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PUBLIC ISLAMIC

ALPHA-40 GROWTH
FUND
ANNUAL REPORT 2013
for the financial year ended 30 November 2013
Public Islamic Alpha-40 Growth Fund 1
Contents
Fund Information 2
Fund Performance 3
Managers Report 6
Trustees Report 14
Shariah Advisers Report 15
Statement By Manager 16
Independent Auditors Report 17
Statement Of Assets And Liabilities 19
Statement Of Income And Expenditure 20
Statement Of Changes In Net Asset Value 21
Statement Of Cash Flows 22
Notes To The Financial Statements 23
Corporate Information 40
Directors And Senior Management 42
Network Of Public Mutual Branch Ofces 47
Network Of Public Mutual Agency Ofces 49
2 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 3
Fund Information Fund Performance
For the Financial Year Ended 30 November 2013
( )
Fund Name
Public Islamic Alpha-40 Growth Fund (PIA40GF)
Fund Type
Capital Growth
Fund Category
Equity Fund (Shariah-compliant)
Fund Investment Objective
To achieve capital growth by investing in stocks which comply with Shariah
requirements.
Fund Performance Benchmark
The benchmarks of the Fund and their respective percentages are 75% FTSE
Bursa Malaysia EMAS Shariah Index (FBMS), 15% customised index by S&P
Opco, LLC based on Top 100 constituents by market capitalisation of the
S&P Shariah BMI Asia Ex-Japan Index and 10% 3-Month Islamic Interbank
Money Market (IIMM) rate.
FTSE, FT-SE and Footsie are trade marks of London Stock Exchange Group companies
and are used by FTSE International Limited (FTSE) under licence. BURSA MALAYSIA is a
trade mark of Bursa Malaysia Berhad (BURSA MALAYSIA).
The FTSE BURSA MALAYSIA EMAS SHARIAH INDEX is calculated by FTSE. All intellectual
property rights in the index values and constituent vests in FTSE and BURSA MALAYSIA. Neither
FTSE nor BURSA MALAYSIA sponsor, endorse or promote this product and are not in any way
connected to it and do not accept any liability. Public Mutual Berhad has obtained full licence from
FTSE to use such intellectual property rights in the creation of this product.
The S&P Shariah BMI Asia Ex-Japan Index (the Index) is the exclusive property of S&P Opco,
LLC, a subsidiary of S&P Dow Jones Indices LLC (S&P Dow Jones Indices) and/or its afliates.
Public Mutual has contracted with S&P Dow Jones Indices to calculate and maintain the Index.
Neither S&P Dow Jones Indices nor any of its afliates shall be liable for any errors or omissions
in calculating the Index.
Fund Distribution Policy
Incidental
Breakdown of Unitholdings of PIA40GF as at 30 November 2013
Size of holdings No. of % of No. of units
unitholders unitholders held (million)
5,000 and below 1,084 15.53 4
5,001 to 10,000 1,082 15.50 8
10,001 to 50,000 3,694 52.91 93
50,001 to 500,000 1,099 15.74 130
500,001 and above 22 0.32 36
Total 6,981 100.00 271
Note: Excluding Managers Stock.
Average Total Return for the Following Year Ended
30 November 2013
Average Total
Return of PIA40GF (%)
1 Year 14.12
Annual Total Return for the Financial Years Ended 30 November
Year 2013 2012 2011
PIA40GF (%) 14.12 13.65 0.36*
* The gure shown is for period since Fund commencement (6 December 2010).
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 unit
- 1
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 November
2013 2012 2011
Unit Prices (MYR)*
Highest NAV per unit for the year 0.3000 0.2861 0.2701
Lowest NAV per unit for the year 0.2600 0.2455 0.2266
Net Asset Value (NAV) and Units in
Circulation (UIC) as at the End of
the Year
Total NAV (MYR000) 77,748 83,781 105,466
UIC (in 000) 271,237 320,121 433,264
NAV per unit (MYR) 0.2866 0.2617 0.2434
Total Return for the Year (%) 14.12 13.65 0.36
Capital growth (%) 12.82 12.45 -0.80
Income (%) 1.15 1.07 1.17
Management Expense Ratio (MER) (%) 1.65 1.61 1.64
Portfolio Turnover Ratio (time) 0.42 0.42 1.28
* All prices quoted are ex-distribution.
Notes: MER is calculated by taking the total management expenses expressed as an annual
percentage of the Funds 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.
4 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 5
Distribution and Unit Split
Financial year 2013 2012 2011
Date of distribution 29.11.13 30.11.12 30.11.11
Distribution per unit
Gross (sen) 1.25 1.50 0.75
Net (sen) 1.20 1.50 0.75
Unit split - - -
Impact on NAV Arising from Distribution (Final) for the
Financial Years
2013 2012 2011
Sen Sen Sen
per unit per unit per unit
Net asset value before distribution 29.86 27.67 25.09
Less: Net distribution per unit (1.20) (1.50) (0.75)
Net asset value after distribution 28.66 26.17 24.34
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 November
(Per Cent of Net Asset Value)
2013 2012 2011
% % %
EQUITY SECURITIES
Quoted
Malaysia
Basic Materials 4.0 4.4 2.4
Communications 20.6 27.1 22.6
Consumer, Cyclical 2.1 - -
Consumer, Non-cyclical 14.5 6.0 6.0
Diversied 7.6 10.1 8.8
Energy 10.5 16.5 13.6
Financial 3.1 3.3 2.7
Industrial 7.6 5.7 7.7
Technology - 2.1 1.9
Utilities 11.0 10.8 9.9
81.0 86.0 75.6
Outside Malaysia
Hong Kong
Communications - - 3.9
Energy 1.2 0.6 2.4
1.2 0.6 6.3
Indonesia
Industrial - - 2.1
Asset Allocation for the Past Three Financial Years (contd)
As at 30 November
(Per Cent of Net Asset Value)
2013 2012 2011
% % %
Korea
Basic Materials - 1.8 1.5
Communications - 1.7 1.9
Consumer, Cyclical 1.2 2.1 2.9
Industrial - - 1.7
Technology 1.3 2.3 -
2.5 7.9 8.0
Singapore
Communications 1.4 - -
Diversied - - 0.5
Industrial 1.3 - -
2.7 - 0.5
Taiwan
Technology 1.6 1.3 1.0
Thailand
Communications 0.6 - -
TOTAL QUOTED EQUITY
SECURITIES 89.6 95.8 93.5
COLLECTIVE INVESTMENT
FUNDS
Quoted
Outside Malaysia
Hong Kong
Financial 0.4 - -
TOTAL QUOTED COLLECTIVE
INVESTMENT FUNDS 0.4 - -
MUDHARABAH DEPOSITS WITH
A FINANCIAL INSTITUTION 9.1 4.1 6.1
OTHER ASSETS & LIABILITIES 0.9 0.1 0.4
Fund Performance Fund Performance
For the Financial Year Ended 30 November 2013 For the Financial Year Ended 30 November 2013
6 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 7
Managers Report Managers Report
Overview
This Annual Report covers the nancial year from 1 December 2012 to
30 November 2013.
Public Islamic Alpha-40 Growth Fund (PIA40GF or the Fund) seeks to achieve
capital growth by investing in stocks which comply with Shariah requirements.
For the nancial year under review, the Fund registered a return of +14.12%
as compared to its Benchmarks return of +14.25%. The Funds Shariah-
compliant equity portfolio registered a return of +17.06% while its Islamic
money market portfolio registered a return of +2.94% during the nancial
year under review. A detailed performance attribution analysis is provided
in the sections below.
From its commencement on 6 December 2010 (being the last day of the
initial offer period) to 30 November 2013, the Fund registered a return of
+30.16% and outperformed its Benchmarks return of +24.90% over the
same period. Consequently, it is the opinion of the Manager that the Fund
has met its objective to achieve capital growth by investing in stocks which
comply with Shariah requirements.
Effect of Distribution Reinvestment on Portfolio Exposures
30-Nov-13
Before Distribution After Distribution
Reinvestment* Reinvestment*
Shariah-compliant Equities &
Islamic Derivatives 90.0% 86.4%
Islamic Money Market 10.0% 13.6%
* Assumes full reinvestment.
Change in Portfolio Exposures from 30-Nov-12 to 30-Nov-13
Average
30-Nov-12 30-Nov-13 Change Exposure
Shariah-compliant Equities &
Islamic Derivatives 90.6% 86.4% -4.2% 92.96%
Islamic Money Market 9.4% 13.6% +4.2% 7.04%
Returns Breakdown by Asset Class
Market /
Returns On Benchmark Benchmark Average Attributed
Investments Returns Index Used Exposure Returns
Shariah-
compliant
Equities &
Islamic Equity
Derivatives 17.06% 15.50% Benchmark 92.96% 15.86%
Islamic Money
Market 2.94% 3.09% 1M-IIMMR 7.04% 0.21%
less:
Expenses -1.95%
Total Net
Return for
the Year 14.12%
1M-IIMMR = 1-Month Islamic Interbank Money Market Rate
Shariah-compliant Equity Portfolio Review
For the nancial year under review, the Funds Shariah-compliant equity
portfolio registered a return of +17.06% and outperformed its equity
Benchmarks return of +15.50%. The Funds Shariah-compliant equity
portfolio outperformed the equity Benchmark as it was overweighted in stocks
within the Energy and Utilities sectors which performed strongly during the
nancial year under review.
The Benchmark of the Fund is a composite index of 75% FTSE Bursa
Malaysia EMAS Shariah Index (FBMS), 15% customised index based on Top
100 constituents by market capitalisation of the S&P Shariah BMI Asia Ex-
Japan Index and 10% 3-Month Islamic Interbank Money Market (IIMM) rate.
Income Distribution and Impact on NAV Arising from
Distribution
The gross distribution of 1.25 sen per unit (net distribution of 1.20 sen per unit)
for the nancial year ended 30 November 2013 had the effect of reducing the
Net Asset Value (NAV) of the Fund after distribution. As a result, the NAV per
unit of the Fund was reduced to RM0.2866 from RM0.2986 after distribution.
PIA40GF BENCHMARK
R
e
t
u
r
n
s

f
r
o
m

S
t
a
r
t

o
f

P
e
r
i
o
d

-20%
-10%
0%
10%
20%
30%
40%
Dec-10 Sep-11 May-12 Feb-13 Nov-13
Performance of PIA40GF from 6 December 2010
(Commencement Date) to 30 November 2013
8 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 9
The Fund commenced the nancial year under review with a Shariah-
compliant equity exposure of 90.6% and subsequently increased its
Shariah-compliant equity exposure to above 95% by May 2013. The Fund
maintained a relatively high Shariah-compliant equity exposure throughout
the nancial year to capitalise on Shariah-compliant investment opportunities
in the domestic and regional markets. At the end of the nancial year under
review, the Funds Shariah-compliant equity exposure was reduced to 86.4%
as the Fund locked in prots. Based on an average Shariah-compliant equity
exposure of 92.96%, the Shariah-compliant equity portfolio is deemed to
have registered a return of +15.86% to the Fund as a whole for the nancial
year under review. A full review of the performance of the equity markets is
tabled in the following sections.
