RHB GOLDEN DRAGON FUND

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RHB GOLDEN DRAGON FUND

INTERIM REPORT 2021

For the financial period ended 30 June 2021

1

GENERAL INFORMATION ABOUT THE FUND

Name, Category and Type

Fund Name - RHB Golden Dragon Fund

Fund Category - Mixed Asset Fund

Fund Type - Growth and Income Fund

Investment Objective, Policy and Strategy

Objective of the Fund

This Fund aims to maximise total returns through a combination of long term* growth

of capital and current income.

* Note: “long term” in this context refers to a period of between 5 – 7 years.

Strategy

The Fund seeks to achieve its investment objective through a diversified portfolio of

equities and equity-linked securities issued by companies whose businesses are in the

Greater China (i.e. the People’s Republic of China, Hong Kong SAR and Taiwan)

(“China Equities”) and Malaysian fixed income securities.

The asset allocation of the Fund will be as follows:-

30% - 70% of

Net Asset Value

- Investments in securities of and securities relating to

companies whose businesses are in the Greater China (i.e. the

People’s Republic of China, Hong Kong SAR and Taiwan)

and are listed on the Greater China markets and/or other

markets.

30% - 70% of

Net Asset Value

- Investments in Malaysian fixed income securities, money

market instruments, cash and deposits with financial

institutions.

2

Performance Benchmark

The performance of the Fund is benchmarked against the Golden Dragon Index which

is a composite benchmark comprising 50% Morgan Stanley Capital International

(MSCI) Golden Dragon Index (MYR) and 50% RAM qs MGS 3-7 (Medium).

Permitted Investments

This Fund may invest in securities traded on the Bursa Malaysia Securities Berhad or

any other market considered as an eligible market, unlisted securities, collective

investment schemes, securities/instruments in foreign markets, financial derivatives,

structured products, liquid assets (including money market instruments and deposits

with any financial institutions), participate in the lending of securities, and any other

investments permitted by the Securities Commission Malaysia from time to time.

Distribution Policy

Consistent with the Fund’s objective to maximize total returns through a combination

of long term growth of capital and current income, the Fund will distribute a portion

of its returns to unitholders. Distributions, if any, after deduction of taxation and

expenses are generally declared annually.

3

MANAGER’S REPORT

MARKET REVIEW

Morgan Stanley Capital International (“MSCI”) China edged out 1.20% returns in

Hong Kong Dollar (“HKD”) terms over the period under review. The year 2021

started on a strong footing but started to correct from February 2021. On 25 January

2021, People’s Bank of China (“PBOC”) advisor Jun Ma stressed concerns over

asset bubbles as seen in housing and the stock market, and suggested policy

adjustment accordingly. The selloff in February 2021 was driven by (i) the near-

record-high multiples of MSCI China and Growth cohort; (ii) Hong Kong’s stamp

duty hike for stock trades (0.10% to 0.13%); and (iii) an aggressive United States

(“US”) bond yield spike that undermined risk appetite, especially for Growth stocks.

In March 2021, the sell-off was mainly targeted at Growth big-caps and China

American Depository Receipts (“ADRs”) Growth big-caps and China ADRs, rather

than broad-based, evidenced by the resilient performance of median level stocks and

Small-Mid Capitalization (“SMID”). Key drivers for the targeted correction include:

i) expectations of monetary normalization, along with extreme positioning

dislocation; and ii) regulatory and geopolitical overhangs.

In the second quarter of year 2021(“2Q21”), the market was range bound as the

concerns below were on the minds of investors. The unwind in China internet was a

key drag for first half of May 2021, which resulted from heightened policy scrutiny

and controversial headlines on Meituan. Meantime, commodity-linked plays gained

further tractions on the back of commodity price surge and high inflation data.

Nevertheless, these trends have been reversed in second half of May 2021, as led by

the government’s crackdown on commodity and crypto currency speculations, as

well as sharp Chinese Yuan Renminbi (“CNY”) appreciation which in aggregate

drove excess liquidity into China equities (especially Internet and Electric Vehicle

(“EV”) battery). Communication Service and Consumer Discretionary were the key

laggards due to weakness of China internet in first half of May 2021.

For the first half of year 2021 (“1H21”) for Malaysia 10-year Malaysian

Government Securities (“MGS”) sold of 60 basis points (“bps”) from 2.65 to 3.25,

in a tale of 2Q21, where the first quarter of year 2021 (“1Q21”) saw a sharp rise in

10-year MGS yields briefly breaking 3.50% before the rally we saw in the 2Q21.

This was mainly premised on tracking of the global United States Treasury (“UST”)

yields which witnesses a sharp rise in 1Q21 before renewed waves of COVID-19

caused by more deadly strains resulted in further lockdowns and denting the overall

global growth recovery and reopening of economies.

ECONOMIC REVIEW AND OUTLOOK

The Authorities stepped-up public health measures during the Lunar New Year

(“LNY”) period, imposing individual mobility restrictions for cross-region travels,

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especially regarding travellers returning to rural areas (mainly involving migrant

workers) during the holiday. This would likely lead to a tentative dent in the ongoing

recovery of consumption and services during the LNY holiday period. Moving

forward, authorities ring fenced the COVID-19 situation well and the economy soon

headed back to normal for the rest of the 1H21.

National Bureau of Statistics (“NBS”) manufacturing Purchasing Managers Index

(“PMI”) in June 2021 eased to 50.90, dragged by the output component. Non-

manufacturing PMI have lost some momentum, falling to 52.90 in June 2021, due

mainly to infections uptick in Guangdong province. Caixin manufacturing PMI fell

0.70 points to 51.30 points, with contractions in output, new orders and export orders

components.

PBOC also kept the policy stance unchanged in the 2Q21 meeting of Monetary

Policy Committee (“MPC”), while new comments such as “preventing risk from

overseas” and “maintaining economic stability” may imply additional support

should challenges arise in second half of year 2021 (“2H21”).

In terms of monetary policy, Bank Negara Malaysia (“BNM”) at its fourth MPC

meeting of the year has decided to keep the Overnight Policy Rate (“OPR”)

unchanged at 1.75%. BNM did not changed their overall rhetoric on macroeconomic

conditions and expect the near-term growth should improve from second quarter

onwards as the increased pace of vaccine roll-out should lift sentiments. We believe

BNM will likely keep the OPR unchanged (1.75%) for the rest of the year 2021.

This is premised on the expectation of better economic growth in 2H21 and rising

inflation expectations. Furthermore, the US Federal Reserve (“Fed”)’s recent

hawkish shift is expected to put BNM on pause from any further monetary easing.

REVIEW OF FUND PERFORMANCE AND STRATEGY DURING THE

FINANCIAL PERIOD

The Fund has underperformed the benchmark by -6.68%. The Fund returned

-2.37%* against its benchmark 4.31%* during the financial period under review.

Despite the tougher regulatory and competitive pressures in major sectors in China

in year 2021, equities mitigated the drag from fixed income portion. Positive

attribution primarily came from our stock selection in the materials, communication

services and industrials. The overweight in Taiwan also added value.

* Source: Lipper Investment Management (“Lipper IM”), 6 July 2021

MARKET OUTLOOK AND STRATEGY GOING FORWARD

Year 2021 is the start of the 14th Five Year Plan (“FYP”) which is particularly

important for the Chinese economy, both politically and economically. Importantly,

it is also the 100th anniversary of the founding of the Chinese Communist Party. As

https://marquee.gs.com/research/trustedLink?opentoken=T1RLAQIRFfMGNWBLsIcAo2nhGIEXUrwEZxA04Ro2VUsdZNj1mXr3SrsPAACwxq3j7wOveh3ViHP1Dxsv-7TO912T6-q0dVCSBSsaWBMh7ZUtE-OkDlc7UNKagr2mr0Zv-tTR3W3zWKl6SOWqeSfP_UmIvLJMw6mVjurQ89lyHCoOggWG6CwxWtmiR1R6a4Da5wgkiGYwbF6EbdBcwbla0teSqoF8fFr00uruFWjbFy2EhTP3uGAGZvu6o2-1pAZOJpZTiiahNItvqup1Vbw9TCiAHs6wHO_duLoOlDg*&id=dfe715fe-f2b8-4073-8a5d-f11b0c9a1682&utm_medium=pa

5

we enter into year 2021, we expect China earnings per share (“EPS”) growth to

continue. We like structural themes – providing efficient healthcare to the masses

and improving its healthcare capabilities, renewable energy push towards carbon

neutrality, domestic tourism support and consumption and technological upgrades.

We continue our focus on domestic-oriented sectors as external headwinds and

geopolitical tensions remains in discussion. Additionally, we are positioned in

sectors that could benefit from a more permanent change in consumer behaviour due

to growing prevalence of e-commerce and income upgrade. The continuous focus

on manufacturing upgrade and renovation of old communities and logistic systems.

We are also mindful of policy headwinds in the real estate sector.

6

PERFORMANCE DATA

31.12.2020-

30.06.2021

%

Annual Total Returns

Year Ended 31 December

2020

%

2019

%

2018

%

2017

%

2016

%

RHB Golden Dragon

Fund

- Capital Return (2.37) 22.81 8.09 (7.74) 13.68 (5.15)

- Income Return - - - - - 7.56

- Total Return (2.37) 22.81 8.09 (7.74) 13.68 2.02

Golden Dragon Index

(RM) 4.31 15.92 13.01 (6.09) 16.20 6.02

Average Annual Returns

1 Year

30.06.2020-

30.06.2021

%

3 Years

30.06.2018-

30.06.2021

%

5 Years

30.06.2016-

30.06.2021

%

10 Years

30.06.2011-

30.06.2021

%

RHB Golden Dragon

Fund 10.38 6.70 8.72 5.69

Golden Dragon Index

(RM) 15.50 9.06 10.17 7.35

7

Performance of RHB Golden Dragon Fund

for the period from 30 June 2011 to 30 June 2021

Cumulative Return Over The Period (%)

Source: Lipper IM, 6 July 2021

The abovementioned performance figures are indicative returns based on daily Net

Asset Value of a unit (as per Lipper Database) since inception.

