Prospectus - Manulife Insurance Berhad

Prospectus 

IN RESPECT OF THE 

MANULIFE CASH MANAGEMENT FUND 

Manager : Manulife Asset Management Services Berhad 

(formerly known as Manulife Unit Trusts Berhad) (834424-U) 

Trustee 

: HSBC (Malaysia) Trustee Berhad (1281-T) 

This Prospectus is dated 25 March 2013 and expires on 24 March 2014. 

The date of constitution of the Manulife Cash Management Fund is 25 March 2013. 

INVESTORS ARE ADVISED TO READ AND UNDERSTAND THE CONTENTS OF THIS PROSPECTUS. 

IF IN DOUBT, PLEASE CONSULT A PROFESSIONAL ADVISER. 

FOR INFORMATION CONCERNING CERTAIN RISK FACTORS WHICH SHOULD BE CONSIDERED 

BY PROSPECTIVE INVESTORS, SEE “RISK FACTORS” COMMENCING ON PAGE 14. 

Prospectus in respect of the Manulife Cash Management Fund

Message from the Ceo 

page 

I 

Dear Valued Investor, 

At Manulife Asset Management Services Berhad (formerly known as Manulife Unit Trusts Berhad), we 

offer a comprehensive range of funds for investors’ diversified investment appetites in achieving their 

financial goals. We pride ourselves at Manulife on developing forward-thinking financial solutions to 

meet our customer’s needs. 

Thank you for considering making an investment in our Manulife Cash Management Fund (“the 

Fund”) which is a money market fund that focuses its investment in money market instruments, 

debentures and/or deposits with a remaining maturity period of up to 365 days. 

The Fund aims to provide regular income while maintaining capital stability. Please refer to page 

10 of Chapter 1, Key Data and page 17 of Chapter 3, Detailed Information on the Fund for a better 

understanding of the investment strategy employed by the Manager to achieve the objective of the Fund. 

The Fund is suitable for investors who are conservative and seek capital stability, have short term 

investment horizon and require a high level of liquidity. 

All investments carry some form of risk. The risk profile of the Fund will very much depend on the 

underlying investments of the Fund. Some of the specific risks related to the Fund are liquidity risk, 

credit/default risk and interest rate risk. You may refer to page 15 of Chapter 2, Risk Factors for a better 

understanding of the above risks. 

The following are some of the fees and charges which you may incur when investing in the Fund: 

• an annual management fee of 0.50% of the NAV of the Fund per annum calculated and accrued 

on a daily basis; and 

• an annual trustee fee of up to 0.04% of the NAV of the Fund per annum calculated and accrued on 

a daily basis. 

There is no Sales Charge and Redemption Charge imposed on the investors of the Fund. 

Please refer to page 21 of Chapter 4, Fees, Charges and Expenses for the full details on the fees and 

charges which you may incur when investing in the Fund. 

If you have any queries about the information in this Prospectus or would like to know more about 

the Fund, please feel free to contact our customer service at 03-2719 9228 or e-mail my_utservice@ 

manulife.com. Alternatively, you may contact our unit trust consultants at our regional support centres 

listed in the Corporate Directory section. 

We look forward to being of service to you. 

Best wishes, 

Edward Ooi Tee Hee 

Executive Director/Chief Executive Officer 


TABLE OF CONTENT 

page 

II 

RESPONSIBILITY STATEMENTS AND STATEMENTS OF DISCLAIMER 

IV 

definition 1 

CORPORATE DIRECTORY 4 

CHAPTER 1: KEY DATA 10 

CHAPTER 2: RISK FACTORS 14 

2.1 General Risks of Investing in a Unit Trust Fund 14 

2.2 Specific Risks related to the Fund 15 

2.3 Risk Management Strategies 15 

CHAPTER 3: DETAILED INFORMATION ON THE FUND 17 

3.1 Investment Objective 17 

3.2 Investment Policy and Process 17 

3.3 Asset Allocation 18 

3.4 Performance Benchmark 18 

3.5 Permitted Investments 18 

3.6 Investment Restrictions and Limits 18 

3.7 Valuation of the Fund and Bases of Valuation of the Assets of the Fund 19 

CHAPTER 4: FEES, CHARGES AND EXPENSES 21 

4.1 Sales Charge 21 

4.2 Redemption Charge 21 

4.3 Transfer Fee 21 

4.4 Management Fee 21 

4.5 Trustee Fee 21 

4.6 Other Expenses 21 

4.7 Policy on Rebates and Soft Commissions 22 

CHAPTER 5: TRANSACTION INFORMATION 23 

5.1 Computation of NAV and NAV per Unit of the Fund 23 

5.2 Pricing of Units 23 

5.3 Sale of Units 25 

5.4 Redemption of Units 25 

5.5 Cooling-Off Period 26 

5.6 Minimum Holdings 26 

5.7 Policy on Gearing 27 

5.8 Transfer of Units 27 

5.9 Switching Facility 27 

5.10 Distribution Policy 27 

5.11 Mode of Distribution 27 

CHAPTER 6: MANAGEMENT COMPANY 28 

6.1 Background Information 28 

6.2 Financial Position 28 

6.3 The Board of Directors 29 

6.4 Duties and Responsibilities of the Manager 31 

6.5 Investment Committee 31 

6.6 Key Personnel of the Manager 32 


TABLE OF CONTENT 

page 

III 

6.7 Material Litigation 34 

6.8 Manager’s Delegates 34 

CHAPTER 7: TRUSTEE 36 

7.1 Financial Position 36 

7.2 Experience in Trustee Business 36 

7.3 Board of Directors 36 

7.4 Profile of Key Personnel 37 

7.5 Duties and Responsibilities of the Trustee 38 

7.6 Retirement or Removal or Replacement of the Trustee 38 

7.7 Power of Trustee to Remove, Retire or Replace the Manager 38 

7.8 Trustee’s Statement of Responsibility 39 

7.9 Trustee’s Disclosure on Material Litigation 39 

7.10 Trustee’s Delegate 39 

7.11 Anti-Money Laundering and Anti-Terrorism Financing provisions 40 

7.12 Statement of Disclaimer 40 

CHAPTER 8: SALIENT TERMS OF THE DEED 41 

8.1 Rights and Liabilities of the Unit Holders 41 

8.2 Maximum Fees and Charges permitted by the deed 42 

8.3 Procedures to increase the maximum rate of the direct and indirect fees and charges 

as provided in the Prospectus 42 

8.4 Procedures to increase the maximum rate of the direct and indirect fees and charges 

as set out in the Deed 43 

8.5 Permitted Expenses payable out of the Fund’s property 44 

8.6 The Manager’s Right to Retire 45 

8.7 Removal and Replacement of the Manager 45 

8.8 Retirement of the Trustee 46 

8.9 Removal and Replacement of the Trustee 46 

8.10 Termination of the Fund 46 

8.11 Unit Holders’ Meeting 48 

CHAPTER 9: RELATED-PARTY TRANSACTIONS/CONFLICT OF INTEREST 50 

CHAPTER 10: TAX ADVISER’S LETTER 52 

CHAPTER 11: ADDITIONAL INFORMATION 57 

11.1 Updates relating to the Fund 57 

11.2 Unclaimed Moneys Policy 57 

11.3 Anti-Money Laundering Policies and Procedures 57 

11.4 Customer Service 58 

CHAPTER 12: CONSENTS 59 

CHAPTER 13: DOCUMENTS AVAILABLE FOR INSPECTION 60 

CHAPTER 14: APPROVALS AND CONDITIONS 61 


RESPONSIBILITY STATEMENTS 

AND STATEMENTS OF DISCLAIMER 

page 

IV 

Responsibility Statements 

This first Prospectus in respect of the Manulife Cash Management Fund has been reviewed and 

approved by the directors of Manulife Asset Management Services Berhad (formerly known as 

Manulife Unit Trusts Berhad) and they collectively and individually accept full responsibility for the 

accuracy of the information. Having made all reasonable enquiries, they confirm to the best of their 

knowledge and belief, there are no false or misleading statements, or omission of other facts which 

would make any statement in this first Prospectus false or misleading. 

Statements of Disclaimer 

The Securities Commission Malaysia has authorized the Manulife Cash Management Fund and a copy 

of this first Prospectus has been registered with the Securities Commission Malaysia. 

The authorization, and the registration of this first Prospectus, should not be taken to indicate 

that the Securities Commission Malaysia recommends the Manulife Cash Management Fund or 

assumes responsibility for the correctness of any statement made or opinion or report expressed 

in this first Prospectus. 

The Securities Commission Malaysia is not liable for any non-disclosure on the part of Manulife Asset 

Management Services Berhad (formerly known as Manulife Unit Trusts Berhad), the management 

company responsible for the Manulife Cash Management Fund and takes no responsibility for the 

contents in this first Prospectus. The Securities Commission Malaysia makes no representation on 

the accuracy or completeness of this first Prospectus, and expressly disclaims any liability whatsoever 

arising from, or in reliance upon, the whole or any part of its contents. 

INVESTORS SHOULD RELY ON THEIR OWN EVALUATION TO ASSESS THE MERITS AND RISKS 

OF THE INVESTMENT. IN CONSIDERING THE INVESTMENT, INVESTORS WHO ARE IN DOUBT 

ON THE ACTION TO BE TAKEN SHOULD CONSULT PROFESIONAL ADVISERS IMMEDIATELY. 

No Units of the Manulife Cash Management Fund will be issued or sold based on this first Prospectus 

later than 1 year after the date of this first Prospectus. 

Investors are advised to note that recourse for false or misleading statements or acts made in 

connection with this first Prospectus is directly available through sections 248, 249 and 357 of the 

Capital Markets and Services Act 2007. 


DEFINITION 

page 

1 

the Act or CMSA the Capital Markets and Services Act 2007. 

BNM 

Bursa Malaysia 

Business Day 

Commencement 

Date 

Deed 

Eligible Markets 

financial institution 

the Fund 

Guidelines 

Bank Negara Malaysia. 

Bursa Malaysia Securities Berhad, the stock exchange managed or operated by 

Bursa Malaysia Berhad. 

a day on which the Bursa Malaysia is open for trading. 

means the date on which investments of the Fund may first be made and is the 

date which falls on the next Business Day after the expiry of the Offer Period. 

the Deed entered into between the Manager and the Trustee dated 13 August 

2012 in relation to the Fund and registered with the Securities Commission 

Malaysia. 

means a market that: 

(a) is regulated by a regulatory authority; 

(b) operates regularly; 

(c) is open to the public; and 

(d) has adequate liquidity for the purposes of the Fund. 

if the institution is in Malaysia: 

(i) licensed bank; 

(ii) licensed merchant bank; or 

(iii) Islamic bank. 

the Manulife Cash Management Fund. 

the Guidelines on Unit Trust Funds, issued by the Securities Commission 

Malaysia, as may be amended from time to time. 

Islamic bank means a bank licensed under the Islamic Banking Act 1983. 

IUTA 

Jointholder 

Launch Date 

licensed bank 

means an institutional unit trust adviser registered with the Federation of 

Investment Managers Malaysia. 

means a person who holds Units together with another person or persons and 

“Jointholders” means the persons who are holding the same Units. 

means the date of this Prospectus and is the date on which sale of Units of the Fund 

may first be made; the Launch Date is also the date of constitution of the Fund. 

has the same meaning as given under the Banking and Financial Institutions 

Act 1989. 


DEFINITION 

page 

2 

licensed merchant has the same meaning as given under the Banking and Financial Institutions 

bank act 1989. 

Management 

Company or the 

Manager or we 

or us 

MARC 

Net Asset Value 

(NAV) 

NAV per Unit 

Offer Period 

Offer Price 

Prospectus 

RAM 

Redemption Charge 

Sales Charge 

the SC 

short term 

Special Resolution 

the Trustee 

Unit or Units 

means Manulife Asset Management Services Berhad (formerly known as 

Manulife Unit Trusts Berhad). 

means Malaysian Rating Corporation Berhad. 

the NAV of the Fund is determined by deducting the value of all the Fund’s 

liabilities from the value of all the Fund’s assets, at the valuation point. For the 

purpose of computing the annual management fee and annual trustee fee, the 

NAV of the Fund should be inclusive of the management fee and the trustee 

fee for the relevant day. 

the NAV of the Fund divided by the number of Units in circulation at the 

valuation point. 

means the period during which Units of the Fund are offered at the Offer Price. 

means a fixed price per Unit payable by an investor for the purchase of Units 

during the Offer Period. 

means this first Prospectus in respect of the Manulife Cash Management Fund. 

means RAM Rating Services Berhad. 

means a fee to be paid by a Unit Holder when redeeming Units of the Fund. 

means a fee to be paid by an investor when purchasing Units of the Fund. 

the Securities Commission Malaysia established under the Securities 

Commission Act 1993. 

a period of not more than 365 days. 

a resolution passed at a meeting of Unit Holders duly convened in accordance 

with the Deed and carried by a majority in number representing at least 3/4 of 

the value of the Units held by the Unit Holders voting at the meeting in person 

or by proxy. 

means HSBC (Malaysia) Trustee Berhad. 

is an undivided share in the beneficial interest and/or right in the Fund and 

a measurement of the interest and/or right of a Unit Holder in the Fund and 

means a Unit of the Fund. 


DEFINITION 

page 

3 

Units in Circulation 

Unit Holder or 

Unit Holders 

Units created and fully paid for and which has not been cancelled and is the 

total number of Units issued at a particular valuation point. 

the person registered as the holder of a Unit or Units including persons jointly 

registered. 


CORPORATE DIRECTORY 

page 

4 

Manager 

Name 

Registered Office 

: Manulife Asset Management Services Berhad (formerly known as 

Manulife Unit Trusts Berhad) (834424-U) 

: 12 th Floor, Menara Manulife 

no. 6, Jalan Gelenggang 

Damansara Heights 

50490 Kuala Lumpur 

Telephone number : 03-2719 9228 

Facsimile number : 03-2095 3804 

Business Address 







Email Address 

Website 

: my_utservice@manulife.com 

: www.manulife.com.my 

Manager’s Delegate 

Name 


and Business Address 

(Fund Valuation) 


: 13 th Floor, Bangunan HSBC, South Tower 

no.2, Leboh Ampang, 50100 Kuala Lumpur 




Name 



(Internal audit, human resource, finance, corporate secretarial and legal) 

: Manulife Holdings Berhad (24851-H) 







Website 




page 

5 


Name 



(Product Development and Marketing) 

: Manulife Insurance Berhad (814942-M) 







Website 



Name 


Business Address 

(Information Technology Services) 

: Manulife Technology and Services Sdn Bhd (666350-U) 











Website 


Board of Directors 

Datuk Seri Panglima Mohd Annuar bin Zaini (Chairman and Independent Director) 

Dato’ Md Agil bin Mohd Natt (Independent Director) 

Edward Ooi Tee Hee (Chief Executive Officer/Non-Independent Executive Director) 

Chong Soon Min (Jason) (Managing Director/Chief Investment Officer/Non-Independent Executive Director) 

Michael Floyd Dommermuth (Non-Independent Director) 

David Wong Tai Wai (Non-Independent Director) 

Christopher Franz Bendl (Non-Independent Director) 

Ahmad Riza bin Basir (Independent Director) 



page 

6 

Investment Committee 

Tan Sri Dato’ Mohd Sheriff bin Mohd Kassim (Chairman and Independent member) 

Dato’ Md Agil bin Mohd Natt (Independent member) 

Wong Chi Kit (Non-Independent member) 

Company Secretaries 

Name : Jasbender Kaur a/p Mehar Singh (LS 0009264) 

Address : No. 11, Jalan 22/42 

46300 Petaling Jaya, Selangor 

Name : Ling Chui Shee (MAICSA 7051434) 

Address : No. 56, Jalan Impian 4 

Taman Impian Indah, Bukit Jalil 


Trustee 

Name 




: 13 th Floor, Bangunan HSBC, South Tower 

no.2, Leboh Ampang, 50100 Kuala Lumpur 



Trustee’s Delegate 

Name 

(Local Custodian Functions) 

: The Hongkong and Shanghai Banking Corporation Limited (as Custodian) 

and assets held through: 

HSBC Nominees (Tempatan) Sdn. Bhd. (258854-D) 



: Bangunan HSBC 

no.2, Leboh Ampang 






page 

7 

Trustee’s Delegate 

Name 



(Foreign Custodian Functions) 

: HSBC Institutional Trust Services (Asia) Limited 

: 6 th Floor, Tower One 

HSBC Centre 

1, Sham Mong Road 

Kowloon, Hong Kong 



Auditors for the Fund 

Name : PricewaterhouseCoopers (AF 1146) 

