1
st
Half 2015
A half yearly snapshot of iFAST distribution in Asia
For professional use only
Page 2 of 40
Refer to Annex A for common abbreviations
About iFAST
<www.ifastcorp.com>
iFAST Corporation Ltd (��iFAST Corporation��) is a leading internet-based funds and investments
distribution platform headquartered in Singapore and was listed on the Singapore Exchange Mainboard
(stock code: AIY) in December 2014. iFAST Corporation provides a comprehensive range of services,
including investment administration and transactions services, research and investment trainings, IT
services and backroom functions to banks, financial advisory firms, financial institutions, multinational
companies, as well as retail and high net worth investors in Asia. The company is also present in Hong
Kong, Malaysia and China.
About iFAST Institutional Services
<insti.ifastfinancial.com>
iFAST Institutional Services provides back and front office infrastructure support for distribution of over
40,000 funds in 25 countries to financial institutions, fund of funds managers, pension fund managers,
family offices and multinational companies. Our services include fund trading and custody, collection
and payment of fund rebates, provision of fund information and materials, management of distribution
agreements. Through a single point of contact, distributors gain instant access to a large and dynamic
fund range, lower transaction costs, reduced operational risk and better commercial terms. For asset
managers, our services translate to access to new distribution channels, automated computation and
payment of rebates to distributors, minimal servicing costs and cross border distribution.
Our back office support includes IT services such as the development of online distribution channel like
Fundsupermart and award-winning integrated mobile applications.
For professional use only
Page 3 of 40
Refer to Annex A for common abbreviations
Contents
About iFAST ............................................................................................................................................................................. 1
About iFAST Institutional Services ................................................................................................................................. 2
Contents..................................................................................................................................................................................... 3
1.0 Fund Distribution Statistics ........................................................................................................................................ 5
Table A1 - Top Equity Fund Categories by AUA .................................................................................................... 5
Table A2 - Top Bond Fund Categories by AUA ...................................................................................................... 6
Table A3 - Top Selling Equity Funds .......................................................................................................................... 7
A3SG - SG Top Selling Equity Fund for 1H2015 ............................................................................................... 7
A3HK - HK Top Selling Equity Fund for 1H2015 ............................................................................................ 8
A3MY - MY Top Selling Equity Fund for 1H2015............................................................................................. 9
Table A4 - Top Selling Bond Funds ......................................................................................................................... 10
A4SG - SG Top Selling Bond Fund for 1H2015 ............................................................................................... 10
A4HK - HK Top Selling Bond Fund for 1H2015 ............................................................................................. 11
A4MY - MY Top Selling Bond Fund for 1H2015 ............................................................................................ 12
Table A5SG - iFAST Pensions Top Selling Funds ............................................................................................... 13
