelaburan Dana boleh disimpan oleh Pengurus. Pengurus menerima komisen ringan daripada para broker dalam bentuk perkhidmatan penyelidikan dan khidmat nasihat sepanjang tahun kewangan. Bagi dan bagi pihak Pengurus BIMB INVESTMENT MANAGEMENT BERHAD Tarikh: 30 Mei 2017 Nota: Laporan ini telah diterjemahkan daripada laporan asal (dalam Bahasa Inggeris). Jika terdapat perbezaan, sila rujuk kepada laporan Bahasa Inggeris. 30

31 2.0 Trustee s Report To the Unit Holders of BIMB i FLEXI FUND We, AMANAHRAYA TRUSTEES BERHAD, have acted as Trustee of BIMB i FLEXI FUND for the financial year ended 31 March In our opinion, BIMB INVESTMENT MANAGEMENT BERHAD, the Manager, has operated and managed BIMB i FLEXI FUND in accordance with the limitations imposed on the investment powers of the management company under the Deed, securities laws and the applicable Guidelines on Unit Trust Funds during the financial year then ended. We are also of the opinion that: (a) Valuation and pricing is carried out in accordance with the Deed and any regulatory requirement; and (b) Creation and cancellation of units are carried out in accordance with the Deed and any regulatory requirement. Yours faithfully AMANAHRAYA TRUSTEES BERHAD HABSAH BINTI BAKAR Chief Executive Officer Kuala Lumpur, Malaysia Date: 30 May

32 3.0 Shariah Committee s Report ANNUAL REPORT FOR THE FINANCIAL YEAR ENDED 31 MARCH 2017 ب س م ٱهلل ٱلر ح م ن ٱلر ح يم To the Unit Holders of BIMB i FLEXI FUND We have acted as the Shariah Committee of BIMB i Flexi Fund. Our responsibilities are to ensure that the procedures and processes employed by BIMB Investment Management Berhad and that the provisions of the Deed dated 27 March 2013 are in accordance with Shariah principles. In our opinion, BIMB Investment Management Berhad has managed BIMB i Flexi Fund in accordance with Shariah principles and complied with applicable guidelines, rulings or decisions issued by the Securities Commission pertaining to Shariah matters for the financial year ended 31 March In addition, we also confirm that the investment portfolio of BIMB i Flexi Fund 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 Fund are Shariah-compliant. ا علم واالله 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: 30 May

33 4.0 Directors Declaration ANNUAL REPORT FOR THE FINANCIAL YEAR ENDED 31 MARCH 2017 To the Unit Holders of BIMB i Flexi Fund We, Dato Ghazali Bin Awang and Najmuddin Bin Mohd Lutfi, being two of the directors of the Manager, BIMB Investment Management Berhad, for BIMB i Flexi Fund 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 a true and fair view of the Statement of Financial Position of the Fund as at 31 March 2017 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 on the Board of Directors, Dato Ghazali Bin Awang (Non-Executive Independent Director).. Najmuddin Bin Mohd Lutfi (Chief Executive Officer) Date: 30 May

34 5.0 Independent Auditors Report (Established in Malaysia) Report on the Audit of the Financial Statements Opinion We have audited the financial statements of BIMB i Flexi Fund ( the Fund ), which comprise the statement of financial position as at 31 March 2017, 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 38 to 62. In our opinion, the accompanying financial statements give a true and fair view of the financial position of the Fund as at 31 March 2017, and of its financial performance and its cash flows for 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 auditors 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. 34

35 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 Fund s ability 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. 35

36 Auditors Responsibilities for the Audit of the Financial Statements (continued) 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. 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 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. 36

37 Other matter This report is made solely to the members 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: 2679/11/17(J) Chartered Accountant Petaling Jaya, Selangor Date: 30 May