Sector Allocations
In terms of sector allocation within the Shariah-compliant equity portfolio, the
top 5 sectors account for 64.2% of the Net Asset Value (NAV) of the Fund and
71.3% of the Funds Shariah-compliant equity portfolio. The weightings of the
top 5 sectors in Malaysia (unless otherwise indicated) are in the following
order: Communications (20.6%), Consumer, Non-cyclical (14.5%), Utilities
(11.0%), Energy (10.5%) and Industrial (7.6%).
Islamic Money Market Portfolio Review
During the nancial year under review, the Funds Islamic money market
portfolio, which was invested primarily in Shariah-based deposits, yielded
a return of +2.94%. In comparison, the 1-Month Islamic Interbank Money
Market Rate (1M-IIMMR) registered a return of +3.09% over the same period.
During the nancial year under review, the Funds exposure to the Islamic
money market investments increased from 9.4% to 13.6% following the
disposal of selected Shariah-compliant equity investments. Based on an
average exposure of 7.04%, the Islamic money market portfolio is estimated
to have contributed +0.21% to the Funds overall returns for the nancial
year under review.
Stock Market Review
Commencing the nancial year under review at 10,957.26 points, the FTSE
Bursa Malaysia EMAS Shariah (FBMS) Index rose towards the end of 2012
amid positive sentiment in regional markets and further strengthened to a
high of 11,590.89 points in early January 2013 before prot-taking caused the
market to ease to the years low of 10,935.32 points in early February 2013.
The FBMS Index subsequently rebounded beginning from mid-March 2013
on selected buying and broke above the 12,500-point level in mid-May 2013.
Cautious offshore sentiment and Fitch Ratings downgrade of Malaysias
sovereign outlook caused the market to fall below 12,500 points in late July
2013. A sell-down in emerging markets over their weakening current account
balances caused the FBMS Index to ease to a 3-month low of 11,722.02
points in late August 2013 before subsequently rebounding in tandem with
global equity markets on the back of the U.S. Federal Reserves decision
to delay tapering its monetary stimulus program in mid-September 2013.
Global equity markets pulled back in early October 2013 amidst the partial
shutdown of the U.S. governments operations and the debt ceiling deadline
before rallying in mid-October 2013 on the resolution of the U.S. budget.
Expectations that Malaysias 2014 Budget would address concerns about
Malaysias scal sustainability helped the local market to register a new all-
time high of 12,785.27 points in late October 2013. Malaysias better-than-
expected 3Q 2013 GDP growth helped the local market to remain rm in
November 2013 and the FBMS Index closed at 12,734.18 points to register
a gain of 16.22% for the nancial year under review.
Managers Report Managers Report
Starting the nancial year under review at 81.07 points, regional equity
markets as proxied by the S&P Shariah BMI Asia Ex-Japan (S&P SAEJ)
Index rose in December 2012 on improving outlook for Chinas economy and
commenced 2013 on a positive note in tandem with gains in global equity
markets. Renewed economic uncertainty in the Eurozone and concerns over
the impending automatic government spending cuts in the U.S. caused the
index to remain in a trading range in 1Q 2013 and early 2Q 2013.
Subsequently, the S&P SAEJ Index rose to a high of 85.80 points in mid-May
2013 before retracing in June 2013 after the Federal Reserve stated that the
quantitative easing program may be scaled down. The Index rebounded to
around the 80-point level in July 2013 before retreating in late August 2013
amidst a sell-down in emerging markets over their weakening current account
balances. The Index subsequently rebounded in tandem with global equity
markets on the back of the U.S. Federal Reserves decision to delay tapering
its monetary stimulus program in mid-September 2013.
Regional equity markets pulled back in early October 2013 amidst the partial
shutdown of the U.S. governments operations and debt ceiling deadline
before rallying to a new 2-year high of 87.13 points in late October 2013.
Optimism from the sweeping economic reforms outlined by China and positive
U.S. economic data helped the Index to remain rm in November 2013 and
the S&P SAEJ Index closed at 86.22 points to register a gain of 6.35%
(+12.77% in Ringgit terms) for the nancial year under review.
Regional markets, namely the South Korea, Taiwan, Singapore, Thailand
and Hong Kong markets registered returns of +15.47%, +14.43%, +7.74%,
+3.90% and +1.31% (in Ringgit terms) respectively for the nancial year
under review.
I
n
d
e
x
10,500
11,000
11,500
12,000
12,500
13,000
Nov-12 Jan-13 Mar-13 May-13 Jul-13 Sep-13 Nov-13
FTSE Bursa Malaysia EMAS Shariah Index
(30 November 2012 - 30 November 2013)
10 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 11
Money Market Review
Short-term interest rates remained generally stable as Bank Negara Malaysia
kept the Overnight Policy Rate (OPR) at 3.00%, unchanged since May 2011.
The 1-Month Islamic Interbank Money Market Rate inched up from 3.07%
to 3.11% during the nancial year under review.
Economic Review
Malaysias GDP growth rose to 5.6% in 2012 from 5.1% in 2011 on account
of resilient private consumption and investment growth. Subsequently, the
economy slowed to 4.5% in the rst three quarters of 2013 amidst lower
growth in the services and manufacturing sectors. The construction sectors
growth eased to 11.3% from 18.1% over the same period.
Managers Report Managers Report
Source: Bank Negara Malaysia
On the regional front, Singapores GDP growth rebounded to 3.5% for the
rst three quarters of 2013 from 1.3% in 2012 due to stronger services sector
activities. Following a growth of 6.5% in 2012, Thailands GDP growth eased
to 3.6% over the rst three quarters of 2013 as consumption and investment
growth decelerated.
Chinas GDP growth was sustained at 7.7% for the rst three quarters of 2013
which was the same rate of growth in 2012 amid resilient domestic activities.
Hong Kongs GDP growth accelerated to 3.0% over the same period from
1.5% in 2012 as consumer spending growth recovered. Led by a recovery
in investment spending, Koreas GDP growth gained pace to 2.4% for the
rst three quarters of 2013 from 2.0% in 2012. For Taiwan, GDP growth
rebounded to 1.9% in the rst three quarters of 2013 from 1.3% in 2012 due
to stronger manufacturing and construction activities.
On the international front, growth of the U.S. economy moderated to 1.5% for
the rst three quarters of 2013 from 2.8% in 2012 on the back of a slowdown in
investment spending and a decline in government spending. The Eurozones
GDP contracted by 0.7% for the rst three quarters of 2013 which was the
same rate of decline in 2012 amidst sluggish investment spending.
Outlook and Investment Strategy
After remaining generally resilient in 1Q 2013, regional equity markets
generally eased in early 2Q 2013 as demand for emerging market stocks
was dampened by the Federal Reserves intention to scale back its monetary
stimulus program in the later part of 2013. However, following the U.S.
Federal Reserves decision to maintain its Quantitative Easing program,
regional markets rebounded in September. Looking ahead, the direction
of global and regional markets will depend on the pace of global economic
growth in the year ahead.
Depending on the impact of higher interest rates on consumer and investment
spending, the U.S. economy is expected to grow at 2.6% in 2014 compared to
1.7% estimated for 2013 on the back of the ongoing recovery in the housing
and job markets in the year ahead.
Source: Bank Negara Malaysia/Ministry of Finance
Led by lower exports of electrical and electronics goods and weak commodity
prices, Malaysias exports contracted by 0.2% for the rst nine months of
2013 versus a growth of 0.7% in 2012. Import growth was sustained at 5.5%
for the rst nine months of 2013 versus 5.8% in 2012. As imports outpaced
exports, Malaysias cumulative trade surplus for the rst nine months of
2013 narrowed by 37.4% to RM43.2 billion compared to RM69.0 billion in
the same period last year. Due to the positive trade surplus and fund inows,
Malaysias foreign reserves increased to RM446.2 billion as at end of October
2013 from RM427.2 billion at the end of 2012.
Malaysias ination rate inched up to 1.9% in the rst ten months of 2013
compared to 1.7% in 2012 on account of higher prices for food, tobacco
and transportation. However, the core ination rate was sustained at 1.2%
over the same period.
-3.0
-2.0
-1.0
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
9.0
8.0
2008 2009 2010 2011 2012 2013F 2014F
%
4.8
-1.5
7.4
5.1
5.6
4.7
5.0 - 5.5
Malaysias Annual GDP Growth
R
M

b
i
l
l
i
o
n
250
300
350
400
450
2008 2009 2010 2011 2012 2013 YTD
Malaysias International Reserves
12 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 13
The Eurozones economy is envisaged to register a modest recovery of 1.0%
in 2014 after a contraction of 0.3% estimated for 2013 as investment and
exports strengthen. The Eurozones real consumer spending has beneted
from the recent easing of inationary pressures while exports have also
stabilised.
On the regional front, Chinas GDP is projected to grow at a slower pace of
7.4% in 2014 compared to 7.8% estimated for 2013 as manufacturing and
construction activities continue to moderate. In the event of a steeper-than-
expected slowdown in external demand, the Chinese government has the
exibility to apply moderate scal stimulus to support domestic economic
growth. Over in Hong Kong, GDP growth is projected to gain pace to 3.5%
in 2014 from 3.0% in 2013 on expectations that the economy will benet
from the recovery in regional trade.
Meanwhile, an improvement in global demand for electronics exports is
expected to help South Korea and Taiwan register stronger GDP growth of
3.5% and 3.6% respectively in 2014 compared to 2.7% and 2.5% respectively
in 2013.
For Singapore, GDP is projected to gain pace to 3.7% in 2014 from 2.6%
estimated for 2013 as consumer spending and export demand recover in the
year ahead. Thailands GDP growth is projected at 4.5% in 2014 compared
to 3.3% estimated for 2013 on higher private consumer spending. The
anticipated recovery in regional trade coupled with the competitive Thai baht
is envisaged to help lift Thailands exports in the year ahead.
On the domestic front, Malaysias 2014 GDP growth is anticipated to rm
moderately to 5.0% from 4.7% estimated for 2013 amid an improvement in
exports. Private consumption is envisaged to be supported by an environment
of accommodative interest rates and stable job market conditions.
Meanwhile, the Ministry of Finance projected the 2014 Federal Government
budget decit to improve to -3.5% of GDP from -4.0% estimated for 2013.