Address 

: Level 10, 1 Sentral, Jalan Travers 

Kuala Lumpur Sentral, P O Box 10192 




Tax Advisers for the Fund 

Name 

Address 

: Deloitte Kassim Chan Taxation Services Sdn Bhd 

: Level 16, Uptown 1, Damansara Uptown 

1, Jalan SS21/58, 47400 Petaling Jaya, Selangor 

Telephone number : 03-7725 1888 / 03-7712 5100 

Facsimile number : 03-77257768 / 03-7725 7769 

Solicitors 

Name 

Address 

: Raja, Darryl & Loh 

: 18 th Floor, Wisma Sime Darby 

Jalan Raja Laut, 50350 Kuala Lumpur 





page 

8 

Principal Bankers 

Name 

Address 

: HSBC Bank Malaysia Berhad 

: Global Payments and Cash Management 

8 th Floor, South Tower 

2 Leboh Ampang 




Federation of 

Investment Managers 

Malaysia (FIMM) 

: 19-07-3, 7 th Floor, PNB Damansara 

19, Lorong Dungun, Damansara Heights 




E-mail 

Website 

: info@fimm.com.my 

: www.fimm.com.my 

LOCATION OF AUTHORISED UNIT TRUST CONSULTANTS 

Regional Support Centres 

Kuala Lumpur 

10 th Floor, Menara Manulife 

No. 6, Jalan Gelenggang 



Telephone no : 03-2719 9228 

Fax no : 03-2719 9119 

Petaling Jaya 

Lot T101-T106, 3 rd Floor, Centre Point 

No. 3, Leboh Bandar Utama 

Bandar Utama 

47800 Petaling Jaya 

Selangor 

Telephone no : 03-7727 7772 

03-7726 6680 

03-7727 7618 

Fax no : 03-7726 6060 



page 

9 

Seberang Perai 

No. 1797-1-05 (First Floor) 

Kompleks Auto World 

Jalan Perusahaan, Juru Interchange 

13600 Perai 

Penang 

Telephone no : 04-502 7916 

04-502 7917 

Fax no : 04-502 7918 

Ipoh 

9 th Floor, M&A Building 

No. 52A, Jalan Sultan Idris Shah 

30000 Ipoh 

Perak 


05-255 2296 

Fax no : 05-255 0079 

Johor 

2 nd Floor, Bangunan Ang 

No. 1, Jalan Jeram, Taman Tasek 

80200 Johor Bahru 

Johor 


07-235 0775 

Fax no : 07-235 0768 

Kuching 

1 st Floor, Lot 127-129 

Section 54 

Kuching Town Land District 

Jalan Petanak 

93100 Kuching, Sarawak 


082-419 755 

Fax no : 082-419 755 

Sibu 

3 rd Floor, Grand Merdin 

No. 131, Kampung Nyabor Road 

96000 Sibu 

Sarawak 


084-333 976 

084-321 613 

Melaka 

524A, 524B, Jalan Merdeka 

Taman Melaka Raya 

75000 Melaka 


Fax no : 06-288 2812 

Fax no : 084-320 454 

Kota Kinabalu 

Unit 59, Block J, 5 th Floor 

KK Times Square Signature Office 

Coastal Highway 


Fax no : 088-486 167 


chapter 

1 KEY DATA 

page 

10 

THIS SECTION IS ONLY A SUMMARY OF THE SALIENT INFORMATION ABOUT THE FUND AND 

YOU SHOULD READ AND UNDERSTAND THE WHOLE PROSPECTUS BEFORE MAKING ANY 

INVESTMENT DECISION. 

FUND INFORMATION 

Name of the Fund 

Fund Category 

Fund Type 

Offer Period 

Offer Price 

Commencement 

Date 

Investment 

Objective 

Investment Policy 

and Strategy 

Manulife Cash Management Fund. 

Money Market. 

Income. 

The period of 1 day which is the date of this Prospectus. 

rM1.0000. 

The date on which investments of the Fund may first be made and is the 

date which falls on the next Business Day after the end of the Offer Period. 

The Fund aims to provide regular income* while maintaining capital stability. 

*Note: 

income distribution proceeds will be reinvested as additional Units of the 

Fund. Please refer to Section 5.11, Mode of Distribution for further details. 

The Fund aims to achieve its objective by investing at least 90% of its NAV in 

money market instruments, debentures and/or deposits with a remaining 

maturity period of up to 365 days. 

The balance of the Fund’s NAV will be invested in money market instruments, 

debentures and/or deposits with a remaining maturity period of more than 

365 days but less than 732 days. 

Please refer to Chapter 3, Fund Details for further information on the 

Investment Policy and Strategy of the Fund. 

Asset Allocation 

Performance 

Benchmark 

• at least 90% of the Fund’s NAV in money market instruments, debentures 

and/or deposits with a remaining maturity period of up to 365 days; and 

• up to 10% of the Fund’s NAV will be invested in money market 

instruments, debentures and/or deposits with a remaining maturity 

period of more than 365 days but less than 732 days. 

Maybank 1-month fixed deposits rate. 

Note: Please be aware that investing in the Fund is not the same as 

placement of a deposit in the Maybank 1-month fixed deposits. The capital 

and returns of the Fund are not guaranteed as there are investment risks 

involved. Hence, the risk profile of this Fund does not reflect that of the 

Maybank 1-month fixed deposits. The Fund has a higher risk profile than the 

Maybank 1-month fixed deposits. 


chapter 

1 KEY DATA 

page 

11 

FUND INFORMATION (cont’d) 

Principal Risks 

Investors’ Profile 

Financial Year End 

Distribution Policy 

Mode of 

Distribution 

• Liquidity risk; 

• Credit/default risk; and 

• Interest rate risk. 

This Fund would be suitable for investors who: 

• are conservative and seek capital stability; 

• have short term investment horizon; and 

• seek regular income. 

The period of 12 months ending on the 31 st day of October of every calendar 

year except that the first financial year of the Fund shall commence on the 

Launch Date and end on the 31 st day of October 2013. 

Subject to the availability of income, the Fund will distribute income on a 

monthly basis. 

All income distribution proceeds will be reinvested as additional Units of the 

Fund based on the NAV per Unit on the Business Day following the income 

distribution declaration date. The reinvestment of such additional Units will 

only be done within 14 days of the income distribution declaration date. 

FEES, CHARGES AND EXPENSES 

This table describes the charges and fees that you may directly incur when you buy or redeem 

Units of the Fund: 

Sales Charge 


Transfer Fee 

Other Charges 

The Manager does not intend to impose any Sales Charge. 

The Manager does not intend to impose any Redemption Charge. 

rM5.00 for each transfer request. 

There are no other charges (except charges levied by banks on remittance 

of money) payable directly by investors / Unit Holders when purchasing or 

redeeming Units of the Fund. 

This table describes the fees and expenses that you may indirectly incur when you invest in 

the Fund: 

Annual 

Management Fee 

Annual Trustee Fee 

0.50% of the NAV of the Fund per annum. 

Up to 0.04% of the NAV of the Fund per annum calculated and accrued on 

a daily basis. 


chapter 

1 KEY DATA 

page 

12 

FEES, CHARGES AND EXPENSES (cont’d) 

This table describes the fees and expenses that you may indirectly incur when you invest in 

the Fund: (cont’d) 

Other Expenses 

• audit fees; 

• commission/fees paid to brokers/dealers (if any); 

• tax adviser’s fee; 

• taxes and other duties imposed by the government and/or other 

authorities; 

• valuation fees incurred for the valuation of any investment of the Fund 

by independent valuers for the benefit of the Fund; 

• independent investment committee members fee; 

• cost for modification of Deed save where such modification is for the 

benefit of the Manager and/or the Trustee; 

• cost of convening meetings for Unit Holders other than those incurred by 

or for the benefit of the Manager and/or the Trustee; and 

• any other expenses allowed under the Deed. 

TRANSACTION INFORMATION 

Minimum Initial 

Investment 

RM50,000 or such other lower amount as the Manager in its sole discretion 

allows. 

Please refer to page 25 for more details on how Unit Holders may purchase 

Units of the Fund. 

Minimum Additional 

Investment 

Cooling-off Policy 

RM10,000 or such other lower amount as the Manager in its sole discretion 

allows. 

6 Business Days from the date of receipt of the application to purchase 

Units. 

a cooling-off right is only given to Unit Holders who are investing for the 

first time in any unit trust funds managed by the Manager. 

Corporations/institutions, staff of the Manager and persons registered to 

deal in unit trust funds are not entitled to a cooling-off right. 

Minimum 

Redemption 

Amount 

The minimum redemption amount is 20,000 Units for each transaction or 

such other lower amount as the Manager in its sole discretion allows. 

However, if the redemption request leaves a Unit Holder with less than 

20,000 Units (Minimum Holdings), the Manager will not process the 

redemption request. In this instance, the Unit Holder will be required to 

make an application for the Manager to liquidate all their holdings in the 

Fund. 


chapter 

1 KEY DATA 

page 

13 

TRANSACTION INFORMATION (cont’d) 

Please refer to page 25 for more details on how Unit Holders may redeem 

Units of the Fund. 

Payment of 

Redemption Proceeds 

Minimum Holdings 

Transfer Facility 

Minimum Transfer 

Amount 

Switching Facility 

Redemption proceeds will be paid within 3 Business Days from the date the 

redemption request is received by the Manager. 

20,000 Units or such other lower amount as the Manager in its sole 

discretion allows. 

Unit Holders are allowed to transfer their Units of the Fund. 

20,000 Units or such other lower amount as the Manager in its sole 

discretion allows. 

Switching facility is not available for this Fund. 

OTHER INFORMATION 

Deed 

Designated Fund 

Manager 

Avenue for Advice 

The Deed dated 13 August 2012 entered into between the Manager and the 

Trustee in relation to the Fund. 

Tham Lai Ching 

If you have any queries or require further information, please contact our 

customer service at 03-2719 9228 or email us at my_utservice@manulife. 

com. Alternatively, you may contact our unit trust consultants at our regional 

support centers listed in the Corporate Directory section. 

THERE ARE FEES AND CHARGES INVOLVED AND INVESTORS ARE ADVISED TO CONSIDER 

THEM BEFORE INVESTING IN THE FUND. 

UNIT PRICES AND DISTRIBUTIONS PAYABLE, IF ANY, MAY GO DOWN AS WELL AS UP. 

FOR INFORMATION CONCERNING CERTAIN RISK FACTORS WHICH SHOULD BE CONSIDERED 

BY PROSPECTIVE INVESTORS, SEE “RISK FACTORS” COMMENCING ON PAGE 14. 

THIS FUND IS NEITHER A CAPITAL GUARANTEED FUND NOR A CAPITAL PROTECTED FUND. 


chapter 

2 RISK FACTORS 

page 

14 

2.1 General Risks of Investing in a Unit Trust Fund 

Prior to making an investment in the Fund, investors should be aware that there are risks 

associated with investments in unit trust funds. Below are some of the general risks which 

investors should be aware of when investing in a unit trust fund: 

a) Market risk 

Market risk refers to potential losses that may arise from changes in the market prices 

of the investments of a unit trust fund. Prices of securities (be it stocks or fixed income 

instruments) fluctuate in response to various factors, for example, events or news that 

relates to securities as well as general market or economic conditions. 

b) Management company risk 

The performance of a unit trust fund depends on, amongst other things, the expertise of 

the management company. Any error in the investment techniques and processes adopted 

by the management company may have an adverse impact on Fund’s performance which 

in turn may affect the investment of Unit Holders through, including but not limited to, 

the loss of their capital invested in the Fund. 

c) Inflation risk 

a unit trust fund is subject to the risk of an investor’s investment not growing in line with 

the inflation rate, thereby decreasing the investor’s purchasing power even though the 

investment in monetary terms may have increased. 

d) Non-compliance risk 

non-adherence with laws, rules, regulations, prescribed practices, internal policies and 

procedures may result in the performance or the management of the Fund being affected 

adversely. For example, certain changes in the laws and regulations of a country may not 

be communicated to the Manager, such as a ban of foreign investors investing into a 

particular market. Apart from that, internal breaches can also occur as a result of human 

error or oversight, such as breaches in limits. Such breaches can also occur due to system 

errors. As such, investment goals may also be affected should the Manager not adhere 

to any laws and regulations as well as to the investment mandate (Fund’s investment 

objective and investment policy and strategy). 

e) Loan financing risk 

This risk occurs when investors take a loan/financing provided to finance their investment. 

The inherent risk of investing with borrowed money includes investors being unable to 

service the loan repayments and the adverse impact of an increase in interest rates on the 

loan repayments. In the event Units are used as collateral, an investor may be required to 

either provide additional collateral or to pay an additional amount on top of the investors’ 

existing installment to the financial institution if the prices of Units fall below a certain level 

due to market conditions. If the investor fails to honor the additional collateral within the 

prescribed time, the Units may be sold at a lower NAV per Unit as compared to the NAV 

per Unit at the point of purchase, towards settling the loan. In addition, an investor may 

also be subjected to higher loan repayments in the event that interest rates increase, which 

may be greater than the returns on investments in the unit trust funds. 


chapter 

2 RISK FACTORS 

page 

15 

2.2 Specific Risks related to the Fund 

Below are some of the specific risks when investing in the Fund; these may include but are not 

limited to: 

a) Liquidity risk 

There is a risk that fixed income and money market instruments held by the Fund cannot 

be readily sold or converted into cash at or near its fair value due to lack of demand or 

insufficient trading volume. This, in turn, may adversely affect the value of the Fund. 

To mitigate liquidity risk, the Manager will monitor the Fund and actively manage the 

maturity of the instruments to meet the liquidity requirements of the Fund. This Fund, in 

particular, will have higher allocation of investments in short-term liquid assets such as 

deposits given the relatively higher liquidity requirement of a money market fund. 

b) Credit/Default risk 

Investments in fixed income instruments such as debentures and money market instruments 

are subject to the risk of non-payment and/or untimely payment of the principal amount 

as well as the coupon/interest payments when they fall due. For example, an issuer 

suffering an adverse change in its financial condition could have the credit quality of the 

debentures and money market instruments lowered, leading to greater price volatility of 

the debentures and money market instruments. A downgrade of the credit rating of a 

debenture and money market instrument may impact the debenture’s or money market’s 

liquidity, making it more difficult to sell and greater volatility on the Fund’s valuation. 

However, such risk can be mitigated through vigorous credit analysis and having regular 

updates on the business profile and the financial position of the issuer of the debentures and 

money market instruments. In addition, the Manager is guided by the minimum credit rating 

criteria of the instruments. In the absence of credit rating of the money market instruments, 

the credit rating for the issuer/financial institution issuing the instrument will be used instead. 

With such minimum credit rating guidance, the risk of default is further mitigated. 

c) Interest Rate risk 

The risk refers to how the changes in the interest rate environment would affect the 

performance of the Fund. In the event of a decreasing interest rate environment, banks may 

offer deposits with lower interest rates, effectively reducing the potential returns of a deposit. 

For investment into fixed income instruments such as debentures and money market 

instruments, generally, there is an inverse co-relation between interest rates and the price 

of fixed income instruments. For example, an increase in interest rates may lead to a 

decline in prices of fixed income instrument, which in turn may affect the performance of 

the Fund. 

2.3 Risk Management Strategies 

Risk management is an integral part of the Manager’s process. 

In ensuring compliance with the Guidelines, and the Fund’s limits and investment restrictions, 

the Manager has in place clearly defined policies and procedures that have been approved by the 

Board of Directors and also a system for the monitoring of the transactions. 


chapter 

2 KEY DATA SECTION 

page 

16 

2.3 Risk Management Strategies (cont’d) 

In addition, the Manager conducts regular review on the economic, political and social factors to 

evaluate the effects of those factors on the investments held. Regular meetings are also held to 

deliberate on these factors, investment themes and portfolio decisions. 

As the Fund invests in money market instruments and debentures, credit/default risk is an 

important consideration for the Manager. Hence, the Manager’s credit selection process would 

involve conducting regular credit reviews on the investments and the counterparties issuing the 

money market instruments and/or debentures. 

It is important to note that the above list of risks may not be exhaustive. While every 

care will be taken by the Manager to mitigate such risks, investors are advised that it 

is not always possible to protect investments against all risks. Further, different asset 

classes generally exhibit different levels of risk. 


chapter 

3 DETAILED INFORMATION ON THE FUND 

page 

17 

3.1 Investment Objective 

The Fund aims to provide regular income* while maintaining capital stability. 

*Note: Income distribution proceeds will be reinvested as additional Units of the Fund. Please 

refer to Section 5.11, Mode of Distribution for further details. 

Any material change to the Fund’s investment objective would require the Unit Holders’ approval. 

3.2 Investment Policy and Process 

The Fund aims to achieve its objective by investing at least 90% of its NAV in money market 

instruments, debentures and/or deposits with a remaining maturity period of up to 365 days. 

The balance of the Fund’s NAV will be invested in money market instruments, debentures and/or 

deposits with a remaining maturity period of more than 365 days but less than 732 days. 

The Fund will be actively managed to provide regular income returns while maintaining capital 

stability. 

The investment strategy is confined to instruments of short duration in order to provide liquidity 

and to mitigate the impact of fluctuations in interest rate on the Fund’s performance. 

Selection of investments will also undergo a credit evaluation process that entails an assessment 

of the credit risk factor of the issuer and also the structure of the instruments, whilst also taking 

into consideration other factors, such as liquidity and credit spread of the instruments. 