2.0 Mutual Funds Flow by Asset Classes ................................................................................................................... 14
Singapore .......................................................................................................................................................................... 14
Charts ASG – Net Funds Flow (total inflow less total outflow) ............................................................... 14
Our Commentary ....................................................................................................................................................... 14
Charts BSG – Mutual Funds Sales Distribution .............................................................................................. 15
Hong Kong ........................................................................................................................................................................ 16
Charts AHK – Net Funds Flow (total inflow less total outflow) .............................................................. 16
Our Commentary ....................................................................................................................................................... 16
Charts BHK – Mutual Funds Sales Distribution ............................................................................................. 17
Malaysia ............................................................................................................................................................................. 18
Charts AMY – Net Funds Flow (total inflow less total outflow) .............................................................. 18
Our Commentary ....................................................................................................................................................... 18
Charts BMY – Mutual Funds Sales Distribution ............................................................................................. 19
3.0 Equity Funds Flow ...................................................................................................................................................... 20
Singapore .......................................................................................................................................................................... 20
Charts CSG – Net Funds Flow (total inflow less total outflow)................................................................ 20
Our Commentary ....................................................................................................................................................... 20
Charts DSG – Mutual Funds Sales Distribution .............................................................................................. 21
Hong Kong ........................................................................................................................................................................ 22
Charts CHK – Net Funds Flow (total inflow less total outflow)............................................................... 22
For professional use only
Page 4 of 40
Refer to Annex A for common abbreviations
Our Commentary ....................................................................................................................................................... 22
Charts DHK – Mutual Funds Sales Distribution ............................................................................................. 23
Malaysia ............................................................................................................................................................................. 24
Charts CMY – Net Funds Flow (total inflow less total outflow) .............................................................. 24
Our Commentary ....................................................................................................................................................... 24
Charts DMY – Mutual Funds Sales Distribution ............................................................................................ 25