With effect from 1 April 2015, the government will replace the current
Sales & Services Tax with a 6% Goods & Services Tax (GST). The Federal
Governments revenue is projected to grow by 1.7% in 2014 while total
expenditure is envisaged to be slightly higher by 0.3%. The Federal
Governments debt is estimated to increase by 7.9% to RM541.3 billion
which is equivalent to 54.8% of GDP as at end-2013 compared to 53.3%
of GDP as at end-2012.
At the end of November 2013, the local stock market is trading at a
prospective P/E of 17.2x, which is above its 10-year average P/E ratio of
16.5x. The markets dividend yield of 3.41% is higher than the 12-month
xed deposit rate of 3.15%.
Regional markets are generally trading at a discount to their historical average
following their respective performances over the nancial year under review.
Given the above factors, the Fund will continue to rebalance its investment
portfolio accordingly with the objective of achieving capital growth by investing
in stocks which comply with Shariah requirements.
Note: Q = Quarter
Managers Report Managers Report
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
benet to the Fund and unitholders.
During the nancial year under review, PIA40GF has received data and
quotation services by way of soft commissions. These services were used
to provide nancial data on securities and price quotation information to the
Fund Manager during the nancial year under review.
14 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 15
Shariah Advisers Report
To the Unitholders of
PUBLIC ISLAMIC ALPHA-40 GROWTH FUND
We have acted as the Shariah Adviser of PUBLIC ISLAMIC ALPHA-40
GROWTH FUND. Our responsibility is to ensure that the procedures and
processes employed by PUBLIC MUTUAL BERHAD and that the provisions
of the Master Deed dated 28 January 1999 and subsequent Supplemental
Master Deeds (collectively referred to as Deeds) are in accordance with
Shariah principles.
In our opinion, PUBLIC MUTUAL BERHAD has managed and administered
PUBLIC ISLAMIC ALPHA-40 GROWTH FUND in accordance with Shariah
principles and complied with the applicable guidelines, rulings and decisions
issued by the Securities Commission of Malaysia pertaining to Shariah
matters for the nancial year ended 30 November 2013.
In addition, we also conrm that the investment portfolio of PUBLIC ISLAMIC
ALPHA-40 GROWTH FUND comprises securities which have been classied
as Shariah-compliant by the Shariah Advisory Council of the Securities
Commission of Malaysia and/or the Shariah Supervisory Board of Standard
& Poors Shariah Indexes. As for the securities which are not certied by
the Shariah Advisory Council of the Securities Commission of Malaysia and/
or the Shariah Supervisory Board of Standard & Poors Shariah Indexes,
we have reviewed the said securities and conrm that these securities are
Shariah-compliant.
For ZICOlaw Shariah Advisory Services Sdn Bhd
(formerly known as ZI Shariah Advisory Services Sdn Bhd)
DR. AIDA OTHMAN DR. MOHAMAD AKRAM LALDIN
Director Designated Person Responsible
for Shariah Advisory

Kuala Lumpur, Malaysia
23 December 2013
To the Unitholders of
PUBLIC ISLAMIC ALPHA-40 GROWTH FUND
We, AMANAHRAYA TRUSTEES BERHAD, have acted as Trustee of
PUBLIC ISLAMIC ALPHA-40 GROWTH FUND for the nancial year ended
30 November 2013. In our opinion, PUBLIC MUTUAL BERHAD, the Manager,
has managed PUBLIC ISLAMIC ALPHA-40 GROWTH FUND in accordance
with the limitations imposed on the investment powers of the management
company and the Trustee under the Deed, other provisions of the Deed, the
applicable Guidelines on Unit Trust Funds, the Capital Markets and Services
Act 2007 and other applicable laws during the nancial year then ended.
We are of the opinion that:
(a) the procedures and processes employed by the Manager to value and/
or price the units of PUBLIC ISLAMIC ALPHA-40 GROWTH FUND are
adequate and that such valuation/pricing is carried out in accordance
with the Deed and other regulatory requirement;
(b) creation and cancellation of units are carried out in accordance with the
Deed and other regulatory requirement; and
(c) the distribution of returns made by PUBLIC ISLAMIC ALPHA-40
GROWTH FUND as declared by the Manager is in accordance with the
investment objective of PUBLIC ISLAMIC ALPHA-40 GROWTH FUND.
Yours faithfully
AMANAHRAYA TRUSTEES BERHAD
HABSAH BINTI BAKAR
Chief Executive Ofcer
Kuala Lumpur, Malaysia
24 December 2013
Trustees Report
For the Financial Year Ended 30 November 2013
16 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 17
Statement By Manager
We, TAN SRI DATUK SERI UTAMA THONG YAW HONG and TAN SRI DATO
SRI TAY AH LEK, being two of the directors of PUBLIC MUTUAL BERHAD, do
hereby state that in the opinion of the Manager, the accompanying statement
of assets and liabilities as at 30 November 2013 and the related statement
of income and expenditure, statement of changes in net asset value and
statement of cash ows for the nancial year ended on that date together
with the notes thereto, 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 nancial position of PUBLIC ISLAMIC
ALPHA-40 GROWTH FUND as at 30 November 2013 and of its nancial
performance, changes in net asset value and cash ows for the nancial year
then ended and comply with the requirements of the Deeds.
For and on behalf of the Manager
TAN SRI DATUK SERI UTAMA THONG YAW HONG
TAN SRI DATO SRI TAY AH LEK
Kuala Lumpur, Malaysia
23 December 2013
Independent Auditors Report
Independent auditors report to the Unitholders of
PUBLIC ISLAMIC ALPHA-40 GROWTH FUND
Report on the nancial statements
We have audited the nancial statements of PUBLIC ISLAMIC ALPHA-40
GROWTH FUND, which comprise the statement of assets and liabilities as
at 30 November 2013, and statement of income and expenditure, statement
of changes in net asset value and statement of cash ows for the nancial
year then ended, and a summary of signicant accounting policies and other
explanatory information, as set out on pages 19 to 39.
Managers and Trustees responsibility for the nancial statements
The Manager of the Fund is responsible for the preparation of nancial
statements so as to give a true and fair view in accordance with Malaysian
Financial Reporting Standards and International Financial Reporting
Standards. The Manager is also responsible for such internal control as
the Manager determines is necessary to enable the preparation of nancial
statements that are free from material misstatement, whether due to fraud
or error. The Trustee is responsible for ensuring that the Manager maintains
proper accounting and other records as are necessary to enable true and
fair presentation of these nancial statements.
Auditors responsibility
Our responsibility is to express an opinion on these nancial statements
based on our audit. We conducted our audit in accordance with approved
standards on auditing in Malaysia. Those standards require that we comply
with ethical requirements and plan and perform the audit to obtain reasonable
assurance about whether the nancial statements are free from material
misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the nancial statements. The procedures
selected depend on our judgement, including the assessment of risks of
material misstatement of the nancial statements, whether due to fraud
or error. In making those risk assessments, we consider internal control
relevant to the Funds preparation of the nancial statements that give a
true and fair view in order to design audit procedures that are appropriate in
the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Funds internal control. An audit also includes evaluating
the appropriateness of the accounting policies used and the reasonableness
of accounting estimates made by the Manager, as well as evaluating the
overall presentation of the nancial statements.
We believe that the audit evidence we have obtained is sufcient and
appropriate to provide a basis for our audit opinion.
18 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 19
Independent Auditors Report (contd)
Opinion
In our opinion, the nancial statements give a true and fair view of the nancial
position of the Fund as at 30 November 2013 and of its nancial performance,
changes in net asset value and cash ows for the nancial year then ended in
accordance with Malaysian Financial Reporting Standards and International
Financial Reporting Standards.
Other matters
This report is made solely to the unitholders of the Fund, as a body, in
accordance with Securities Commissions Guidelines on Unit Trust Funds
in Malaysia and for no other purpose. We do not assume responsibility to
any other person for the content of this report.
Ernst & Young Yeo Beng Yean
AF: 0039 No. 3013/10/14 (J)
Chartered Accountants Chartered Accountant
Kuala Lumpur, Malaysia
23 December 2013
Statement Of Assets And Liabilities
As at 30 November 2013
Note 30.11.2013 30.11.2012 1.12.2011
MYR000 MYR000 MYR000
Assets
Investments 4 70,008 80,243 98,657
Tax recoverable 71 89 48
Other receivables 108 375 315
Cash and cash
equivalents 7 11,208 8,286 11,171
81,395 88,993 110,191
Liabilities
Due to brokers/nancial
institutions, net 8 321 - 1,097
Due to the Manager, net 9 13 352 306
Due to the Trustee 4 4 7
Other payables 69 55 66
Distribution payable 3,240 4,801 3,249
3,647 5,212 4,725
Total net assets 77,748 83,781 105,466
Net asset value (NAV)
attributable to
unitholders (Total equity) 10 77,748 83,781 105,466
Units in circulation
(in 000) 11 271,237 320,121 433,264
NAV per unit,
ex-distribution (in sen) 28.66 26.17 24.34
The accompanying notes are an integral part of this statement.
20 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 21
Statement Of Income And Expenditure
For the Financial Year Ended 30 November 2013
Note 2013 2012
MYR000 MYR000
Income
Prot from Mudharabah deposits 106 95
Dividend income 2,161 2,526
Net gain from investments 4 9,869 13,700
Net realised/unrealised foreign
exchange gain/(loss) 117 (164)
12,253 16,157
Less: Expenses
Trustees fee 13 49 72
Management fee 14 1,226 1,557
Audit fee 7 6
Tax agents fee 3 3
Brokerage fee 243 242
Administrative fees and expenses 64 47
1,592 1,927
Net income before taxation 10,661 14,230
Taxation 15 (23) (57)
Net income after taxation 10,638 14,173
Net income after taxation is made
up as follows:
Realised 2,116 6,382
Unrealised 8,522 7,791
10,638 14,173
Final distribution for the nancial year 16 3,240 4,801
The accompanying notes are an integral part of this statement.
For the Financial Year Ended 30 November 2013
Statement Of Changes In Net Asset Value
Unitholders Retained
Note capital earnings Total
MYR000 MYR000 MYR000
As at 1 December 2011 108,848 (3,382) 105,466
Creation of units 15,855 - 15,855
Cancellation of units (46,912) - (46,912)
Net income after taxation - 14,173 14,173
Distribution 16 - (4,801) (4,801)
As at 30 November 2012 77,791 5,990 83,781
As at 1 December 2012 77,791 5,990 83,781
Creation of units 10,582 - 10,582
Cancellation of units (24,013) - (24,013)
Net income after taxation - 10,638 10,638
Distribution 16 - (3,240) (3,240)
As at 30 November 2013 64,360 13,388 77,748
The accompanying notes are an integral part of this statement.