The Manager intends to invest in debentures with a minimum credit rating of BBB-/P3 by RAM 

(or an equivalent credit rating by MARC) and money market instruments with a minimum credit 

rating of P3 by RAM (or an equivalent credit rating by MARC). In the absence of a credit rating 

for the money market instruments, the credit rating of the issuer/financial institution issuing the 

instrument will be used instead. For avoidance of doubt, the minimum credit rating of the issuer/ 

financial institution is BBB-/P3 by RAM (or an equivalent credit rating by MARC). Should any 

of the instruments of the Fund or issuers, as applicable, fall below the aforementioned credit 

ratings, the Manager will seek to dispose of the respective investment instruments and replace 

them with those which are of their respective minimum credit rating by RAM (or an equivalent 

credit rating by MARC). 

The Manager will ensure there is sufficient liquidity to meet repurchase requests. 

Investment in the Fund is not the same as placement in a deposit with a financial 

institution. There are risks involved and investors should rely on their own evaluation 

to assess the merits and risks when investing in the Fund. 


chapter 


page 

18 

3.3 Asset Allocation 

• At least 90% of the Fund’s NAV in money market instruments, debentures and/or deposits 

with a remaining maturity period of up to 365 days; and 

• Up to 10% of the Fund’s NAV will be invested in money market instruments, debentures 

and/or deposits with a remaining maturity period of more than 365 days but less than 

732 days. 

3.4 Performance Benchmark 

Maybank 1-month fixed deposits rate. 

Source: www.maybank2u.com 

Note: Please be aware that investing in the Fund is not the same as placement of a deposit in 

the Maybank 1-month fixed deposits. The capital and returns of the Fund are not guaranteed as 

there are investment risks involved. Hence, the risk profile of this Fund does not reflect that of the 

Maybank 1-month fixed deposits. The Fund has a higher risk profile than the Maybank 1-month 

fixed deposits. 

3.5 Permitted Investments 

Unless otherwise prohibited by the relevant authorities or any relevant law and provided always 

that there are no inconsistencies with the objective of the Fund, the Fund is permitted under the 

Deed to invest in the following: 

a) Debentures; 

b) Money market instruments; 

c) Placement in deposits; and 

d) Any other form of investments as may be agreed upon by the Manager and the Trustee 

from time to time. 

3.6 Investment Restrictions and Limits 

The investment restrictions and limits of the Fund are as follows: 

1. The value of the Fund’s investments in the permitted investments set out in Section 3.5 

above must not be less than 90% of the Fund’s NAV. 


above which have a remaining maturity period of not more than 365 days must not be less 

than 90% of the Fund’s NAV. 


above which have a remaining maturity period of more than 365 days but fewer than 732 

days must not exceed 10% of the Fund’s NAV. 


chapter 


page 

19 

3.6 Investment Restrictions and Limits (cont’d) 

4. The value of the Fund’s investments in debentures and money market instruments issued 

by any single issuer must not exceed 20% of the Fund’s NAV. The single issuer limit may be 

increased to 30% if the debentures are rated by any domestic or global rating agency to 

be of the best quality and offer highest safety for timely payment of interest and principal. 

5. The value of the Fund’s placement in deposits with any single financial institution must not 

exceed 20% of the Fund’s NAV. 

6. The value of the Fund’s investments in debentures and money market instruments issued 

by any group of companies must not exceed 30% of the Fund’s NAV. 

7. The Fund’s investments in debentures must not exceed 20% of the securities issued by any 

single issuer. 

8. The Fund’s investments in money market instruments must not exceed 20% of the 

instruments issued by any single issuer. 

The above stated limits and restrictions shall be complied with at all times based on the most 

up-to-date value of the Fund’s investments. However, a 5% allowance in excess of any limit or 

restriction is permitted where the limit or restriction is breached through an appreciation or 

depreciation in the NAV of the Fund (as a result of an appreciation or depreciation in value of 

investments or as a result of the repurchase of units or payment made from the Fund). Once the 

relevant limit is breached, no further acquisitions of the particular securities involved shall be 

made and the Manager should, within a reasonable period of not more than 3 months from the 

date of the breach, take all necessary steps and actions to rectify the breach. 

There are no limits and restrictions imposed on instruments issued or guaranteed by the 

Malaysian government or Bank Negara Malaysia. 

3.7 Valuation of the Fund and Bases of Valuation of the Assets of the 

Fund 

Valuation of the Fund 

The Fund must be valued at least once every Business Day. The Guidelines also requires a 

valuation of the Fund to be carried out in a fair and accurate manner. The Fund adopts a forward 

pricing basis which means that prices of Units will be calculated based on the NAV of the Fund 

at a valuation point in the future, i.e. the next valuation point. 

The valuation point of the Fund is at the end of each Business Day. 

Accordingly, if applications for Units or requests for redemption are received before the cutoff 

time of 2.00 p.m. for application for Units and before the cut-off time of 3.00 p.m. for 

requests for redemption on a Business Day, say, Tuesday, the price of the Units in respect of those 

applications and requests will be calculated based on the valuation of the Units done on Tuesday. 

Accordingly, applications for Units or requests for redemption received after the cut-off time 

of 2.00 p.m. for application for Units and after the cut-off time of 3.00 p.m. for requests 

for redemption on the Business Day of, for example, Tuesday, the applicable prices for those 

applications and requests will be the prices calculated on Wednesday (assuming Wednesday is a 

Business Day) (T + 1). 


chapter 


page 

20 

3.7 Valuation of the Fund and Bases of Valuation of the Assets of the Fund 

(cont’d) 

Valuation of the Fund (cont’d) 

The prices of Units will be published on the next Business Day in at least 1 national English 

language newspaper and 1 national Bahasa Malaysia newspaper. For example, prices of Units 

calculated on Tuesday will be published on Wednesday (assuming Wednesday is a Business Day). 

Alternatively, Unit Holders may contact the Manager directly during business hours to obtain the 

latest price of the Fund. 

Note: Valuation point is the particular point in time on a Business Day, as the Manager may 

decide, at which the NAV of the Fund is calculated. 

Bases for Valuation of the Assets of the Fund 

Investment Instruments 

Debentures 

denominated in 

Ringgit Malaysia 

Malaysian Currency 

Liquid Assets 

Money Market 

Instruments 

Any Other Instruments 

Valuation Basis 

Investments in debentures denominated in Ringgit Malaysia will 

be valued on a daily basis using fair value prices quoted by a bond 

pricing agency registered with the SC. An example of such an 

agency is Bond Pricing Agency Malaysia Sdn Bhd. If the Manager 

is of the view that the price quoted by the bond pricing agency 

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

Manager may use the market price provided that the Manager 

records the basis for not using the price quoted by the bond pricing 

agency, obtain the necessary internal approvals for not using the 

price quoted by the bond pricing agency and that the Manager 

keep an audit trail of all the decisions and basis for adopting the 

market yield. 

Malaysian currency-denominated cash balances in hand, deposits 

placed with banks or other financial institutions and placement 

of money at call with investment banks are valued each day by 

reference to the value of such investments and the interest accrued 

thereon for the relevant period. 

For money market instruments such as but not limited to 

commercial papers, the valuation may use the amortization or 

accrual methods, where applicable. 

Fair value as determined in good faith by the Manager, on methods 

or bases which have been verified by the auditors of the Fund and 

approved by the Trustee. 


chapter 

4 FEES, CHARGES AND EXPENSES 

page 

21 

Fee and charges directly incurred when you buy or redeem Units of the Fund 

4.1 Sales Charge 

The Manager does not intend to impose any Sales Charge. 

4.2 Redemption Charge 

The Manager does not intend to impose any Redemption Charge. 

4.3 Transfer Fee 

RM5.00 for each transfer request. 

Please refer to Section 5.8 in the Transaction Information section for information relating to 

transfer facility. 

Fees and expenses indirectly incurred when you invest in the Fund 

4.4 Management Fee 

0.50% of the NAV of the Fund per annum. 

Please refer to Section 5.1 in the Transaction Information section on how the management fee is 

calculated. 

4.5 Trustee Fee 

Up to 0.04% of the NAV of the Fund per annum calculated and accrued on a daily basis. 

Please refer to Section 5.1 in the Transaction Information section on how the trustee fee is 

calculated. 

4.6 Other Expenses 

These include the following: 

• audit fees; 

• commission/fees paid to brokers/dealers; 

• tax adviser’s fee; 

• taxes and other duties imposed by the government and/or other authorities; 

• valuation fees incurred for the valuation of any investment of the Fund by independent 

valuers for the benefit of the Fund; 

• independent investment committee members fee; 

• cost for modification of Deed save where such modification is for the benefit of the 

Manager and/or the Trustee; 


chapter 

4 FEES, CHARGES AND EXPENSES 

page 

22 

Fees and expenses indirectly incurred when you invest in the Fund (cont’d) 

4.6 Other Expenses (cont’d) 

• cost of convening meetings for Unit Holders other than those incurred by or for the benefit 

of the Manager and/or the Trustee; and 

• any other expenses allowed under the Deed. 

4.7 Policy on Rebates and Soft Commissions 

It is the policy of the Manager to credit any rebates into the account of the Fund. Soft commissions 

received from brokers/dealers will be retained by the Manager as goods and services, such as 

research materials, data and quotation services, computer hardware and software incidental 

to the investment management of the Fund and investment related publications which are of 

demonstrable benefit to the Unit Holders. 

Soft commissions are retained by the Manager for purchasing goods and services that are of 

demonstrable benefit to the Unit Holders of the Fund and are in the form of research and 

advisory services that assist in the decision making process relating to the investment of the Fund 

(i.e. research materials, data and quotation services, computer software and investment advisory 

services). 

THERE ARE FEES AND CHARGES INVOLVED AND INVESTORS ARE ADVISED TO CONSIDER 

THEM BEFORE INVESTING IN THE FUND. 


chapter 

5 TRANSACTION INFORMATION 

page 

23 

SALE AND PURCHASE OF UNITS 

5.1 Computation of NAV and NAV per Unit of the Fund 

The NAV of the Fund is determined by deducting the value of all the Fund’s liabilities from the 

value of all the Fund’s assets, at the valuation point. For the purpose of computing the annual 

management fee and annual trustee fee, the NAV of the Fund is inclusive of the management fee 

and the trustee fee for the relevant day. 

The NAV per Unit of a Fund at a valuation point is determined by dividing the NAV of that Fund 

at that valuation point by the number of Units in circulation of that Fund at the same valuation 

point. 

An illustration of computation of NAV and the NAV per Unit of the Fund 

Example: 

RM 

Investments 85,937,316 

Other Assets 3,596,911 

Total Assets 89,534,227 

Less: Liabilities (508,561) 

NAV of the Fund 89,025,666 

(before deduction of Management and Trustee Fees) 

Less: 

Management Fee - Calculated on a Daily Basis (1219.53) 

(0.50% per annum/365 days) 

Trustee Fee - Calculated on a Daily Basis (97.56) 

(0.04% per annum/365days) 

NAV of the Fund 89,024,349 

(after deduction of Management and Trustee Fees) 

Units In Circulation 85,000,000 

NAV per Unit 1.047345 

NAV per Unit (Rounded up to 4 decimal points) 1.0473 

5.2 Pricing of Units 

The Manager adopts the single pricing policy which is in line with the SC’s requirement for the 

Malaysian unit trust industry. Under this regime, both the selling and buying price of units will be 

quoted based on a single price i.e. the NAV per unit of a fund. The daily NAV per Unit is valued 

at the next valuation point on forward price basis. 

Example: 

For illustration purposes, say for example, the NAV per Unit on 1 January 20xx is RM1.00 and an 

investor wants to invest RM10,000 in Units of the Fund, and no Sales Charge is imposed on the 

sale of the Units. The amount that the investor will have to pay as Sales Charge will therefore be: 


chapter 


page 

24 

5.2 Pricing of Units (cont’d) 

Example: (cont’d) 

Sales Charge = 0% x (amount to be invested) 

= 0% x RM10,000 

= RM0 

The total amount that will have to be paid to the Manager will therefore be: 

Total to be paid = amount to be invested + Sales Charge 

= RM10,000 + RM0 

= RM10,000 

The number of Units that will be allocated to an investor will therefore be: 

Units allocated to you = amount to be invested 

NAV per Unit 

Incorrect Pricing 

= RM10,000 

rM1.0000 

= 10,000 Units 

Subject to any relevant law, if there is an error in the pricing of the NAV per Unit of the Fund; 

the Manager will take immediate remedial action to correct the error. Rectification shall, where 

necessary, extend to the reimbursements of money as follows if the error is at or above the 

significant threshold of 0.5% of the NAV per Unit: 

(a) 

(b) 

(c) 

(d) 

if there is an over pricing in relation to the purchase and creation of Units, the Fund shall 

reimburse the Unit Holder; 

if there is an over pricing in relation to the redemption of Units, the Manager shall 

reimburse the Fund; 

if there is an under pricing in relation to the purchase and creation of Units, the Manager 

shall reimburse the Fund; and 

if there is an under pricing in relation to the redemption of Units, the Fund shall reimburse 

the Unit Holder or former Unit Holder. 


chapter 


page 

25 

5.2 Pricing of Units (cont’d) 

Incorrect Pricing (cont’d) 

The Manager retains the discretion whether or not to reimburse if the error is below 0.5% of 

the NAV per Unit or where the total impact on an individual account is less than RM10.00 in 

absolute amount. This is because the reprocessing costs may be greater than the amount of the 

adjustment. 

Policy on rounding adjustment 

In calculating a Unit Holder’s investments, the NAV per Unit of the Fund which is also the selling 

and buying price per Unit of the Fund will be rounded to 4 decimal places. 

Units allocated to a Unit Holder will be rounded to 2 decimal places. 

5.3 Sale of Units 

Application for Units may be made on any Business Day and Units will be issued at the NAV per 

Unit of the Fund as at the next valuation point (i.e. “forward pricing”). 

The price of Units for applications received before 2.00 p.m. (cut off time) will be calculated based 

on the valuation of the Units on the same Business Day subject to the clearance of payment. 

Where an application is received after the cut off time, the request will be processed based on 

the NAV per Unit on the following Business Day. 

The minimum initial investment is RM50,000 or such other lower amount as the Manager in its 

sole discretion allows. Any additional investment can be made with a minimum of RM10,000 or 

such other lower amount as the Manager in its sole discretion allows. 

INVESTORS ARE ADVISED NOT TO MAKE PAYMENT IN CASH WHEN PURCHASING 

UNITS OF A FUND VIA INSTITUTIONAL OR RETAIL AGENTS. 

Note: the Manager reserves the right to accept or reject any application in whole or 

part thereof without assigning any reason. 

5.4 Redemption of Units 

Unit Holders may make a request for redemption on any Business Day. Units will be redeemed at 

the NAV per Unit of the Fund as at the next valuation point (i.e. “forward pricing”). 

The price of Units for redemption requests received before 3.00 p.m. (cut off time) will be 

calculated based on the valuation of the Units on the same Business Day. 


chapter 


page 

26 

5.4 Redemption of Units (cont’d) 

Where a redemption requests is received after the cut off time, the request will be processed 

based on the NAV per Unit on the following Business Day. 

The minimum redemption amount is 20,000 Units or such other lower amount as the Manager 

in its sole discretion allows. 

However, if the redemption request leaves a Unit Holder with less than 20,000 Units (Minimum 

Holdings), the Manager will not process the redemption request. In this instance, the Unit Holder 

will be required to make an application for the Manager to liquidate all their holdings in the Fund. 

Redemption proceeds will be paid within 3 Business Days from the date the redemption request 

form is received by the Manager. 

5.5 Cooling-Off Period 

A cooling-off right refers to the right of the Unit Holder to obtain a refund of his/her investment 

if he/she so requests within the cooling-off period (within 6 Business Days from the date of 

receipt of application). This is to allow Unit Holders the opportunity to reverse their investment 

decision that could have been unduly influenced by certain external elements or factors. The 

cooling-off right is only given to an investor, other than those listed below, who is investing for 

the first time in any unit trust funds managed by the Manager: 

(i) 

(ii) 

(iii) 

a corporation or institution; 

a staff of the Manager; and 

persons registered to deal in unit trust funds of the Manager. 

Within the cooling-off period, the refund to the Unit Holders shall not be less than the sum of: 

(a) 

(b) 

the NAV of the Units on the day the units were purchased; and 

the Sales Charge originally imposed on the day the units were purchased. 

In other words, the Unit Holders shall be refunded their full investment amount within 10 days 

from the date of receipt of the cooling-off notice by the Unit Holders. 

5.6 Minimum Holdings 

The minimum holdings of Units of the Fund is 20,000 Units or such other lower amount as the 

Manager in its sole discretion allows. 


chapter 


page 

27 

5.7 Policy on Gearing 

The Fund is not permitted to borrow cash or other assets (including the borrowing of securities 

within the meaning of the Guidelines on Securities Borrowing and Lending) in connection with 

its activities. 

Except for securities lending as provided under the Guidelines, none of the cash or investments 

of the Fund may be lent. Further, the Fund may not assume, guarantee, endorse or otherwise 

become directly or contingently liable for or in connection with any obligation or indebtedness 

of any person. 