The calculation of the above returns is based on computation methods of Lipper.

Note : Past performance is not necessarily indicative of future performance and

unit prices and investment returns may go down, as well as up.

The abovementioned performance computations have been adjusted to

reflect distribution payments and unit splits wherever applicable.

8

As at

30 June 2021

As at 31 December

Fund Size 2020 2019 2018

Net Asset Value (RM million) 29.08 29.44 23.74 30.90

Units In Circulation (million) 44.69 44.17 43.75 61.54

Net Asset Value Per Unit (RM) 0.6507 0.6665 0.5427 0.5021

01.01.2021-

Financial Year Ended

31 December

Historical Data 30.06.2021 2020 2019 2018

Unit Prices

NAV - Highest (RM) 0.7632 0.6665 0.5563 0.5679

- Lowest (RM) 0.6146 0.5153 0.4947 0.5009

Distribution and Unit Split - - - -

Others

Management Expense Ratio

(MER) (%)# 0.99 2.05 2.06 2.08

Portfolio Turnover Ratio

(PTR) (times)## 0.34 0.70 0.93 0.56

# The MER for the financial period was lower compared with the previous

financial period due to higher average net asset value for the financial period

under review.

## The PTR for the financial period was lower compared with the previous

financial period due to higher average net asset value for the financial period

under review.

DISTRIBUTION

For the financial period under review, no distribution has been proposed by the Fund.

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PORTFOLIO STRUCTURE

The asset allocations of the Fund as at reporting date were as follows:

As at 30 June As at 31 December

2021 2020 2019 2018

Sectors % % % %

Equities

Consumer Products &

Services 19.35 16.76 10.83 7.25

Energy 0.89 0.69 1.52 0.72

Financial Services 9.67 11.10 11.52 13.42

Health Care 3.20 3.66 0.55 -

Industrial Products & Services 4.40 3.84 0.52 1.75

Materials 3.46 1.74 1.38 -

Property - 0.98 5.28 7.02

Technology 12.62 13.28 10.58 9.35

Telecommunications &

Media 12.75 12.11 10.11 2.39

Trading/Services - - - 2.52

66.34 64.16 52.29 44.42

Collective investment

schemes - - - 3.04

Unquoted fixed income

securities 22.14 31.30 46.17 48.15

Liquid assets and other net

current assets 11.52 4.54 1.54

4.39

100.00 100.00 100.00 100.00

The asset allocations of the Fund’s reflect the Manager stance to risk manage the

portfolio in the volatile markets.

10

BREAKDOWN OF UNIT HOLDINGS BY SIZE

Account Holders No. Of Units Held*

Size of Holdings No. % (‘000) %

5,000 and below 177 29.26 488 1.09

5,001 to 10,000 112 18.51 781 1.75

10,001 to 50,000 246 40.66 5,361 12.00

50,001 to 500,000 62 10.25 7,789 17.43

500,001 and above 8 1.32 30,266 67.73

Total 605 100.00 44,685 100.00

*Excluding Manager’s stock

SOFT COMMISSION

The Fund Manager may only receive soft commission in the form of research and

advisory services that assist in the decision-making process relating to the Fund’s

investments.

During the financial period under review, the soft commission received from the

brokers had been retained by the Manager as the goods and services provided are of

demonstrable benefit to the unitholders.

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UNAUDITED STATEMENT OF FINANCIAL POSITION

AS AT 30 JUNE 2021

Note 30.06.2021 31.12.2020

RM RM

ASSETS

Bank balances 5 3,058,138 389,299

Deposits with licensed financial

institutions 5 242,888

1,003,768

Investments 6 25,731,738 28,100,028

Amount due from brokers 437,546 -

Dividend receivables 34,525 8,755

Other receivables - 54

TOTAL ASSETS 29,504,835 29,501,904

LIABILITIES

Amount due to brokers 281,404 -

Amount due to Manager 74,271 -

Amount due to Trustee 1,414 1,462

Accrued management fee 42,422 43,846

Other payables and accruals 24,675 21,209

TOTAL LIABILITIES 424,186 66,517

NET ASSET VALUE

29,080,649

29,435,387

EQUITY

Unitholders’ capital 93,461,228 92,953,305

Accumulated losses (64,380,579) (63,517,918)

29,080,649 29,435,387

UNITS IN CIRCULATION (UNITS) 7 44,690,000 44,167,000

NET ASSET VALUE PER UNIT (RM) 0.6507 0.6665

The accompanying notes are an integral part of the financial statements.

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UNAUDITED STATEMENT OF INCOME AND EXPENSES

FOR THE FINANCIAL PERIOD ENDED 30 JUNE 2021

Note

01.01.2021-

30.06.2021

01.01.2020-

30.06.2020

RM RM

(LOSS)/INCOME

Dividend income 93,833 125,760

Interest income from deposits with

licensed financial institutions 6,603 1,608

Interest income from investments 290,430 315,555

Net (loss)/gain on investments 6 (893,050) 1,741,995

Net foreign currency exchange gain 16,572 95,185

(485,612) 2,280,103

EXPENSES

Management fee 8 (269,708) (211,163)

Trustee’s fee 9 (8,991) (7,039)

Audit fee (3,352) (3,362)

Tax agent’s fee (6,906) (17,765)

Transaction cost (68,373) (52,546)

Other expenses (19,719) (20,958)

(377,049) (312,833)

Net (loss)/income before taxation (862,661) 1,967,270

Taxation 10 - -

Net (loss)/income after taxation (862,661) 1,967,270

Net (loss)/income after taxation made

up as follow:

Realised amount 2,597,930 1,613,659

Unrealised amount (3,460,591) 353,611

(862,661) 1,967,270


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UNAUDITED STATEMENT OF CHANGES IN NET ASSET VALUE


Unitholders’

capital

Accumulated

losses

Total net

asset value

RM RM RM

Balance as at 1 January 2020 92,554,717 (68,815,228) 23,739,489

Movement in net asset value:

Net income after taxation - 1,967,270 1,967,270

Creation of units arising

from applications 285,875

- 285,875

Cancellation of units (1,607,167) - (1,607,167)

Balance as at 30 June 2020 91,233,425 (66,847,958) 24,385,467

Balance as at 1 January 2021 92,953,305 (63,517,918) 29,435,387

Movement in net asset value:

Net loss after taxation - (862,661) (862,661)

Creation of units arising from

applications 6,831,650

- 6,831,650

Cancellation of units (6,323,727) - (6,323,727)

Balance as at 30 June 2021 93,461,228 (64,380,579) 29,080,649


14


UNAUDITED STATEMENT OF CASH FLOWS


01.01.2021-

30.06.2021

01.01.2020-

30.06.2020

RM RM

CASH FLOWS FROM OPERATING

ACTIVITIES

Proceeds from redemption of investments 362,000 -

Proceeds from sale of investments 11,668,602 10,361,906

Purchase of investments (10,647,462) (8,843,844)

Interest received from unquoted fixed

income securities

152,597 313,457

Interest received from deposits with

financial institutions

6,603 1,608

Dividends received 59,135 79,210

Management fee paid (271,132) (211,602)

Trustee’s fee paid (9,039) (7,053)

Payment for other fees and expenses (17,571) (27,337)

Net cash generated from operating

activities

1,303,733 1,666,345

CASH FLOWS FROM FINANCING

ACTIVITIES

Cash proceeds from units created 6,831,650 285,875

Cash paid for units cancelled (6,249,456) (1,629,585)

Net cash generated from/(used in)

financing activities

582,194 (1,343,710)

Net increase in cash and cash equivalents 1,885,927 322,635

Foreign currency translation differences 22,032 91,624

Cash and cash equivalents at the

beginning of the financial period

1,393,067 515,192

Cash and cash equivalents at the end of

the financial period

3,301,026 929,451


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NOTES TO THE UNAUDITED FINANCIAL STATEMENTS


1. THE FUND, THE MANAGER AND THEIR PRINCIPAL ACTIVITIES

The RHB Golden Dragon Fund (hereinafter referred to as “the Fund”) was

constituted pursuant to the execution of a master deed dated 27 April 2004 as

modified via its first supplemental master deed dated 8 June 2004, second

supplemental master deed dated 19 October 2005, third supplemental master deed

dated 8 December 2005, fourth supplemental master deed dated 28 February 2006,

fifth supplemental master deed dated 9 March 2006, sixth supplemental master deed

dated 22 September 2006, seventh supplemental master deed dated 15 December

2006, eighth supplemental master deed dated 30 January 2007, ninth supplemental

master deed dated 9 April 2007, tenth supplemental master deed dated 14 May 2007,

eleventh supplemental master deed dated 15 May 2007, twelfth supplemental master

deed dated 27 June 2007, thirteenth supplemental master deed dated 24 December

2007, fourteenth supplemental master deed dated 28 February 2013, fifteenth

supplemental master deed dated 4 September 2013, sixteenth supplemental master

deed dated 2 March 2015, seventeenth supplemental master deed dated 8 May 2015,

eighteenth supplemental master deed dated 25 May 2015 and nineteenth

supplemental master deed dated 3 June 2015 (hereinafter referred to as “the Deeds”)

between RHB Asset Management Sdn Bhd (“the Manager”) and HSBC (Malaysia)

Trustee Berhad (“the Trustee”).

The Fund was launched on 8 May 2007 and will continue its operations until

terminated according to the conditions provided in the Deeds.

The principal activity of the Fund is to invest in Permitted Investments as defined

under the Deeds.

All investments will be subject to the Securities Commission’s (“SC”) Malaysia

Guidelines on Unit Trust Funds, SC requirements, the Deeds, except where

exemptions or variations have been approved by the SC, internal policies and

procedures and objective of the Fund.

The main objective of the Fund is to maximise total returns through a combination

of long term (between 5 – 7 years) growth of capital and current income.

The Manager, a company incorporated in Malaysia, and is a wholly-owned

subsidiary of RHB Investment Bank Berhad, effective 6 January 2003. Its principal

activities include rendering of investment management services, management of unit

trust funds and private retirement schemes and provision of investment advisory

services.

