Fund Information Fund Name (PIDF) Fund Category Equity (Shariah-compliant) Fund Investment Objective To provide income by investing in a portfolio of stocks that complies with Shariah requirements and which offer or have the potential to offer attractive dividend yields*. * Stocks which offer attractive dividend yields refer to stocks with consistency in rewarding shareholders via dividend payouts. Fund Performance Benchmark The benchmarks of the Fund and their respective percentages are 90% FTSE Bursa Malaysia EMAS Shariah Index (FBMS) and 10% 3-Month Islamic Interbank Money Market (IIMM) rate. The PIDF is not in any way sponsored, endorsed, sold or promoted by FTSE International Limited ( FTSE ) or by Bursa Malaysia Berhad ( BURSA MALAYSIA ) or by the London Stock Exchange Group companies (the LSEG ) and neither FTSE nor BURSA MALAYSIA nor LSEG makes any warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE BURSA MALAYSIA EMAS SHARIAH INDEX ( the Index ), and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Index is compiled and calculated by FTSE. However, neither FTSE nor BURSA MALAYSIA nor LSEG shall be liable (whether in negligence or otherwise) to any person for any error in the Index and neither FTSE nor BURSA MALAYSIA nor LSEG shall be under any obligation to advise any person of any error therein. FTSE, FT-SE and Footsie are trade marks of LSEG and are used by FTSE under licence. BURSA MALAYSIA is a trade mark of BURSA MALAYSIA. Fund Distribution Policy Semi-annual Breakdown of Unitholdings of PIDF as at 30 April 2018 Size of holdings No. of % of No. of units unitholders unitholders held (million) 5,000 and below 33,597 11.22 94 5,001 to 10,000 45,474 15.18 341 10,001 to 50,000 148,226 49.50 3,646 50,001 to 500,000 71,145 23.76 8,023 500,001 and above 1,032 0.34 932 Total 299,474 100.00 13,036 Note: Excluding Manager s Stock.
Fund Performance Fund Performance Average Total Return for the Following Years Ended 30 April 2018 Average Total Return of PIDF (%) 1 Year 5.37 3 Years 3.02 5 Years 4.82 Annual Total Return for the Financial Years Ended 30 April Year 2018 2017 2016 2015 2014 PIDF (%) 5.37 7.00-3.28 2.85 10.62 The calculation of the above returns is based on computation methods of Lipper. Notes: 1. Total return of the Fund is derived by this formulae: End of Period FYCurrent Year NAV per ( End of Period FYPrevious Year NAV per unit) (Adjusted for unit split and distribution paid out for the period) The above total return of the Fund was sourced from Lipper. 2. Average total return is derived by this formulae: Total Return Number of Years Under Review Other Performance Data for the Past Three Financial Years Ended 30 April 2018 2017 2016 Unit Prices (MYR)* Highest NAV per unit for the year 0.3875 0.3724 0.3746 Lowest NAV per unit for the year 0.3620 0.3455 0.3332 Net Asset Value (NAV) and Units in Circulation (UIC) as at the End of the Year Total NAV (MYR 000) 4,895,071 5,236,839 4,915,518 UIC (in 000) 13,041,794 14,316,933 13,986,995 NAV per unit (MYR) 0.3753 0.3658 0.3514 Total Return for the Year (%) 5.37 7.00-3.28 Capital growth (%) 4.04 5.96-4.46 Income (%) 1.28 0.98 1.23 Management Expense Ratio (%) 1.53 1.53 1.53 Portfolio Turnover Ratio (time) 0.16 0.14 0.16 * All prices quoted are ex-distribution. Notes: Management Expense Ratio is calculated by taking the total management expenses expressed as an annual percentage of the Fund s average net asset value. Portfolio Turnover Ratio is calculated by taking the average of the total acquisitions and disposals of the investments in the Fund for the year over the average net asset value of the Fund calculated on a daily basis. - 1 Distribution and Unit Split Financial year 2018 2017 2016 Date of distribution 30.4.18 31.10.17 28.4.17 31.10.16 29.4.16 30.10.15 Final Interim Final Interim Final Interim Distribution per unit Gross (sen) 0.50 0.50 0.50 0.50 0.50 0.50 Net (sen) 0.50 0.50 0.50 0.50 0.50 0.50 Unit split - - - - - - Impact on NAV Arising from Distribution (Interim & Final) for the Financial Years 2018 2017 2016 Final Interim Final Interim Final Interim Sen Sen Sen Sen Sen Sen per unit per unit per unit per unit per unit per unit Net asset value before distribution 38.03 37.36 37.08 