4.0 Bond Funds Flow ......................................................................................................................................................... 26
Singapore .......................................................................................................................................................................... 26
Charts ESG – Net Funds Flow (total inflow less total outflow) ............................................................... 26
Our Commentary ....................................................................................................................................................... 26
Charts FSG – Mutual Funds Sales Distribution .............................................................................................. 27
Hong Kong ........................................................................................................................................................................ 28
Charts EHK – Net Funds Flow (total inflow less total outflow) .............................................................. 28
Our Commentary ....................................................................................................................................................... 28
Charts FHK – Mutual Funds Sales Distribution ............................................................................................. 29
Malaysia ............................................................................................................................................................................. 30
Charts EMY – Net Funds Flow (total inflow less total outflow) .............................................................. 30
Our Commentary ....................................................................................................................................................... 30
Charts FMY – Mutual Funds Sales Distribution ............................................................................................. 31
Industry Insights ................................................................................................................................................................. 32
Launch of ETFs and Bonds on iFAST Singapore Platform ............................................................................. 32
What should you know about Mainland-HK Mutual Recognition? ............................................................ 34
Annex A – Category Description ................................................................................................................................... 38
Contact Us .............................................................................................................................................................................. 40
Disclaimer .............................................................................................................................................................................. 40
For professional use only
Page 5 of 40
Refer to Annex A for common abbreviations
1.0 Fund Distribution Statistics
Table A1 - Top Equity Fund Categories by AUA
Table A1a - Top Equity Fund Categories by AUA (iFAST Overall)
Rank
SG
HK
MY
1
Asia Equity
Asia Equity
Local Equity
2
Global Equity
Global Equity
Asia Equity
3
GEM Equity
Europe Equity
Global Equity
4
Europe Equity
US Equity
Japan Equity
5
US Equity
GEM Equity
US Equity
Table A1b - Top Equity Fund Categories by AUA (DIY Investors)
Rank
SG
HK
MY
1
Asia Equity
Asia Equity
Local Equity
2
Global Equity
Global Equity
Asia Equity
3
Europe Equity
Europe Equity
Global Equity
4
US Equity
GEM Equity
US Equity
5
Local Equity
Japan Equity
Europe Equity
Table A1c - Top Equity Fund Categories by AUA (Adviser Assisted)
Rank
SG
HK
MY
1
Asia Equity
Asia Equity
Local Equity
2
Global Equity
Global Equity
Asia Equity
3
GEM Equity
Europe Equity
Global Equity
4
Europe Equity
US Equity
Japan Equity
5
US Equity
GEM Equity
GEM Equity
Source: iFAST Compilations, data as of end 30-Jun-2015
For professional use only
Page 6 of 40
Refer to Annex A for common abbreviations
Table A2 - Top Bond Fund Categories by AUA
Table A2a - Top Bond Fund Categories by AUA (iFAST Overall)
Rank
SG
HK
MY
1
SD and MMF