These financial statements were authorised for issue by the Manager on 23 August

2021.

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2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

2.1 Basis of preparation of the financial statements

The financial statements have been prepared under the historical cost convention, as

modified by the revaluation of financial assets and financial liabilities (including

derivative instruments) at fair value through profit or loss, except those as disclosed

in the summary of significant accounting policies, and in accordance with Malaysian

Financial Reporting Standards (“MFRS”) and International Financial Reporting

Standards (“IFRS”).

The preparation of financial statements in conformity with MFRS and IFRS requires

the use of certain critical accounting estimates and assumptions that affect the

reported amounts of assets and liabilities and disclosure of contingent assets and

liabilities at the date of the financial statements, and the reported amounts of income

and expenses during the financial period. It also requires the Manager to exercise its

judgement in the process of applying the Fund’s accounting policies. Although these

estimates and judgement are based on the Manager’s best knowledge of current

events and actions, actual results may differ.

(a) The Fund has applied the following amendments and interpretations for the

first time for the financial period beginning on 1 January 2021:

The Conceptual Framework for Financial Reporting (“Framework”)

(effective 1 January 2020)

The Framework was revised with the primary purpose to assist the

International Accounting Standards Board (“IASB”) to develop IFRS

that are based on consistent concepts and enable preparers to develop

consistent accounting policies where an issue is not addressed by an

IFRS.

Key changes include:

- increasing the prominence of stewardship in the objective of

financial reporting

- reinstating prudence as a component of neutrality

- defining a reporting entity, which may be a legal entity, or a

portion of an entity

- revising the definitions of an asset and a liability

- removing the probability threshold for recognition and adding

guidance on derecognition

- adding guidance on different measurement basis, and

17


(CONTINUED)

2.1 Basis of preparation of the financial statements (continued)

(a) The Fund has applied the following amendments and interpretations for the

first time for the financial period beginning on 1 January 2021: (continued)

The Conceptual Framework for Financial Reporting (“Framework”)

(effective 1 January 2020) (continued)

Key changes include: (continued)

- stating that profit or loss is the primary performance indicator and

that, in principle, income and expenses in other comprehensive

income should be recycled where this enhances the relevance or

faithful representation of the financial statements.

No changes are made to any of the current accounting standards.

However, entities that rely on the Framework in determining their

accounting policies for transactions, events or conditions that are not

otherwise dealt with under the accounting standards have to apply

the revised Framework from 1 January 2021.

Amendments to MFRS 101 and MFRS 108 ‘Definition of Material’

(effective 1 January 2020) clarify the definition of materiality and use

a consistent definition throughout MFRSs and the Conceptual

Framework for Financial Reporting.

The revised Framework and adoption of the amendments to published

standards did not have any impact on the current period or any prior period

and is not likely to affect future periods.

(b) A number of new standards, amendments to standards and interpretations are

effective for annual periods beginning after 1 January 2021, and have not been

early adopted in preparing these financial statements. None of these are

expected to have a material effect on the financial statements of the Fund.

18


(CONTINUED)

2.2 Financial assets

Classification

The Fund classifies its financial assets in the following measurement categories:

those to be measured subsequently at fair value through profit or loss

(“FVTPL”), and

those to be measured at amortised cost.

The Fund classifies its investments based on both the Fund’s business model for

managing those financial assets and the contractual cash flow characteristics of the

financial assets. The portfolio of financial assets is managed and performance is

evaluated on a fair value basis. The Fund is primarily focused on fair value

information and uses that information to assess the assets’ performance and to make

decisions. The Fund has not taken the option to irrevocably designate any equity

securities as fair value through other comprehensive income. The contractual cash

flows of the Fund’s debt securities are solely principal and interest, however, these

securities are neither held for the purpose of collecting contractual cash flows nor

held both for collecting contractual cash flows and for sale. The collection of

contractual cash flows is only incidental to achieving the Fund’s business model’s

objective. Consequently, all investments are measured at fair value through profit or

loss.

The Fund classifies cash and cash equivalents, amount due from brokers, dividend

receivables and other receivables as financial assets measured at amortised cost as

these financial assets are held to collect contractual cash flows consisting of the

amount outstanding.

Recognition and measurement

Regular purchases and sales of financial assets are recognised on the trade date - the

date on which the Fund commits to purchase or sell the asset. Financial assets and

financial liabilities at fair value through profit or loss are initially recognised at fair

value. Transaction costs are expensed as incurred in the statement of income and

expenses.

Financial assets are derecognised when the rights to receive cash flows from the

investments have expired or the Fund has transferred substantially all risks and

rewards of ownership.

19


(CONTINUED)

2.2 Financial assets (continued)

Recognition and measurement (continued)

Subsequent to initial recognition, all financial assets at fair value through profit or

loss are measured at fair value. Gains or losses arising from changes in the fair value

of the ‘financial assets at fair value through profit or loss’ category are presented in

statement of income and expenses within net gain or losses on investments in the

period in which they arise.

Dividend income from financial assets at fair value through profit or loss is

recognised in the statement of income and expenses within dividend income when

the Fund’s right to receive payments is established.

Interest on debt securities at fair value through profit or loss is recognised in the

statement of income and expenses.

Quoted investments are initially recognised at fair value and subsequently re-

measured at fair value based on the market price quoted on the relevant stock

exchanges at the close of the business on the valuation day, where the close price

falls within the bid-ask spread. In circumstances where the close price is not within

the bid-ask spread, the Manager will determine the point within the bid-ask spread

that is most representative of the fair value.

If a valuation based on the market price does not represent the fair value of the

securities, for example during abnormal market conditions or when no market price

is available, including in the event of a suspension in the quotation of the securities

for a period exceeding 14 days, or such shorter period as agreed by the Trustee, then

the securities are valued as determined in good faith by the Manager, based on the

methods or bases approved by the Trustee after appropriate technical consultation.

Unquoted fixed income securities denominated in Ringgit Malaysia are revalued on

a daily basis based on fair value prices quoted by a bond pricing agency (“BPA”)

registered with the SC as per the SC Malaysia Guidelines on Unit Trust Funds.

20


(CONTINUED)


Recognition and measurement (continued)

Where such quotations are not available or where the Manager is of the view that

the price quoted by the BPA price for a specific unquoted fixed income security

differs from the market price by more than 20 basis points, the Manager may use the

market price, provided that the Manager:

(i) Records its basis for using a non-BPA price;

(ii) Obtains necessary internal approvals to use the non-BPA price; and

(iii) Keeps an audit trail of all decisions and basis for adopting the market price.

Deposits with licensed financial institutions are stated at cost plus accrued interest

calculated on the effective interest method over the period from the date of

placement to the date of the statement of financial position, which is a reasonable

estimate of fair value due to the short-term nature of the deposits.

Financial assets at amortised cost are subsequently carried at amortised cost using

the effective interest method.

Impairment of financial assets

The Fund measures credit risk and expected credit losses using probability of

default, exposure at default and loss given default. Management considers both

historical analysis and forward-looking information in determining any expected

credit loss. Management considers the probability of default to be close to zero as

these instruments have a low risk of default and the counterparties have a strong

capacity to meet their contractual obligations in the near term. As a result, no loss

allowance has been recognised based on the 12-month expected credit losses as any

such impairment would be wholly insignificant to the Fund.

Significant increase in credit risk

A significant increase in credit risk is defined by management as any contractual

payment which is more than 30 days past due or a counterparty credit rating which

has fallen below BBB/Baa.

21


(CONTINUED)


Definition of default and credit-impaired financial assets

Any contractual payment which is more than 90 days past due is considered credit

impaired.

Write-off

The Fund writes off financial assets, in whole or in part, when it has exhausted all

practical recovery efforts and has concluded there is no reasonable expectation of

recovery. The assessment of no reasonable expectation of recovery is based on the

unavailability of debtor’s sources of income or assets to generate sufficient future

cash flows to repay the amount. The Fund may write off financial assets that are still

subject to enforcement activity. Subsequent recoveries of amounts previously

written off will result in impairment gains. There are no write-offs/recoveries during

the financial period.

2.3 Financial liabilities

Financial liabilities are classified according to the substance of the contractual

arrangements entered into and the definitions of a financial liability.

Financial liabilities, within the scope of MFRS 9, are recognised in the statement of

financial position when, and only when, the Fund becomes a party to the contractual

provisions of the financial instrument.

The Fund’s financial liabilities which include amount due to brokers, amount due to

Manager, amount due to Trustee, accrued management fee, and other payables and

accruals are recognised initially at fair value plus directly attributable transaction

cost and subsequently measured at amortised cost using the effective interest

method.

A financial liability is derecognised when the obligation under the liability is

extinguished. Gains and losses are recognised in statement of income and expenses

when the liabilities are derecognised, and through the amortisation process.

22


(CONTINUED)

2.4 Unitholders’ capital

The unitholders’ contributions to the Fund meet the criteria of the definition of

puttable instruments to be classified as equity instruments under MFRS 132

“Financial Instruments: Presentation”. These criteria include:

the units entitle the holder to a proportionate share of the Fund’s net asset value;

the units are the most subordinated class and class features are identical;

there is no contractual obligation to deliver cash or another financial asset other

than the obligation on the Fund to repurchase; and

the total expected cash flows from the units over its life are based substantially

on the statement of income and expenses of the Fund.

The outstanding units are carried at the redemption amount that is payable at each

financial year if the unitholders exercise the right to put the units back to the Fund.

Units are created and cancelled at prices based on the Fund’s net asset value per unit

at the time of creation or cancellation. The Fund’s net asset value per unit is

calculated by dividing the net assets attributable to unitholders with the total number

of outstanding units.

2.5 Income recognition

Dividend income from quoted investments is recognised when the Fund’s right to

receive payment is established. Dividend income is received from financial assets

measured at FVTPL.

Interest income from deposits with licensed financial institutions and unquoted fixed

income securities are recognised on an accrual basis using the effective interest

method.

Interest income is calculated by applying the effective interest rate to the gross

carrying amount of a financial asset except for financial assets that subsequently

become credit-impaired. For credit-impaired financial assets, the effective interest

rate is applied to the net carrying amount of the financial assets (after deduction of

the loss allowance).