36.30 35.64 36.98 Less: Net distribution per unit (0.50) (0.50) (0.50) (0.50) (0.50) (0.50) Net asset value after distribution 37.53 36.86 36.58 35.80 35.14 36.48 Past performance is not necessarily indicative of future performance and unit prices and investment returns may go down, as well as up. Asset Allocation for the Past Three Financial Years As at 30 April (Percent of NAV) 2018 2017 2016 % % % EQUITY SECURITIES Quoted Malaysia Basic Materials 5.7 3.5 3.3 Communications 12.1 16.7 17.7 Consumer, Cyclical 0.8 0.8 1.1 Consumer, Non-cyclical 20.5 17.0 16.2 Diversified 3.6 8.2 8.1 Energy 8.3 6.9 8.0 Financial 1.7 0.9 0.7 Industrial 11.8 8.4 8.9 Utilities 9.1 8.6 10.2 73.6 71.0 74.2 Outside Malaysia Great Britain Consumer, Non-cyclical 0.7 0.7 1.3 Hong Kong Communications 0.8 0.9 1.2 Energy 0.5 0.5 0.5 1.3 1.4 1.7
Fund Performance Fund Performance Asset Allocation for the Past Three Financial Years (cont d) As at 30 April (Percent of NAV) 2018 2017 2016 % % % Indonesia Communications - 0.9 0.5 Korea Technology 1.8 - - Singapore Communications 0.7 2.6 1.9 Taiwan Communications - 0.9 0.4 Technology 2.2 2.1 1.7 2.2 3.0 2.1 Thailand Industrial 1.2 0.7 0.6 United States Communications 4.0 4.2 3.7 Consumer, Non-cyclical 0.6 1.2 1.1 Energy - - 0.7 Industrial 0.7 2.3 0.8 Technology 3.3 1.4 0.9 8.6 9.1 7.2 TOTAL QUOTED EQUITY SECURITIES 90.1 89.4 89.5 COLLECTIVE INVESTMENT FUNDS Quoted Malaysia Financial 1.2 1.3 1.4 Outside Malaysia Singapore Financial - 0.3 0.4 TOTAL QUOTED COLLECTIVE INVESTMENT FUNDS 1.2 1.6 1.8 COLLECTIVE INVESTMENT SCHEMES Unquoted Funds 0.7 - - TOTAL UNQUOTED COLLECTIVE INVESTMENT SCHEMES 0.7 - - SUKUK Unquoted Ringgit-denominated Sukuk 0.4 0.6 0.7 TOTAL UNQUOTED SUKUK 0.4 0.6 0.7 Asset Allocation for the Past Three Financial Years (cont d) As at 30 April (Percent of NAV) 2018 2017 2016 % % % SHARIAH-BASED PLACEMENTS WITH FINANCIAL INSTITUTIONS 5.9 7.1 6.3 OTHER ASSETS & LIABILITIES 1.7 1.3 1.7
Statement Of Distribution Of Returns Manager s Report Interim Final Sen Per Unit Sen Per Unit Gross Distribution 0.5000 0.5000 Net Distribution 0.5000 0.5000 Total Returns 0.7800 1.9500 Effects of Distribution on NAV per unit before and after Distribution Interim Final Before After Before After Distribution Distribution Distribution Distribution NAV per unit (MYR) 0.3736 0.3686 0.3803 0.3753 Overview This Annual Report covers the financial year from 1 May 2017 to 30 April 2018. (PIDF or the Fund) seeks to provide income by investing in a portfolio of stocks that complies with Shariah requirements and which offer or have the potential to offer attractive dividend yields. For the fi nancial year under review, the Fund registered a return of +5.37% as compared to its Benchmark s return of +1.76%. The Fund s Shariahcompliant equity portfolio registered a return of +7.31% while its sukuk and Islamic money market portfolios registered returns of +5.74% and +3.02% respectively during the fi nancial year under review. A detailed performance attribution analysis is provided in the sections below. For the fi ve fi nancial years ended 30 April 2018, the Fund generated a total return of +24.09% and outperformed the Benchmark s return of +13.72% over the same period. As the Fund has made distributions of income for each of its respective fi nancial years, the Manager is of the opinion that the Fund has met its objective of providing income over the said period. Performance of PIDF from 30 April 2013 to 30 April 2018 30% PIDF BENCHMARK Returns from Start of Period 20% 10% 0% -10% 2013 2014 2015 2016 2017 2018 The Fund s Benchmark is a composite index of 90% FTSE Bursa Malaysia EMAS Shariah Index (FBMS) and 10% 3-Month Islamic Interbank Money Market Rate (IIMMR). Income Distribution and Impact on NAV Arising from Distribution The total cumulative gross distribution of 1.00 sen per unit (net distribution of 1.00 sen per unit) for the fi nancial year ended 30 April 2018 had the effect of reducing the Net Asset Value (NAV) of the Fund after distribution. For example, the gross distribution of 0.50 sen per unit (net distribution of 0.50 sen per unit) declared for the month of April 2018 has reduced the NAV per unit of the Fund to RM0.3753 from RM0.3803 after distribution.