22 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 23
For the Financial Year Ended 30 November 2013
Statement Of Cash Flows
Note 2013 2012
MYR000 MYR000
Cash ows from operating and
investing activities
Proceeds from sale of investments 43,927 59,112
Purchase of investments (23,739) (29,584)
Subscription of rights - (421)
Cash received from capital distribution - 1,631
Prot from Mudharabah deposits
received 105 96
Interest received from foreign currency
accounts 1 3
Net dividend income received 2,374 2,389
Trustees fee paid (49) (75)
Management fee paid (1,238) (1,580)
Audit fee paid (6) (6)
Tax agents fee paid - (3)
Taxation recovered 49 -
Payment of other fees and expenses (54) (58)
Payment to charitable bodies 6(b) (1) (3)
Net cash inow from operating and
investing activities 21,369 31,501
Cash ows from nancing activities
Cash proceeds from units created 10,492 15,911
Cash paid on units cancelled (24,250) (46,899)
Distribution paid (4,801) (3,249)
Net cash outow from nancing
activities (18,559) (34,237)
Net increase/(decrease) in cash and
cash equivalents 2,810 (2,736)
Effect of change in foreign exchange
rates 112 (149)
Cash and cash equivalents at the
beginning of the nancial year 8,286 11,171
Cash and cash equivalents at the end
of the nancial year 11,208 8,286
Cash and cash equivalents comprise:
Cash at banks 4,129 4,837
Mudharabah deposits with a nancial
institution 7,079 3,449
11,208 8,286
The accompanying notes are an integral part of this statement.
Notes To The Financial Statements
30 November 2013
1. The Fund, The Manager and Their Principal Activities
The Public Islamic Alpha-40 Growth Fund (hereinafter referred
to as the Fund) was set up pursuant to the execution of a
Supplemental Master Deed dated 12 November 2009 between the
Manager, Public Mutual Berhad, the Trustee, AmanahRaya Trustees
Berhad and the registered unitholders of the Fund. The Fund is
governed by a Master Deed dated 28 January 1999 and subsequent
Supplemental Master Deeds (collectively referred to as Deeds).
The Funds objective is to seek to achieve capital growth by investing in
up to a maximum of 40 stocks which comply with Shariah requirements.
The Fund invests in investments as dened in the Deeds. The Fund
was launched on 16 November 2010 and will continue its operations
until terminated by the Trustee as provided in the Master Deed.
The Manager of the Fund is Public Mutual Berhad, a company
incorporated in Malaysia. Its principal activities are the management of
unit trusts and the sale of trust units. Its ultimate holding company is Public
Bank Berhad, a licensed bank incorporated in Malaysia and listed on the
Main Market of Bursa Malaysia Securities Berhad (Bursa Malaysia).
2. Summary of Significant Accounting Policies
(a) Basis of Preparation
The nancial statements of the Fund have been prepared under
the historical cost convention, as modied by the revaluation of
nancial assets and nancial liabilities at fair value and comply
with Malaysian Financial Reporting Standards (MFRS) and
International Financial Reporting Standards (IFRS).
(b) First time Adoption of MFRS
For the periods up to and including the nancial year ended
30 November 2012, the Fund prepared its nancial statements
in accordance with Financial Reporting Standards in Malaysia
(FRS). These financial statements, for the financial year
ended 30 November 2013 are the Funds rst nancial statements
prepared in accordance with MFRS; and MFRS 1 - First Time
Adoption of Malaysian Financial Reporting Standards has been
applied. In preparing these nancial statements, the Funds
opening Statement of Assets and Liabilities was prepared as at
1 December 2011, the date of transition to MFRS.
The Fund has applied the exemption provided by MFRS 1 to
designate all its investments held at the date of transition at fair
value through prot or loss. An explanation of how the transition
from FRS to MFRS has affected the Funds Statement of Income
and Expenditure is set out below. The transition from FRS to
MFRS has no impact on the Statement of Assets and Liabilities
and Statement of Cash Flows.
24 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 25
2. Summary of Significant Accounting Policies (contd)
(b) First time Adoption of MFRS (contd)
Effect of
transition to
FRS MFRS MFRS
MYR000 MYR000 MYR000
Other investment income 2,621 - 2,621
Net gain from investments 9,347 4,353 13,700
Net realised/unrealised
foreign exchange loss (149) (15) (164)
11,819 4,338 16,157
Less: Expenses 1,927 - 1,927
Net income before taxation 9,892 4,338 14,230
Taxation (57) - (57)
Net income after taxation 9,835 4,338 14,173
Other comprehensive
income 4,338 (4,338) -
Total income 14,173 - 14,173
In addition, the Fund has early adopted MFRS 13 - Fair Value
Measurement. The adoption of MFRS 13 has no signicant impact
on the nancial statements of the Fund.
The Fund has not early adopted the following MFRS, Amendments
and IC Interpretations which have effective dates as follows:
Effective dates
for nancial periods
beginning on or after
MFRS 3 - Business Combination * 1 January 2013
MFRS 10 - Consolidated Financial 1 January 2013
Statements *
MFRS 11 - Joint Arrangement * 1 January 2013
MFRS 12 - Disclosure of Interests in Other 1 January 2013
Entities *
MFRS 119 - Employee Benets * 1 January 2013
MFRS 127 - Separate Financial Statements * 1 January 2013
MFRS 128 - Investments in Associates and 1 January 2013
Joint Ventures *
MFRS 9 - Financial Instruments 1 January 2015
Amendments to MFRS contained in the 1 January 2013
document entitled Annual Improvements
2009-2011 Cycle
Government Loans (Amendments to 1 January 2013
MFRS 1) *
Disclosures - Offsetting Financial Assets 1 January 2013
and Financial Liabilities (Amendments to
MFRS 7)
Offsetting Financial Assets and Financial 1 January 2014
Liabilities (Amendments to MFRS 132)
Notes To The Financial Statements
30 November 2013
2. Summary of Significant Accounting Policies (contd)
(b) First time Adoption of MFRS (contd)
Effective dates
for nancial periods
beginning on or after
Investment Entities (Amendments to 1 January 2014
MFRS 10, MFRS 12 and MFRS 127) *
Recoverable Amount Disclosures for 1 January 2014
Non-Financial Assets (Amendments to
MFRS 136) *
Novation of Derivatives and Continuation of 1 January 2014
Hedge Accounting (Amendments to
MFRS 139) *
IC Interpretation 20 - Stripping Costs in the 1 January 2013
Production Phase of a Surface Mine *
IC Interpretation 21 - Levies * 1 January 2014
* These MFRS, Amendments and IC Interpretations are not
relevant to the Fund.
(c) Accounting Estimates and Judgements
The preparation of the Funds nancial statements requires the
Manager to make judgements, estimates and assumptions that
affect the reported amounts of revenues, expenses, assets and
liabilities, and the disclosure of contingent liabilities at the reporting
date. However, uncertainty about these assumptions and estimates
could result in outcome that could require a material adjustment to
the carrying amount of an asset or a liability in the future.
There are no major judgements nor key assumptions concerning
the future and other key sources of estimation uncertainty at the
reporting date, that may cast signicant doubt upon the Funds
ability to continue as a going concern. Therefore, the nancial
statements continue to be prepared on the going concern basis.
(d) Financial Assets and Liabilities
Financial assets and nancial liabilities are recognised in the
Statement of Assets and Liabilities when, and only when, the Fund
becomes a party to the contractual provisions of the instrument.
i) Financial Assets
The Fund determines the classication of its nancial assets
at initial recognition, and the categories include nancial
assets at fair value through prot or loss (FVTPL) and loans
and receivables.
When nancial assets are recognised initially on trade date,
they are measured at fair value, plus, in the case of nancial
assets not at FVTPL, directly attributable transaction costs.
Financial assets are derecognised on trade date when the
rights to receive cash ows from the investments have expired
or the Fund has transferred substantially all risks and rewards
of ownership.
Notes To The Financial Statements
30 November 2013
26 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 27
2. Summary of Significant Accounting Policies (contd)
(d) Financial Assets and Liabilities (contd)
i) Financial Assets (contd)
Financial assets at FVTPL
Financial assets are classied as nancial assets at
FVTPL if they are held for trading or are designated as
such upon initial recognition. Financial assets held for
trading are those acquired principally for the purpose of
selling in the near term. Subsequent to initial recognition,
nancial assets at FVTPL are measured at fair value.
Changes in the fair value of those nancial instruments
are recorded in Net gain or loss on nancial assets
at FVTPL. Interest earned and dividend revenue
elements of such instruments are recorded separately
in Interest income and Dividend income respectively.
Exchange differences on nancial assets at FVTPL are
not recognised separately in prot or loss but are included
in net gain or net loss on changes in fair value of nancial
assets at FVTPL.
Loans and Receivables
The Fund does not have any loans throughout the
nancial year. Financial assets with xed or determinable
payments that are not quoted in an active market are
classied as receivables. Such receivables include
amount due from brokers/nancial institutions, amount
due from the Manager and other receivables. Subsequent
to initial recognition, these are measured at amortised
cost.
For nancial assets carried at amortised cost, the Fund
assesses at each reporting date whether there is any
objective evidence that a nancial asset is impaired. If any
such evidence exists, the amount of impairment loss is
measured as the difference between the assets carrying
amount and the present value of estimated future cash
ows discounted at the nancial assets original effective
interest rate. The carrying amount of the nancial asset
is reduced and the amount of the loss is recognised in
prot or loss with the exception of receivables.
If in a subsequent period, the amount of the impairment
loss decreases and the decrease can be related
objectively to an event occurring after the impairment
was recognised, the previously recognised impairment
loss is reversed to the extent that the carrying amount
of the asset does not exceed its amortised cost at the
reversal date. The amount of reversal is recognised in
prot or loss.
Notes To The Financial Statements
30 November 2013
2. Summary of Significant Accounting Policies (contd)
(d) Financial Assets and Liabilities (contd)
ii) Financial Liabilities
Financial liabilities are classied according to the substance of
the contractual arrangements entered into and the denitions
of a nancial liability.
Financial liabilities are recognised initially at fair value and
subsequently stated at amortised cost. The Fund includes
in this category amount due to brokers/nancial institutions,
amounts due to the Manager and the Trustee, and other
payables. A nancial liability is derecognised when it is settled.
(e) Foreign Currency
i) Functional and presentation currency
The nancial statements of the Fund are measured using
the currency of the primary economic environment in which
the Fund operates (the functional currency). The nancial
statements are presented in Malaysian Ringgit (MYR), which
is also the Funds functional currency.
ii) Foreign currency transactions
Transactions in foreign currencies are measured and recorded
in the functional currency of the Fund on initial recognition at
exchange rates approximating those ruling at the transaction
dates. Monetary assets and liabilities denominated in foreign
currencies are translated at the rate of exchange ruling at
the reporting date. Non-monetary items denominated in
foreign currencies that are measured at historical cost are
translated using the exchange rates as at the dates of the
initial recognition.
Exchange differences arising from translation of monetary
items at the reporting date are recognised in prot or loss.
Exchange differences arising from the translation of non-
monetary nancial assets at FVTPL are included in prot
or loss.