5.8 Transfer of Units 

Unit Holders are allowed to transfer their Units of the Fund subject to a transfer fee of RM5.00 

for each request to transfer. 

The minimum amount for each request to transfer is 20,000 Units or such other lower amount 

as the Manager in its sole discretion allows. 

5.9 Switching Facility 

Switching facility is not available for this Fund. 

5.10 Distribution Policy 

The Fund intends to distribute income on a monthly basis. 

5.11 Mode of Distribution 

All income distribution proceeds will be reinvested as additional Units of the Fund based on 

the NAV per Unit on the Business Day following the income distribution declaration date. The 

reinvestment of such additional Units will only be done within 14 days of the income distribution 

declaration date. 


chapter 

6 MANAGEMENT COMPANY 

page 

28 

6.1 Background Information 

The Manager, Manulife Asset Management Services Berhad (formerly known as Manulife Unit 

Trusts Berhad), was incorporated in Malaysia on 30 September 2008 under the Companies Act, 

1965. The Manager commenced operations as a unit trust management company with the 

launch of its maiden funds, Manulife Equity Plus Fund and Manulife Bond Plus Fund in late 2009. 

In 2012, pursuant to the rationalization and re-organization of the asset and unit trust 

management businesses of the Manulife group of companies where the business and assets of 

Manulife Asset Management (Malaysia) Sdn Bhd (“MAMM”) were transferred to the Manager, 

the Manager varied its Capital Markets and Services Licence for the regulated activity of “dealing 

in securities restricted to unit trust” to allow them to also conduct the regulated activity of “fund 

management” under the Act. 

With effect from 18 June 2012, the Manager is the holder of a Capital Markets Services Licence 

for the regulated activities of fund management and dealing in securities restricted to unit trusts 

issued under the Act. The Manager has approximately 3 years of experience in the unit trust 

and fund management industry. As at 12 July 2012, the Manager manages five (5) unit trust 

funds as well as private mandates amounting to approximately RM3.2 billion in assets under 

management. 

The investment professionals of the Manager form part of the Manulife group of companies’ 

asset management global network of investment professionals with about 300 fund managers, 

analysts and traders who together provide comprehensive asset management solutions. As at 12 

July 2012, the Manager has staff strength of 20, of which 7 are involved in investment related 

activities. 

6.2 Financial Position 

Financial Year Ended 

31 December 31 December 31 December 

2011 2010 2009 

(RM) (RM) (RM) 

Turnover 1,563,039 1,392,866 183,250 

Profit/(Loss) Before Tax (1,947,191) (1,260,708) (901,682) 

Profit/(Loss) After Tax (2,368,103) (882,518) (858,960) 

Issued/Paid-up Capital 17,000,000 12,000,000 12,000,000 

Shareholders’ Funds 12,890,419 10,258,522 11,141,040 


chapter 


page 

29 

6.3 The Board of Directors 

Datuk Seri Panglima Mohd Annuar bin Zaini (Chairman and Independent Director) was 

appointed to the Board on 5 th July 2011. He holds a Master of Arts in Law & Diplomacy from The 

Fletcher School of Laws & Diplomacy, Tufts University, USA and a Bachelor of Arts with honours 

in Economics from University Kebangsaan Malaysia. 

He began his career as an Administrative and Diplomatic Officer in 1977. He served the Malaysian 

government at various ministries and departments and also the Perak State Government until he 

chose to take an optional retirement from the government service in 1999. 

He was the Chairman of Malaysian National News Agency (BERNAMA) from February 2004 

to January 2010. In February 2004, HRH The Sultan of Perak consented his appointment as 

Member of the Council of Elders to HRH Sultan of Perak. He was Advisor and Chief Executive of 

Northern Corridor Implementation Authority from 2007 to 2009. He is a Member of the Perak 

Council of Islamic Religion and Malay Customs and the Board Member to the Perak State Islamic 

Economic Development Corporation. He is also a Distinguished Fellow to the Institute of Strategic 

and International Studies (ISIS) Malaysia and Adjunct Professor of Northern Corridor Economic 

Region Research Centre, Universiti Utara Malaysia and Honorary Consultant to Office of Vice 

Chancellor, Universiti Teknologi Mara. 

He sits on the Board of Dijaya Corporation Berhad and a few private limited companies. 

Dato’ Md Agil bin Mohd Natt (Independent Director) was appointed to the board on 29 

June 2012. He holds a Bachelor of Science in Economics (Hons) degree from Brunel University, 

London and a Master of Science in Finance degree from the CASS Business School, London. 

He also attended the Advanced Management Program, Harvard Business School in the United 

States of America. 

He started his career in Corporate Finance with Bumiputra Merchant Bankers Berhad in 1977 

before serving as Senior General Manager (Finance) at Island & Peninsular Bhd in 1982. He was 

also the Regional Chief Representative of Kleinwort Benson Ltd before joining Malayan Banking 

Berhad (Maybank). Dato’ Agil Natt served the Maybank Group in various capacities including as 

Senior General Manager, Corporate Banking, Chief Executive Officer of Aseambankers Malaysia 

Berhad (now known as Maybank Investment Bank Berhad) and Executive Director/Deputy 

President of Maybank. 

From 2006 until his retirement in 2011, Dato’Agil Natt served as President and Chief Executive 

Officer of the International Centre for Education in Islamic Finance (INCEIF), The Global University 

of Islamic Finance, set up by Bank Negara Malaysia. 

He currently sits on the Boards of Cagamas Berhad, Sogo (KL) Department Store Sdn Bhd and 

Sogo (KL) Sdn Bhd. He is also a Member of the Board of Trustees of Yayasan Tun Abdul Razak. 

Dato’ Agil Natt was appointed as a Director of EXIM Bank in February 2012. 


chapter 


page 

30 

6.3 The Board of Directors (cont’d) 

Mr. Edward Ooi Tee Hee (Chief Executive Officer/Executive Director/Non-Independent 

Director) joined the Manager in November 2010 as Chief Distribution Officer. Edward was 

subsequently appointed as CEO of the Manager on 4 January 2011. He has over 12 years wealth 

management experience covering the sales, marketing and distribution development. Prior to 

joining the Manager, Edward was the Chief Officer, Channel Marketing and Distribution of 

one of the top asset management companies since 2007. Edward joined the Manager with 

his immense experience in managing distribution channels covering Institutional Sales, Agency 

Distribution, Regional Distribution, Agency Admin and Development. He is well-known in the 

market and has worked with most of the banks, independent financial advisers (IFA) and tied unit 

trust (UT) agencies in the market. 

Edward Ooi holds a Bachelor of Business Administration Degree majoring in Marketing and 

Management from University of Central Oklahoma, United States of America. 

Mr. Chong Soon Min (Jason) (Managing Director/Chief Investment Officer/Executive Director/ 

Non-Independent Director) was appointed to the board on 21 May 2012. He joined MAMM in 

February 2010 and subsequently commenced employment with the Manager on 1 July 2012. He 

was previously the Chief Investment Officer of UOB-OSK Asset Management Sdn. Bhd, and has 

been responsible for the management of Malaysia as well as regional equity and fixed income funds, 

totalling about RM5 billion (approx. US$1.6 billion). Before joining the fund management industry, 

he spent 14 years as an investment analyst covering both the local and foreign equities. His last 

posting was as the Head of Research at Merrill Lynch Malaysia/Smith Zain Securities Sdn Bhd. 

He holds a Bachelor of Science degree in Economics and Finance (Honors) from the University of 

Southern New Hampshire, USA and a Capital Markets and Services Representative’s Licence in 

fund management. 

Mr. Michael Floyd Dommermuth (Non-Independent Director), was appointed to the board 

on 29 June 2012. He holds a Bachelor of Science in Mathematics and Management Science from 

Carnegie Mellon University, Pennsylvania, USA. 

Mr. Dommermuth is the President of Manulife Asset Management, Asia. He is a member of 

Manulife Asset Management’s Executive Committee and Manulife’s Asia Division Executive 

Committee. He joined the firm in 2001 and is located in Hong Kong. 

Mr. Dommermuth oversees all investment activities across Asia and Japan. He is responsible 

for managing Manulife’s rapidly growing assets within the region and ensuring the Company’s 

investments complement the regulatory landscape. He is also responsible for establishing and 

executing business strategy, business development, regulatory and business risk management, 

client relationship management and local operational and managerial support for Asia. 

Prior to his current appointment, Mr Dommermuth headed Manulife’s investment operations in 

Asia, ex-Hong Kong. From 2001 to 2004, he headed the company’s institutional spread-based 

business product development efforts based in Boston. Before joining Manulife in 2001, Michael 

was head of various units within a global rating agency, including leveraged finance and assetbacked 

securities based in New York, London and Sydney. He has a total of 22 years capital 

market experience. 

Mr. David Wong Tai Wai (Non-Independent Director) was appointed to the board on 19 

July 2011. He holds a Bachelor’s Degree in Mathematics majoring in Computer Science, and 


chapter 


page 

31 

completed his MBA program at the University of Toronto, majoring in International Business. He 

is currently the Regional Executive of Manulife Financial for South East Asia, in charge of four 

Manulife operations in Malaysia, the Philippines, Thailand and Vietnam. 

He has 30 years of experience in the insurance and financial industry, entirely with Manulife 

Financial, and has extensive management experience in general management, agency 

distribution, information technology, underwriting, customer service and market research in 

Canada, the United States, Hong Kong, Macau, Taiwan and Vietnam. 

Christopher Franz Bendl (Non-Independent Director) was appointed to the board on 19 th July 

2011. He joined Manulife in December 2010 as the Head of Regional Wealth Management for 

Asia reporting directly to the Senior Executive Vice President & General Manager, Asia. He is a 

member of the Regional Management Team. For the past 8 years, Mr. Bendl has held various 

leadership positions within the international life insurance companies of AIG in the Middle East 

and Southeast Asia and most recently as the CEO of an Indonesian insurer. 

Mr. Bendl has a diverse and successful track record in the development of alternative distribution 

channels and partnerships, product development and business transformation initiatives in many 

operating jurisdictions and under many different business conditions. Previously, Mr. Bendl 

worked for Manulife Financial and its related companies for nearly 10 years, where he held senior 

positions in the investment, pension and insurance subsidiaries in Canada, Indonesia and the 

Philippines. Mr. Bendl completed a MBA at Queen’s University and a Bachelor of Science degree 

at The University of British Columbia. 

Encik Ahmad Riza bin Basir (Independent Director) was appointed to the board on 5 August 

2011. He obtained his Bachelor of Law Degree with honours from the University of Hertfordshire, 

UK and qualified as a barrister-at-law of the Honourable Society of Lincoln’s Inn, London, UK. 

Encik Riza sits on the board of United Plantations Berhad. He is also a member of the audit 

committee of United Plantations Berhad. 

6.4 Duties and Responsibilities of the Manager 

The Manager is responsible for the day-to-day management, marketing and administration of 

the Fund, where its key functions include: 

a) Endeavouring that the Fund is managed in a sound and professional manner in accordance 

with its investment objectives, the provisions of this Prospectus and the Deed; 

b) Endeavouring that the Fund is properly administered and to arrange for sale and 

redemption of Units of the Fund; 

c) Issuing the Fund’s interim and annual reports to Unit Holders; 

d) Keeping proper records of the Fund; and 

e) Keeping Unit Holders informed on material matters relating to the Fund. 

6.5 Investment Committee 

The duties and responsibilities of the Investment Committee are as follows: 

(a) 

Selecting appropriate strategies to achieve the proper performance of the Fund in 

accordance with the fund management policies; 


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32 

6.5 Investment Committee (cont’d) 

(b) 

(c) 

Ensuring that the strategies selected are properly and efficiently implemented by the 

Manager; and 

Actively monitor, measure and evaluate the fund management performance of the 

Manager. 

The Investment Committee meets at least four times a year. 

The members of Investment Committee for the Fund consist of: 

Tan Sri Dato’ Mohd Sheriff bin Mohd Kassim (Chairman and Independent member) 

holds a BA (Honours) Economics degree from University Malaya and a Diploma in Economic 

Development from Oxford University, United Kingdom. He also holds a MA Economics from 

Vanderbilt University, United States of America. 

Tan Sri was the Managing Director of Khazanah Nasional Berhad from 1994 to August 2003 and 

past Director of United Engineers (Malaysia) Berhad and former Chairman of UEM Land Sdn Bhd 

(formerly known as Renong Berhad). Prior to joining Khazanah Nasional Berhad as the Managing 

Director in 1994, he served as the Secretary General of Treasury, Ministry of Finance for 3 years. 

Tan Sri Dato’ Mohd Sheriff is President of the Malaysian Economic Association. He serves as 

a Non-Executive Chairman of Projek Lebuhraya Utara-Selatan Berhad, PLUS Malaysia Berhad, 

Scientex Berhad, Standard Chartered Bank Malaysia Berhad and Standard Chartered Saadiq Bhd. 

He also serves as non-executive director of Yayasan UEM. 

Dato’ Md Agil bin Mohd Natt (Independent member) 

(profile as per above) 

Mr. Alex Wong Chi Kit (Non-Independent member) holds a first class honor degree in Actuarial 

Science from the University of Hong Kong and he is also a Fellow of the Society of Actuaries. He was 

a member of actuarial sub-committee of Life Insurance Association in Singapore. Alex Wong has 

more than 12 years of experience in actuarial profession with Asian market knowledge especially 

in life insurance, annuity and wealth management business. He has joined Manulife Financial since 

1999 and held various roles in Manulife Financial’s offices in Hong Kong, Singapore and Malaysia. 

6.6 Key Personnel of the Manager 

Mr. Edward Ooi Tee Hee 


Mr. Jason Chong 


Ms. Sabrina Ang Bee Lin joined the Manager in June 2011 as the Head of Institutional 

Partnerships. She is responsible for areas of sales and distribution with Institutional Unit Trust 

Advisors (IUTA). She has more than 10 years of experience in wealth management, covering sales 

and marketing. Prior to joining the Manager, she was the Head of IUTA of one of the top asset 

management companies since 2004. She holds a Bachelor of Business Administration (Hons) 

majoring in Marketing from Anglia Ruskin University, UK. 


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33 

6.6 Key Personnel of the Manager (cont’d) 

Mr. Koo Kok Leong joined the Manager as Head of Retail Partnerships, Wealth Management 

on 1 July 2011. He is a Certified Financial Planner (CFP) and a Registered Financial Planner (RFP) 

with a degree in Business Finance and Investment. Koo has more than 20 years experience in the 

financial planning and insurance industry from various financial conglomerates. Prior to joining 

the Manager, he was one of the pioneers in setting up and developing the agency channel for a 

multinational fund management company and has successfully played a key role in building and 

growing the agency business promoting unit trust and investment link product. 

Ms. Tock Chin Hui (Head of Equities) joined MAMM in May 2010 and subsequently commenced 

employment with the Manager on 1 July 2012, and is responsible for the equity portfolios as well 

as overseeing the equity team. She has more than 15 years of experience in the capital market 

industry. She was previously the Deputy Head of Equities of UOB-OSK Asset Management Sdn 

Bhd. She holds a Capital Markets and Services Representative’s Licence in fund management. 

She holds a Degree of Bachelor of Business (Accounting) from Monash University. She is a 

Chartered Financial Analyst (CFA) charter holder and also a holder of CPA (Australia). 

Mr. Tew Sow Hume (Assistant Vice President, Operations & Middle Office) joined MAMM in October 

2011 and subsequently commenced employment with the Manager on 1 July 2012. He is responsible 

for overseeing the operations of the back and middle office functions. Previously, he was with Phiem 

Asset Management Sdn. Bhd. for 15 years where he started his career as operations executive and 

rose to become operations manager responsible for managing the back office functions. He was later 

transferred to become the senior manager of Compliance in the same organization. 

He is a fellow of the Association of Chartered Certified Accountants (ACCA). 

Mr. Raymond Lee Long Heng (Head of Compliance) joined MAMM in November 2009 and 

subsequently commenced employment with the Manager on 1 July 2012. He is the registered 

compliance officer for the Manager and is responsible for all compliance matters for the 

company. He was previously the compliance officer for Alliance Investment Management 

Berhad. He graduated with LL.B (Hons) from University of Cardiff, Wales and started his career 

as a practicing lawyer. He also holds a Masters in Business Administration (with Merits) from 

University of Nottingham. 

Ms. Ong Bee Lian (Senior Manager of Operations) is an Associate Member of the Chartered 

Institute of Management Accountants. She has more than 15 years of experience in the unit 

trust, trustee services and stockbroking industry. She is responsible for the smooth running of 

the operation functions of the Manager. In addition, she is also responsible for the development 

and implementation of the Manager’s system. 

Designated Fund Manager 

Ms. Tham Lai Ching (Elsie) (Fixed Income Portfolio Manager) joined MAMM in 2009 and 

subsequently commenced employment with the Manager on 1 July 2012, and has a total of 6 

years in the capital market industry. She is responsible for managing the fixed income portfolios 

and performing comprehensive credit evaluation on all fixed income investments and financial 

institutions. Previously, she was a credit analyst with RAM Rating Services Berhad. 


chapter 


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34 

6.6 Key Personnel of the Manager (cont’d) 

Designated Fund Manager (cont’d) 

She holds a degree of Bachelor of Engineering from Loughborough University and is a holder of 

Capital Markets and Services Representative’s Licence in fund management. 