Realised gain or loss on sale of quoted investments is arrived at after accounting for

cost of investments, determined on the weighted average cost method.

23


(CONTINUED)

2.5 Income recognition (continued)

Realised gain or loss on sale of unquoted fixed income securities are measured by

the difference between disposal proceeds and the carrying amount of investments

(adjusted for accretion of discount or amortisation of premium).

Net income or loss is the total of income less expenses.

2.6 Taxation

Current tax expense is determined according to Malaysian tax laws and includes all

taxes based upon the taxable income earned during the financial period.

Tax on dividend income from foreign quoted investments is based on the tax regime

of the respective countries that the Fund invests in.

2.7 Cash and cash equivalents

For the purpose of the statement of cash flows, cash and cash equivalents comprise

bank balances and deposits with licensed financial institutions which are subject to

an insignificant risk of changes in value.

2.8 Amount due from/to brokers

Amounts due from/to brokers represent receivables for securities sold and payables

for securities purchased that have been contracted for but not yet settled or delivered

on the date of the statement of financial position respectively. The amount due from

brokers balance is held for collection.

These amounts are recognised initially at fair value and subsequently measured at

amortised cost. At each reporting date, the Fund shall measure the loss allowance on

amounts due from brokers at an amount equal to the lifetime expected credit losses

if the credit risk has increased significantly since initial recognition. If, at the

reporting date, the credit risk has not increased significantly since initial recognition,

the Fund shall measure the loss allowance at an amount equal to 12-month expected

credit losses. Significant financial difficulties of the brokers, probability that the

brokers will enter bankruptcy or financial reorganisation, and default in payments

are all considered indicators that a loss allowance may be required.

24


(CONTINUED)

2.9 Presentation and functional currency

Items included in the financial statements of the Fund are measured using the

currency of the primary economic environment in which the Fund operates (the

“functional currency”). The financial statements are presented in Ringgit Malaysia

(“RM”), which is the Fund’s presentation and functional currency.

Due to mixed factors in determining the functional currency of the Fund, the

Manager has used its judgement to determine the functional currency that most

faithfully represents the economic effects of the underlying transactions, events and

conditions and have determined the functional currency to be in RM primarily due

to the following factors:

Part of the Fund’s cash is denominated in RM for the purpose of making

settlement of the creation and cancellation.

The Fund’s units are denominated in RM.

The Fund’s significant expenses are denominated in RM.

2.10 Foreign currency translation

Foreign currency transactions in the Fund are accounted for at exchange rates

prevailing at the transaction dates. Foreign currency monetary assets and liabilities

are translated at exchange rates prevailing at the reporting date. Exchange

differences arising from the settlement of foreign currency transactions and from the

translation of foreign currency monetary assets and liabilities are recognised in

statement of income and expenses.

25

3. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

The Fund is exposed to a variety of risks, which include market risk, price risk,

interest rate risk, currency risk, credit risk, liquidity risk and capital risk.

Financial risk management is carried out through internal control processes adopted

by the Manager and adherence to the investment restrictions as stipulated in the SC

Malaysia Guidelines on Unit Trust Funds.

Market risk

Securities may decline in value due to factors affecting securities markets generally

or particular industries represented in the securities markets. The value of a security

may decline due to general market conditions which are not specifically related to a

particular company, such as real or perceived adverse economic conditions, changes

in the general outlook for corporate earnings, changes in interest or currency rates

or adverse investors’ sentiment generally. They may also decline due to factors that

affect a particular industry or industries, such as labour shortages or increased

production costs and competitive conditions within an industry. Equity securities

generally have greater price volatility than fixed income securities. The market price

of securities owned by a unit trust fund might go down or up, sometimes rapidly or

unpredictably.

Price risk

Price risk is the risk that the fair value of the investments of the Fund will fluctuate

because of changes in market prices.

The Fund is exposed to equity securities (other than those arising from interest rate

risk) price risk for its investments of RM19,292,673 (31.12.2020: RM18,887,383)

in quoted investments.

The Fund is also exposed to price risk arising from interest rate risk in relation to its

investments of RM6,439,065 (31.12.2020: RM9,212,645) in unquoted fixed income

securities. The Fund’s exposure to price risk arising from interest rate risk and the

related sensitivity analysis are disclosed in “Interest rate risk” below.

The sensitivity analysis is based on the assumption that the price of the quoted

investments fluctuate by +/(-) 5% with all other variables held constant, the impact

on statement of income and expense and net asset value is +/(-) RM964,634

(31.12.2020: RM944,369).

26


(CONTINUED)

Interest rate risk

In general, when interest rates rise, unquoted fixed income securities prices will tend

to fall and vice versa. Therefore, the net asset value of the Fund may also tend to fall

when interest rates rise or are expected to rise. In order to mitigate interest rates

exposure of the Fund, the Manager will manage the duration of the portfolio via

shorter or longer tenured assets depending on the view of the future interest rate

trend of the Manager, which is based on its continuous fundamental research and

analysis.

This risk is crucial since unquoted fixed income securities portfolio management

depends on forecasting interest rate movements. Prices of unquoted fixed income

securities move inversely to interest rate movements, therefore as interest rates rise,

the prices of unquoted fixed income securities decrease and vice versa. Furthermore,

unquoted fixed income securities with longer maturity and lower yield coupon rates

are more susceptible to interest rate movements.

The table below summarises the sensitivity of the Fund’s profit or loss and net asset

value as at reporting date to movements in prices of unquoted fixed income securities

held by the Fund as a result of movement in interest rate fluctuation by +/(-) 1% with

all other variables held constant.

% Change in

interest rate

Impact on profit

or loss and net asset value

30.06.2021 31.12.2020

RM RM

+1% (27,655) (36,805)

- 1% 28,110 37,108

The Fund’s exposure to interest rate risk arises from investment in money market

instruments is expected to be minimal as the Fund’s investments comprise mainly

short term deposits with approved licensed financial institutions.

27


(CONTINUED)

Currency risk

Currency risk is associated with financial instruments that are quoted and/or priced

in foreign currency denomination. Malaysian based investor should be aware that if

the Ringgit Malaysia appreciates against the currencies in which the portfolio of the

investment is denominated, this will have an adverse effect on the net asset value of

the Fund and vice versa. The Fund did not have any significant financial liabilities

denominated in foreign currencies as at the financial period end date.

The Manager or its fund management delegate could utilise two pronged approaches

in order to mitigate the currency risk; firstly by spreading the investments across

different currencies (i.e. diversification) and secondly, by hedging the currencies

when it deemed necessary.

The analysis is based on the assumption that the foreign exchange rate fluctuates by

+/(-) 5%, with all other variables remain constants, the impact on statement of

income and expenses and net asset value is +/(-) RM1,124,642 (31.12.2020:

RM961,632).

The following table sets out the currency risk concentration of the Fund:

Investments

Cash and

cash

equivalents

Other

financial

assets/

(liabilities)*

Total

RM RM RM RM

30.06.2021

Chinese Yuan 1,674,422 15,354 1,395 1,691,171

Hong Kong Dollar 9,316,028 - 339,469 9,655,497

Taiwan Dollar 4,062,247 - 4,408 4,066,655

United States Dollar 4,239,976 2,994,154 (154,605) 7,079,525

19,292,673 3,009,508 190,667 22,492,848

31.12.2020

Chinese Yuan 1,271,910 14,024 - 1,285,934

Hong Kong Dollar 9,540,978 - - 9,540,978

Taiwan Dollar 3,346,707 - 8,809 3,355,516

United States Dollar 4,727,788 322,416 - 5,050,204

18,887,383 336,440 8,809 19,232,632

* Comprise of amount due from/(to) brokers, dividend receivables and other

receivables.

28


(CONTINUED)

Credit risk

Credit risk refers to the possibility that the issuer of a particular investment will not

be able to make timely or full payments of principal or income due on that

investment. For investments in fixed income securities, risk is minimised by

spreading its maturity profile. The credit risk arising from cash and cash equivalents

is managed by ensuring that the Fund will only maintain cash balances and place

deposits with reputable licensed financial institutions. For amount due from brokers,

the settlement terms are governed by the relevant rules and regulations as prescribed

by the Bursa Malaysia Securities Berhad (“Bursa Malaysia”). The settlement terms

of the proceeds from the creation of units receivable from the Manager are governed

by the SC Malaysia Guidelines on Unit Trust Funds.

The following table sets out the credit risk concentration of the Fund:

Investments

Cash and

cash

equivalents

Other

financial

assets*

Total

RM RM RM RM

30.06.2021

AAA - 3,301,026 - 3,301,026

AA3 167,424 - - 167,424

BBB 4,054,432 - - 4,054,432

C3 699,238 - - 699,238

C 1,517,971 - - 1,517,971

Other - - 472,071 472,071

6,439,065 3,301,026 472,071 10,212,162

31.12.2020

AAA - 1,393,067 - 1,393,067

AA3 175,715 - - 175,715

AA- 4,555,321 - - 4,555,321

BBB 3,139,866 - - 3,139,866

BB1 1,341,743 - - 1,341,743

Other - - 8,809 8,809

9,212,645 1,393,067 8,809 10,614,521

* Comprise of amount due from brokers, dividend receivables and other receivables.

29


(CONTINUED)

Liquidity risk

Liquidity risk is the risk that the Fund will encounter difficulty in meeting its

financial obligations.

Liquidity risk exists when particular investments are difficult to sell. As such, the

Fund may not be able to sell such illiquid investments at an advantageous time or

price to meet its liquidity requirements. Unit trust funds with principal investment

strategies that involve securities or securities with substantial market and/or credit

risk tend to have the greater exposure to liquidity risk. As part of its risk

management, the Manager will attempt to manage the liquidity of the Fund through

asset allocation and diversification strategies within the portfolio. The Manager will

also conduct constant fundamental research and analysis to forecast future liquidity

of its investments.

The table below summarises the Fund’s financial liabilities into relevant maturity

groupings based on the remaining period from the statement of financial position

date to the contractual maturity date. The amounts in the table are the contractual

undiscounted cash flows.