(f) Unitholders Capital
The Unitholders contributions to the Fund meet the denition of
puttable instruments and are classied as equity instruments.
Distribution equalisation represents the average distributable
amount included in the creation and cancellation prices of units.
This amount is either refunded to Unitholders by way of distribution
and/or adjusted accordingly when units are cancelled.
(g) Cash and Cash Equivalents
Cash and cash equivalents comprise cash at banks and
Mudharabah deposits with nancial institutions which have an
insignicant risk of changes in value.
Notes To The Financial Statements
30 November 2013
28 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 29
2. Summary of Significant Accounting Policies (contd)
(h) Income
Income is recognised to the extent that it is probable that the
economic benefits will flow to the Fund and the income can
be reliably measured. Income is measured at the fair value of
consideration received or receivable.
Dividend income is recognised when the Funds right to receive
payment is established.
Prot from Mudharabah deposits, income from sukuk, accretion
of discount and amortisation of premium are recognised using the
effective interest method.
(i) Taxation
Current tax assets and liabilities are measured at the amount
expected to be recovered from or paid to the tax authorities. The
tax rate and tax laws used to compute the amount are those that
are enacted or substantively enacted by the reporting date. The
Fund also incurs foreign withholding taxes imposed by certain
countries on dividend and interest income derived from foreign
nancial instruments.
(j) Interest from Foreign Currency Accounts
A portion of the cash is maintained in foreign currency accounts
outside Malaysia to facilitate the settlement of purchase and selling
of foreign securities in a particular country. Interest earned, if any,
from these accounts is not recognised as income to the Fund. Such
interest will be channelled to charitable bodies as part of the Funds
cleansing process in line with the advice of the Shariah Adviser.
(k) Related Parties
Related parties refer to Public Bank Berhad and its subsidiaries.
3. Financial Risk and Capital Management Policies
The Fund is exposed to a variety of nancial risks, which include
market risk (such as price risk and currency risk), credit risk, single
issuer risk, liquidity risk and reclassication of Shariah status risk. The
overall nancial risk management objective of the Fund is to mitigate
capital loss.
Financial risk management is carried out through policy reviews,
internal control systems and adherence to the investment powers and
restrictions stipulated in the Securities Commissions Guidelines on Unit
Trust Funds in Malaysia.
(a) Market Risk
Market risk arises when the value of the securities uctuates in
response to the activities of individual companies, and general
market or economic environments. Market risk is managed
through portfolio diversication and changes in asset allocation.
It comprises the following risks:
Notes To The Financial Statements
30 November 2013
3. Financial Risk and Capital Management Policies (contd)
(a) Market Risk (contd)
i) Price Risk
Price risk is the risk that prices of equity securities and
collective investment funds rise or fall as a result of changes
in factors specic to a particular security or general market
conditions.
The increase/(decrease) in the NAV attributable to unitholders
as at reporting date, assuming equity and collective investment
funds prices change by +/(-) 5% with all other variables held
constant, is +/(-) MYR3,500,000 (2012: +/(-) MYR4,012,000).
This analysis is for illustration purpose only and not an
indication of future variances.
ii) Currency Risk
The Fund invests in nancial instruments denominated in
currencies other than its functional currency. Consequently,
the Fund is exposed to risks arising from changes in the
exchange rate of its functional currency relative to other
foreign currencies that might signicantly impact the value of
the Funds assets or liabilities denominated in currencies other
than Malaysian Ringgit.
The increase/(decrease) in the NAV attributable to unitholders
as at reporting date, assuming exchange rates of foreign
currencies uctuate by +/(-) 5% with all other variables held
constant, is +/(-) MYR554,000 (2012: +/(-) MYR650,000). This
analysis is for illustration purpose only and not an indication
of future variances.
(b) Credit Risk
Credit risk refers to the ability of an issuer or a counterparty to make
timely payments of prot, principals and proceeds from realisation of
investments. The Fund invests only in debt securities with at least
investment grade credit rating by the relevant credit rating agencies.
The Manager manages credit risk by setting counterparty limits and
undertaking credit evaluation to assess such risk.
(c) Single Issuer Risk
The Fund is restricted to invest in securities issued by any issuer
of not more than a certain percentage of its net asset value. Under
such restriction, the exposure risk to the securities of a single
issuer is minimised.
(d) Liquidity Risk
The Fund maintains a sufcient level of liquid assets to meet
anticipated payments and redemption by unitholders. Liquid
assets comprise cash, Mudharabah deposits with licensed nancial
institutions and other instruments, which can be converted into cash
within 7 days. The Funds policy is to maintain a prudent level of
liquid assets and monitoring of the daily creation and cancellation
of units so as to manage liquidity risk.
Notes To The Financial Statements
30 November 2013
30 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 31
3. Financial Risk and Capital Management Policies (contd)
(d) Liquidity Risk (contd)
The Funds nancial liabilities have contractual maturities of not
more than six (6) months.
(e) Reclassification of Shariah Status Risk
The currently held Shariah-compliant securities in the portfolio
of Shariah-based funds may be reclassied to be Shariah non-
compliant in the periodic review of the securities by the Shariah
Advisory Council of the Securities Commission (SACSC), the
Shariah Adviser or the Shariah Boards of the relevant Islamic
Indices. If this occurs, the value of the Fund may be adversely
affected where the Manager will take the necessary steps to dispose
of such securities in accordance with the advice from the SACSC
and/or the Shariah Adviser.
(f) Capital Management
The capital is represented by unitholders subscription to the Fund.
The amount of capital can change signicantly on a daily basis
as the Fund is subject to daily redemption and subscription at
the discretion of unitholders. The Manager manages the Funds
capital in accordance to its objective as stated in Note 1, while
maintaining sufcient liquidity to meet unitholders redemption as
explained in Note (d) above.
4. Investments
30.11.2013 30.11.2012 1.12.2011
MYR000 MYR000 MYR000
Financial assets at FVTPL
- Equity securities 69,676 80,243 98,657
- Collective investment funds 332 - -
70,008 80,243 98,657
The Funds investments are carried at fair value, which were determined
using prices in active markets for identical assets.
Quoted equity securities and collective investment funds
Fair value is determined directly by reference to the published market
price at the reporting date.
The market prices of the above quoted financial instruments are
determined by reference to information made publicly available by the
respective stock exchanges.
FINANCIAL INSTRUMENTS - 30 NOVEMBER 2013
The equity securities and collective investment funds held by the Fund
are categorised based on their principal business activities according
to the Bloomberg Sector Classication System as at the date of the
Statement of Assets and Liabilities.
Notes To The Financial Statements
30 November 2013
4. Investments (contd)
Per Cent
of Net
Fair Asset
Quantity Cost Value Value
(in 000) MYR000 MYR000 %
EQUITY SECURITIES
Malaysia
Basic Materials
Petronas Chemicals Group
Berhad 461 2,866 3,112 4.0
Communications
Axiata Group Berhad 934 4,759 6,276 8.1
DiGi.Com Berhad 649 1,839 3,161 4.1
Maxis Berhad 496 3,236 3,487 4.5
Media Chinese
International Limited 178 200 177 0.2
Star Publications
(Malaysia) Berhad 144 381 354 0.4
Telekom Malaysia Berhad 503 1,620 2,585 3.3
12,035 16,040 20.6
Consumer, Cyclical
UMW Holdings Berhad 133 1,771 1,655 2.1
Consumer, Non-cyclical
Felda Global Ventures
Holdings Berhad 400 2,105 1,784 2.3
IHH Healthcare Berhad 556 2,141 2,252 2.9
IOI Corporation Berhad 710 3,987 4,006 5.2
KPJ Healthcare Berhad 188 1,088 1,147 1.5
Kuala Lumpur Kepong
Berhad 83 1,808 2,041 2.6
11,129 11,230 14.5
Diversied
IJM Corporation Berhad 224 1,225 1,310 1.7
Sime Darby Berhad 473 4,318 4,565 5.9
5,543 5,875 7.6
Energy
Dialog Group Berhad 252 567 751 1.0
Perisai Petroleum Teknologi
Berhad 314 286 458 0.6
Petronas Dagangan Berhad 51 737 1,597 2.0
SapuraKencana Petroleum
Berhad 876 2,516 3,759 4.8
UMW Oil & Gas
Corporation Berhad 472 1,478 1,604 2.1
5,584 8,169 10.5
Notes To The Financial Statements
30 November 2013
32 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 33
4. Investments (contd)
Per Cent
of Net
Fair Asset
Quantity Cost Value Value
(in 000) MYR000 MYR000 %
EQUITY SECURITIES
(contd)
Malaysia (contd)
Financial
IJM Land Berhad 417 1,199 1,084 1.4
UEM Sunrise Berhad 578 1,569 1,330 1.7
2,768 2,414 3.1
Industrial
Gamuda Berhad 458 1,867 2,180 2.8
Hartalega Holdings Berhad 136 786 1,002 1.3
MISC Berhad 118 612 650 0.8
WCT Holdings Berhad 930 2,593 2,093 2.7
5,858 5,925 7.6
Utilities
Petronas Gas Berhad 140 1,884 3,340 4.3
Tenaga Nasional Berhad 526 3,477 5,185 6.7
5,361 8,525 11.0
Hong Kong
Energy
CNOOC Limited 74 484 489 0.6
PetroChina Company
Limited 126 581 480 0.6
1,065 969 1.2
Korea
Consumer, Cyclical
Hyundai Mobis 1 558 562 0.7
Kia Motors Corporation 2 361 419 0.5
919 981 1.2
Technology
Samsung Electronics
Company Limited * 581 982 1.3
Singapore
Communications
M1 Limited 42 293 354 0.4
Singapore
Telecommunications
Limited 39 339 372 0.5
StarHub Limited 33 330 360 0.5
962 1,086 1.4
* Denote less than 1,000 units of shares.
Notes To The Financial Statements
30 November 2013
4. Investments (contd)
Per Cent
of Net
Fair Asset
Quantity Cost Value Value
(in 000) MYR000 MYR000 %
EQUITY SECURITIES
(contd)
Singapore (contd)
Industrial
SembCorp Marine Limited 88 1,029 1,002 1.3
Taiwan
Technology
Taiwan Semiconductor
Manufacturing Company
Limited 109 876 1,247 1.6
Thailand
Communications
Advance Info Service
Public Company Limited
- Foreign 20 546 464 0.6
COLLECTIVE
INVESTMENT FUNDS
Hong Kong
Financial
The Link Real Estate
Investment Trust 21 351 332 0.4
TOTAL 59,244 70,008 90.0
The cost is translated to the Funds functional currency based on the
exchange rate at the date of the Statement of Assets and Liabilities.