6.7 Material Litigation 

As at 12 July 2012, the Manager is not engaged in any material litigation and arbitration, including 

those pending or threatened, and is not aware of any facts likely to give rise to any proceedings 

which might materially affect the business/financial position of the Manager. 

6.8 Manager’s Delegates 

HSBC (Malaysia) Trustee Berhad 

The Manager has appointed HSBC (Malaysia) Trustee Berhad to undertake the valuation function 

for the Fund by way of a service level agreement. Under the terms of the agreement, the Trustee 

would carry out daily valuation/pricing. 

The corporate information of HSBC (Malaysia) Trustee Berhad is as set out under Chapter 7 

below. 

Manulife Holdings Berhad (MHB) 

MHB is responsible for the functions relating to internal audit, human resource, finance, corporate 

secretarial and legal. 

MHB is the holding company and provides certain shared services to its subsidiaries and related 

companies. 

As at 30 June 2012, MHB has a paid-up capital of RM101 million and shareholders’ funds 

(consolidated basis) of RM720 million. 

The following is a summary of the past performance of MHB (consolidated basis) based on 

audited financial statements for the last 3 years: 

Year Ended 31 December 

2011 2010 2009 

(RM’000) (RM’000) (RM’000) 

Paid-up Share Capital 101,185 101,185 101,185 

Shareholders’ Funds 575,811 535,587 488,244 

Turnover 640,874 614,854 587,742 

Profit before Tax 85,015 82,188 79,381 

Profit after Tax 67,367 64,354 59,148 


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35 

6.8 Manager’s Delegates (cont’d) 

Manulife Insurance Berhad (MIB) 

Functions relating to product development and marketing will be provided by MIB. 

MIB commenced operations in year 2008 and is a wholly owned subsidiary of MHB and also 

provides certain shared services to the other subsidiaries of MHB. 

As at 30 June 2012, MIB has a paid-up capital of RM150 million and shareholders’ funds 

(consolidated basis) of RM484 million. 

The following is a summary of the past performance of MIB based on audited financial statements 

for the last 3 years: 


2011 2010 2009 

(RM’000) (RM’000) (RM’000) 

Shareholders’ Funds 335,217 272,954 208,969 

Turnover 628,132 602,280 574,759 

Profit before Tax 75,708 74,470 70,568 

Profit after Tax 62,321 59,500 52,094 


Manulife Technology & Services Sdn Bhd (MTS) 

MTS is responsible for providing information technology services. 

MTS commenced operations in year 2004 and is a global IT shared service centre for the Manulife 

group of companies in Asia and North America. 

As at 30 June 2012, MTS has a paid-up capital of RM2.3 million and shareholders’ funds of 

RM16.94 million. 


2011 2010 2009 


Turnover 20,686,650 17,690,011 11,328,978 

Profit before Tax 2,036,480 694,224 (572,236) 

Profit after Tax 1,968,383 777,507 (615,427) 

Paid-up Share Capital 2,300,000 2,300,000 2,300,000 


chapter 

7 TRUSTEE 

page 

36 

The Trustee is HSBC (Malaysia) Trustee Berhad (Company No. 1281-T), a company incorporated in 

Malaysia since 1937 and registered as a trust company under the Trust Companies Act 1949, with its 

registered address at 13 th Floor, Bangunan HSBC, South Tower, No. 2, Leboh Ampang, 50100 Kuala 

Lumpur. 

7.1 Financial Position 

The Trustee has a paid-up capital of RM500,000.00. As at 31 December 2011, its shareholders’ 

funds totaled RM30.21 million and it achieved a profit before tax of RM9.14 million. 

The following is a summary of the past performance of the Trustee based on the audited accounts 

for the last 3 years: 


2009 2010 2011 

(RM) (RM) (RM) 



Turnover 18,006,590 20,989,037 20,725,309 

Profit before Tax 10,930,880 11,253,763 9,139,041 

Profit after Tax 8,200,407 8,314,528 6,883,965 

7.2 Experience in Trustee Business 

Since 1993, the Trustee has acquired experience in the administration of unit trusts and as at 12 

July 2012, is the Trustee for 184 unit trust funds (including exchange traded funds and wholesale 

funds). 

As at 12 July 2012, the Trustee has a workforce of 51 employees consisting of 42 executives and 

9 non-executives. A good number of the staff has been with the Trustee for many years. 

7.3 Board of Directors 

Mr Baldev Singh A/L Gurdial Singh 

Ms Lim Liang Hua 

Dato’ Ranita Mohd Hussein 

Ms Zainon Baba 

Ms On Bee Heong 

Ms Hew Su Chan (Alternate to Ms On Bee Heong) 


chapter 

7 TRUSTEE 

page 

37 

7.4 Profile of Key Personnel 

Ms Lim Liang Hua – Managing Director 

She joined HSBC (Malaysia) Trustee Berhad in April 2004 and brings with her over 20 years of 

legal advisory and problem solving skills in the banking and financial services industry. She holds 

a Bachelor of Economics and Bachelor of Laws (LLB) from Monash University, Australia. She was 

admitted to practice as a Barrister & Solicitor in Victoria, Australia in 1984 and was called to 

the Malaysian Bar in 1985. She was in private practice for three years in the Klang Valley before 

joining the corporate sector, namely the banking and financial institutions industry. She was the 

Chief Legal Adviser and Company Secretary for the Phileo Allied Bank Group and the United 

Overseas Bank Group in Malaysia. Prior to her joining HSBC, she was Chief Executive Officer in 

an established trust company. 

Mr Yee Yit Seeng – Chief Operating Officer 

He joined HSBC (Malaysia) Trustee Berhad in July 1984. He holds a Diploma in Banking and 

Finance and is a Senior Associate of Institut Bank-Bank Malaysia. He has more than 22 years of 

experience in trust operations including client service, systems/projects & office administration, 

compliance, internal control & audit, and business development. He was also seconded to 

the HSBC Back-end Processing Office in Cyberjaya, Malaysia to support the global securities 

operations. 

Puan Maziah Yong – Head, Client Service 

She joined HSBC (Malaysia) Trustee Berhad in November 2007. She holds an Advanced Diploma 

In Law from Institut Teknologi MARA. Prior to her joining HSBC, she has more than 15 years 

working experience in trust administration, especially relating to unit trust schemes. 

Ms Lim Gim Lee – Head, Fund Administration 

She joined HSBC (Malaysia) Trustee Berhad in December 2008. She holds an Advanced Diploma 

in Business Administration - Institute of Business Administration and Management (IBAM). She 

was one of the pioneer staff in setting up two unit trust management companies and has more 

than 13 years working experience in the unit trust industry. 

Ms Vimala Mahathevan - Head, Business Support 

She joined HSBC (Malaysia) Trustee Berhad in January 2010. She holds a Diploma in Banking and 

Finance of Institut Bank-Bank Malaysia and a Diploma in Computer Studies from the National 

Centre of Computing and Information Technology (NCC). She has 9 years of general banking 

experience and 16 years of experience in the securities industry which includes overseeing the 

settlement operations for foreign institutional clients, client servicing, system implementation and 

being the liaison party with regulatory bodies such as Bursa Malaysia. Prior to joining HSBC Trustee, 

she was the Head of Settlement, HSBC Securities Services, Sub-Custody and Clearing, in Malaysia. 

Ms Tan Bee Nie - Head, Trustee Operations 

She re-joined HSBC (Malaysia) Trustee Berhad in January 2011. She holds a Diploma in Business 

Administration awarded by The Association of Business Executives (ABE), United Kingdom. She 

has 18 years experience in fund administration relating to unit trust schemes, including fund 

accounting and valuation, with unit trust management and trust companies. 


chapter 

7 TRUSTEE 

page 

38 

7.4 Profile of Key Personnel (cont’d) 

Ms Joyce Lim – Manager, Business Development 

She joined HSBC (Malaysia) Trustee Berhad in June 2011. She holds a Bachelor of Science in 

Finance and International Business and a Master of Business Administration from the University 

of Bridgeport, Connecticut, USA. She has more than 15 years working experience in financial 

services, including retail banking, reinsurance, trustee, and unit trust industry. 

Mr Joshua Ling – Manager, Business Control and Finance 

He joined HSBC (Malaysia) Trustee Berhad in August 2011. He is a member of the Association of 

Chartered Certified Accountants (ACCA), United Kingdom. He has more than 10 years working 

experience in accounting firm and financial services industry. 

7.5 Duties and Responsibilities of the Trustee 

The Trustee’s main functions are to act as trustee and custodian of the assets of the Fund and to 

safeguard the interests of Unit Holders of the Fund. In performing these functions, the Trustee 

has to exercise all due care, diligence and vigilance and is required to act in accordance with 

the provisions of the Deed, Capital Markets and Services Act 2007 and the relevant Securities 

Commission’s Guidelines (“Guidelines”). Apart from being the legal owner of the Fund’s assets, 

the Trustee is also responsible for ensuring that the Manager performs its duties and obligations 

in accordance with the provisions of the Deed, Capital Markets and Services Act 2007 and the 

Guidelines. In respect of the application of Units, the Trustee’s responsibility arises when the Fund’s 

assets are received in the relevant account of the Trustee for the Fund and in respect of redemption, 

the Trustee’s responsibility is discharged once the Fund’s asset has been delivered to the Manager. 

7.6 Retirement or Removal or Replacement of the Trustee 

The Trustee may retire upon giving 12 months’ notice to the Manager of its desire to do so, or 

such shorter period as the Manager and the Trustee may agree, and may by Deed appoint in its 

stead or as an additional trustee a new trustee approved by the relevant authorities and under 

any relevant law. 

 

The Trustee may be removed and another trustee may be appointed by Special Resolution of the 

unit holders at a duly convened meeting of which notice has been given to the unit holders in 

accordance with the Deed. 

7.7 Power of Trustee to Remove, Retire or Replace the Manager 

The Manager may be removed by the Trustee on the grounds that the Manager: 

(a) 

the Manager has gone into liquidation, except for the purpose of amalgamation or 

reconstruction or some similar purpose; or has had a receiver appointed; or has ceased to carry 

on business; or is in breach of any of its obligations or duties under the Deed or the relevant 

laws; or has ceased to be eligible to be a management company under the relevant laws; 


chapter 

7 TRUSTEE 

page 

39 

7.7 Power of Trustee to Remove, Retire or Replace the Manager (cont’d) 

or 

(b) 

the Manager has failed or neglected to carry out its duties to the satisfaction of the 

Trustee and the Trustee considers that it would be in the interests of unit holders for it 

to do so after the Trustee has given notice to it of that opinion and the reasons for that 

opinion, and has considered any representations made by the Manager in respect of that 

opinion, and after consultation with the relevant authorities and with the approval of the 

unit holders by way of a Special Resolution. 

In any of the above said grounds, the Manager shall upon receipt of a written notice from the 

Trustee ipso facto cease to be the management company of the fund. The Trustee shall, at the 

same time, by writing appoint some other corporation approved by the relevant authorities to be 

the management company of the fund; such corporation shall have entered into such deed or 

deeds as the Trustee may consider to be necessary or desirable to secure the due performance of 

its duties as management company for the fund. 

7.8 Trustee’s Statement of Responsibility 

The Trustee has given its willingness to assume the position as Trustee of the Fund and all the 

obligations in accordance with the Deed, all relevant laws and rules of law. The Trustee shall be 

entitled to be indemnified out of the Fund against all losses, damages or expenses incurred by 

the Trustee in performing any of its duties or exercising any of its powers under this Deed in 

relation to the Fund. The right to indemnity shall not extend to loss occasioned by breach of trust, 

wilful default, negligence, fraud or failure to show the degree of care and diligence required of 

the Trustee having regard to the provisions of the Deed. 

7.9 Trustee’s Disclosure on Material Litigation 

As at 12 July 2012, the Trustee is not engaged in any material litigation and arbitration, including 

those pending or threatened, and is not aware of any facts likely to give rise to any proceedings 

which might materially affect the business/financial position of the Trustee and any of its delegates. 

7.10 Trustee’s Delegate 

The Trustee has appointed The Hongkong and Shanghai Banking Corporation Ltd as custodian 

of the quoted and unquoted local investments of the Fund. The assets of the Fund are held 

through their nominee company, HSBC Nominees (Tempatan) Sdn Bhd. If and when the Fund 

should invest overseas, HSBC Institutional Trust Services (Asia) Limited will be appointed as 

the custodian of the foreign assets of the Fund. Both The Hongkong And Shanghai Banking 

Corporation Ltd and HSBC Institutional Trust Services (Asia) Limited are wholly owned subsidiaries 

of HSBC Holdings Plc, the holding company of the HSBC Group. The custodian’s comprehensive 

custody and clearing services cover traditional settlement processing and safekeeping as well as 

corporate related services including cash and security reporting, income collection and corporate 

events processing. All investments are registered in the name of the Fund or to the order of the 

Fund. The custodian acts only in accordance with instructions from the Trustee. 


chapter 

7 TRUSTEE 

page 

40 

7.10 Trustee’s Delegate (cont’d) 

The Trustee shall be responsible for the acts and omissions of its delegate as though they were 

its own acts and omissions. 

However, the Trustee is not liable for the acts, omissions or failure of third party depository 

such as central securities depositories, or clearing and/or settlement systems and/or authorised 

depository institutions, where the law or regulation of the relevant jurisdiction requires the 

Trustee to deal or hold any asset of the Fund through such third parties. 

Trustee’s Delegates 

1) The Hongkong And Shanghai Banking Corporation Limited (As Custodian) and assets held 

through HSBC Nominees (Tempatan) Sdn Bhd (Co. No. 258854-D) 

no 2 Leboh Ampang 


Telephone No: (603) 2070 0744 Fax No: (603) 2072 9787 

2) HSBC Institutional Trust Services (Asia) Limited 

6 th Floor, Tower One 

HSBC Centre 

no 1 Sham Mong Road 

Kowloon, Hong Kong 

Telephone No: (852) 2533 6333 Fax No: (852) 2869 6120 

7.11 Anti-Money Laundering and Anti-Terrorism Financing provisions 

The Trustee has in place policies and procedures across the HSBC Group, which may exceed local 

regulations. Subject to any local regulations, the Trustee shall not be liable for any loss resulting 

from compliance of such policies, except in the case of negligence, willful default or fraud of the 

Trustee. 

7.12 Statement of Disclaimer 

The Trustee is not liable for doing or failing to do any act for the purpose of complying with law, 

regulation or court. 


chapter 

8 SALIENT TERMS OF THE DEED 

page 

41 

8.1 Rights and Liabilities of the Unit Holders 

Rights of the Unit Holders 

As a Unit Holder of the Fund, and subject to the provisions of the Deed, you have the right: 

1) to receive distributions, if any, of the Fund; 

2) to participate in any increase in the NAV of Units of the Fund; 

3) to call for Unit Holders’ Meetings and to vote for the removal of the Trustee or the Manager 

through a Special Resolution; 

4) to exercise the cooling-off right (only for qualified investors); 

5) to receive annual and interim reports on the Fund; and 

6) to exercise such other rights and privileges as provided for in the Deed. 

 

However, a Unit Holder would not have the right to require the transfer to the Unit Holder of any 

of the investments of the Fund. Neither would a Unit Holder have the right to interfere with or 

to question the exercise by the Trustee (or the Manager on the Trustee’s behalf) of the rights of 

the Trustee as registered owner of the investments and assets of the Fund. 

NOTE: 

PLEASE BE ADVISED THAT IF YOU INVEST IN UNITS THROUGH AN IUTA WHICH ADOPTS 

THE NOMINEE SYSTEM OF OWNERSHIP, YOU WOULD NOT BE CONSIDERED TO BE A 

UNIT HOLDER UNDER THE DEED AND YOU MAY CONSEQUENTLY NOT HAVE ALL THE 

RIGHTS ORDINARILY EXERCISABLE BY A UNIT HOLDER (FOR EXAMPLE, THE RIGHT TO 

CALL FOR A UNIT HOLDERS’ MEETING AND TO VOTE THEREAT AND THE RIGHT TO HAVE 

YOUR PARTICULARS APPEARING IN THE REGISTER OF UNIT HOLDERS OF THE FUND). 

Liabilities of the Unit Holders 

As a Unit Holder of the Fund, and subject to the provisions of the Deed, your liabilities would be 

limited to the following: 

1) A Unit Holder would not be liable for nor would a Unit Holder be required to pay any 

amount in addition to the payment for Units of the Fund as set out in this Prospectus and 

the Deed. 

2) A Unit Holder would not be liable to indemnify the Trustee and/or the Manager in the 

event that the liabilities incurred by the Trustee and/or the Manager on behalf of the Fund 

exceed the NAV of the Fund. 


chapter 


page 

42 

8.2 Maximum Fees and Charges permitted by the deed 

Sales Charge 

1.00% of the NAV per Unit. 


1.00% of the NAV per Unit. 