Less than

1 month

Between 1 month

to 1 year

RM RM

30.06.2021

Amount due to brokers 281,404 -

Amount due to Manager 74,271 -

Amount due to Trustee 1,414 -

Accrued management fee 42,422 -

Other payables and accruals - 24,675

399,511 24,675

31.12.2020

Amount due to Trustee 1,462 -

Accrued management fee 43,846 -

Other payables and accruals - 21,209

45,308 21,209

30


(CONTINUED)

Capital risk

The capital of the Fund is represented by equity consisting of unitholders’ capital of

RM93,461,228 (31.12.2020: RM92,953,305) and accumulated losses of

RM64,380,579 (31.12.2020: RM63,517,918). The amount of equity can change

significantly on a daily basis as the Fund is subject to daily subscriptions and

redemptions at the discretion of unitholders. The Fund’s objective when managing

capital is to safeguard the Fund’s ability to continue as a going concern in order to

provide returns for unitholders and benefits for other stakeholders and to maintain a

strong capital base to support the development of the investment activities of the

Fund.

4. FAIR VALUE ESTIMATION

Fair value is defined as the price that would be received to sell an asset or paid to

transfer a liability in an orderly transaction between market participants at the

measurement date (i.e. an exit price).

The fair value of financial assets and liabilities traded in an active market (such as

publicly traded derivatives and trading securities) are based on quoted market prices

at the close of trading on the financial period end date.

An active market is a market in which transactions for the assets or liabilities take

place with sufficient frequency and volume to provide pricing information on an

ongoing basis.

The fair value of financial assets and liabilities that are not traded in an active market

is determined by using valuation techniques. The Fund uses a variety of methods

and makes assumptions that are based on market conditions existing at each financial

period end date. Valuation techniques used for non-standardised financial

instruments such as options, currency swaps and other over-the-counter derivatives,

include the use of comparable recent transactions, reference to other instruments that

are substantially the same, discounted cash flow analysis, option pricing models and

other valuation techniques commonly used by market participants making the

maximum use of market inputs and relying as little as possible on entity-specific

inputs.

31

4. FAIR VALUE ESTIMATION (CONTINUED)

The fair values are based on the following methodologies and assumptions:

(i) For bank balances and deposits with licensed financial institutions with

maturities less than 1 year, the carrying value is a reasonable estimate of fair

value.

(ii) The carrying value of receivables and payables are assumed to approximate

their fair values due to their short term nature.

Fair value hierarchy

The Fund adopted MFRS 13 “Fair Value Measurement” in respect of disclosures

about the degree of reliability of fair value measurement. This requires the Fund to

classify fair value measurements using a fair value hierarchy that reflects the

significance of the inputs used in making the measurements. The fair value hierarchy

has the following levels:

Level 1: Quoted prices (unadjusted) in active market for identical assets or

liabilities

Level 2: Inputs other than quoted prices included within Level 1 that are

observable for the asset or liability, either directly (that is, as prices) or

indirectly (that is, derived from prices)

Level 3: Inputs for the asset and liability that are not based on observable market

data (that is, unobservable inputs)

The following table analyses within the fair value hierarchy the Fund’s financial

assets at fair value through profit or loss (by class) measured at fair value:

Level 1 Level 2 Level 3 Total

RM RM RM RM

30.06.2021

Investments:

- Quoted investments 19,292,673 - - 19,292,673

- Unquoted fixed income

securities - 6,439,065 - 6,439,065

Total 19,292,673 6,439,065 - 25,731,738

32

4. FAIR VALUE ESTIMATION (CONTINUED)

The following table analyses within the fair value hierarchy the Fund’s financial

assets at fair value through profit or loss (by class) measured at fair value:

(continued)

Level 1 Level 2 Level 3 Total

RM RM RM RM

31.12.2020

Investments:

- Quoted investments 18,887,383 - - 18,887,383

- Unquoted fixed income

securities - 9,212,645 - 9,212,645

Total 18,887,383 9,212,645 - 28,100,028

Investments in active listed equities, i.e. quoted investments whose value is based

on quoted market prices in active markets are classified within Level 1. The Fund

does not adjust the quoted prices for these instruments.

Financial instruments that trade in markets that are considered to be active but are

valued based on quoted market prices, dealer quotations or alternative pricing

sources supported by observable inputs are classified within Level 2. This includes

unquoted fixed income securities. As Level 2 instruments include positions that are

not traded in active markets and/or are subject to transfer restrictions, valuations may

be adjusted to reflect illiquidity and/or non-transferability, which are generally based

on available market information.

The Fund’s policies on valuation of these financial assets are stated in Note 2.2.

5. CASH AND CASH EQUIVALENTS

Cash and cash equivalents comprise:

30.06.2021 31.12.2020

RM RM

Bank balances 3,058,138 389,299

Deposits with licensed financial institutions 242,888 1,003,768

3,301,026 1,393,067

33

6. INVESTMENTS

30.06.2021 31.12.2020

RM RM

Investments:

- Quoted investments - foreign 19,292,673 18,887,383

- Unquoted fixed income securities - local 6,439,065 9,212,645

25,731,738 28,100,028

01.01.2021-

30.06.2021

01.01.2020-

30.06.2020 RM RM

Net (loss)/gain on investments comprised:

- Net realised gain on disposal 2,589,712 1,480,007

- Net unrealised (loss)/gain on changes in fair

value (3,482,762) 261,988

(893,050) 1,741,995

Investments as at 30 June 2021 are as follows:

Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %

QUOTED INVESTMENTS –

FOREIGN

CHINA

Consumer Products &

Services

China Tourism Group Duty

Free Corporation Ltd 1,600 191,254 308,215 1.06

Industrial Products &

Services

Contemporary Amperex

Technology Co Ltd 1,200 121,620 411,946 1.42

Materials

Yunnan Energy New

Material Co Ltd 3,100 204,816 465,833 1.60

34

6. INVESTMENTS (CONTINUED)

Investments as at 30 June 2021 are as follows: (continued)

Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %


FOREIGN (CONTINUED)

CHINA (CONTINUED)

Technology

GoerTek Inc 9,000 155,119 246,913 0.85

Maxscend Microelectronics

Co Ltd 700 185,373 241,515 0.83

340,492 488,428 1.68

TOTAL CHINA 858,182 1,674,422 5.76

HONG KONG

Consumer Products &

Services

Alibaba Group Holding Ltd 4,700 611,271 552,363 1.90

BYD Co Ltd 3,500 326,254 434,144 1.49

China Resources Beer

Holdings Co Ltd 6,000 207,408 223,563 0.77

Geely Automobile Holdings

Ltd 28,000 247,032 365,713 1.26

JD.com Inc 1,800 291,560 293,660 1.01

Meituan 4,100 374,318 701,747 2.41

2,057,843 2,571,190 8.84

Energy

CNOOC Ltd 55,000 267,089 259,434 0.89

35



Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %


FOREIGN (CONTINUED)

HONG KONG (CONTINUED)

Financial Services

AIA Group Ltd 10,000 432,360 515,503 1.77

BOC Hong Kong Holdings Ltd 20,000 290,613 281,523 0.97

China Merchants Bank Co Ltd 19,500 631,949 690,120 2.38

Hong Kong Exchanges and

Clearing Ltd 2,100 355,548 519,178 1.78

Ping An Insurance Group Co

of China Ltd 5,500 149,825 223,443 0.77

1,860,295 2,229,767 7.67

Health Care

Hangzhou Tigermed

Consulting Co Ltd 3,700 293,820 359,730 1.24

Wuxi Biologics Cayman Inc 7,500 120,793 570,125 1.96

414,613 929,855 3.20


Services

Air China Ltd 88,000 280,182 268,425 0.92

Xinyi Glass Holdings Ltd 26,000 320,404 439,593 1.51

Zoomlion Heavy Industry

Science and Technology

Co Ltd 36,800 153,994 159,824 0.55

754,580 867,842 2.98

Materials

Angang Steel Co Ltd 112,000 298,663 294,365 1.01

Jiangxi Copper Co Ltd 29,000 142,962 246,320 0.85

441,625 540,685 1.86

36



Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %


FOREIGN (CONTINUED)


Technology

GDS Holdings Ltd 4,900 230,722 201,292 0.69


Media

Baidu Inc 2,050 224,672 218,365 0.75

Kuaishou Technology Co Ltd 1,800 298,950 187,312 0.64

Tencent Holdings Ltd 4,200 699,240 1,310,286 4.51

1,222,862 1,715,963 5.90

TOTAL HONG KONG 7,249,629 9,316,028 32.03

TAIWAN

Consumer Products &

Services

Eclat Textile Co Ltd 4,000 277,608 390,451 1.34

Makalot Industrial Co Ltd 10,375 270,149 423,001 1.46

547,757 813,452 2.80

Financial Services

Fubon Financial Holding Co

Ltd 26,000 277,942 285,904 0.98

Yuanta Financial Holding Co

Ltd 74,000 177,901 295,651 1.02

455,843 581,555 2.00

37



Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %


FOREIGN (CONTINUED)

TAIWAN (CONTINUED)

Technology

ASUSTek Computer Inc 4,000 229,060 221,117 0.76

Hon Hai Precision Industry Co

Ltd 32,000 535,708 533,299 1.83

Mediatek Inc 2,000 178,040 286,291 0.98

Taiwan Semiconductor

Manufacturing Company

Ltd 15,000 515,053 1,328,040 4.57

Vanguard International

Semiconductor Corporation 17,000 287,158 298,493 1.03

1,745,019 2,667,240 9.17

TOTAL TAIWAN 2,748,619 4,062,247 13.97

UNITED STATES

Consumer Products &

Services

Alibaba Group Holding Ltd 921 511,797 866,349 2.98

JD.com Inc 704 187,675 233,055 0.80

NIO Inc 1,512 289,793 333,650 1.15

Trip.com Group Ltd 2,139 241,466 314,614 1.08

Vipshop Holdings Ltd 2,246 270,901 187,069 0.64

1,501,632 1,934,737 6.65

Technology

Daqo New Energy Corporation 1,167 443,030 314,736 1.08

38



Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %


FOREIGN (CONTINUED)

