Income Distribution for Malaysia’s First Equity ETF
Malaysia’s first equity Exchange Traded Fund ("ETF"),1 FTSE Bursa Malaysia KLCI etf ("FBM KLCI etf") has declared an interim income distribution of 2.8 sen per unit.
For the financial year ended 31 December 2017, FBM KLCI etf paid out a total of two income distributions totaling 3.3 sen per unit. Income distribution is paid out semi-annually, if any.
FBM KLCI etf is designed to follow the performance of its benchmark index, FTSE Bursa Malaysia KLCI ("FBM KLCI"). FBM KLCI can be seen as representing the barometer of Malaysia’s top 30 largest companies in terms of market capitalisation. Investors can buy into FBM KLCI etf which is listed on Bursa Malaysia with a minimum trading size of 100 units.
For the past year from 31 December 2017, FBM KLCI etf has registered a total return of around 12.1%,2 in line with our domestic equity market rising to new heights driven primarily by global trades and government’s investment on infrastructure projects.
Commenting on the outlook of the local equity market, Goh Wee Peng, Acting Chief Executive Officer of AmInvest said, "The Malaysian market, which has been a laggard amongst its regional peers, was up 9.5% in 2017. It would stand a good chance to catch up in 2018. Hence, we have upgraded the local market outlook to positive as we foresee a surge of domestic and foreign demand, oil price recovery as well as expectations for the Ringgit to remain firm. This view has led us to favour sectors such as financials, oil and gas, consumer staples and export that would likely benefit from the robust external growth and the impending general election this year."
AmInvest is the brand for AmFunds Management Berhad, a wholly owned subsidiary under AmInvestment Bank which manages FBM KLCI etf, Malaysia’s first equity etf and also Malaysia’s first and only bond ETF, ABF Malaysia Bond Index Fund.1 Currently, AmInvest is the largest ETF provider in the country with around RM1.5 billion worth of assets under management for the two ETFs that it manages.3
For further details on FBM KLCI etf, please visit www.fbmklcietf.com.my.
AmInvest is the brand for the funds management business of AmInvestment Bank which manages both conventional and Shariah-compliant funds. It is a multiple award-winning funds management house based in Malaysia with more than 35 years of investing experience. To date, AmInvest manages unit trust funds, wholesale funds, institutional mandates, Exchange Traded Funds (ETF) and Private Retirement Scheme (PRS) funds, encompassing both conventional and Shariah-compliant funds.
1 Based on the launch dates of the list of ETFs in Malaysia. Data extracted from Lipper for Investment Management by Lipper, a Thomson Reuters company as at December 2017. Data extracted 15 January 2018.
2 Lipper Investment Management by Lipper, a Thomson Reuters company for the period 31 December 2016 to 31 December 2017, performance based on total returns. Data extracted 10 January 2018.
3 Based on the total fund value of the list of ETFs in Malaysia. Data extracted from Lipper for Investment Management by Lipper, a Thomson Reuters company as at 15 January 2018.