Annual Management Fee 

1.00% of the NAV of the Fund. 


0.20% of the NAV of the Fund per annum calculated and accrued on a daily basis. 

8.3 Procedures to increase the maximum rate of the direct and indirect fees 

and charges as provided in the Prospectus 

Sales Charge 

The Manager may only charge a Sales Charge at a rate higher than that disclosed in the Prospectus if: 

(a) 

(b) 

(c) 

the Manager has notified the Trustee in writing of the higher rate and the date on which 

such higher rate is to become effective; 

a supplemental prospectus stating the higher rate is issued thereafter; and 

such time as may be prescribed by any relevant law shall have elapsed since the 

supplemental prospectus is issued. 


The Manager may only charge a Redemption Charge at a rate higher than that disclosed in the 

Prospectus if: 

(a) 

(b) 

(c) 

the Manager has notified the Trustee in writing of the higher rate and the date on which 

such higher rate is to become effective; 





chapter 


page 

43 


and charges as provided in the Prospectus (cont’d) 

Annual Management Fee 

The Manager may only charge an annual management fee at a rate higher than that disclosed in 

the Prospectus if: 

(a) 

(b) 

(c) 

(d) 

the Manager has come to an agreement with the Trustee on the higher rate; 

the Manager has notified the Unit Holders of the higher rate and the date on which such 

higher rate is to become effective; 





The Trustee may only charge an annual trustee fee at a rate higher than that disclosed in the 

Prospectus if: 

(a) 

(b) 

(c) 

(d) 

the Manager has come to an agreement with the Trustee on the higher rate; 

the Manager has notified the Unit Holders of the higher rate and the date on which such 

higher rate is to become effective; 





and charges as set out in the Deed 

The maximum Sales Charge, Redemption Charge, annual management fee or annual trustee 

fee set out in the Deed may not be increased unless a Unit Holders’ meeting has been held in 

accordance with the Deed. A supplemental deed proposing a modification to the Deed to increase 

such fees and charges is required to be submitted for registration with the SC accompanied by 

a resolution of not less than 2/3 of all Unit Holders at the Unit Holders’ meeting sanctioning the 

proposed modification to the Deed. 


chapter 


page 

44 

8.5 Permitted Expenses payable out of the Fund’s property 

Only the expenses (or part thereof) which are directly related and necessary in operating and 

administering the Fund may be charged to the Fund. These would include (but are not limited to) 

the following: 

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

(g) 

(h) 

(i) 

(j) 

(k) 

(l) 

(m) 

(n) 

(o) 

commissions/fees paid to brokers/dealers in effecting dealings in the investments of the 

Fund, shown on the contract notes or confirmation notes; 

taxes and other duties charged on the Fund by the government and/or other authorities; 

costs, fees and expenses properly incurred by the auditor of the Fund; 

costs, fees and expenses incurred for the valuation of any investment of the Fund by 

independent valuers for the benefit of the Fund; 

costs, fees and expenses incurred for any modification of the Deed save where such 

modification is for the benefit of the Manager and/or the Trustee; 

costs, fees and expenses incurred for any meeting of the Unit Holders save where such 

meeting is convened for the benefit of the Manager and/or the Trustee; 

costs, commissions, fees and expenses of the sale, purchase, insurance and any other 

dealing of any asset of the Fund; 

costs, fees and expenses incurred in engaging any specialist approved by the Trustee for 

investigating or evaluating any proposed investment of the Fund; 

costs, fees and expenses incurred in engaging any valuer, adviser or contractor for the 

benefit of the Fund; 

costs, fees and expenses incurred in the preparation and audit of the taxation, returns and 

accounts of the Fund; 

costs, fees and expenses incurred in the termination of the Fund or the removal of the 

Trustee or the Manager and the appointment of a new trustee or management company; 

costs, fees and expenses incurred in relation to any arbitration or other proceedings 

concerning the Fund or any asset of the Fund, including proceedings against the Trustee 

or the Manager by the other for the benefit of the Fund (save to the extent that legal costs 

incurred for the defence of either of them are not ordered by the court to be reimbursed 

by the Fund); 

remuneration and out of pocket expenses of the independent members of the investment 

committee of the Fund, unless the Manager decides otherwise; 

costs, fees and expenses deemed by the Manager to have been incurred in connection 

with any change or the need to comply with any change or introduction of any law, 

regulation or requirement (whether or not having the force of law) of any governmental 

or regulatory authority; and 

(where the custodial function is delegated by the Trustee) charges and fees paid to subcustodians 

in respect of any foreign investments of the Fund. 


chapter 


page 

45 

8.6 The Manager’s Right to Retire 

The Manager has the power to retire in favour of some other corporation by giving to the Trustee 

12 months’ notice in writing of the Manager’s desire so to do, or such other period as the Trustee 

and the Manager may agree upon, and subject to the fulfilment of the following conditions: 

• the retiring Manager shall appoint such corporation by writing under its seal as the 

management company of the Fund in its stead and assign and transfer to such corporation 

all its rights and duties as management company of the Fund; 

• such corporation shall enter into such deed or deeds as the Trustee may consider to 

be necessary or desirable to secure the due performance of its duties as management 

company for the Fund; and 

• upon the payment to the Trustee of all sums due from the retiring Manager to the Trustee 

at the date of such retirement, the retiring Manager shall be absolved and released from 

all further obligations hereunder but without prejudice to the rights of the Trustee or any 

Unit Holder or other person in respect of any act or omission on the retiring Manager’s 

part prior to such retirement and the new management company may and shall thereafter 

exercise all the powers and enjoy all the rights and shall be subject to all the duties and 

obligations as fully as though such new management company had been originally a party 

to the Deed. 

8.7 Removal and Replacement of the Manager 

The Manager may be removed by the Trustee on the grounds that: 

• the Manager has failed or neglected to carry out our duties to the satisfaction of the 

Trustee and the Trustee considers that it would be in the Unit Holders interest to do so 

after the Trustee has given notice to it of that opinion and the reasons for that opinion, 

and has considered any representations made by the Manager in respect of that opinion, 

and after consultation with the relevant authorities and with the approval of the Unit 

Holders by way of a Special Resolution; 

• unless expressly directed otherwise by the relevant authorities, if the Manager is in breach 

of any of its obligations or duties under the Deed or the relevant laws, or has ceased to be 

eligible to be a management company under the relevant laws; or 

• the Manager has gone into liquidation, except for the purpose of amalgamation or 

reconstruction or some similar purpose, or has had a receiver appointed or has ceased to 

carry on business; 

In any of the above occurs, the Manager shall upon receipt of a written notice from the 

Trustee cease to be the management company of the Fund by the mere fact that the Manager 

has received the notice. The Trustee shall, at the same time, by writing appoint some other 

corporation already approved by the relevant authorities to be the management company of the 

Fund; such corporation shall have entered into such deed or deeds as the Trustee may consider to 

be necessary or desirable to secure the due performance of its duties as management company 

for the Fund. 


chapter 


page 

46 

8.8 Retirement of the Trustee 

Provided always that the Manager has in place a corporation approved by the relevant authorities 

to act as the trustee of the Fund, the Trustee may retire upon the expiration of 12 months’, 

or such shorter period as Trustee and the Manager may agree upon, notice in writing to the 

Manager of its desire so to do. 

8.9 Removal and Replacement of the Trustee 

The Manager is obliged to give you notice in writing to consider the removal of the Trustee if 

the Trustee fails or neglects to carry out its duties as stipulated in the Deed and under the Act. 

The Manager shall take all reasonable steps to replace the Trustee as soon as practicable after 

becoming aware that: 

• the Trustee has ceased to exist; 

• the Trustee has not been validly appointed; 

• the Trustee is not eligible to be appointed or act as a trustee under the Act; 

• the Trustee has failed or refused to act as trustee in accordance with the provisions and 

covenants of the Deed and the provisions of the Act; 

• a receiver has been appointed over the whole or substantial part of the assets or 

undertaking of the Trustee and has not ceased to act under the appointment, or a petition 

is presented for the winding up of the Trustee (other than for the purpose of and followed 

by a reconstruction, unless during or following such reconstruction the Trustee becomes 

or is declared to be insolvent); or 

• the Trustee is under investigation for conduct that contravenes the Trust Companies Act 

1949, the Trustee Act 1949, the Companies Act 1965 or any securities law. 

The Trustee may be removed and another trustee may be appointed by Special Resolution of the 

Unit Holders at a duly convened meeting of which notice has been given to the Unit Holders in 

accordance with the Deed. 

8.10 Termination of the Fund 

The Fund may be terminated or wound up should the following events occur: 

• The SC’s approval is revoked under section 212(7)(A) of the Act; 

• A Special Resolution is passed at a Unit Holders’ meeting to terminate or wind up the 

Fund, following occurrence of events stipulated under section 301(1) of the Act and the 

court has confirmed the resolution, as required under section 301(2) of the Act; 

• A Special Resolution is passed at a Unit Holders’ meeting to terminate or wind up the Fund; 

• The Fund has reached its maturity date; and 

• The effective date of an approved transfer scheme (if any) has resulted in the Fund, which 

is the subject of the transfer scheme, being left with no asset/property. 


chapter 


page 

47 

8.10 Termination of the Fund (Cont’d) 

Upon the termination of the Fund, the Trustee shall: 

a) sell all the assets of the Fund then remaining in its hands and pay out of the Fund any 

liabilities of the Fund; such sale and payment shall be carried out and completed in such 

manner and within such period as the Trustee considers to be in the best interests of the 

Unit Holders; and 

b) from time to time distribute to the Unit Holders, in proportion to the number of Units held 

by them respectively: 

i) the net cash proceeds available for the purpose of such distribution and derived 

from the sale of the investments and assets of the Fund less any payments for 

liabilities of the Fund; and 

ii) 

any available cash produce; 

provided always that the Trustee shall not be bound, except in the case of final distribution, to 

distribute any of the moneys for the time being in his hands the amount of which is insufficient 

for payment to the Unit Holders of 50 sen in respect of each Unit and provided also that the 

Trustee shall be entitled to retain out of any such moneys in his hands full provision for all costs, 

charges, taxes, expenses, claims and demands incurred, made or anticipated by the Trustee in 

connection with or arising out of the winding-up of the Fund and, out of the moneys so retained, 

to be indemnified against any such costs, charges, taxes, expenses, claims and demands; each such 

distribution shall be made only against the production of such evidence as the Trustee may require 

of the title of the Unit Holder relating to the Units in respect of which the distribution is made. 

In the event of the Fund is terminated, the Trustee shall be at liberty to call upon us to grant the 

Trustee, and we shall so grant, a full and complete release from the Deed and we shall indemnify the 

Trustee against any claims arising out of the Trustee’s execution of the Deed provided always that 

such claims have not been caused by any failure on the part of the Trustee to exercise the degree of 

care and diligence required of a trustee as contemplated by the Deed and all relevant laws. 

Depending on the circumstances in which the Fund is terminated, either the Manager or the 

Trustee will inform the relevant authorities of the termination. 

Where the termination of the Fund and the winding-up of the Fund have been occasioned by any 

of the events set out herein; 

a) if we have gone into liquidation, except for the purpose of reconstruction or amalgamation 

upon terms previously approved in writing by the Trustee and the relevant authorities; 

b) if, in the opinion of the Trustee, we have ceased to carry on business; or 

c) if, in the opinion of the Trustee, we have to the prejudice of Unit Holders failed to comply 

with the provisions of the Deed or contravened any of the provisions of any relevant law; 


chapter 


page 

48 

8.10 Termination of the Fund (Cont’d) 

the Trustee shall summon for a Unit Holders meeting to get directions from the Unit Holders. If a 

Special Resolution is passed by the Unit Holders at the meeting to terminate the trust and windup 

the Fund, the Trustee shall apply to the Court for an order confirming such Special Resolution. 

The Trustee shall arrange for a final review and audit of the final accounts of the Fund by the 

auditor of the Fund. 

In all other cases of termination of the trust and winding-up of the Fund, such final review and 

audit by the auditor of the Fund shall be arranged by us. 

8.11 Unit Holders’ Meeting 

Quorum required for a Unit Holders’ Meeting 

The quorum required for a meeting of the Unit Holders shall be 5 Unit Holders, whether present 

in person or by proxy, provided that if the Fund has 5 or less Unit Holders, the quorum required 

for a meeting of the Unit Holders of the Fund shall be 2 Unit Holders, whether present in person 

or by proxy; if the meeting has been convened for the purpose of voting on a Special Resolution, 

the Unit Holders present in person or by proxy must hold in aggregate at least 25% of the Units 

in circulation at the time of the meeting. 

Meeting convened by the Unit Holders 

The Unit Holders may direct the Manager to summon a meeting for any purpose including, 

without limitation, for the purpose of: 

(a) 

(b) 

(c) 

(d) 

(e) 

requiring the retirement or removal of the Manager; 

requiring the retirement or removal of the Trustee; 

considering the most recent financial statements of the Fund; 

giving to the Trustee such directions as the meeting thinks proper; or 

considering any matter in relation to the Deed. 

provided always that the Manager shall not be obliged to summon such a meeting unless 

direction has been received from not less than 50 or 1/10 of all the Unit Holders. 

Unless otherwise required or allowed by the relevant laws, the Manager shall, within 21 days of 

receiving a direction from not less than 50 or 1/10 of Unit Holders at the registered office of the 

Manager, summon a meeting of the Unit Holders by: 

(a) 

(b) 

sending by post at least 7 days before the date of the proposed meeting a notice of the 

proposed meeting to all the Unit Holders; 

publishing at least 14 days before the date of the proposed meeting an advertisement 

giving notice of the proposed meeting in a national language newspaper published daily 

and another newspaper approved by the relevant authorities; and 


chapter 


page 

49 

8.11 Unit Holders’ Meeting (cont’d) 

Meeting convened by the Unit Holders (cont’d) 

(c) 

specifying in the notice the place and time of the meeting and the terms of the resolutions 

to be proposed at the meeting. 

Meeting convened by the Manager 

The Manager may summon a meeting of Unit Holders for any purpose whatsoever by: 

(a) 

(b) 

giving at least 14 days written notice of the meeting to Unit Holders; and 

specifying in the notice the place and time of the meeting and the terms of the resolutions 

to be proposed at the meeting. 

Meeting convened by the Trustee 

Where: 

(a) 

(b) 

(c) 

the Manager is in liquidation, 

in the opinion of the Trustee, the Manager has ceased to carry on business, or 

in the opinion of the Trustee, the Manager has, to the prejudice of Unit Holders, failed to 

comply with the Deed or contravened any of the provisions of the Act, 

the Trustee shall summon a Unit Holders’ meeting by: 

(a) 

(b) 

sending by post at least 21 days before the date of the proposed meeting a notice of the 

proposed meeting to each of the Unit Holders at the Unit Holder’s last known address or, 

in the case of Jointholders, to the Jointholder whose name stands first in the records of 

the Manager at the Jointholder’s last known address; and 

publishing at least 21 days before the date of the proposed meeting an advertisement 

giving notice of the meeting in a national language newspaper published daily and 

another newspaper approved by the relevant authorities. 

The Trustee may also summon a Unit Holders’ meeting by giving at least 14 days written notice 

of the meeting to Unit Holders, specifying in the notice the place and time of the meeting and 

the terms of the resolutions to be proposed at the meeting, for any purpose including, without 

limitation, for the purpose of: 

(a) 

(b) 

(c) 

(d) 

(e) 

requiring the retirement or removal of the Manager; 

giving instructions to the Trustee or the Manager if the Trustee considers that the 

investment management policies of the Manager are not in the interests of Unit Holders; 

securing the agreement of the Unit Holders to release the Trustee from any liability; 

deciding on the next course of action after the Trustee has suspended the sale and 

redemption of Units; and 

deciding on the reasonableness of the annual Management Fee charged to the Fund. 


chapter 

9 

RELATED-PARTY TRANSACTIONS/ 

CONFLICT OF INTEREST 

page 

50 

Policies and Procedures on Dealing with Conflict of Interest 

Manager 

Save for the transactions as disclosed below, as at 12 July 2012, the Manager is not aware of any 

existing or potential related-party-transactions involving the Fund, the Manager, promoters, vendors 

and/or persons connected to them: 

Name of Party 

Name of 

involved in the 

Related 

transaction Nature of Transaction Party Relationship 

The Manager Providing internal audit, MHB The Manager is a wholly 

human resource, finance, 

owned subsidiary of MHB. 

corporate secretarial and 

legal services to the 

Manager 

The Manager Providing product MIB Both the Manager and MIB are 

development and 

wholly owned subsidiaries of 

marketing services to 

MHB. 

the Manager 

The Manager Providing information MTS Both the Manager and MTS 

technology services to 

are within the same group of 

the Manager 

companies. 

It is the Manager’s policy that all transactions with any related parties are entered 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 and dealings with the related parties are 

transacted at arm’s length basis. 