UNITED STATES

(CONTINUED)

Telecommunications & Media

Baidu Inc 976 551,887 825,459 2.84

Bilibili Inc 871 157,783 440,186 1.51

NetEase Inc 802 234,326 383,392 1.32

Tencent Music Entertainment

Group 5,318 390,651 341,466 1.18

1,334,647 1,990,503 6.85

TOTAL UNITED STATES 3,279,309 4,239,976 14.58

TOTAL QUOTED INVESTMENTS –

FOREIGN 14,135,739 19,292,673 66.34

Name of Counter

Rating

Nominal

Value

Cost

Fair Value

% of Net

Asset

Value

RM RM RM %

UNQUOTED FIXED INCOME

SECURITIES – LOCAL

Alpha Circle Sdn Bhd –

5.45% (19/11/2021) BBB 890,000 895,617 896,293 3.08


5.45% (23/02/2022) BBB 405,000 407,575 407,685 1.40


5.60% (18/11/2022) BBB 243,000 244,564 243,661 0.84


5.60% (18/11/2022) BBB 2,500,000 2,531,377 2,506,793 8.62

MEX I Capital Bhd –

2.50% (24/01/2030) C3* 1,500,000 1,240,845 439,145 1.51

39



Name of Counter

Rating

Nominal

Value

Cost

Fair Value

% of Net

Asset

Value

RM RM RM %


SECURITIES – LOCAL (CONTINUED)

MEX I Capital Bhd –

2.50% (22/01/2031) C3* 1,000,000 764,735 260,093 0.89

MEX II Sdn Bhd –

6.20% (29/04/2032) C** 4,300,000 4,713,191 1,517,971 5.22

Tanjung Bin Energy

Issuer Bhd – 6.20%

(16/03/2032) AA3 140,000 156,587 167,424 0.58

TOTAL UNQUOTED FIXED INCOME

SECURITIES – LOCAL 10,954,491 6,439,065 22.14

TOTAL INVESTMENTS 25,090,230 25,731,738 88.48

Investments as at 31 December 2020 are as follows:

Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %

QUOTED INVESTMENTS

– FOREIGN

CHINA

Consumer Products &

Services

China Tourism Group Duty

Free Corporation Ltd 1,600 191,254 279,513 0.95

40


Investments as at 31 December 2020 are as follows: (continued)

Name of Counter Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %


FOREIGN (CONTINUED)

CHINA (CONTINUED)

Financial Services

Huatai Securities Company

Ltd 21,500 244,898 239,492 0.81


Services

Contemporary Amperex

Technology Co Ltd 1,200 121,620 260,594 0.89

Jiangsu Hengli Hydraulic Co

Ltd 3,400 139,007 237,628 0.81

260,627 498,222 1.70

Technology

Hundsun Technologies Inc 2,000 122,344 129,761 0.44

Luxshare Precision Industry

Co Ltd 3,599 83,347 124,922 0.42

205,691 254,683 0.86

TOTAL CHINA 902,470 1,271,910 4.32

HONG KONG

Consumer Products &

Services

Alibaba Group Holding Ltd 2,000 282,796 241,067 0.82

BYD Co Ltd 1,500 55,448 157,947 0.54

China Mengniu Dairy Co Ltd 14,000 285,992 339,525 1.15

China Resources Beer

Holdings Co Ltd 4,000 126,774 147,998 0.50

Geely Automobile Holdings

Ltd 28,000 247,032 384,504 1.31

41



Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %


FOREIGN (CONTINUED)


Consumer Products &

Services (Continued)

Meituan 4,100 374,318 625,913 2.12

1,372,360 1,896,954 6.44

Energy

CNOOC Ltd 55,000 267,089 204,637 0.69

Financial Services

AIA Group Ltd 10,000 432,360 492,290 1.67

China Construction Bank

Corporation 202,000 628,010 616,544 2.10

China Life Insurance Co Ltd 48,000 465,311 425,339 1.45

Hong Kong Exchanges and

Clearing Ltd 2,100 355,548 462,494 1.57

Industrial and Commercial

Bank of China Ltd 59,000 140,493 153,786 0.52

Ping An Insurance Group Co

of China Ltd 5,500 149,825 270,760 0.92

2,171,547 2,421,213 8.23

Health Care

Hangzhou Tigermed

Consulting Co Ltd 3,400 203,870 316,258 1.07

Innovent Biologics Inc 4,000 127,131 170,073 0.58

Pharmaron Beijing Co Ltd 2,800 138,662 190,076 0.65

Wuxi Biologics Cayman Inc 7,500 120,794 399,532 1.36

590,457 1,075,939 3.66

42



Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %


FOREIGN (CONTINUED)



Services

Air China Ltd 88,000 280,182 278,170 0.94

Zoomlion Heavy Industry

Science And Technology

Co Ltd 73,600 307,988 354,697 1.20

588,170 632,867 2.14

Materials

Angang Steel Co Ltd 70,000 112,642 114,626 0.39

Anhui Conch Cement Co Ltd 8,500 221,008 213,848 0.73

Jiangxi Copper Co Ltd 29,000 142,962 183,039 0.62

476,612 511,513 1.74

Property

China Resources Land Ltd 8,000 133,843 132,659 0.45

CIFI Holdings Group Co Ltd 46,000 141,155 156,610 0.53

274,998 289,269 0.98

Technology

Kingdee International

Software Group Ltd 23,000 263,692 376,628 1.28

Xiaomi Corporation 11,800 113,845 203,010 0.69

377,537 579,638 1.97


Media

Tencent Holdings Ltd 6,600 895,324 1,928,948 6.55

TOTAL HONG KONG 7,014,094 9,540,978 32.40

43



Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %


FOREIGN (CONTINUED)

TAIWAN

Consumer Products &

Services

Makalot Industrial Co Ltd 5,000 103,884 136,922 0.46

Financial Services

Yuanta Financial Holding Co

Ltd 111,000 222,802 326,190 1.11

Technology

Mediatek Inc 5,000 445,099 534,105 1.82

Taiwan Semiconductor

Manufacturing Co Ltd 31,000 1,064,444 2,349,490 7.98

1,509,543 2,883,595 9.80

TOTAL TAIWAN 1,836,229 3,346,707 11.37

UNITED STATES

Consumer Products &

Services

Alibaba Group Holding Ltd 921 511,797 861,193 2.93

JD.com Inc 1,809 482,250 638,875 2.17

New Oriental Education and

Technology Group Inc 430 148,182 321,015 1.09

Pinduoduo Inc 716 255,829 511,111 1.74

Trip.com Group Ltd 2,139 241,466 289,878 0.98

1,639,524 2,622,072 8.91

Financial Services

Lufax Holding Ltd 4,897 253,276 279,387 0.95

Technology

Kingsoft Cloud Holdings Ltd 1,084 112,769 189,673 0.65

44



Name of Counter

Quantity

Cost

Fair Value

% of Net

Asset

Value

RM RM %


FOREIGN (CONTINUED)

UNITED STATES (CONTINUED)


Media

Baidu Inc 976 551,887 847,957 2.88

Bilibili Inc 1,394 252,525 480,102 1.63

NetEase Inc 802 234,327 308,597 1.05

1,038,739 1,636,656 5.56

TOTAL UNITED STATES 3,044,308 4,727,788 16.07

TOTAL QUOTED INVESTMENTS –

FOREIGN 12,797,101 18,887,383 64.16

Name of Counter

Rating

Nominal

Value

Cost

Fair Value

% of Net

Asset

Value

RM RM RM %


SECURITIES – LOCAL


5.30% (02/23/2021) AA- 362,000 364,249 365,303

1.24


5.45% (02/23/2022) AA- 405,000 407,551 416,591

1.41


5.45% (19/11/2021) AA- 890,000 895,574 911,361

3.10


5.60% (18/11/2022) AA- 243,000 244,558 253,548

0.86


5.60% (18/11/2022) AA- 2,500,000 2,536,524 2,608,518

8.86

45



Name of Counter

Rating

Nominal

Value

Cost

Fair Value

% of Net

Asset

Value

RM RM RM %


SECURITIES – LOCAL (CONTINUED)

MEX I Capital Bhd

(F.k.a. Bright Focus

Bhd) – 2.50%

(24/01/2030) BB1* 1,500,000 1,228,740 827,696

2.81

MEX I Capital Bhd

(f.k.a. Bright Focus

Bhd) – 2.50%

(22/01/2031) BB1* 1,000,000 755,623 514,047

1.75

MEX II Sdn Bhd –

6.20% (29/04/2032) BBB** 4,300,000 4,588,787 3,139,866

10.67

Tanjung Bin Energy

Issuer Bhd – 6.20%

(16/03/2032) AA3 140,000 157,051 175,715

0.60

TOTAL UNQUOTED FIXED INCOME

SECURITIES – LOCAL 11,178,657 9,212,645

31.30

TOTAL INVESTMENTS 23,975,758 28,100,028 95.46

* MEX I Capital Bhd formerly known as Bright Focus Bhd (“MEX I Capital”)

RM1.35 billion Sukuk Musharakah

On 23 April 2020, RAM lifted the Negative Rating Watch on MEX I Capital and reaffirmed

its BB1 rating with a Negative outlook. RAM had earlier downgraded MEX I Capital’s

rating to A1 from AA2 on 16 November 2018 and subsequently to BB1 on 3 June 2019

premised on the severe impairment in its debt-servicing metrics following unauthorized

intercompany advances amounting to RM97.7 million by Maju Expressway Sdn Bhd

(“MESB”) to Maju Holdings Sdn Bhd (“Maju Holdings”), in addition to a deterioration in

MESB’s projected annual cash flows.