Global Bonds
Local Bonds
2
High Yield Bonds
High Yield Bonds
SD and MMF
3
Global Bonds
US Bonds
Asia Bonds
4
Local Bonds
Asia Bonds
GEM Bonds
5
Asia Bonds
Local Bonds
Global Bonds
Table A2b - Top Bond Fund Categories by AUA (DIY Investors)
Rank
SG
HK
MY
1
SD and MMF
High Yield Bonds
SD and MMF
2
High Yield Bonds
Global Bonds
Local Bonds
3
Asia Bonds
Asia Bonds
Asia Bonds
4
Global Bonds
US Bonds
GEM Bonds
5
GEM Bonds
RMB Bonds
Global Bonds
Table A2c - Top Bond Fund Categories by AUA (Adviser Assisted)
Rank
SG
HK
MY
1
SD and MMF
Global Bonds
Local Bonds
2
High Yield Bonds
High Yield Bonds
SD and MMF
3
Global Bonds
US Bonds
Asia Bonds
4
Local Bonds
Asia Bonds
GEM Bonds
5
Asia Bonds
Local Bonds
Global Bonds
Source: iFAST Compilations, data as of end 30-Jun-2015
For professional use only
Page 7 of 40
Refer to Annex A for common abbreviations
Table A3 - Top Selling Equity Funds
A3SG - SG Top Selling Equity Fund for 1H2015
Table A3SGa - SG Top Selling Equity Fund for 1H2015 (iFAST Overall)
Rank
Fund Name
Region
1
Fidelity China Focus CPF ACC SGD
Asia Equity
2
First State Dividend Advantage
Asia Equity
3
Fidelity China Focus A SGD
Asia Equity
4
Allianz Eur Equity Gth Cl AT Acc H2-SGD
Europe Equity
5
Aberdeen India Opportunities
Asia Equity
6
Fidelity America CPF ACC SGD
US Equity
7
PineBridge India Equity A5 SGD
Asia Equity
8
First State Regional China Fund
Asia Equity
9
Schroder Asian Growth Fund
Asia Equity
10 Fidelity America A SGD
US Equity
Table A3SGb - SG Top Selling Equity Fund for 1H2015 (DIY Investors)
Rank
Fund Name
Region
1
Fidelity China Focus A SGD
Asia Equity
2
First State Dividend Advantage
Asia Equity
3
Aberdeen India Opportunities
Asia Equity
4
Fidelity China Focus CPF ACC SGD
Asia Equity
5
Allianz Eur Equity Gth Cl AT Acc H2-SGD
Europe Equity
6
PineBridge India Equity A5 SGD
Asia Equity
7
First State Regional China Fund
Asia Equity
8
United Global Healthcare Fund
Global Equity
9
First State Glb Resources
Global Equity
10 Fidelity America A SGD
US Equity
Table A3SGc - SG Top Selling Equity Fund for 1H2015 (Adviser Assisted)
Rank
Fund Name
Region
1
Fidelity China Focus CPF ACC SGD
Asia Equity
2
First State Dividend Advantage
Asia Equity
3
Fidelity China Focus A SGD
Asia Equity
4
Allianz Eur Equity Gth Cl AT Acc H2-SGD
Europe Equity
5
Fidelity America CPF ACC SGD
US Equity
6
Aberdeen Pacific Equity
Asia Equity
7
Schroder Asian Growth Fund
Asia Equity
8
Aberdeen Global Emerging Markets
GEM Equity
9
Fidelity America A SGD
US Equity
10 Aberdeen India Opportunities
Asia Equity
Source: iFAST Compilations, data as of end 30-Jun-2015
For professional use only
Page 8 of 40
Refer to Annex A for common abbreviations
A3HK - HK Top Selling Equity Fund for 1H2015
Table A3HKa - HK Top Selling Equity Fund for 1H2015 (iFAST Overall)
Rank
Fund Name
Region
1
Jupiter Global Fund - Jupiter European Growth (USD Hedged) L Acc
Europe Equity
2
Aberdeen Global - Japanese Smaller Companies Fund (USD-Hedged) A2 Acc
Japan Equity
3
First State Asian Equity Plus Fund (USD) I Dis
Asia Equity
4
Manulife Advanced Fund SPC - China A Segregated Portfolio (USD) AA
Asia Equity
5
Adequity Trust - Lyxor Selection China A Fund (USD)
Asia Equity
6
First State China Growth Fund (USD) I
Asia Equity
7
Fidelity Funds - China Focus Fund A-USD
Asia Equity
8
Invesco Global Health Care Fund (USD) A
Global Equity
9
Fidelity Funds - America Fund A-Acc-USD
US Equity
10 Fidelity Funds - European Growth Fund A-EUR
Europe Equity
Table A3HKb - HK Top Selling Equity Fund for 1H2015 (DIY Investors)
Rank
Fund Name
Region
1
Jupiter Global Fund - Jupiter European Growth (USD Hedged) L Acc
Europe Equity
2
Manulife Advanced Fund SPC - China A Segregated Portfolio (USD) AA
Asia Equity
3
Aberdeen Global - Japanese Smaller Companies Fund (USD-Hedged) A2 Acc
Japan Equity
4
China Southern Dragon Dynamic Fund - China New Balance Opportunity Fund
(USD) A
Asia Equity
5
Invesco Japanese Equity Core Fund (USD Hedged) A Acc
Japan Equity
6
First State Asian Equity Plus Fund (USD) I Dis
Asia Equity
7
Templeton China Opportunities Fund (USD) A (acc)
Asia Equity
8
Fidelity Funds - China Focus Fund A-USD
Asia Equity
9
Invesco Global Health Care Fund (USD) A
Global Equity
10 ChinaAMC China Opportunities Fund (USD) Acc
Asia Equity