Manager s Report Manager s Report Effect of Distribution Reinvestment on Portfolio Exposures 30-Apr-18 Before Distribution After Distribution Reinvestment* Reinvestment* Shariah-compliant Equities & Related Securities 91.3% 90.1% Sukuk 0.4% 0.4% Islamic Money Market 8.3% 9.5% * Assumes full reinvestment. Change in Portfolio Exposures from 30-Apr-17 to 30-Apr-18 Average 30-Apr-17 30-Apr-18 Change Exposure Shariah-compliant Equities & Related Securities 89.8% 90.1% +0.3% 94.23% Sukuk 0.6% 0.4% -0.2% 0.48% Islamic Money Market 9.6% 9.5% -0.1% 5.29% Returns Breakdown by Asset Class Market / Returns On Benchmark Benchmark Average Attributed Investments Returns Index Used Exposure Returns Shariahcompliant Equities & Related Securities 7.31% 1.52% FBMS 94.23% 6.88% Sukuk 5.74% 3.39% Bond Index 0.48% 0.03% Islamic Money Overnight Market 3.02% 3.05% Islamic Rate 5.29% 0.16% less: Expenses -1.70% Total Net Return for the Year 5.37% FBMS = FTSE Bursa Malaysia EMAS Shariah Index Bond Index = Quant Shop GII All Index Overnight Islamic Rate = Overnight Islamic Interbank Money Market Rate Shariah-compliant Equity Portfolio Review For the fi nancial year under review, the Fund s Shariah-compliant equity portfolio registered a return of +7.31% and outperformed the equity benchmark s return of +1.52%. The Fund s Shariah-compliant equity portfolio outperformed the equity benchmark as the Fund s selected holdings within the Consumer and Technology sectors outperformed the broad market during the financial year under review. The Fund commenced the fi nancial year under review with a Shariahcompliant equity exposure of 89.8% and its Shariah-compliant equity weight was generally maintained at above 90% over the fi nancial year under review to capitalise on Shariah-compliant investment opportunities in the domestic and foreign markets. The Fund ended the fi nancial year under review with a Shariah-compliant equity exposure of 90.1%. Based on an average Shariah-compliant equity exposure of 94.23%, the Shariahcompliant equity portfolio is deemed to have registered a return of +6.88% to the Fund as a whole for the fi nancial year under review. A full review of the performance of the equity market is tabled in the following sections. Sector Allocation In terms of sector allocation within the Shariah-compliant equity portfolio, the top 5 sectors accounted for 61.8% of the NAV of the Fund and 67.7% of the Fund s Shariah-compliant equity portfolio. The weightings of the top 5 sectors in Malaysia (unless otherwise indicated) are in the following order: Consumer, Non-cyclical (20.5%), Communications (12.1%), Industrial (11.8%), Utilities (9.1%) and Energy (8.3%). Sukuk Portfolio Review For the fi nancial year under review, the Fund s sukuk portfolio, which comprises corporate sukuk, generated a return of +5.74%. In comparison, the Quant Shop GII All Index, which tracks the performance of all Government Investment Issues (GII) with maturities of 1 year and above, registered a return of +3.39% over the same period. The Fund s sukuk portfolio outperformed the Quant Shop GII All Index as GII yields moved higher relative to corporate sukuk yields during the fi nancial year under review. During the fi nancial year under review, the Fund s sukuk exposure decreased from 0.6% to 0.4% due to the disposal of selected sukuk investments. Based on an average exposure of 0.48%, the sukuk portfolio is estimated to have contributed +0.03% to the Fund s overall return for the fi nancial year under review. For a full review of the sukuk market, please refer to the following sections of this report. Islamic Money Market Portfolio Review During the fi nancial year under review, the Fund s Islamic money market portfolio, which was invested primarily in Islamic deposits, yielded a return of +3.02%. In comparison, the Overnight Islamic Interbank Money Market Rate (Overnight Islamic Rate) registered a return of +3.05% over the same period. During the fi nancial year under review, the Fund s exposure to Islamic money market investments decreased marginally from 9.6% to 9.5% as funds were mobilised into Shariah-compliant equity investments. Based on an average exposure of 5.29%, the Islamic money market portfolio is estimated to have contributed +0.16% to the Fund s overall return for the fi nancial year under review.