2013 2012
MYR000 MYR000
Net gain from investments:
Financial assets at FVTPL
- realised gain on disposal 1,445 5,871
- unrealised gain on changes in fair value 8,424 7,829
9,869 13,700
Notes To The Financial Statements
30 November 2013
34 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 35
5. Fair Value of Financial Instruments
The Fund uses the following hierarchy for determining and disclosing
the fair value of nancial instruments by valuation technique:
Level 1: Quoted prices per respective stock markets 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 (as
prices) or indirectly (derived from prices).
Level 3: Inputs for the asset or liability other than observable market
data.
As at 30 November 2013, the Fund held the following nancial instruments
carried at fair value on the Statement of Assets and Liabilities.
Level 1 Total
MYR000 MYR000
As at 30 November 2013
Financial assets at FVTPL
- Equity securities 69,676 69,676
- Collective investment funds 332 332
70,008 70,008
As at 30 November 2012
Financial assets at FVTPL
- Equity securities 80,243 80,243
6. Shariah Information of the Fund
(a) Reclassication of Shariah Status of Securities
Media Chinese International Limited was reclassied as Shariah
non-compliant on 29 November 2013 by the Shariah Advisory
Council of the Securities Commission of Malaysia. These securities
will be disposed of in accordance with the advice of the Shariah
Adviser.
(b) Payment to Charitable Bodies
Payment which must be made to charitable bodies comprised
the interest income of MYR358.38 derived from foreign currency
accounts. The Manager has channelled the total amount of
MYR358.38 to charitable bodies as part of the Funds cleansing
process.
In addition, the Shariah Adviser conrmed that the investment portfolio
of the Fund is Shariah-compliant, which comprises:
i) equity securities listed on Bursa Malaysia which have been
classied as Shariah-compliant by the Shariah Advisory Council
of the Securities Commission of Malaysia;
Notes To The Financial Statements
30 November 2013
6. Shariah Information of the Fund (contd)
ii) equity securities in foreign markets which have been classied
as Shariah-compliant either by the Shariah Supervisory Board of
Standard & Poors Shariah Indexes and duly veried by the Shariah
Adviser and/or those securities which have been reviewed and
classied as Shariah-compliant by the Shariah Adviser;
iii) investment in collective investment funds which was veried as
Shariah-compliant by the Shariah Adviser; and
iv) cash placements and liquid assets in local market, which are placed
in investments and/or instruments.
7. Cash and Cash Equivalents
2013 2012
MYR000 MYR000
Mudharabah deposits with a related
licensed Islamic bank 7,079 3,449
Cash at banks
- related parties 804 4,058
- others 3,325 779
4,129 4,837
11,208 8,286
Weighted average rates of return for the nancial year and the average
remaining maturities of Mudharabah deposits as of end of the nancial
year are as follows:
Weighted Average
Average Remaining
Rates of Return Maturities
2013 2012 2013 2012
% % Days Days
Mudharabah deposits,
less than 1 year 2.94 2.95 2 3
8. Due to Brokers/Financial Institutions, Net
2013 2012
MYR000 MYR000
Amount due to
- a related nancial institution 162 -
- other stockbroking companies 159 -
321 -
Notes To The Financial Statements
30 November 2013
36 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 37
Notes To The Financial Statements
30 November 2013
9. Due to the Manager, Net
The net amount due to the Manager represents amount payable for units
cancelled and/or amount payable for management fee, net of amount
receivable for the units created. Amounts for units created/cancelled are
receivable/payable within 10 days of creation/cancellation. Management
fee is payable on a monthly basis.
10. Net Asset Value Attributable to Unitholders (Total Equity)
2013 2012
MYR000 MYR000
Unitholders capital 64,360 77,791
Retained earnings 13,388 5,990
77,748 83,781
Retained earnings
- realised reserves 2,266 3,390
- unrealised reserves 11,122 2,600
13,388 5,990
11. Units in Circulation
As of end of the nancial year, the total number of units in circulation
is as follows:
2013 2012
No. of units No. of units
(in 000) (in 000)
At beginning of the nancial year 320,121 433,264
Creation of units 38,326 59,810
Cancellation of units (87,210) (172,953)
At end of the nancial year 271,237 320,121
12. Holdings of Units by the Manager
As of end of the nancial year, the total number and value of units held
legally by the Manager are as follows:
2013 2012
No. of units No. of units
(in 000) MYR000 (in 000) MYR000
The Manager 224 64 152 40
13. Trustees Fee
The Trustees fee is computed daily based on 0.06% per annum of the
net asset value, subject to a minimum fee of MYR18,000 per annum
and a maximum fee of MYR600,000 per annum. Prior to 30 April 2012,
the Trustees fee was computed daily based on 0.08% per annum of the
net asset value, subject to a minimum fee of MYR18,000 per annum.
Notes To The Financial Statements
30 November 2013
14. Management Fee
The management fee is computed daily based on 1.50% per annum
of the net asset value.
15. Taxation
2013 2012
MYR000 MYR000
Malaysian tax - 14
Foreign withholding tax 23 43
23 57
Domestic income tax is calculated at the Malaysian statutory tax rate of
25% of the estimated assessable income for the nancial year.
The Malaysian taxation charge for the current nancial year is on taxable
dividend income after deducting tax allowable expenses.
A reconciliation of income tax expense applicable to net income before
taxation at the statutory income tax rate to income tax expense at the
effective income tax rate of the Fund is as follows:
2013 2012
MYR000 MYR000
Net income before taxation 10,661 14,230
Taxation at Malaysian statutory rate of 25% 2,665 3,558
Tax effects of:
- income not subject to tax, net (3,031) (3,985)
- expenses not deductible for tax purposes 79 81
- restriction on tax deductible expenses
for unit trust funds 287 360
- 14
Foreign withholding tax 23 43
Tax expense 23 57
16. Distribution
Final distribution declared on 29 November 2013 (2012: 30 November 2012)
to unitholders is derived from the following sources:
2013 2012
MYR000 MYR000
Prot from Mudharabah deposits 83 59
Dividend income 1,979 1,926
Net realised gain on sale of investments 1,379 3,872
Net realised gain/(loss) on foreign exchange 15 (111)
Previous nancial years net realised income 1,527 983
4,983 6,729
38 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 39
16. Distribution (contd)
2013 2012
MYR000 MYR000
Less:
Expenses (1,592) (1,927)
Attributable tax (unitholders) (151) (1)
(1,743) (1,928)
3,240 4,801
Gross distribution per unit (sen) 1.25 1.50
Net distribution per unit (sen) 1.20 1.50
Included in distribution for the financial year is an amount of
MYR1,527,000 (2012: MYR983,000) made from previous nancial
years net realised income.
17. Transactions with Related and Other Brokers/Financial
Institutions
Value of Per Cent Brokerage Per Cent
Trade of Total Fees and of Total
Trade Commissions Fees and
Name Commissions
MYR000 % MYR000 %
Public Investment
Bank Berhad
(related party) 29,725 44 68 43
Mercury Securities
Sdn Bhd 27,085 40 61 38
CLSA Securities
Korea Limited 2,969 4 9 6
Public Securities
Limited (related
party) 1,756 3 4 3
TA Securities
Holdings Berhad 1,185 2 3 2
Kenanga Investment
Bank Berhad 1,146 2 3 2
J.P. Morgan
Securities Limited 780 1 2 1
Deutsche Securities
Korea Co. (DSK) 648 1 2 1
UBS Securities Malaysia
Sdn Bhd 601 1 2 1
Public Bank (Hong
Kong) Limited
(related party) 397 - 1 -
Others 1,638 2 4 3
67,930 100 159 100
Notes To The Financial Statements
30 November 2013
Notes To The Financial Statements
30 November 2013
17. Transactions with Related and Other Brokers/Financial
Institutions (contd)
The directors of the Manager are of the opinion that transactions
with related parties have been entered into in the normal course of
business and have been established on terms and conditions that
are not materially different from that obtainable in transactions with
unrelated parties.
18. Management Expense and Portfolio Turnover Ratios
(a) Management Expense Ratio (MER)
The MER for the nancial year is 1.65% (2012: 1.61%). It is the
total management expenses expressed as an annual percentage
of the Funds average net asset value.
(b) Portfolio Turnover Ratio (PTR)
The PTR for the nancial year is 0.42 time (2012: 0.42 time). It
represents the average of the total acquisitions and disposals of
the investments in the Fund for the nancial year over the average
net asset value of the Fund calculated on a daily basis.
19. Segment Information
For management purposes, the Fund is organised into one main
operating segment, which invests in various nancial instruments and
the analysis of the Funds investment income by segments is as follows:
2013 2012
MYR000 MYR000
(a) Investment Type
Equity securities 12,088 15,957
Collective investment funds 12 -
Warrants 47 105
Mudharabah deposits 106 95
12,253 16,157
(b) Regional Location
Malaysia 11,492 15,938
Asia Pacic region 761 219
12,253 16,157
40 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 41
Corporate Information
Manager
Public Mutual Berhad (23419-A)
Registered Office
Block B, Sri Damansara Business Park
Persiaran Industri, Bandar Sri Damansara
52200 Kuala Lumpur
Tel: 603-62796800
Fax: 603-62779800
Secretaries
Ms. Tang Pueh Fong (MIA 8078)
Ms. Pang Siew Han (MIA 6968)
Banker
Public Bank Berhad
Trustee of the Fund
AmanahRaya Trustees Berhad
Tingkat 2, Wisma TAS
No. 21, Jalan Melaka
50100 Kuala Lumpur
Shariah Adviser
ZICOlaw Shariah Advisory Services Sdn Bhd
(formerly known as ZI Shariah Advisory Services Sdn Bhd)
Suite 2-4, Level 2
Tower Block, Menara Milenium
Jalan Damanlela
Pusat Bandar Damansara
50490 Kuala Lumpur
Auditor of the Manager and the Fund
Ernst & Young
Level 23A, Menara Milenium
Jalan Damanlela
Pusat Bandar Damansara
Damansara Heights
50490 Kuala Lumpur
Tax Adviser
KPMG Tax Services Sdn Bhd
Level 10, KPMG Tower
8, First Avenue
Bandar Utama
47800 Petaling Jaya
Selangor
Corporate Information
Management Staff
Yeoh Kim Hong
Chief Executive Ofcer / Executive Director
Lum Ming Jang
Senior General Manager - Investment
Richard Tan Koon Eam
General Manager - Information Technology
Lee Kean Gie
General Manager - Agency Operations
Alex Sito Kok Chau
General Manager - Marketing & Financial Planning
Hang Siew Eng
General Manager - Customer Administration & Service
Tang Pueh Fong
General Manager - Finance & Operations
Evelyn Chu Swee Yin
General Manager - Agency Development & Training
Senior Compliance Officer
Abdul Samad Bin Jaafar
Assistant General Manager - Compliance
42 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 43
Directors And Senior Management
Tan Sri Dato Sri Dr. Teh Hong Piow
Non-independent Director / Chairman
Tan Sri Dato Sri Dr. Teh Hong Piow, is a Director of Public Mutual since
September 2006. He began his banking career in 1950 and has 63 years
experience in the banking and nance industry. He founded Public Bank Bhd.
in 1965 at the age of 35. He was appointed as a Director of Public Bank Bhd.
on 30 December 1965 and had been the Chief Executive Ofcer of Public
Bank Bhd. since its commencement of business operations in August 1966.