Table A3HKc - HK Top Selling Equity Fund for 1H2015 (Adviser Assisted)
Rank
Fund Name
Region
1
First State Asian Equity Plus Fund (USD) I Dis
Asia Equity
2
Adequity Trust - Lyxor Selection China A Fund (USD)
Asia Equity
3
First State China Growth Fund (USD) I
Asia Equity
4
Aberdeen Global - Japanese Smaller Companies Fund (USD-Hedged) A2 Acc
Japan Equity
5
Jupiter Global Fund - Jupiter European Growth (USD Hedged) L Acc
Europe Equity
6
Fidelity Funds - European Growth Fund A-EUR
Europe Equity
7
Invesco Global Health Care Fund (USD) A
Global Equity
8
Fidelity Funds - Global Technology A-EUR
Global Equity
9
Fidelity Funds - China Focus Fund A-USD
Asia Equity
10 Principal GIF - Global Equity Fund - A Class Acc Unit (USD)
Global Equity
Source: iFAST Compilations, data as of end 30-Jun-2015
For professional use only
Page 9 of 40
Refer to Annex A for common abbreviations
A3MY - MY Top Selling Equity Fund for 1H2015
Table A3MYa - MY Top Selling Equity Fund for 1H2015 (iFAST Overall)
Rank
Fund Name
Region
1
CIMB-Principal Asia Pacific Dynamic Income Fund
Asia Equity
2
Kenanga Growth Fund
Local Equity
3
Eastspring Investments Dana Al-Ilham
Local Equity
4
Manulife India Equity Fund
Asia Equity
5
CIMB-Principal Greater China Equity Fund
Asia Equity
6
Eastspring Investments Small-Cap Fund
Local Equity
7
CIMB-Principal Global Titans Fund
Global Equity
8
Affin Hwang Japan Growth Fund
Japan Equity
9
RHB-OSK Big Cap China Enterprise Fund
Asia Equity
10 RHB-OSK China-India Dynamic Growth Fund
Asia Equity
Table A3MYb - MY Top Selling Equity Fund for 1H2015 (DIY Investors)
Rank
Fund Name
Region
1
Kenanga Growth Fund
Local Equity
2
CIMB-Principal Asia Pacific Dynamic Income Fund
Asia Equity
3
Manulife India Equity Fund
Asia Equity
4
CIMB-Principal Greater China Equity Fund
Asia Equity
5
Eastspring Investments Small-Cap Fund
Local Equity
6
RHB-OSK Big Cap China Enterprise Fund
Asia Equity
7
RHB-OSK China-India Dynamic Growth Fund
Asia Equity
8
Manulife China Equity Fund
Asia Equity
9
Affin Hwang Japan Growth Fund
Japan Equity
10 CIMB-Principal Global Titans Fund
Global Equity
Table A3MYc - MY Top Selling Equity Fund for 1H2015 (Adviser Assisted)
Rank
Fund Name
Region
1
CIMB-Principal Asia Pacific Dynamic Income Fund
Asia Equity
2
Eastspring Investments Dana Al-Ilham
Local Equity
3
Kenanga Growth Fund
Local Equity
4
CIMB-Principal Global Titans Fund
Global Equity
5
Kenanga Syariah Growth Fund
Local Equity
6
Affin Hwang Japan Growth Fund
Japan Equity
7
Eastspring Investments Global Leaders MY Fund
Global Equity
8
AmAsia Pacific REITs - Class B (MYR)
Asia Equity
9
Affin Hwang AIIMAN Growth Fund
Local Equity
10 Eastspring Investments Asia Pacific Ex-Japan Target Return Fund
Asia Equity
Source: iFAST Compilations, data as of end 30-Jun-2015
For professional use only
Page 10 of 40
Refer to Annex A for common abbreviations
Table A4 - Top Selling Bond Funds
A4SG - SG Top Selling Bond Fund for 1H2015
Table A4SGa - SG Top Selling Bond Fund for 1H2015 (iFAST Overall)
Rank
Fund Name
Region
1 Nikko AM Shenton ShortTerm Bond(S$)
SD and MMF
2 United SGD Fund Cl A Acc
SD and MMF
3 Cash Fund
SD and MMF
4 LionGlobal SGD Money Market
SD and MMF
5 Eastspring Investments MIP M
High Yield Bonds
6 Allianz US High Yield AM Dis H2-SGD
High Yield Bonds
7 United Asian Bond Fund Class SGD
Asia Bonds
8 LionGlobal Short Duration Bond Fund
Global Bonds
9 Deutsche Lion Bond Cl A
Global Bonds
10 Fidelity Asian HY AMDIST SGD Hedged
High Yield Bonds
Table A4SGb - SG Top Selling Bond Fund for 1H2015 (DIY Investors)
Rank
Fund Name
Region
1 Nikko AM Shenton ShortTerm Bond(S$)
SD and MMF
2 Cash Fund
SD and MMF
3 United SGD Fund Cl A Acc
SD and MMF
4 Eastspring Investments MIP M
High Yield Bonds
5 United Asian Bond Fund Class SGD
Asia Bonds
6 Fidelity Asian HY AMDIST SGD Hedged
High Yield Bonds
7 Allianz US High Yield AM Dis H2-SGD
High Yield Bonds
8 LionGlobal SGD Money Market
SD and MMF
9 LionGlobal Short Duration Bond Fund
Global Bonds
10 Allianz US High Yield AM H2-RMB
High Yield Bonds
Table A4SGc - SG Top Selling Bond Fund for 1H2015 (Adviser Assisted)
Rank
Fund Name
Region
1 United SGD Fund Cl A Acc
SD and MMF
2 Eastspring Investments MIP M
High Yield Bonds
3 Cash Fund
SD and MMF
4 Deutsche Lion Bond Cl A