The Manager has in place policies and procedures to prevent and deal with any conflict of interest 

situations that may arise such as the regular disclosure of securities dealing by all employees, directors 

and members of the Investment Committee to the compliance unit for verification. In addition, there 

are adequate segregation of duties to ensure proper checks and balances are in place in the areas of 

fund management, sales administration and marketing. Policies and procedures are also in place to deal 

with any potential conflict of interest where members of the Investment Committee are also directors 

of other asset management companies. Where conflicts of interest arise, members of the Investment 

Committee will abstain from making a decision. 

Subject to any legal requirement, the Manager, or any related corporation of the Manager, or any 

officers or directors of any of them, may invest in the Fund. The directors of the Manager will receive no 

payments from the Fund other than distributions that they may receive as a result of investment in the 

Fund. No fees other than the ones set out in this Master Prospectus have been paid to any promoter of 

the Fund or the Manager for any purpose. 


chapter 

9 

RELATED-PARTY TRANSACTIONS/ 

CONFLICT OF INTEREST 

page 

51 

Policies and Procedures on Dealing with Conflict of Interest (cont’d) 

Manager (cont’d) 

The Manager has also internal policies which regulates its employees’ securities dealings. 

None of the Manager’s directors or substantial shareholder have any direct or indirect interest in other 

corporations carrying on a similar business as the Manager as at 12 July 2012. 

Trustee 

As the Trustee and service providers for the Fund, there may be related party transactions involving or 

in connection with the Fund in the following events: 

1) where the Fund invests in instrument(s) offered by the related party of the Trustee (i.e. placement 

of monies, structured products, etc); 

2) where the Fund is being distributed by the related party of the Trustee as IUTA; 

3) where the assets of the Fund are being custodised by the related party of the Trustee both as 

sub-custodian and/or global custodian of the Fund (Trustee’s delegate); and 

4) where the Fund obtains financing as permitted under the Guidelines, from the related party of 

the Trustee. 

The Trustee has in place policies and procedures to deal with any conflict of interest situation. The Trustee 

will not make improper use of its position as the owner of a Fund’s assets to gain, directly or indirectly, 

any advantage or cause detriment to the interests of Unit holders. Any related party transaction is to be 

made on terms which are best available to the Fund and which are not less favourable to the Fund than 

an arms-length transaction between independent parties. 

Subject to the above and any local regulations, the Trustee and/or their related group of companies 

may deal with each other, the Funds or any Unit holder or enter into any contract or transaction with 

each other, the Funds or from any such contract or transaction or act in the same and similar capacity 

in relation to any other scheme. 

Advisers 

The auditors, tax advisers, and solicitors have confirmed that they have no interest/potential interest or 

conflict of interest/potential conflict of interest with the Manager and the Fund. 


chapter 

10 TAX ADVISER’S LETTER 

page 

52 

20 th July 2012 

The Board of Directors 

Manulife Asset Management Services Berhad 

(formerly known as Manulife Unit Trusts Berhad) 

12 th Floor, Menara Manulife 

6, Jalan Gelenggang 



Dear Sirs 

MANULIFE CASH MANAGEMENT FUND – TAXATION OF THE FUND AND UNITHOLDERS 

1. This letter has been prepared for inclusion in the Prospectus in connection with the offer of units 

in Manulife Cash Management Fund (hereinafter referred to as “the Fund”). 

2. Taxation 

The following is general information based on Malaysian tax law in force at the time of lodging 

this Prospectus with the Securities Commission Malaysia and investors should be aware that 

the tax law may be changed at any time. To an extent, the application of tax law depends 

upon an investor’s individual circumstances. The information provided below does not constitute 

tax advice. The Manager therefore recommends that an investor consult his accountant or tax 

adviser on questions about his individual tax position. 

As the Fund’s Trustee is resident in Malaysia, the Fund is regarded as resident in Malaysia and is 

liable to pay Malaysian income tax (“income tax” or “tax”). The taxation of the Fund is governed 

principally by Sections 61 and 63B of the Malaysian Income Tax Act, 1967 (“MITA”). 

Unitholders are also liable to pay income tax on income distributions paid by the Fund. 

3. Taxation of the Fund 

3.1 Income Tax 

The income of the Fund in respect of dividends, interest or profits from deposits and other 

investment income (other than income which is exempt from tax) derived from or accruing 

in Malaysia is liable to income tax. The income tax rate applicable to the Fund is 25%. 

Profit from disposal of share investments, tax exempt dividends and tax exempt interest as 

listed in the Appendix attached received by the Fund are not subject to income tax. The Fund 

may be receiving income such as exit fee which will be subject to tax at the rate of 25%. 

Discount or profit received from the sale of bonds or securities issued by Pengurusan 

Danaharta Nasional Berhad or Danaharta Urus Sendirian Berhad within and outside 

Malaysia is exempt from the payment of income tax. 

The Fund may receive dividends, profits and other income from investments outside 

Malaysia. Income derived from sources outside Malaysia and received in Malaysia by a 

resident unit trust is exempt from Malaysian income tax. However, such income may be 

subject to foreign tax in the country from which the income is derived. 


chapter 


page 

53 

3. Taxation of the Fund (cont’d) 

3.1 Income Tax (cont’d) 

Income received by the Fund from Sukuk Ijarah, other than convertible loan stock, issued 

in any currency by 1Malaysia Sukuk Global Berhad and Sukuk Issue which has been issued 

by the Malaysia Global Sukuk Inc is exempt from the payment of income tax. 

Pursuant to the Income Tax (Exemption) Order 2011, the statutory income from a business 

dealing in non-ringgit sukuk by a resident person licenced under the Capital Markets and 

Services Act 2007 is exempted from tax provided the non-ringgit sukuk originates from 

Malaysia and is issued or guaranteed by the Government of Malaysia or approved by the 

Securities Commission Malaysia. 

The tax treatment of hedging instruments would depend on the particular hedging 

instruments entered into. Generally, any gain/ loss relating to the principal portion will be 

treated as capital gain/ loss. Gains/ losses relating to the income portion would normally 

be treated as revenue gains/ losses. The gain/ loss on revaluation will only be taxed or 

claimed upon realisation. Any gain/ loss on foreign exchange is treated as capital gain/ loss 

if it arises from the revaluation of the principal portion of the investment. 

expenses being manager’s remuneration, maintenance of register of Unitholders, share 

registration expenses, secretarial, audit and accounting fees, telephone charges, printing 

and stationery costs and postage, which are not allowed under the general deduction 

rules, qualify for a special deduction, subject to a minimum of 10% and a maximum of 

25% of such expenses pursuant to Section 63B of the MITA. 

The tax credit attached to taxable dividends received by the Fund i.e. tax deducted at 

source at the prevailing tax rate is available for set-off against tax payable by the Fund. 

No additional tax will be payable by the Fund on the taxable dividends received. However, 

such tax or part thereof will be refundable to the Fund if the total tax so deducted at 

source exceeds the tax liability of the Fund by virtue of deduction of allowable expenses. 

With effect from the year of assessment 2008, a single-tier company income tax system 

has replaced the imputation system. The Fund is not liable to tax on any dividends paid, 

credited or distributed to the Fund under the single tier tax system, where the company 

paying such dividend is not entitled to deduct tax under the MITA. 

3.2 Real Property Gains Tax (“RPGT”) 

gains on disposal of investments by the Fund will not be subject to income tax but where 

the investments represent shares in real property companies, such gains may be subject to 

RPGT under the RPGT Act, 1976. A real property company is a controlled company which 

owns or acquires real properties or shares in real property companies with a market value 

of not less than 75% of its total tangible assets. A controlled company is a company which 

does not have more than 50 members and is controlled by not more than 5 persons. 

effective 1 st January 2012, the RPGT (Exemption) Order 2011 imposes the following 

effective RPGT rate on chargeable gains of any person arising from the disposal of real 

property and shares in a real property company:- 


chapter 


page 

54 

3. Taxation of the Fund (cont’d) 

3.2 Real Property Gains Tax (“RPGT”) (cont’d) 

Period from acquisition date to disposal date (years) Effective RPGT rate (%) 

Within 2 10 

Between 3-5 5 

after 5 

0 (Exempt) 

4. Taxation of Unitholders 

4.1 Taxable Distribution 

Unitholders will be taxed on an amount equivalent to their share of the total taxable 

income of the Fund to the extent such income is distributed to them. Taxable distributions 

carry a tax credit in respect of the tax chargeable on that part of the Fund. Unitholders 

will be subject to tax on an amount equal to the net taxable distribution plus attributable 

underlying tax paid by the Fund. 

Income distributed to Unitholders is generally taxable as follows in Malaysia :- 

Unitholders 

Malaysian Tax Rates 

Malaysian tax residents: 

• Individual and non-corporate • Progressive tax rates ranging 

Unitholders (such as co-operatives, from 0% to 26% 

associations and societies) 

• Trust bodies • 25% 

Unitholders 


• Corporate Unitholders 

i. A company with paid up • 20% for every first 

capital in respect of ordinary 

rM500,000 of 

shares of not more than 

chargeable income 

rM2.5 million where the paid up 

capital in respect of ordinary • 25% for chargeable income 

shares of other companies 

in excess of RM500,000 

within the same group as such 

company is not more than 

rM2.5 million (at the beginning 

of the basis period for a year 

of assessment) 

ii. Companies other than those in • 25% 

(i) above 


chapter 


page 

55 

4. Taxation of Unitholders (cont’d) 

4.1 Taxable Distribution (cont’d) 

Unitholders 


non-Malaysian tax residents: 

• Individual and non-corporate • 26% 

Unitholders 

• Corporate Unitholders and • 25% 

trust bodies 

The tax credit that is attributable to the income distributed to the Unitholders will be 

available for set off against tax payable by the Unitholders. There is no withholding tax on 

taxable distributions made to non-resident Unitholders. 

4.2 Tax Exempt Distribution 

Tax exempt distributions made out of gains from realization of investments and other 

exempt income earned by the Fund will not be subject to Malaysian tax in the hands of 

Unitholders, whether individual or corporate, resident or non-resident. All Unitholders 

do not pay tax on that portion of their income distribution from the Fund’s distribution 

equalisation account. 

4.3 Distribution Voucher 

To help complete a Unitholder’s tax returns, the Manager will send the Unitholder 

a distribution voucher as and when distributions are made. This sets out the various 

components of the income distributed and the amount of attributable income tax already 

paid by the Fund. 

4.4 Sale, Transfer or Redemption of Units 

any gains realized by a Unitholder on the sale, transfer or redemption of his Units are 

generally tax-free capital gains unless the Unitholder is an insurance company, a financial 

institution or a person trading or dealing in securities. Generally, the gains realized by 

these categories of Unitholders constitute business income on which tax is chargeable. 

4.5 Reinvestment of Distribution 

Unitholders who receive their income distribution by way of investment in the form of the 

purchase of new Units will be deemed to have received their income distribution after tax 

and reinvested that amount in the Fund. 

4.6 Unit Splits 

Unit splits issued by the Fund are not taxable in the hands of the Unitholders. 

Yours faithfully 

Jaclyn Tan 

Executive Director 


chapter 


page 

56 

Appendix 

Tax Exempt Interest Income of Unit Trusts 

1. Interest or discount paid or credited to unit trusts in respect of the following will be exempt from 

tax: - 

• Securities or bonds issued or guaranteed by the Government; or 

• Debentures or Islamic Securities, other than convertible loan stock, approved by the 

Securities Commission Malaysia; or 

• Bon Simpanan Malaysia issued by the Central Bank of Malaysia. 

2. Interest derived from Malaysia and paid or credited by any bank or financial institution licensed 

under the Banking and Financial Institutions Act 1989 or the Islamic Banking Act 1983. 

3. Interest received in respect of bonds and securities issued by Pengurusan Danaharta Nasional 

Berhad within and outside Malaysia. 

4. Interest in respect of any savings certificates issued by the Government. 

5. Interest in respect of Islamic securities originating from Malaysia, other than convertible loan 

stock, issued in any currency other than Ringgit and approved by the Securities Commission 

Malaysia or Labuan Financial Services Authority. 


chapter 

11 ADDITIONAL INFORMATION 

page 

57 

11.1 Updates relating to the Fund 

The NAV per Unit of the Fund will be quoted in at least 2 major daily newspapers to enable Unit 

Holders to monitor their investments. 

Unit Holders will also be able to obtain information pertaining to the Fund from the Manager’s 

company website at www.manulife.com.my. 

The interim and annual reports of the Fund will be forwarded to Unit Holders no later than 2 

months after such periods. 

A statement of accounts will be issued to each Unit Holder on a half yearly basis. It will summarise 

all transactions effected within each Fund for the past 6 months and/or since inception as a Unit 

Holder. 

11.2 Unclaimed Moneys Policy 

In accordance to the Unclaimed Moneys Act, 1965, the Manager will declare all unclaimed 

moneys to the registrar of unclaimed moneys, accountant general’s department (“Registrar”) 

at the end of 1 year after the cheques for the payment of those moneys were issued. After the 

1 year period, the Manager will remit the unclaimed moneys to the Registrar. Following this, 

Unit Holders who wish to claim their moneys are required to forward their claims directly to 

the Registrar by completing Form UMA7 (Claim form to refund unclaimed moneys from the 

Consolidated Trust Account) together with supporting documents i.e. identity card. Form UMA7 

may be obtained from the Registrar. 

11.3 Anti-Money Laundering Policies and Procedures 

Money laundering is a process intended to conceal the benefits derived from unlawful activities 

which are related, directly or indirectly, to any serious offence so that they appear to have 

originated from a legitimate source. 

The Anti-Money Laundering and Anti-Terrorism Financing Act 2001 (AMLA) is the act that 

provides for the offence of money laundering and also the measures to be taken for the 

prevention of money laundering and terrorism financing offences. The Financial Intelligent Unit 

(FIU) of BNM has been established to carry out the functions as the competent authority under 

the AMLA. All market intermediaries under the CMSA and management companies approved by 

the Securities Commission Malaysia under the CMSA are obliged to comply with the provisions 

of the AMLA. 

Under the AMLA, any person who: 

a) engages in, or attempts to engage in; or 

b) abets the commission of, 


chapter 

11 ADDITIONAL INFORMATION 

page 

58 

11.3 Anti-Money Laundering Policies and Procedures (cont’d) 

money laundering, commits an offence and shall on conviction be liable to a fine not exceeding 

RM5,000,000 or to imprisonment for a term not exceeding 5 years or both. 

When opening new accounts and entering into a transaction with a client, the Manager identifies 

and verifies the client through documents such as identity card, passport, birth certificate, 

constituent documents or any other official documents, whether in the possession of a third 

party or otherwise. Such documents shall be filed by the Manager in accordance with relevant 

laws. Where the Manager suspects that a particular transaction may not be genuine, a report will 

be made to the FIU. 

11.4 Customer Service 

Unit Holders can seek the assistance of our unit trust consultants on Fund related issues at the 

Manager’s regional support centers during our business hours from 8.30 a.m. to 5.30 p.m. from 

Monday to Friday (Please refer to the Corporate Directory, Location of Manulife Regional Support 

Centres section for contact details). 


chapter 

12 CONSENTS 

page 

59 

The Trustee, the auditors, the tax advisers and the solicitors have given their consent to the inclusion 

of their names in the form and context in which such names appear in this Prospectus and have not 

withdrawn such consent prior to the date of issue of this Prospectus. 

The tax adviser for the Fund has given its consent to the inclusion of the tax advisers’ letter 

on taxation of the Fund and Unit Holders in the form and context in which it appears in this 

Prospectus and have not withdrawn such consent prior to the date of issue of this Prospectus. 


chapter 

13 DOCUMENTS AVAILABLE FOR INSPECTION 

page 

60 

Unit Holders may inspect without charge, at the registered office of the Manager during ordinary 

business hours, for a period of not less than 12 months from the date of this Prospectus, the following 

documents or copies thereof, where applicable: 

a) The deed and the supplementary deed(s) of the Fund (if any); 

b) The Prospectus of the Fund; 

c) The latest annual and interim reports of the Fund (if any); 

d) Each material contract or document referred to in this Prospectus (if any); 

e) All reports, letters or other documents, valuations and statements by any expert, any part of 

which is extracted or referred to in this Prospectus (if any); 

f) The audited accounts of the Manager and the Fund for the last three financial years or from the 

date of incorporation/commencement (if less than three years); 

g) Latest audited accounts of the Manager and the Fund for the current financial year (where 

applicable); 

h) Writ and relevant cause papers for all current material litigation and arbitration disclosed in this 

Prospectus (if any); and 

i) Any consent given by experts or persons named in this Prospectus as having made a statement 

that is included in this Prospectus or on which a statement made in this Prospectus is based. 


chapter 

14 APPROVALS AND CONDITIONS 

page 

61 

Not applicable. 


DIRECTORS’ DECLARATION 

page 

62 

The first Prospectus in respect of the Manulife Cash Management Fund has been reviewed and approved 

by us, the directors of Manulife Asset Management Services Berhad (formerly known as Manulife Unit 

Trusts Berhad) and we collectively and individually accept full responsibility for the accuracy of the 

information. Having made all reasonable enquiries, we confirm to the best of our knowledge and 

belief, there are no false or misleading statements, or omission of other facts which would make any 

statement in the first Prospectus false or misleading. 