He was re-designated as Chairman of Public Bank Bhd. and Chairman of
Public Bank Group with effect from 1 July 2002.
Tan Sri Dato Sri Dr. Teh Hong Piow had won both domestic and international
acclaim for his outstanding achievements as a banker and the Chief Executive
Ofcer of a leading nancial services group. Awards and accolades that he
had received include:
Asias Commercial Banker of the Year 1991
The ASEAN Businessman of the Year 1994
Malaysias Business Achiever of the Year 1997
Malaysias CEO of the Year 1998
Best CEO in Malaysia 2004
The Most PR Savvy CEO 2004
The Asian Banker Leadership Achievement Award 2005 for Malaysia
Award for Outstanding Contribution to the Development of Financial
Services in Asia 2006
Lifetime Achievement Award 2006
Award for Lifetime Achievement in Corporate Excellence, Dedication
and Industry 2006
Asias Banker of High Distinction Award 2006
The BrandLaureate Brand Personality Award 2007
ASEAN Most Astute Banker Award 2007
Lifetime Entrepreneurship Achievement Award 2007
The Pila Recognition Award 2007
Asian Banker Par Excellence Award 2008
Best CEO in Malaysia 2009
Asias Banking Grandmaster 2010
Asian Corporate Director Recognition Award 2010 for Malaysia
Value Creator: Malaysias Outstanding CEO 2010
The BrandLaureate - Tun Dr. Mahathir Mohamad Man of the Year
Award 2010 - 2011
Best CEO (Investor Relations) 2011 for Malaysia
Asian Corporate Director Recognition Award 2011 for Malaysia
The BrandLaureate Premier Brand Icon Leadership Award 2011
Best CEO (Investor Relations) 2012 for Malaysia
Asian Corporate Director Recognition Award 2012 for Malaysia
Best CEO (Investor Relations) 2013 for Malaysia
Asian Corporate Director Recognition Award 2013 for Malaysia
BrandLaureate Banker of the Year Award
Tan Sri Dato Sri Dr. Teh Hong Piow was awarded the Medal For the Course of
Vietnamese Banking by the State Bank of Vietnam in 2002 for his contributions
to the Vietnamese banking industry over the past years. Tan Sri Dato Sri
Dr. Teh Hong Piow was conferred the Recognition Award 2007 by the National
Bank of Cambodia in appreciation of his excellent achievement and signicant
contribution to the banking industry in Cambodia.
In recognition of his contributions to society and the economy, he was conferred
the Doctor of Laws (Honorary) from University of Malaya in 1989.
He had served in various capacities in public service bodies in Malaysia;
he was a member of the Malaysian Business Council from 1991 to 1993;
a member of the National Trust Fund from 1988 to 2001; a founder member
of the Advisory Business Council since 2003; and is a member of the IPRM
Accreditation Privy Council. He is an Emeritus Fellow of the Malaysian
Institute of Management and is a Fellow of the Institute of Bankers Malaysia;
the Chartered Institute of Bankers, United Kingdom; the Institute of
Administrative Management, United Kingdom; and the Institute of Chartered
Secretaries and Administrators, Australia.
Directors And Senior Management
Tan Sri Datuk Seri Utama Thong Yaw Hong
Independent Director / Co-Chairman
Tan Sri Datuk Seri Utama Thong Yaw Hong is a Director of Public Mutual
since September 2006. He was appointed as a Director of Public Bank Bhd.
on 23 June 1986 and was made its Chairman in October 1986. He was re-
designated as Co-Chairman of Public Bank Bhd. with effect from 1 July 2002.
He graduated with a Bachelor of Arts (Hons) degree in Economics from
University of Malaya and a Masters degree in Public Administration from
Harvard University. He attended the Advanced Management Program at
Harvard Business School. In June 1998, he was appointed a Pro-Chancellor
of University Putra Malaysia from which he had retired in end June 2006.
In September 2006, he was conferred the Doctor of Economics (Honorary)
from University Putra Malaysia.
He has had a distinguished career with the Government of Malaysia, primarily
in the elds of socio-economic development planning and nance. He had
served in the Economic Planning Unit in the Prime Ministers Department
since 1957 and became its Director-General from 1971 to 1978 and served as
Secretary-General, Ministry of Finance from 1979 until his retirement in 1986.
Tan Sri Datuk Seri Utama Thong Yaw Hong also serves as member on
the Boards of Trustees of Program Pertukaran Fellowship Perdana Menteri
Malaysia and Tun Razak Foundation, among others. He is a member of the
National Economic Council and is also a Senior Member of the Working
Group of the Executive Committee for the National Economic Council. Tan
Sri Datuk Seri Utama Thong Yaw Hong is a Distinguished Fellow of the
Institute of Strategic and International Studies (ISIS) Malaysia and is also a
Fellow of the Institute of Bankers Malaysia.
Tan Sri Dato Sri Tay Ah Lek Non-independent Director
Tan Sri Dato Sri Tay Ah Lek is a Director of Public Mutual since August
1995. He has 52 years experience in the banking and nance industry. He
was appointed as an Executive Director of Public Bank Bhd. on 18 June
1997 and was re-designated as Managing Director with effect from 1 July
2002. He joined the Public Bank Group as a pioneer staff in 1966. He was
the Executive Vice-President of Public Bank Bhd. from 1995 to 1997 and
prior to this appointment, he was the Executive Vice-President of the former
Public Finance Bhd.
Tan Sri Dato Sri Tay Ah Lek holds a Masters degree in Business
Administration from Henley, United Kingdom and attended the Advanced
Management Program at Harvard Business School. He is an Emeritus
Fellow of the Malaysian Institute of Management and is a Fellow of CPA
Australia, the Financial Services Institute of Australasia and the Institute of
Bankers Malaysia.
He is presently the Chairman of the Association of Hire Purchase Companies
Malaysia and is a Member of the National Payments Advisory Board.
44 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 45
Directors And Senior Management
Mr. Quah Poh Keat Non-independent Director
Mr. Quah Poh Keat, is a Director of Public Mutual since 1 September 2009.
He was appointed as Deputy Chief Executive Ofcer II of Public Bank Bhd.
on 1 October 2013 and was redesignated as Deputy Chief Executive Ofcer
on 28 November 2013. He is a Fellow of the Malaysian Institute of Taxation
and the Association of Chartered Certied Accountants; and a Member of the
Malaysian Institute of Accountants, the Malaysian Institute of Certied Public
Accountants and the Chartered Institute of Management Accountants.
He was a partner of KPMG since October 1982 and appointed Senior Partner
(also known as Managing Partner in other practices) in October 2000 until
30 September 2007. He retired from the rm on 31 December 2007. He
is experienced in auditing, tax and insolvency practices and had worked
in Malaysia and United Kingdom; his experiences include restructuring,
demergers and privatisation.
Mr. Quah also sits as a Director on the Boards of Directors of Public Financial
Holdings Ltd, Public Bank (Hong Kong) Ltd, Cambodian Public Bank Plc,
Campu Lonpac Insurance Plc, LPI Capital Bhd. and Lonpac Insurance Bhd.
Ms. Yeoh Kim Hong
Chief Executive Officer / Executive Director
Ms. Yeoh Kim Hong, CA(M), CPA, CFP has more than 17 years experience
in the unit trust industry. Ms. Yeoh is the Chief Executive Ofcer of Public
Mutual since July 2007. She is also a member of the Board of Directors and
the Investment Committee of Public Mutual.
Ms. Yeoh has played an active role in the development of the unit trust
industry. She holds the position of Director in the Federation of Investment
Managers Malaysia (FIMM) and is a member of the Rules Committee and
Audit Committee. Prior to that, Ms. Yeoh was a member of the Board of
Governors as well as the Chairman of the Education and Examination
Committee in the Financial Planning Association Malaysia (FPAM).
Prior to joining Public Mutual, Ms. Yeoh was with an international public
accounting rm for more than 12 years during which she gained exposures
in auditing and management consultancy and advisory, both locally and in
the United States. She is a member of the Malaysian Institute of Certied
Public Accountants and the Malaysian Institute of Accountants.
Directors And Senior Management
Dato Sri Lee Kong Lam Non-independent Director
Dato Sri Lee Kong Lam, is a Director of Public Mutual since July 1999. He
has 46 years experience in the banking and nance industry. He joined Public
Bank Bhd. in November 1996 as General Manager and was subsequently
appointed Senior General Manager in 1997 and Executive Vice-President
in 1998. He was appointed as an Executive Director of Public Bank Bhd.
on 28 November 2001 and was re-designated as Non-Independent Non-
Executive Director of Public Bank Bhd. with effect from 28 November 2013,
following his retirement as Executive Director/Deputy Chief Executive Ofcer
of Public Bank Bhd.
Prior to joining Public Bank Bhd., he was with Bank Negara Malaysia (BNM)
and was involved primarily in the supervision and examination of banking
institutions. He retired in August 1996 as the Head of BNMs Examination
Department and as a member of BNMs Management Committee.
He is a Fellow of CPA Australia and the Chartered Institute of Bankers,
United Kingdom; and a Chartered Accountant of the Malaysian Institute of
Accountants.
Dato (Dr) Haji Mohamed Ishak Bin Haji Mohamed Ariff
Independent Director
Dato (Dr) Haji Mohamed Ishak Bin Haji Mohamed Ariff is a Director of Public
Mutual since December 1993. He is a qualied Professional Chartered
Town Planner and a Professional Landscape Architect from the University
of Newcastle-upon-Tyne, England. He was honoured by the University
of Newcastle-upon-Tyne, England with the Honorary Degree of Doctor in
Civil Law in May 1993. He is a Fellow of the Royal Town Planning Institute
London; Fellow of Malaysian Institute of Planners; and Fellow of Institute of
Landscape Architects Malaysia.
He had served in various State and Federal Governments before retiring in
1993. He was a member of the Advisory Board of the City of Kuala Lumpur
(Dewan Bandaraya Kuala Lumpur) until December 2004. Over the years and
through his involvement as a Director of several public listed companies,
he has accumulated vast experiences in various sectors namely, property
and housing development, hotel management, food manufacturing and
expressway management.
Dato Mohamed Ishak is the Chairman of Yee Lee Corporation Berhad. He is
also a Trustee of Yayasan Seni Selangor (Galeri Shah Alam) and Director of
MIMA Holdings Enterprise Sdn Bhd.