38 6.0 Financial Statements (Audited) 6.1 Statement of Financial Position as at 31 March 2017 Note RM RM Assets Quoted securities 4 5,485,399 6,355,667 Amount due from stockbroker 539,419 - Amount due from Manager - 19,164 Other receivables 13,549 7,839 Cash and cash equivalents 5 432,556 1,357,144 Total assets 6,470,923 7,739,814 Liabilities Amount due to stockbroker 270,316 - Amount due to Manager - 49,147 Other payables 35,429 41,979 Total liabilities 305,745 91,126 Net asset value 6,165,178 7,648,688 Unitholders fund Unitholders capital 6 7,938,526 9,814,234 Accumulated losses (1,773,348) (2,165,546) Net asset value attributable to unitholders 6,165,178 7,648,688 Number of units in circulation 27,328,980 36,478,527 Net asset value per unit (sen) The notes on pages 42 to 62 are an integral part of these financial statements. 38

39 6.2 Statement of Profit or Loss and Other Comprehensive Income for the financial year ended 31 March 2017 Note RM RM Income Gain/(loss) on sale of quoted shares 79,484 (2,054,564) Income from Islamic debt securities - 24,085 Gain on sale of Islamic debt securities - 1,564 Gross dividends from shares quoted in Malaysia 148, ,057 Income from short term investments 1,669 33,167 Hibah from Al-Wadiah account Net unrealised gain/(loss) from financial instruments at fair value through profit or loss 293,257 (13,241) 523,655 (1,652,202) Less: Amortisation of premium - (5,964) Gross income/(loss) 523,655 (1,658,166) Expenses Manager s fee 7 96, ,204 Trustee s fee 8 3,206 5,540 Audit fee 11,000 11,000 Tax agent s fee 3,000 3,000 Administrative expenses 18,085 34, , ,462 Net income/(loss) before taxation 392,198 (1,878,628) Tax expense Net income/(loss) after taxation 392,198 (1,878,628) Other comprehensive income for the year - - Total comprehensive income/(loss) for the year 392,198 (1,878,628) Total comprehensive income/(loss) for the year consist of: Realised amount Unrealised amount 98,941 (1,865,387) 293,257 (13,241) 392,198 (1,878,628) The notes on pages 42 to 62 are an integral part of these financial statements. 39

40 6.3 Statement of Changes in Net Asset Value for the financial year ended 31 March 2017 Unitholders Accumulated capital losses Total Note RM RM RM At 1 April ,088,950 (286,918) 15,802,032 Movement in unitholders contribution or distribution Creation of units 135, ,810 Cancellation of units (6,410,526) - (6,410,526) Total attributable to unitholders (6,274,716) - (6,274,716) Total comprehensive loss for the year - (1,878,628) (1,878,628) As at 31 March 2016 / 1 April ,814,234 (2,165,546) 7,648,688 Movement in unitholders contribution or distribution Creation of units 53,225-53,225 Cancellation of units (1,928,933) - (1,928,933) Total attributable to unitholders (1,875,708) - (1,875,708) Total comprehensive income for the year - 392, ,198 As at 31 March ,938,526 (1,773,348) 6,165,178 The notes on pages 42 to 62 are an integral part of these financial statements. 40

41 6.4 Statement of Cash Flows for the financial year ended 31 March RM RM Cash flows from operating activities Proceed from sale of Islamic debt securities - 1,014,200 Purchase of Islamic debt securities - (1,018,600) Proceed from sale of quoted investments 21,447,177 31,900,013 Purchase of quoted investments (20,473,272) (25,499,541) Dividend received 142, ,152 Income from Islamic debt securities and short term investments 2,351 58,138 Management fee paid (98,803) (177,028) Trustee fee paid (3,293) (5,901) Audit fee paid (11,000) (11,000) Tax agent fee paid (3,000) (3,000) Payment for other administrative (21,911) (27,453) Net cash generated from operating activities 981,103 6,590,980 Cash flows from financing activities Cash receipt for creation of units 72, ,646 Cash payment for cancellation of units (1,978,080) (6,609,035) Net cash used in financing activities (1,905,691) (6,492,389) Net (decrease)/increase in cash and cash equivalents (924,588) 98,591 Cash and cash equivalents at 1 April 1,357,144 1,258,553 Cash and cash equivalents at 31 March 432,556 1,357,144 Cash and cash equivalents comprise: Short term placements 324,673 1,300,103 Cash at bank 107,883 57, ,556 1,357,144 The notes on pages 42 to 62 are an integral part of these financial statements. 41