46


* MEX I Capital Bhd formerly known as Bright Focus Bhd (“MEX I Capital”)

RM1.35 billion Sukuk Musharakah (continued)

On 24 June 2020, the High Court dismissed the legal action commenced by the Trustee

for the Sukukholders against MESB, MEX I Capital and Maju Holdings to recover the

unauthorized intercompany advances made earlier by MESB to Maju Holdings, with

costs of RM10,000. The Judge found that the Trustee has no proprietary interest in the

intercompany advances from MESB to Maju Holdings hence, no grounds to compel

Maju Holdings to repay MESB. On 17 July 2020, Messrs. Lee Hishamuddin Allen &

Gledhill as legal counsel to the Trustee (acting for and behalf of the Sukukholders) filed

a Notice of Appeal. The Appeal is now fixed for case management on 19 August 2021

after the Court vacated the hearing of the Appeal originally scheduled for 24 June 2021

in light of the Movement Control Order. A final injunction was earlier granted by the

Court on 14 August 2019 restraining MESB from making any further advances to Maju

Holdings or any other party throughout the remaining tenure of the Sukuk. The longest

Sukuk tranche matures on 23 January 2031.

On 19 March 2021, RAM further downgraded the rating of MEX I Capital to

C3/Negative, from BB1/Negative, mainly premised on its persistent liquidity problems

and heightened default risk amid sharply lower traffic volumes along the Maju

Expressway due to COVID-19-led restrictions on mobility.

On 15 June 2021, MEX I Capital received a scheduled profit payment of RM8.5 million

on the Islamic Medium Term Notes (“IMTN”) issued by MESB under the existing

transaction structure notwithstanding MESB’s default on its IMTN principal repayment

of RM50 million to MEX I Capital on the same date. Sukukholders have allowed the

default at MESB to subsist until the proposed restructuring of the Sukuk. There is no

immediate credit impact on the Sukuk arising from MESB’s default on the IMTN

principal.

On 26 July 2021, MEX I Capital fulfilled its obligation on the Sukuk with full and timely

profit payment of RM25.9 million from monies previously ring-fenced for the sole

benefit of Sukukholders in a reserve account. Pursuant to the recent Sukuk profit

payment, MEX I Capital will need to top up the reserve account by 25 August to meet

the minimum required balance of RM95.9 million ahead of the next immediate principal

and profit payment due in January 2022.

The proposed restructuring was not approved by Sukukholders after failing to obtain the

minimum 75% vote from Sukukholders during the virtual Extraordinary General

Meeting on 19 July 2021. The Financial Adviser is expected to re-table the restructuring

proposal for Sukukholders’ approval by late September 2021, subject to meeting the

requirements of those Sukukholders requiring a different Shariah approach from that

which has been endorsed by the Shariah Adviser for the proposed restructuring.

47


** MEX II Sdn Bhd (“MEX II”)

RM1.30 billion Sukuk Murabahah Programme

On 18 October 2019, MARC had downgraded the rating of MEX II RM1.3 billion

Sukuk Murabahah Programme from AA- to A whilst maintaining the rating on a

negative outlook premised on rising completion risk and increased uncertainty with

regard to completion and associated tolling date of the 16.8-km Lebuhraya KLIA

(MEX Extension) project. MARC further placed MEX II’s ratings on MARCWatch

Negative on 22 May 2020 due to the lack of construction progress at the Expressway.

On 30 October 2020, MEX II fulfilled its obligation on the Sukuk with a full and

timely profit payment of circa RM39 million from monies previously ring-fenced for

the sole benefit of Sukukholders in a reserve account.

On 18 November 2020, MARC downgraded MEX II’s ratings to BBB from A and

the rating remained on MARCWatch Negative following concerns on MEX II’s

timely ability to obtain additional financing to meet its debt obligations in April 2021

and complete a sukuk restructuring exercise.

On 9 February 2021, MARC further downgraded the rating to BB from BBB while

maintaining the rating on MARCWatch Negative due to escalating risk that MEX II

may not be able to obtain a liquidity line in time to meet Sukuk principal and profit

payments of RM68.7 million due on 29 April 2021.

On 26 March 2021, MARC downgraded MEX II’s rating to C from BB while

maintaining the rating on MARCWatch Negative due to mounting liquidity pressure

and the risk of missing the upcoming Sukuk payments on 29 April 2021, further

highlighting that MEX II’s viability rests on a successful Sukuk restructuring through

which additional funding will be available to complete the Expressway.

On 26 April 2021, Sukukholders holding in aggregate not less than 75% of the

nominal value of the Sukuk had consented to the deferment of Sukuk principal and

profit amounting to RM68.7 million originally due on (i) 28 April 2021 (i.e., principal

repayment of RM30 million and the profit payment in respect of this tranche only)

and (ii) 30 April 2021 (i.e., profit payments in respect of the other tranches) for 4

months until 27 August 2021.

48


** MEX II Sdn Bhd (“MEX II”)

RM1.30 billion Sukuk Murabahah Programme (continued)

Overall construction of the Expressway stood at circa 86%. MEX II shall be seeking

a third extension of time (“EOT”) from Lembaga Lebuhraya Malaysia (“LLM”) as

completion will now be delayed beyond the earlier revised target of September 2021

pending the proposed restructuring/additional funding. MEX II received its second

EOT to 4 September 2021 from LLM after the expiry of the first EOT on 4 July 2020.

Construction of the remaining portion of the Expressway will take about 14-16

months once additional funding from the proposed restructuring is available.

The proposed restructuring of the Sukuk is currently ongoing but has been delayed

beyond the initial targeted completion date. Sukukholders will vote on a proposed

deferment of Sukuk obligations falling due on 27 August 2021 and 29 October 2021

to 31 December 2021 to buy more time for the proposed restructuring.

7. UNITS IN CIRCULATION

30.06.2021 31.12.2020

Units Units

At beginning of the financial period/year 44,167,000 43,746,000

Creation of units during the financial

period/year:

Arising from applications 9,202,000 6,531,000

Cancellation of units during the financial

period/year (8,679,000) (6,110,000)

At end of the financial period/year 44,690,000 44,167,000

8. MANAGEMENT FEE

In accordance with the Prospectus, the management fee provided in the financial

statements is 1.80% (01.01.2020-30.06.2020: 1.80%) per annum based on the net

asset value of the Fund, calculated on a daily basis for the financial period.

9. TRUSTEE’S FEE

In accordance with the Prospectus, the Trustee’s fee provided in the financial

statements is 0.06% (01.01.2020-30.06.2020: 0.06%) per annum based on the net

asset value of the Fund, calculated on a daily basis for the financial period.

49

10. TAXATION

(a) Tax charge for the financial period

01.01.2021-

30.06.2021

01.01.2020-

30.06.2020

RM RM

Current taxation - -

(b) Numerical reconciliation of income tax expense

The numerical reconciliation between the net (loss)/income before taxation

multiplied by the Malaysian statutory income tax rate and the tax expense of the

Fund is as follows:

01.01.2021-

30.06.2021

01.01.2020-

30.06.2020

RM RM

Net (loss)/income before taxation (862,661) 1,967,270

Tax calculated at a statutory income tax rate

of 24% (207,039) 472,145

Tax effects of:

- Loss not deductible for tax purpose/(Income

not subject to tax) 116,547 (547,225)

- Expenses not deductible for tax purpose 24,957 23,594

- Restriction on tax deductible expenses 65,535 51,486

Tax expense - -

11. MANAGEMENT EXPENSE RATIO (“MER”)

01.01.2021-

30.06.2021

%

01.01.2020-

30.06.2020

%

MER 0.99 1.04

The MER ratio is calculated based on total expenses excluding investment

transaction related costs of the Fund to the average net asset value of the Fund

calculated on a daily basis.

50

12. PORTFOLIO TURNOVER RATIO (“PTR”)

01.01.2021-

30.06.2021

01.01.2020-

30.06.2020

PTR (times) 0.34 0.38

The PTR ratio is calculated based on average of acquisition and disposals of the

Fund for the financial period to the average net asset value of the Fund calculated

on a daily basis.

13. UNITS HELD BY THE MANAGER AND PARTIES RELATED TO

THE MANAGER

The number of units held by the Manager and related party are as follows:

30.06.2021 31.12.2020

Units RM Units RM

The Manager

RHB Capital Nominees

(Tempatan) Sdn Bhd

5,149

1,566,551

3,350

1,019,355

5,220

1,638,098

3,479

1,091,792

The units are held beneficially by the Manager for booking purposes. The Manager

is of the opinion that all transactions with the related parties have been entered into

in the normal course of business at agreed terms between the related parties.

The units held by RHB Capital Nominees (Tempatan) Sdn Bhd, a wholly owned

subsidiary of ultimate holding company of the manager, are under nominees

structure.

Other than the above, there were no units held by the Directors or parties related to

the Manager.

The holding company and the ultimate holding company of the Manager is RHB

Investment Bank Berhad and RHB Bank Berhad respectively. The Manager treats

RHB Bank Berhad group of companies including RHB Investment Bank Berhad and

its subsidiaries as related parties.

51

14. TRANSACTIONS BY THE FUND

Details of transactions by the Fund for the financial period ended 30 June 2021 are

as follows:

* Included in transactions by the Fund are trades conducted with RHB Investment

Bank Bhd, the holding company of the Manager. The Manager is of the opinion

that all transactions with the related parties have been entered into in the normal

courses of business at agreed terms between the related parties.