Directors: 

Edward Ooi Tee Hee 

Datuk Seri Panglima Mohd Annuar bin Zaini 

Michael Floyd Dommermuth 

Dato’ Md Agil bin Mohd Natt 

David Wong Tai Wai 

Christopher Franz Bendl 

Ahmad Riza bin Basir 

Chong Soon Min 


UTAPP 

MASTER APPLICATION FORM 

In compliance with the Capital Markets and Services Act 2007, this form should not be circulated unless accompanied by the Prospectus. 

Please read and understand the Prospectus(es) and Supplementary Prospectus (if any) for the Fund(s) to be invested and the Terms and Conditions as specified 

overleaf before completing this form. Please complete in BLOCK LETTERS and tick (✓) where appropriate. 

Individual Joint Corporate 

Initial Investment 

Additional Investment 

Staff HR : 

Agent HOS : 

1. PARTICULARS OF FIRST INDIVIDUAL APPLICANT 

You must be 18 years of age and above as at the date of this application. Please attach certified true copy/verified copy of your NRIC or Passport. 

Full Name (as per NRIC / Passport) 

Title : 

Mr Ms Madam Others, please specify : 

Date of Birth : 

D 

D 

– M M – 

Y 

Y 

Y 

Y 

NRIC No. : – – 

Passport No. : 

Gender : 

Male 

Female 

Race : Malay Chinese Indian Others Religion : Muslim Non Muslim 

Marital Status : 

Single 

Married Divorced Widowed 

No. of Dependents (please indicate): 

Nationality : 

Malaysian, Bumiputera 

Malaysian, Non-Bumiputera Non-Malaysian, please specify : 

2. PARTICULARS OF JOINT APPLICANT 

Full Name (as per NRIC / Passport / Birth Certificate) 

Title : 

Mr Ms Madam Others, please specify : 

Date of Birth : 

D 

D 

– M M – 

Y 

Y 

Y 

Y 

NRIC No. : – – 

Passport / Birth Certificate No. : 

Gender : Male Female Race : Malay Chinese Indian Others 

Nationality : 

Malaysian, Bumiputera 

Malaysian, Non-Bumiputera Non-Malaysian, please specify : 

3. PARTICULARS OF CORPORATE APPLICANT 

Name of Corporate 

Company / Registration No : 

Date of Incorporation : 

D 

D 

– M M – 

Y 

Y 

Y 

Y 

Nature of Business : 

Corporate Status : Bumiputera Non-bumiputera Non-Malaysian Controlled 

Contact Person 1 : 

Designation : 

Contact Person 2 : Designation : 

4. CONTACT DETAILS 

Address : 

Postcode : Email : 

Tel No : – 

(House) – 

(Mobile) 

– 

(Office) 

ext. 

– 

(Fax) 

Employment / Business Details 

Name of Employer / Firm / Business : 

Address : 

Postcode : 

Tel : 

– 

Occupation : Source of Income : 

Employment Business Savings / Inheritance 

If own business, state percentage of shareholdings / ownership : Nature of Business : 

0812_V2 



10th Floor, Menara Manulife, 6, Jalan Gelenggang, Damansara Heights, 50490 Kuala Lumpur 

Tel: 03-2719 9228 Fax: 03-2719 9119 Email: my_utservice@manulife.com 

web: www.manulife.com.my 

PAGE: 1 


5. AUTHORITY TO OPERATE ACCOUNT 

ONLY APPLICABLE FOR JOINT APPLICATION: 

We hereby authorise Manulife Asset Management Services Berhad (MAMSB) to act on the instruction given below for redemption of units and any transactions in respect 

of the units held by us as joint applicants. If no instruction is indicated below, MAMSB must only act on instruction given by both applicants to effect any transactions. 

First applicant Both of us Either one of us 

6. INVESTMENT DETAILS 

Fund Name 

Additional 

Investment 

Amount 

RM 

Distribution Instruction 

(only applicable for initial investment) 

Reinvest 

Direct Credit 

Bank : A/C No. : 

Reinvest 

Direct Credit 


1. 

Holder No. : 

2. 

Holder No. : 

3. 

Reinvest 

Direct Credit 

Holder No. : 


Note: 

(a) Income distribution (if any) will be reinvested in further Units of the same fund if there is no instruction. 

(b) Distribution less than RM50.00 shall be automatically reinvested. 

(c) For direct credit distribution payment, a copy of Bank Statement shall be attached for verification purposes. Kindly update your bank particulars if you have made 

any changes in order to avoid unpresented payment. 

(d) Unclaimed distribution (if any) will be automatically reinvested as additional Units at the expiry of the distribution warrant based on MAMSB's NAV per Unit on the 

expiry date. 

7. PAYMENT MODE 

Cash 

Telegraphic Transfer (Swift Code: MBBEMYKL) 

Cheque / Bank Draft Bank : Cheque / Draft No. : 

Please tick the box if the payment for this investment is to be paid by any one other than the Unit Holder. 

8. UNIT TRUST LOAN FINANCING RISK DISCLOSURE STATEMENT 

Investing in a unit trust fund with borrowed money is more risky than investing with your own savings. 

You should assess if loan financing is suitable for you in light of your objectives, attitudes to risk and financial circumstances. You should be aware of the risks, which 

would include the following: 

(a) The higher the margin of financing (that is, the amount of money you borrow for every Ringgit of your own money that you put in as deposit or down payment) the 

greater the potential for losses as well as gains. 

(b) You should assess whether you have the ability to service the repayments on the proposed loan. If your loan is a variable rate loan, and if interest rates rise, your 

total repayment amount will be increased. 

(c) If unit prices fall beyond a certain level, you may be asked to provide additional acceptable collateral or pay additional amounts on top of your normal instalments. 

If you fail to comply within the time prescribed, your units may be sold to settle your loan. 

(d) Returns on unit trusts are not guaranteed and may not be earned evenly over time. This means that there may be some years where returns are high and other years 

where losses are experienced instead. Whether you eventually realise a gain or loss may be affected by the timing of the sale of your units. The value of units may 

fall just when you want your money back even though the investment may have done well in the past. 

The brief statement cannot disclose all the risks and other aspects of loan financing. You should therefore carefully study the terms and conditions before you decide 

to take the loan. If you are in doubts in respect of any of this risk disclosure statement or the terms of the loan financing, you should consult the institution offering 

the loan. 

9. DECLARATION AND SIGNATURE(S) 

(a) I/We have read and fully understood all the notes and the terms and conditions in this form, in the Master Deed, the Deed and the Supplementary Deed (if any), the 

Master Prospectus and Supplementary Prospectus (if any) for the Fund(s) to be invested in and agree to be bound by the aforementioned notes, terms and 

conditions. 

(b) I/We hereby declare that the particulars and information given in this Master Application Form are true and correct and that I/We have not withheld any material 

facts or information which may influence the acceptance of this application. 

(c) I/We agree that the Company reserves the right to reject, withdraw or terminate forthwith without notice my/our application without assigning any reasons thereto 

and under no circumstances shall the Company be liable for any loss or damage for such action. 

(d) I/We acknowledge that I/We have read the above Unit Trust Loan Financing Risk Disclosure Statement and understood its contents. 

(e) I/We am/are aware of the fees and charges that will be incurred directly or indirectly when investing in the Fund(s). 

Signature of First Applicant / 

Authorised Signatory (Corporate Applicant) 

Date: 

For Distributor Use Only 

Signature of Joint Applicant / 

Authorised Signatory (Corporate Applicant) 

Date: 

For Office Use Only 

IUTA 

Bank : 

Branch : 

Rubber Stamp : 

Date : 

HQ 

Date & Time Received : 

Input By : 

Checked By : 

Approved By : 

Transaction Date : 

Transaction No. : 

Holder No. : 

*UTC 

Name : 

Code : 

Signature : 

Date : 

* I hereby declared that I have sighted 

the original NRIC / Passport / Birth 

Certificate of Applicant(s) 

All information will be kept strictly confidential. 

Any personal information collected or held by MAMSB (whether contained in this application or otherwise obtained) is provided and may be held, used, and disclosed 

by MAMSB to individuals/organization associated with MAMSB or selected third party (within or outside of Malaysia, including industry associations/federations) for 

purpose of processing this application and providing subsequent service for this and other financial products and service, direct marketing, and data matching, and 

communicate with me for such purpose. 

You have the right to request access to and/or make any adjustment to this information by contacting our Customer Service. 

PAGE: 2 


TERMS AND CONDITIONS OF THE MANULIFE ASSET MANAGEMENT SERVICES BERHAD (MAMSB) ACCOUNT 

1. TERMS AND CONDITIONS 

(a) The applicant will be bound by these Terms and Conditions and the terms of the Prospectus(es) including any Supplementary Prospectus(es) and Deed of each 

relevant Fund(s) in respect of all transactions. 

(b) MAMSB reserves the right to vary the Terms and Conditions at any time without notifying the applicant. 

2. ELIGIBILITY 

First Individual Applicant 

(a) Applicant must be 18 years of age and above as at the date of application. 

Joint Applicant 

(a) The applicant may nominate a joint applicant in which case, a photocopy of the identification document must also be provided. A joint applicant who is 18 years 

of age and above as at the date of application is also required to sign this form. 

(b) A joint applicant who is under 18 years of age need not sign this form. Instead, a photocopy of the identity Card or Birth Certificate is required. 

(c) In the event of a death of any registered joint applicant, the survivor will be the only person recognised by MAMSB and the Trustee as having any title to or 

interest in the investment units. 

(d) Units registered in joint names with a minor can be redeemed or transferred by the parent/guardian. On or after the minor’s 18th birthday, the parent/guardian 

may request that the investment units be transferred to the minor’s name. In the event of the death of the parent/guardian, MAMSB and Trustee shall recognise 

the estate of the deceased as having any title to or interest in the investment units. 

Corporate Applicant 

(a) Corporation (e.g. Bhd., Sdn. Bhd.), sole proprietors, partnership, statutory bodies, etc. 

3. DOCUMENT(S) REQUIRED 

Applicants are required to submit the following certified true copy documents along with the Master Application Form to MAMSB: 

(a) Individual 

• NRIC or Passport 

(b) Society / Association / Cooperative / Government Body 

• Society’s Constitutions or By Laws 

• Certificate of Registration of Society 

• Committee / Board Resolution (include specimen signatures) 

(c) Sole Proprietor 

• Business Registration 

• NRIC or Passport 

(d) Partnership 

• Certificate of Registration or Partnership Agreement 

• Committee Resolution (include specimen signatures) 

(e) Malaysian Company (Berhad/Sdn Bhd) 

• Certificate of Incorporation 

• Form 24 & 29 

• Memorandum and Articles of Association or Constitution or By Laws 

• Directors’ resolution and specimen signature(s) 

• Form 13 (if any) 

MAMSB reserves the right to request for additional documents to support the application. 

4. INSTRUCTIONS/VOICE RECORDINGS 

(a) All instructions given in writing, delivered or sent by facsimile transmission by the applicant or authorised persons as named in this application shall be binding 

on the applicant. MAMSB is not obliged to verify the authenticity of any such instructions or the identity of any person giving such instructions. 

(b) MAMSB shall be entitled to use voice recording devices to record instructions communicated to it and such recording(s) will constitute evidence of the 

instructions. 

5. CONFIRMATION ADVICES/STATEMENTS 

(a) Confirmation advices, statements, cheques and other documents shall be sent at the risk of the applicant to the applicant’s last known address as notified to 

MAMSB. If the applicant fails to notify MAMSB in writing of any errors in the confirmation advice within 14 days, or in the statement within 30 days of issue, the 

applicant shall be deemed to have waived any right to raise any objection or to pursue any remedies against MAMSB or the relevant Trustee(s). 

6. STATEMENT / REPORT / NOTICES 

(a) A computer-generated Investor Statement will be issued to the Unit Holder(s) within a reasonable time as a record of each and every payment or transaction 

made. 

(b) A half-yearly Investor Statement will be issued to summarise all transactions during the said period to enable the Unit Holder(s) to keep track of his/her 

investment. 

(c) Interim and Annual Report of the Fund(s) will be sent to the Unit Holder(s) within 2 months from the end of each financial period/year. 

(d) Any form of correspondences sent after MAMSB successfully processed the investment transaction, the Applicant(s) is hereby a registered Unit Holder(s). 

(e) All correspondences from MAMSB shall be directed to the First Applicant at the registered address by normal mail only. 

7. REPRESENTATION 

(a) The applicant shall not rely on any information or representations other than those contained in the relevant Deed and Prospectus(es) including any 

Supplementary Prospectus(es). 

PAGE: 3 


TERMS AND CONDITIONS OF THE MANULIFE ASSET MANAGEMENT SERVICES BERHAD (MAMSB) ACCOUNT 

8. NOTICES 

(a) All notices and other communications to be sent by the applicant to MAMSB shall be in writing and sent to such address as may be notified by MAMSB to the 

applicant from time to time and shall take effect upon actual receipt by MAMSB and during normal working hours of MAMSB. 

(b) All written communication from MAMSB to the applicant shall be sent to the last known address as notified by the applicant. Proof of posting shall be deemed 

to be proof of receipt 3 business days after posting. 

9. SET-OFF 

(a) MAMSB is entitled to set off any claim which MAMSB or the relevant Trustee(s) may have against any of the assets, Units or cash of the applicant held by MAMSB 

or the relevant Trustee(s). 

10. MONIES 

(a) All application monies must be paid or remitted as instructed and any cheque(s) must be honoured when presented. 

(b) If an application is rejected in whole or in part, the application monies or balance thereof will be returned (without interest, or any returns in the case of Islamic 

funds) by MAMSB by cheque or, at the cost of the applicant, by telegraphic transfer, within 10 business days from the date of application. 

(c) The applicant confirms that MAMSB may issue a cheque in Ringgit Malaysia to settle any redemption or other monies (if any) payable by MAMSB. Such cheque 

shall be made payable to the Unit Holder(s) registered from time to time and sent to the last registered address of the Unit Holder(s) on MAMSB’s computer 

records unless otherwise notified in writing. 

(d) In the absence of any expressed instructions, the applicant hereby authorises MAMSB to automatically reinvest income distribution (if any) in the relevant 

Fund(s) without further reference to the applicant. 

11. REJECTION/CANCELLATION OF APPLICATION 

MAMSB reserves the right to: 

(a) Accept or reject any application in whole or in part without assigning any reason; 

(b) Request for additional documents from the applicant to support the application; 

(c) Cancel any investment units issued if the payment for the investment units cannot be matched within 3 Business Days of the receipt of the application or 

subscription instruction; 

(d) Vary these terms and conditions at any time without notifying the applicant. 

12. INDEMNITY 

(a) The applicant(s) hereby agree(s) to indemnify MAMSB and the relevant Trustee(s) and any of their authorised agents against any actions, proceedings, claims, 

losses, damages, costs and expenses which may be brought against, suffered or incurred by any or all of them arising either directly or indirectly out of or in 

connection with MAMSB accepting, relying on or failing to act on any instructions given by or on behalf of the applicant(s) unless due to the willful default or 

negligence of MAMSB. 

(b) The applicant acknowledges and accepts that MAMSB has the absolute discretion to rely on facsimile and confirmation from the applicant and undertakes to 

indemnify and hold harmless MAMSB, its employees and agents against all costs, expenses, loss of liabilities, claims and demands arising out of reliance on the 

applicant’s confirmation. 

13. LEGAL AND TAX IMPLICATIONS 

(a) The applicant shall acquaint himself with the relevant tax laws and exchange control regulations in force in the countries of his citizenship, residence or 

domicile. 

14. PAYMENT TO MUTB 

(a) The completed Master Application Form should be accompanied by payment and submitted to any MAMSB’s office, or its authorised Agents. 

(b) Investment payment should be made payable to “Manulife Asset Management Services Berhad - Sales Collection A/C” and remitted to the MAMSB’s 

account in Ringgit Malaysia. Our bank account details are as below: 

Bank 

Account No. 

Malayan Banking Berhad 5143 2933 8410 

(c) MAMSB shall not be liable to pay any interest to the Unit Holder(s) for any monies held by MAMSB for the Unit Holder(s) for any reason(s) whatsoever. 

(d) MAMSB will process all investments subject to clearance of cheques and upon receipt of the completed documents. Purchase of Units will be based on 

MAMSB’s NAV per Unit on the same Business Day if MAMSB receives the purchase request before 3:00pm. For purchase request that is received by MAMSB 

after 3:00pm, the Units will be based on MAMSB’s NAV per Unit on the next Business Day (Please refer to the Prospectus on forward pricing). Proof of payment 

is required for direct bank-in or Telegraphic Transfer. 

15. COOLING-OFF PERIOD 

(a) Please refer to the Prospectus and its supplementary (ies) (if any) for more information. 

16. MISCELLANEOUS 

(a) References to persons include corporations, references to one gender include both genders and references to the singular include the plural and vice versa. 

PAGE: 4 





Menara Manulife 

6 Jalan Gelenggang, Damansara Heights 


Tel: 03 - 2719 9228 

Fax: 03 - 2094 7654 

www.manulife.com.my

Prospectus - Manulife Insurance Berhad

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