Dato Haji Abdul Aziz Bin Dato Dr. Omar Independent Director
Dato Haji Abdul Aziz Bin Dato Dr. Omar is a Director of Public Mutual since
December 1993. He qualied as a Chartered Accountant from the Institute
of Chartered Accountants in England & Wales, and is also a Chartered
Accountant of the Malaysian Institute of Accountants.
During his previous banking experiences, he became a Fellow of the Institute
of Bankers Malaysia. He was the President and Chief Executive Ofcer of
a Malaysian bank from 1986 to 1993. His 44 years experience also include
the areas of audit and accounting, taxation, property, plantation, hotelling,
trading and manufacturing, both locally and abroad.
Dato Haji Abdul Aziz sits as an Independent Non-Executive Director on
the Boards of Directors of Public Bank Bhd., Public Investment Bank Bhd.,
Public Islamic Bank Bhd. (Co-Chairman), PB Trustee Services Berhad, LPI
Capital Bhd., Lonpac Insurance Bhd. and AIA PUBLIC Takaful Berhad. In
addition, he is the Co-Chairman of the Audit Committee, Risk Management
Committee and Credit Risk Management Committee and a member of the
Nomination Committee and Remuneration Committee of Public Bank Bhd.
He is the Chairman of Audit Committee of Public Islamic Bank Bhd. and
Co-Chairman of Audit Committee of Public Investment Bank Bhd.
46 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 47
Directors And Senior Management
Mr. Lum Ming Jang Senior General Manager - Investment
Mr. Lum Ming Jang, holds an honours degree in Accountancy from the
National University of Singapore and is a Chartered Financial Analyst. He
joined Public Mutual in 2001 as Senior Manager - Investment Research
and assumed the position of Senior Manager - Fund Management and
co-designated fund manager of various funds in 2003. He was promoted to
General Manager - Investment in 2004 and subsequently Senior General
Manager - Investment in 2007.
Mr. Lum has more than 25 years of experience in fund management, investment
research and stockbroking. Prior to joining Public Mutual, Mr. Lum held
management positions at various established local and foreign stockbroking
houses, overseeing their investment research functions and institutional sales.
Mr. Lums investment research experience include assessing corporate
earnings growth prospects, evaluating management track record, computation
of stock valuations and nancial analysis of listed companies on the Bursa
Securities. He is also familiar with analysis of nancial and economic trends
which affect stock market movements. On the fund management side,
Mr. Lum has served as a co-fund manager of selected unit trust funds
managed by Public Mutual since 2003 before assuming the position of
General Manager - Investment in 2004 and subsequently Senior General
Manager - Investment in 2007.
Network Of Public Mutual Branch Offices
Head Office
Block B, Sri Damansara Business Park, Persiaran Industri,
Bandar Sri Damansara, 52200 Kuala Lumpur.
Tel: 03-62796800 Fax: 03-62779800
Hotline: 03-62075000
Web: http://www.publicmutual.com.my
Alor Star
1888A & 1888B, Jalan Stadium,
05100 Alor Star, Kedah.
Tel: 04-3055000 Fax: 04-7310178
Senior Branch Manager:
Khaw Bee Ruh
Bangsar
11, 15 & 17, Jalan Bangsar Utama 3,
Bangsar Utama,
59000 Kuala Lumpur.
Tel: 03-62075000 Fax: 03-22835739
Senior Branch Manager:
Chooi Chan Yen
Batu Pahat
119, Jalan Chengal,
Taman Makmur,
83000 Batu Pahat, Johor.
Tel: 07-4325688 Fax: 07-4326588
Branch Manager:
Rui Lee Chong Siew
Bukit Mertajam
2646-2648, 2nd Floor,
Jalan Che Bee Noor,
14000 Bukit Mertajam,
Seberang Prai Tengah, Penang.
Tel: 04-3055000 Fax: 04-5376580
Branch Manager:
Cheryl Oon Lay Pheng
Butterworth
4223, Jalan Bagan Luar,
12000 Butterworth, Penang.
Tel: 04-3055000 Fax: 04-3317775
Senior Branch Manager:
Charmane Chew Hui Hsia
Cheras
44-2, 44-3, 44-4 & 34-2,
Cheras Commercial Centre,
Jalan 5/101C, Off Jalan Kaskas,
56100 Cheras, Kuala Lumpur.
Tel: 03-62075000 Fax: 03-91321022
Senior Branch Manager:
Khoo Peng Seng
Damansara Perdana
1 & 3, Jalan PJU 8/5 I,
Perdana Business Centre,
Bandar Damansara Perdana,
47820 Petaling Jaya, Selangor.
Tel: 03-62075000 Fax: 03-77222475
Senior Branch Manager:
Michelle Wong Mong Sien
Ipoh
37 & 39, Persiaran Greentown 4,
Greentown Business Centre,
30450 Ipoh, Perak.
Tel: 05-2105000 Fax: 05-2559859
Senior Branch Manager:
Foong Kuan Mun
Johor Bahru
30th Floor, Public Bank Tower,
19, Jalan Wong Ah Fook,
80000 Johor Bahru, Johor.
Tel: 07-2281098 Fax: 07-2271098
Senior Branch Manager:
Teng Lee Yen
Klang
28, 30 & 32,
Lorong Batu Nilam 3B,
Bandar Bukit Tinggi,
41200 Klang, Selangor.
Tel: 03-62075000 Fax: 03-33235632
Branch Manager:
Bryan Koh Yi Earl
Kluang
3, Jalan Dato Teoh Siew Khor,
86000 Kluang, Johor.
Tel: 07-7736193/4 Fax: 07-7736195
Branch Manager:
Tan Kheng Aun
Kota Bharu
PT 304 and PT 305,
Jalan Kebun Sultan,
15300 Kota Bharu, Kelantan.
Tel: 09-7476021 Fax: 09-7476026
Branch Manager:
Puan Abiesharni Abdul Kadir
Kuala Terengganu
1-C, Jalan Air Jernih,
20300 Kuala Terengganu,
Terengganu.
Tel: 09-6317020/40 Fax: 09-6317030
Branch Manager:
Wee Suat Hwee
Kuantan
71 & 73, Jalan Haji Abdul Aziz,
25000 Kuantan, Pahang.
Tel: 09-5178115 Fax: 09-5161223
Branch Manager:
Melvin Tan Wee Kuan
West Malaysia
48 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 49
Network Of Public Mutual Branch Offices
Melaka
No. 929 & 930, Jalan Merdeka,
Taman Melaka Raya,
75000 Melaka.
Tel: 06-2837654 Fax: 06-2837354
Senior Branch Manager:
Carl Wong Yon Lian
Muar
46, Jalan Sayang,
84000 Muar, Johor.
Tel: 06-9542323/5323
Fax: 06-9536830
Branch Manager:
Angie Ng Seow Mai
Penang
16, Lintang Burma,
10250 Pulau Tikus, Penang.
Tel: 04-3055000 Fax: 04-2295171
Senior Branch Manager:
Vincent Seow Weng Sim
Seremban
1A & 1B, Jalan Tuanku Munawir,
70000 Seremban,
Negeri Sembilan.
Tel: 06-7616663 Fax: 06-7644237
Branch Manager:
Michael Wong Cheong Tee
Shah Alam
54 & 56, Jalan Pahat G15/G,
Kompleks Otomobil,
Persiaran Selangor,
Seksyen 15,
40200 Shah Alam, Selangor.
Tel: 03-62075000 Fax: 03-55139288
Senior Branch Manager:
Ong Chen Hung
Sungai Petani
9D & 9E,
Jalan Kampung Baru,
08000 Sungai Petani, Kedah.
Tel: 04-3055000 Fax: 04-4230663
Branch Manager:
Annie Ong Sok Nee
Temerloh
10,11 & 12, 2nd Floor,
Jalan Ahmad Shah,
Bandar Sri Semantan,
28000 Temerloh, Pahang.
Tel: 09-2968068 Fax: 09-2968060
Assistant Branch Manager:
Agnes Choong Lee Yoon
West Malaysia (contd)
Bintulu
4, Lot 2646,
Jalan Tun Ahmad Zaidi,
97000 Bintulu, Sarawak.
Tel: 086-334718 Fax: 086-330221
Branch Manager: Lilian Lo Fui Ping
Kota Kinabalu

Lot 1-0-10,
Ground & 1st Floor,
Lorong Api-Api 1, Api-Api Centre,
88000 Kota Kinabalu, Sabah.
Tel: 088-231080/2
Fax: 088-238389
Branch Manager: Lim Shaw Siang
Kuching
Lot 205 & 206, Section 49,
Jalan Tunku Abdul Rahman,
93100 Kuching, Sarawak.
Tel: 082-239285 Fax: 082-239825
Senior Branch Manager:
Jones Chen Chung Sze
Miri
Lot 1380 (Ground & 1st

Floor) &
Lot 1381 (1st

Floor) Block 10,
Centre Point Commercial Centre,
Phase II, Jalan Kubu,
98000 Miri, Sarawak.
Tel: 085-429066 Fax: 085-416195
Branch Manager:
Allan Ngo Say Khiang
East Malaysia
Sandakan
Lot 16, Block B, Ground Floor,
Bandar Maju Commercial Centre,
Mile 1.5, North Road,
90000 Sandakan, Sabah.
Postal Address:
Public Mutual Berhad
Sandakan Branch
P.O. Box No. 3488,
90739 Sandakan, Sabah.
Tel: 089-222922 Fax: 089-222889
Senior Branch Manager:
Jonathan Yong Lok Sang
Sibu
10, Lorong 2,
Jalan Tuanku Osman,
96000 Sibu, Sarawak.
Tel: 084-317463 Fax: 084-330269
Branch Manager:
Wayne Moh Yuon Fat
Tawau
TB 4437, Lot 28,
Block D, Sabindo Square,
Jalan Dunlop,
91000 Tawau, Sabah.
Tel: 089-765325 Fax: 089-765326
Branch Manager:
Janice Chong Mui Lin
Penang (Bayan Baru)
Liang Wing Sim Agency Ofce
104, 1st Floor,
Jalan Mayang Pasir,
Taman Sri Tunas,
Bayan Baru,
11950 Bayan Lepas, Penang.
Tel: 04-6422170/1
Fax: 04-6411268
Sarawak (Sarikei)
Ling Chai Kua Agency Ofce
No. 43, 1st Floor, Jalan Masjid Lama,
96100 Sarikei, Sarawak.
Tel: 084-654108
Fax: 084-653318
Network Of Public Mutual Agency Offices
50 Public Islamic Alpha-40 Growth Fund Public Islamic Alpha-40 Growth Fund 51
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52 Public Islamic Alpha-40 Growth Fund
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PUBLIC ISLAMIC
ALPHA-40 GROWTH
FUND
ANNUAL REPORT 2013
for the financial year ended 30 November 2013