Investment Objective

The fund aims to offer a stable stream of income that is higher than the prevailing fixed deposit rate, and at the same time stability in capital. It also allows corporations which have excess liquidity for periods exceeding a year to have some current income that is tax exempted.

Investment Strategies

The Fund intends to invest mainly in short-to-medium term fixed income securities of 1 to 3 years duration. Given the current interest rate trend, the fund should not invest in papers of a long-term duration. However, under defensive conditions, the Fund may invest in longer term papers in accordance with the interest rates and market condition.

Unique :

Offering Hong Leong "In-House" fund to public [Hong Leong Groups take up initial min. investment 100 mils]

Asset Allocation:

• Maximum of 98% and a minimum 70% of its NAV in fixed income securities.


• Minimum liquid asset ratio of not less than 2% of the NAV in liquid assets.


• Maximum of 30% of the Fund's NAV in foreign fixed income securities.

Some basic fees:

Fund Category / Type	-	Bond / Income
Service Charge	-	Nil
Exit Fee	-	Nil
Annual Management Fee	-	0.50% per annum of the Fund's NAV calculated on a daily basis
Annual Trustee Fee	-	0.07% per annum of the Fund's NAV calculated on a daily basis, subject to a minimum of RM18,000 p.a.
Investors' Profile	-	Conservative institutional investors who desire higher returns than conventional fixed deposits.   Institutional investors who wish to park excess funds in a relatively stable investment vehicle.   Institutional investors who wish to diversify their investment