Brokers/Financial

institutions

Value of

trades

Percentage

of total

trades

Brokerage

fees

Percentage

of total

brokerage

fees

RM % RM %

Credit Suisse (Taipei) 3,799,567 16.51 7,599 17.70

Citigroup Global Markets

Asia Ltd 3,252,031 14.13 6,504 15.15

Credit Suisse (Hong Kong)

Ltd 2,646,084 11.50 5,292 12.33

KAF Equities Sdn Bhd 2,373,162 10.31 3,932 9.16

J.P. Morgan Securities PLC 2,220,120 9.65 4,440 10.34

Macquarie Capital

(Australia) Ltd 2,085,175 9.06 3,174 7.39

China International Capital

Corporation Hong Kong

Securities Ltd 1,921,473 8.35 3,843 8.95

RHB Investment Bank

Bhd* 1,715,286 7.46 3,430 7.99

J.P. Morgan Securities LLC 805,914 3.50 942 2.19

Instinet Singapore Services

Pte Ltd 665,217 2.89 1,331 3.10

Others 1,527,376 6.64 2,447 5.70

23,011,405 100.00 42,934 100.00

52

14. TRANSACTIONS BY THE FUND (CONTINUED)

Details of transactions by the Fund for the financial year ended 31 December 2020

are as follows:

Brokers/Financial

institutions

Value of

trades

Percentage

of total

trades

Brokerage

fees

Percentage

of total

brokerage

fees

RM % RM %

China International Capital

Corporation Hong Kong

Securities Ltd 6,954,818 18.00

13,953 19.05

Credit Suisse (Hong Kong)

Ltd 5,923,701 15.33

11,847 16.17

Citigroup Global Markets

Asia Ltd 4,689,210 12.14

9,378 12.80

Macquarie Bank Ltd Hong

Kong 3,989,523 10.32

7,706 10.52

Credit Suisse (Taipei) 3,873,622 10.02 7,747 10.58

J.P. Morgan Securities PLC 3,338,524 8.64 6,844 9.34

J.P. Morgan Securities LLC 3,126,239 8.09 6,243 8.52

KAF Equities Sdn Bhd

(f.k.a. KAF Seagroatt &

Campbell Securities Sdn

Bhd) 1,857,296 4.81

3,715 5.07

AmBank (Malaysia) Bhd 1,127,750 2.92 - -

CLSA Ltd 1,007,390 2.61 2,015 2.75

Others 2,751,643 7.12 3,808 5.20

38,639,716 100.00 73,256 100.00

53

15. FINANCIAL INSTRUMENTS BY CATEGORIES

30.06.2021 31.12.2020

RM RM

Financial assets

Financial assets at fair value through

profit or loss (“FVTPL”)

• Quoted investments 19,292,673 18,887,383

• Unquoted fixed income investments 6,439,065 9,212,645

25,731,738 28,100,028

Financial assets at amortised cost

• Bank balances 3,058,138 389,299

• Deposits with licensed financial

institutions

242,888

1,003,768

• Amount due from brokers 437,546 -

• Dividend receivables 34,525 8,755

• Other receivables - 54

3,773,097 1,401,876

Financial liabilities

Financial liabilities at amortised cost • Amount due to brokers 281,404 -

• Amount due to Manager 74,271 -

• Amount due to Trustee 1,414 1,462

• Accrued management fee 42,422 43,846

• Other payables and accruals 24,675 21,209

424,186 66,517

16. SIGNIFICANT EVENT DURING THE FINANCIAL PERIOD

The worsening of the macro-economic outlook as a result of COVID-19, both

domestically and globally, has impacted the Fund’s performance during the financial

period.

The Manager is monitoring the situation closely and will be managing the portfolio

to achieve the Fund’s objective.

54

STATEMENT BY MANAGER


We, Dato’ Darawati Hussain and Datuk Seri Dr Govindan A/L Kunchamboo, two

of the Directors of RHB Asset Management Sdn Bhd, do hereby state that in the

opinion of the Directors of the Manager, the accompanying unaudited statement of

financial position, unaudited statement of income and expenses, unaudited statement

of changes in net asset value, unaudited statement of cash flows and the

accompanying notes, are drawn up in accordance with Malaysian Financial

Reporting Standards and International Financial Reporting Standards so as to give a

true and fair view of the financial position of the Fund as at 30 June 2021 and of its

financial performance and cash flows for the financial period then ended and comply

with the provisions of the Deeds.

On behalf of the Manager,

Dato’ Darawati Hussain Datuk Seri Dr Govindan A/L Kunchamboo

Director Director

23 August 2021

55

TRUSTEE’S REPORT

TO THE UNITHOLDERS OF RHB GOLDEN DRAGON FUND

We have acted as Trustee of RHB Golden Dragon Fund (“the Fund”) for the

financial period ended 30 June 2021. To the best of our knowledge, RHB Asset

Management Sdn Bhd (“the Management Company”), has operated and managed

the Fund in accordance with the following:-

a) 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;

b) valuation/pricing is carried out in accordance with the Deeds and any

regulatory requirements; and

c) creation and cancellation of units are carried out in accordance with the Deeds

and any regulatory requirements.

For HSBC (Malaysia) Trustee Berhad

Yap Lay Guat

Manager, Investment Compliance Monitoring

Kuala Lumpur

23 August 2021

56

CORPORATE INFORMATION

MANAGER

RHB Asset Management Sdn Bhd

REGISTERED OFFICE Level 10, Tower One, RHB Centre, Jalan Tun Razak, 50400 Kuala Lumpur

PRINCIPAL AND BUSINESS OFFICE

Level 8, Tower Two & Three, RHB Centre, Jalan Tun Razak, 50400 Kuala Lumpur

Email address: [email protected]

Tel: 03-9205 8000

Fax: 03-9205 8100

Website: www.rhbgroup.com

BOARD OF DIRECTORS

Mr Yap Chee Meng (Independent Non-Executive Chairman)

Mr Chin Yoong Kheong (Senior Independent Non-Executive Director)

Ms Ong Yin Suen (Managing Director / Chief Executive Officer)

YBhg Dato’ Darawati Hussain (Independent Non-Executive Director)

YBhg Datuk Seri Dr Govindan A/L Kunchamboo (Independent Non-Executive

Director)

Encik Mohd Rashid Bin Mohamad (Non-Independent Non-Executive Director)

(Appointed with effect from 11 August 2021)

INVESTMENT COMMITTEE MEMBERS Mr Yap Chee Meng (Independent Chairman)

YBhg Dato’ Darawati Hussain

Puan Sharifatu Laila Syed Ali

CHIEF EXECUTIVE OFFICER Ms Ong Yin Suen

SECRETARIES

Encik Azman Shah Md Yaman (LS No. 0006901)

Cik Hasnita Sulaiman (MAICSA No. 7060582)

57

BRANCH OFFICE Kuala Lumpur Office B-9-6, Megan Avenue 1

No. 189, Jalan Tun Razak

50400 Kuala Lumpur

Tel: 03-2171 2755/ 03-2166 7011

Fax: 03-2770 0022

Shah Alam Office B-3-1, 1st Floor

Jalan Serai Wangi G16/G, Alam Avenue

Persiaran Selangor, Section 16

40200 Shah Alam

Tel: 03-5523 1909 Fax: 03-5524 3471

Sri Petaling Office Level 1 & 2, No 53 Jalan Radin Tengah

Bandar Baru Seri Petaling

57000 Kuala Lumpur

Tel: 03-9054 2470 Fax: 03-9054 0934

Batu Pahat Office 53, 53-A and 53-B Jalan Sultanah

83000 Batu Pahat, Johor

Tel: 07-438 0271/ 07-438 0988

Fax: 07-438 0277

Ipoh Office No.7A, Persiaran Greentown 9

Pusat Perdagangan Greentown

30450 Ipoh, Perak

Tel: 05-242 4311 Fax: 05-242 4312

Johor Bahru Office No 34 Jalan Kebun Teh 1

Pusat Perdagangan Kebun Teh

80250 Johor Bahru, Johor

Tel: 07-221 0129 Fax: 07-221 0291

2nd Floor, 21 & 23

Jalan Molek 1/30, Taman Molek

81100 Johor Bahru, Johor

Tel: 07-358 3587 Fax: 07-358 3581

Kuantan Office 1st Floor, Lot 10, Jalan Putra Square 1

Putra Square

25300 Kuantan, Pahang

Tel: 09-517 3611/ 09-517 3612/ 09-531 6213

Fax: 09-517 3615

58

Kuching Office Lot 133, Section 20, Sublot 2 & 3

1st Floor, Jalan Tun Ahmad Zaidi Adruce

93200 Kuching, Sarawak

Tel: 082-550 838 Fax: 082-550 508

Yung Kong Abell, Units 1-10

2nd Floor Lot 365

Section 50 Jalan Abell

93100 Kuching, Sarawak

Tel: 082-245 611 Fax: 082-230 326

Kota Bharu Office Ground Floor, No 3486-G

Jalan Sultan Ibrahim

15050 Kota Bharu, Kelantan

Tel: 09-740 6891 Fax: 09-740 6890

Kota Kinabalu Office Lot No. C-02-04, 2nd Floor

Block C, Warisan Square

Jalan Tun Fuad Stephens

88000 Kota Kinabalu

Sabah

Tel: 088-528 686/ 088-528 692

Fax: 088-528 685

Melaka Office 581B, Taman Melaka Raya

75000 Melaka

Tel: 06-284 4211/ 06-281 4110

Fax: 06-292 2212

Miri Office Lot 1268 & 1269, Second Floor

Centre Point Commercial Centre

Jalan Melayu

98000 Miri, Sarawak

Tel: 085-422 788 Fax: 085- 415 243

Penang Office 3rd Floor, 44 Lebuh Pantai

10300 Georgetown, Penang

Tel: 04-264 5639 Fax: 04-264 5640

Prai Office No 38, First Floor

Jalan Todak 2

Seberang Jaya

13700 Perai, Penang

Tel: 04-386 6670 Fax: 04-386 6528

59

TRUSTEE HSBC (Malaysia) Trustee Berhad

BANKER RHB Bank Berhad

AUDITORS PricewaterhouseCoopers PLT

TAX ADVISER PricewaterhouseCoopers Taxation Services Sdn Bhd

DISTRIBUTORS RHB Asset Management Sdn Bhd

RHB Bank Bhd

RHB Investment Bank Bhd Affin Bank Bhd

Alliance Bank Malaysia Bhd

AmBank Bhd

AmInvestment Bank Bhd

Apex Investment Services Bhd

Areca Capital Sdn Bhd

CIMB Private Banking

CIMB Wealth Advisors Bhd

Genexus Advisory Sdn Bhd

Hong Leong Bank Bhd

HSBC Bank Malaysia Bhd

iFAST Capital Sdn Bhd

Kenanga Investors Bhd

Manulife Investment Management

Phillip Mutual Bhd

Standard Chartered Bank Malaysia Bhd

United Overseas Bank (Malaysia) Bhd

UOB Kay Hian Securities (M) Sdn Bhd

RHB GOLDEN DRAGON FUND

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