Manager s Report Manager s Report Stock Market Review Starting the financial year under review at 12,972.49 points, the FTSE Bursa Malaysia EMAS Shariah Index (FBMS) eased in early May 2017 as global energy prices softened. The market edged up in early June 2017 amid sustained buying interest in selected blue chips before moving lower in mid-july 2017 due to softer oil prices and a lack of fresh leads. After rising from August to October 2017, the FBMS retraced in November 2017 as market sentiment was dampened by a lack of fresh catalysts and a selldown in selected blue chips. The FBMS rebounded in December 2017 and continued to rally in January 2018 on the back of firmer oil prices and buying interest from foreign investors. In early February 2018, the Index fell in tandem with global markets due to concerns over the prospect of higher-than-expected interest rates in the U.S. The Index eased further in March and April 2018 amid a retracement in selected small- and mid-cap stocks. The FBMS closed at 13,169.14 points to register a gain of 1.52% for the financial year under review. Index 14,000 13,700 13,400 13,100 12,800 12,500 12,200 Apr-17 FTSE Bursa Malaysia EMAS Shariah Index (30 April 2017-30 April 2018) Jun-17 Aug-17 The regional equity markets, as proxied by the S&P Shariah BMI Asia Ex-Japan (S&P SAEJ) Index, commenced the financial year under review at 93.28 points. The Index moved higher in 2017, driven by improving liquidity conditions in China, an improving global economic outlook, robust corporate earnings as well as the strengthening of regional currencies against the U.S. Dollar. The S&P SAEJ Index started 2018 on a strong note but retreated from February to April 2018, weighed by concerns over the prospect of fasterthan-expected interest rate hikes in the U.S. as well as trade tensions between the U.S. and China. The S&P SAEJ Index closed at 114.46 points to register a gain of 22.71% (+10.91% in Ringgit terms) for the financial year under review. Regional markets, namely the Korea, Thailand, Taiwan, Great Britain, Hong Kong, Singapore and Indonesia markets registered returns of +24.90%, +14.09%, +0.65%, +0.32%, -4.96%, -6.81% and -18.57% (in Ringgit terms) respectively for the financial year under review. Oct-17 Dec-17 Feb-18 Apr-18 The U.S. equity market, as proxied by the S&P U.S. Shariah Index, commenced the fi nancial year under review at 176.95 points. The Index moved higher from May to September 2017 on the back of robust U.S. corporate earnings and economic data as well as easing geopolitical tensions in the Korean Peninsula. The Index extended its rally in 4Q 2017 as the U.S. tax reform bill was approved by Congress and subsequently signed into law by President Trump in December 2017. Optimism over the impact of the new tax legislation as well as upward corporate earnings revisions bolstered the S&P U.S. Shariah Index to a record high of 215.49 points on 26 January 2018. However, the Index corrected in February 2018 amid concerns over infl ationary pressures and the prospect of faster-than-expected interest rate hikes in the U.S. In March 2018, the Index slid further amid escalating trade tensions between the U.S. and China before rebounding in early April 2018 on the back of easing trade tensions as well as robust corporate earnings releases. The S&P U.S. Shariah Index closed at 199.68 points to register a gain of 12.84% (+1.99% in Ringgit terms) for the financial year under review. Sukuk Market and Islamic Money Market Review Aided by a rebound in crude oil prices, the domestic sukuk market staged a recovery in May 2017 alongside a fi rmer Ringgit and lower U.S. Treasury yields. Buying interest in the domestic sukuk market eased towards June 2017 amid higher global bond yields following the announcement of the second U.S. interest rate hike in 2017, coupled with growing concerns that the U.S. Federal Reserve may reduce its holdings of government and mortgage bonds. Buying interest returned to the domestic sukuk market in August 2017 on the back of fi rmer U.S. Treasuries, a broadly weaker U.S. Dollar as well as accelerating economic growth and lower infl ation in Malaysia. The domestic sukuk market subsequently retreated in September and October 2017, driven by rising optimism over the U.S. tax reform as well as the Federal Reserve s announcement that it would start its balance sheet reduction program in October 2017, while affi rming the likelihood of a 25 basis points (bps) rate hike in December 