Weekly Market Update - 3 April 2017

Dated 03-04-2017


Market Outlook


Equity Market Outlook
 
  • Recent data shows that the economic outlook for the US remains solid.
 
  • We are of the view that the economy is unlikely to be derailed should the corporate tax reform is not successfully implemented.
 
  • We remain positive on the Malaysia market
    • Foreign shareholding is low and cumulative foreign inflows is still near Global Financial Crisis (GFC) level
    • Inflows should resume should risk sentiment improves as the US economy improves
 
  • The funds are positioned in some export stocks, large cap stocks that have been sold down and sectors that may benefit from government pump-priming such as consumer and construction sectors.
 
 
Fixed Income Outlook
 
  • US yields shifted lower post Federal Open Market Committee (FOMC), 10 years down 18 bps to 2.39% from a high of 2.60%.
 
  • On the local front, Malaysian Government Securities (MGS) curve remained flat week on week; flows were decent week on week despite the auctions. Local government bonds are still supported on the back of domestic demand evidenced by the healthy book to cover ratio (BTC). Demand for short tenured bonds remains lukewarm.
 
  • Primary deals Public Bank Berhad Subdebt/DIGI/UEM are issuing this week. Will position funds to buy some of the primary provided yield is enticing.
 
 
Fund

 
% Growth MYR
31/12/14 to
 31/3/17
31/12/15 to
 31/3/17
31/12/16 to
 31/3/17
 31/3/16 to 31/3/17
 31/3/14 to
31/3/17
31/3/12 to
31/3/17
31/3/07 to
31/3/17
Since
1/1/2015
Since 1/1/2016 YTD 1 Yr 3 Yrs 5 Yrs 10 Yrs
Hong Leong Growth Fund 18.63 10.08 11.27 13.82 16.66 41.31 64.86
Hong Leong Penny Stock Fund 36.28 14.71 11.21 14.71 36.57 73.26 129.25
Hong Leong Consumer Products Sector Fund 28.97 15.05 3.52 9.54 19.07 48.27 190.45
Hong Leong Dana Makmur 21.97 7.86 10.20 9.96 18.51 37.00 79.75
Hong Leong Dividend Fund 32.31 20.79 12.60 17.12 30.57 58.37 97.67
Hong Leong Asia-Pacific Infrastructure Fund 13.88 8.08 8.68 11.40 9.42 8.53 -
Hong Leong Asia-Pacific Dividend Fund 19.67 12.40 10.45 16.91 16.48 20.76 17.08
Hong Leong Hong Kong Equity Optimizer Fund 16.29 8.45 6.61 22.89 1.44 22.16 -
Hong Leong Balanced Fund 23.72 8.94 7.79 8.60 24.40 41.50 89.26
Hong Leong Dana Maa'rof 14.91 5.33 6.60 6.32 13.20 26.04 76.05
Hong Leong Strategic Fund 18.11 13.26 8.04 12.85 15.74 36.93 59.28
Hong Leong Strategic Opportunity Fund - - 8.64 11.66 - - -
Hong Leong Bond Fund 6.57 3.22 0.88 1.68 10.35 15.85 41.84
Hong Leong Wholesale Bond Fund 9.50 5.44 1.23 3.47 13.32 - -
Hong Leong Institutional Bond Fund 8.62 5.11 1.23 3.64 11.93 18.30 38.55
Hong Leong Islamic Income Management Fund 7.07 3.67 0.86 2.74 9.73 15.27 -
Hong Leong Income Management Fund 8.52 4.61 0.86 3.60 11.21 17.95 -
Hong Leong Islamic Institutional Income Management Fund II  7.77 4.24 0.79 3.26 10.18 - -
Hong Leong Money Market Fund 8.17 4.53 0.91 3.55 - - -
Source: Lipper for Investment Management, as at 31 March 2017. Past performance is not necessarily indicative of future performance. 


 
 
 
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