Investment Objective

The Fund seeks to provide capital appreciation over 18 months or one and a half years investment period while providing 100% capital protection at maturity.

Investment Policies and Strategies

The Fund's structure is driven by the following factors:-

1. To take advantage of the view that selected currencies will continue to appreciate 1.5% to 10% against USD over the next 18 months.



2. To take advantage of FX volatility, the fund has incorporated a lock-in feature in the FX option to capture a 7.5% equally weighted basket if the minimum (7.5%) is recorded at any of the weekly observation points.



3. We chose the Fund's tenure to be 18 months as it improves the probability of returns amidst uncertainty of forecasting exchange rate beyond 2 years horizon.

Asset Allocation:

The Fund will mainly invest in 18 months zero-coupon Negotiable Instruments of Deposits (ZNIDs) and an option that participates in the appreciation of Singapore Dollar, Korean Won and Indian Rupee against US Dollar.

Part 1 : Capital Protected - Fixed Income
The fund manager will invest at least 90% of the Fund in ZNIDs which in 18 months time (upon maturity) will reach 100% of the initial principal. The ZNIDs will be issued by Malaysian incorporated banks and is denominated in Ringgit.

Part 2 : Lock-in Currency Option
Up to 5% of the Fund is allocated to buy a Lock-in Currency Option from an established bank. The option is linked to performance of an equally weighted basket comprising Singapore Dollar, Korean Won and Indian Rupee against US Dollar. The option will automatically lock-in 7.5% equally weighted basket appreciation if such appreciation is registered at any one of the weekly observations within 18 months.

Part 3: Cash and/or Fixed Income Instrument
Up to 5% of the Fund is allocated to invest in cash and fixed income instruments.

Some basic fees:

Fund Category / Type	-	Fixed Income (closed end) / Capital Protected
Service Charge	-	Up to 1.0% of NAV
Annual Management Fee	-	Up to 0.75% p.a. of the NAV.
Annual Trustee Fee	-	Up to 0.05% p.a. of the NAV
Investor Profile	-	For investors who seek:   are risks adverse and want to preserve their capital.   want potentially better returns than bank deposit rates over the 18 months investment period.   want to participate in the appreciation of Singapore Dollar, Korean Won and Indian Rupee against US Dollar.
Exit Penalty Fee	-	Exit charge: Early redemption is allowed at a penalty fee of up to -   1.0% - first year;   0.5% - subsequent to first year but before maturity;   0.0% - at maturity.