2017. Buying interest gradually returned to the domestic sukuk market in November and December 2017 on the back of a fi rmer Ringgit. In January 2018, domestic sukuk yields edged up amid higher U.S. Treasury yields and the increase in the Overnight Policy Rate (OPR) by 25 bps to 3.25% on 25 January 2018. Domestic sukuk yields climbed further in February 2018 as higher U.S. Treasury yields and the easing of the Ringgit weighed on market sentiment. In March 2018, the domestic sukuk market rebounded in tandem with a fi rmer Ringgit and a rally in U.S. Treasuries amid concerns over rising trade tensions between the U.S. and China. The domestic sukuk market weakened in April 2018, mainly on concerns over higher U.S. interest rates as the 10-year U.S. Treasury yield breached the 3.0% mark. For the fi nancial year under review, the yields of 3-year and 10-year GII rose by 12 bps and 18 bps respectively to 3.79% and 4.30%. The Overnight Islamic Rate commenced the fi nancial year under review at 2.99% and ended the financial year under review higher at 3.20%.
Manager s Report Manager s Report Economic Review Malaysia s GDP growth gained pace from 4.2% in 2016 to 5.9% in 2017 on the back of higher domestic demand and export growth. Growth in the services sector rose from 5.6% in 2016 to 6.2% in 2017. Meanwhile, growth in manufacturing activities increased from 4.4% to 6.0% over the same period. Malaysia s export growth moderated to 7.8% in the first two months of 2018 from 18.9% in 2017 due mainly to slower exports of electrical and electronic products. Import growth eased to 4.6% from 19.9% over the same period on the back of lower imports of intermediate goods. Malaysia s cumulative trade surplus widened to RM18.7 billion in the first two months of 2018 compared to RM13.5 billion in the corresponding period of the prior year. Due to capital inflows, Malaysia s foreign reserves increased to US$107.8 billion as at end-march 2018 compared to US$95.4 billion a year ago. Malaysia s inflation rate slowed to 1.8% in 1Q 2018 from 3.7% in 2017 amid moderating food prices and transportation costs. On 25 January 2018, Bank Negara Malaysia (BNM) raised the OPR by 25 bps from 3.00% to 3.25% on the back of resilient economic growth. Loans growth edged up to 4.4% in 1Q 2018 from 4.1% in 2017 due to higher demand from the household sector. 7.0 6.0 5.0 4.0 % 3.0 2.0 1.0 0.0 5.5 Malaysia s Annual GDP Growth 4.7 6.0 2012 2013 2014 2015 2016 2017 2018F Source: Bloomberg On the regional front, Singapore s GDP growth expanded from 3.6% in 2017 to 4.3% in 1Q 2018, helped by robust growth in the manufacturing and services sectors. Indonesia s economic growth inched higher from 5.0% in 2016 to 5.1% in 2017 on the back of resilient domestic demand. Led by resilient consumer spending and higher export growth, Thailand s GDP growth increased from 3.3% in 2016 to 3.9% in 2017. In North Asia, China s GDP growth inched down from 6.9% in 2017 to 6.8% in 1Q 2018 following a moderation in the services sector. Hong Kong s GDP growth gained pace from 2.1% in 2016 to 3.8% in 2017 due to higher consumer spending and export growth. 5.0 4.2 5.9 5.4 Weighed by slower investment spending and export growth, South Korea s GDP growth eased from 3.1% in 2017 to 2.8% in 1Q 2018. Taiwan s GDP growth inched up from 2.9% in 2017 to 3.0% in 1Q 2018 amid higher consumer and government spending. Led by higher investment spending and export growth, U.S. GDP growth rose from 2.3% in 2017 to 2.9% in 1Q 2018. Investment spending increased from 3.3% in 2017 to 5.8% in 1Q 2018 due to higher investment in equipment. Likewise, export growth expanded from 3.4% to 4.3% over the same period. At the Federal Open Market Committee (FOMC) meeting on 20-21 March 2018, the Federal Reserve raised the Federal funds rate target range by 25 bps from 1.25%-1.50% to 1.50%-1.75%. Eurozone GDP growth gained pace from 1.8% in 2016 to 2.5% in 2017 on the back of higher export growth. At its monetary policy meeting on 26 April 2018, the European Central Bank (ECB) kept its main refi nancing and deposit rates at 0.00% and -0.40% respectively. The ECB extended its quantitative-easing program from January 2018 until at least September 2018. However, it reduced the monthly pace of bond-buying from 60 billion to 30 billion with effect from January 2018. In a referendum held on 23 June 2016, British voters voted in favour of exiting the European Union (EU). The United Kingdom (UK) formally notified of its exit from the EU under Article 50 on 29 March 2017, which commences a 2-year process of trade negotiations with the EU. Outlook and Investment Strategy Global and regional equity markets traded on a mixed note in the fi rst 4 months of 2018 on concerns over the prospect of higher U.S. interest rates and the U.S. government s proposed protectionist measures. While concerns over inflationary pressures in the U.S. as well as U.S.-China trade tensions may result in volatile market conditions in the near term, the performance of equity markets over the longer term will depend on the economic outlook and market valuations of the U.S., Europe and the Asia Pacifi c region. U.S. economic growth is projected to edge up from 2.3% in 2017 to 2.8% in 2018, driven by higher investment spending on the back of tax reform measures. In the Eurozone, economic growth is envisaged to ease from 2.5% in 2017 to 2.3% in 2018 on expectations of a moderation in consumer spending and investment. China s GDP growth is estimated to moderate from 6.9% in 2017 to 6.5% in 2018 as China continues to transform from a manufacturing-driven and export-led economy to one underpinned by services and domestic consumption. Meanwhile, China s infl ation rate is projected to increase from 1.6% in 2017 to 2.3% in 2018. Hong Kong s GDP growth is expected to slow from 3.8% in 2017 to 3.0% in 2018 amid moderating export growth. Going forward, the Hong Kong government is anticipated to maintain its tightening stance on the residential property market. However, ample liquidity, demand for better living standards and resilient economic growth should lend support to Hong Kong s property market over the long term.
Manager s Report Statement Of Assets And Liabilities As at 30 April 2018 South Korea s GDP growth is anticipated to edge lower from 3.1% in 2017 to 3.0% in 2018 on the back of softer domestic demand. Taiwan s GDP growth is envisaged to inch down from 2.9% in 2017 to 2.7% in 2018 due to slower export growth. In South-East Asia, Singapore s GDP growth is estimated to ease from 3.6% in 2017 to 3.0% in 2018 on expectations of moderating export growth. Indonesia s GDP growth is expected to expand from 5.1% in 2017 to 5.3% in 2018 due to robust domestic demand. Meanwhile, Thailand s GDP growth is envisaged to inch up from 3.9% in 2017 to 4.0% in 2018, driven by higher investment spending. On the domestic front, Malaysia s GDP growth is projected to ease from 5.9% in 2017 to 5.4% in 2018 amid moderating export growth. However, domestic demand is projected to be supported by sustained consumer and investment spending. As at end-april 2018, the local stock market was trading at a prospective P/E ratio of 16.7x, which was above its 10-year average of 16.5x. The market s dividend yield was 3.29%. Among the regional markets, South-East Asian markets were trading at premiums while selected North Asian markets were generally trading at discounts to their historical averages following their respective performances over the same period. Given the above factors, the Fund will continue to rebalance its investment portfolio accordingly with the objective of providing income by investing in a portfolio of stocks that complies with Shariah requirements and which offer or have the potential to offer attractive dividend yields. Note: Q = Quarter 2018 2017 MYR 000 MYR 000 Assets Investments 4,521,871 4,799,443 Due from brokers/financial institutions, net 635 - Tax recoverable 3,709 3,709 Other receivables 2,041 2,165 Shariah-based placements with financial institutions 287,935 372,288 Cash at banks 153,068 133,384 4,969,259 5,310,989 Liabilities Due to the Manager, net 8,584 2,106 Other payables 395 459 Distribution payable 65,209 71,585 74,188 74,150 Total net assets 4,895,071 5,236,839 Net asset value ( NAV ) attributable to unitholders (Total equity) 4,895,071 5,236,839 Units in circulation (in 000) 13,041,794 14,316,933 NAV per unit, ex-distribution (in sen) 37.53 36.58 Policy on Soft Commissions The management company may receive goods or services which include research materials, data and quotation services and investment related publications by way of soft commissions provided they are of demonstrable benefi t to the Fund and unitholders. During the financial year under review, PIDF has received data and quotation services by way of soft commissions. These services were used to provide fi nancial data on securities and price quotation information to the Fund Manager during the financial year under review.
Statement Of Income And Expenditure Statement Of Changes In Net Asset Value 2018 2017 MYR 000 MYR 000 Income Profit from Shariah-based placements 5,400 8,990 Income from sukuk 1,240 1,426 Distribution income 3,278 3,255 Dividend income 137,953 124,454 Dividend income from non-permissible securities 791 232 Net gain from investments 208,998 284,646 Net realised gain on sale of non-permissible securities 85 - Amortisation of premium, net of accretion of discount (60) (47) Net realised/unrealised foreign exchange (loss)/gain (3,383) 16,013 Sundry income - 1 Non-permissible income - 444 354,302 439,414 Less: Expenses Trustee s fee 636 636 Management fee 81,041 81,760 Audit fee 7 7 Tax agent s fee 3 3 Brokerage fee 4,218 3,459 Administrative fees and expenses 866 909 Payment to charitable bodies - 444 86,771 87,218 Net income before taxation 267,531 352,196 Taxation (3,671) (3,396) Net income after taxation 263,860 348,800 Net income after taxation is made up as follows: Realised 155,769 138,183 Unrealised 108,091 210,617 263,860 348,800 Distributions for the financial year 133,523 142,621 Unitholders Retained capital earnings Total MYR 000 MYR 000 MYR 000 As at 1 May 2016 4,542,564 372,954 4,915,518 Creation of units 253,411-253,411 Cancellation of units (138,269) - (138,269) Net income after taxation - 348,800 348,800 Distributions (5,495) (137,126) (142,621) As at 30 April 2017 4,652,211 584,628 5,236,839 As at 1 May 2017 4,652,211 584,628 5,236,839 Creation of units 136,774-136,774 Cancellation of units (608,879) - (608,879) Net income after taxation - 263,860 263,860 Distributions - (133,523) (133,523) As at 30 April 2018 4,180,106 714,965 4,895,071
Statement Of Cash Flows 2018 2017 MYR 000 MYR 000 Cash flows from operating activities Proceeds from sale/redemption of investments 1,081,470 766,389 Purchase of investments (603,043) (744,159) Subscription of rights (841) - Capital distribution received 4,102 - Maturity of Shariah-based placements 44,503,195 74,416,335 Shariah-based placements (44,418,842) (74,478,637) Profi t from Shariah-based placements received 5,464 8,955 Income from sukuk received 1,294 1,565 Interest received from foreign currency accounts - 15 Sundry income received - 1 Distribution income received 3,035 3,255 Net dividend income received 135,290 123,371 Non-permissible income received - 444 Taxation recovered - 31 Trustee s fee paid (636) (636) Management fee paid (81,511) (81,373) Audit fee paid (7) (7) Tax agent s fee paid (3) (3) Payment of other fees and expenses (917) (894) Payment to charitable bodies (6) (460) Net cash inflow from operating activities 628,044 14,192 Cash flows from financing activities Cash proceeds from units created 141,707 261,628 Cash paid on units cancelled (606,864) (138,165) Distributions paid (139,899) (140,971) Net cash outflow from financing activities (605,056) (17,508) Net increase/(decrease) in cash and cash equivalents 22,988 (3,316) Effect of changes in foreign exchange rates (3,304) 16,554 Cash and cash equivalents at the beginning of the financial year 133,384 120,146 Cash and cash equivalents at the end of the financial year 153,068 133,384