Global Bonds
5 Nikko AM Shenton ShortTerm Bond(S$)
SD and MMF
6 Allianz US High Yield AM Dis H2-SGD
High Yield Bonds
7 Legg Mason WA Global Bond Trst
Global Bonds
8 United Asian Bond Fund Class SGD
Asia Bonds
9 United Emerging Markets Bond Fund
GEM Bonds
10 LionGlobal Short Duration Bond Fund
Global Bonds
Source: iFAST Compilations, data as of end 30-Jun-2015
For professional use only
Page 11 of 40
Refer to Annex A for common abbreviations
A4HK - HK Top Selling Bond Fund for 1H2015
Table A4HKa - HK Top Selling Bond Fund for 1H2015 (iFAST Overall)
Rank
Fund Name
Region
1 Neuberger Berman High Yield Bond Fund (USD) A Mdis
High Yield Bonds
2 Franklin U.S. Government Fund (USD) A (Mdis)
US Bonds
3 Principal GIF - High Yield Fund A Class Acc (USD)
High Yield Bonds
4 Jupiter Global Fund - Jupiter Dynamic Bond (USD) L Q-Inc
Global Bonds
5 Allianz US High Yield (USD) A MDis
High Yield Bonds
6 Principal GIF - Preferred Securities Fund - A Class QDis Unit (USD)
Global Bonds
7 Templeton Global Total Return Fund (USD) A (acc)
Global Bonds
8 BlackRock Global Funds - Asian Tiger Bond Fund (USD) A3 Mdis
Asia Bonds
9 Schroder ISF-Global Corporate Bond (USD) A Acc
Global Bonds
10 IP Renminbi High Yield Bond Fund (USD) 2A Acc
High Yield Bonds
Table A4HKb - HK Top Selling Bond Fund for 1H2015 (DIY Investors)
Rank
Fund Name
Region
1 Allianz US High Yield (USD) A MDis
High Yield Bonds
2 E Fund RMB Fixed Income Fund (RMB) Class A Dist
RMB Bonds
3 BlackRock Global Funds - Asian Tiger Bond Fund (USD) A3 Mdis
Asia Bonds
4 AllianceBernstein - Global High Yield Portfolio (HKD) AT
High Yield Bonds
5 Fidelity Funds - Asian High Yield Fund A-Mdist-HKD
High Yield Bonds
6 Templeton Global Total Return Fund (USD) A (acc)
Global Bonds
7 Templeton Global Total Return Fund (HKD) A(Mdis)
Global Bonds
8 Principal GIF - Preferred Securities Fund - A Class QDis Unit (USD)
Global Bonds
9 BlackRock Global Funds - Global High Yield Bond Fund (USD) A2
High Yield Bonds
10 AllianceBernstein - American Income Portfolio (USD) AT
US Bonds
Table A4HKc - HK Top Selling Bond Fund for 1H2015 (Adviser Assisted)
Rank
Fund Name
Region
1 Neuberger Berman High Yield Bond Fund (USD) A Mdis
High Yield Bonds
2 Franklin U.S. Government Fund (USD) A (Mdis)
US Bonds
3 Principal GIF - High Yield Fund A Class Acc (USD)
High Yield Bonds
4 Jupiter Global Fund - Jupiter Dynamic Bond (USD) L Q-Inc
Global Bonds
5 Principal GIF - Preferred Securities Fund - A Class QDis Unit (USD)
Global Bonds
6 Schroder ISF-Global Corporate Bond (USD) A Acc
Global Bonds
7 IP Renminbi High Yield Bond Fund (USD) 2A Acc
High Yield Bonds
8 Templeton Global Total Return Fund (USD) A (acc)
Global Bonds
9 Jupiter Global Fund - Jupiter Dynamic Bond (AUD-Hedged) L M-Inc
Global Bonds
10 Allianz US High Yield (USD) A MDis
High Yield Bonds
Source: iFAST Compilations, data as of end 30-Jun-2015
For professional use only
Page 12 of 40
Refer to Annex A for common abbreviations
A4MY - MY Top Selling Bond Fund for 1H2015
Table A4MYa - MY Top Selling Bond Fund for 1H2015 (iFAST Overall)
Rank
Fund Name
Region
1 RHB-OSK Cash Management Fund 2
SD and MMF
2 Eastspring Investments Bond Fund
Local Bonds
3 AmIncome Plus
Local Bonds
4 AMB Income Trust Fund
Local Bonds
5 RHB-OSK Money Market Fund
SD and MMF
6 RHB Asian Total Return Fund
Asia Bonds
7 Kenanga Bond Fund
Local Bonds
8 AmBon Islam
Local Bonds
9 CIMB-Principal Bond Fund
Local Bonds
10 KAF Bond Fund
Local Bonds
Table A4MYb - MY Top Selling Bond Fund for 1H2015 (DIY Investors)
Rank
Fund Name
Region
1 RHB-OSK Cash Management Fund 2
SD and MMF
2 AMB Income Trust Fund
Local Bonds
3 Eastspring Investments Bond Fund
Local Bonds
4 RHB Asian Total Return Fund
Asia Bonds
5 Kenanga Bond Fund
Local Bonds
6 CIMB-Principal Bond Fund
Local Bonds
7 RHB Islamic Bond Fund
Local Bonds
8 RHB-OSK Money Market Fund
SD and MMF
9 RHB-OSK Emerging Markets Bond Fund
GEM Bonds
10 KAF Bond Fund
Local Bonds
Table A4MYc - MY Top Selling Bond Fund for 1H2015 (Adviser Assisted)
Rank
Fund Name
Region
1 RHB-OSK Cash Management Fund 2
SD and MMF
2 Eastspring Investments Bond Fund
Local Bonds
3 AmIncome Plus
Local Bonds
4 RHB-OSK Money Market Fund
SD and MMF
5 AMB Income Trust Fund
Local Bonds
6 AmBon Islam
Local Bonds
7 RHB Asian Total Return Fund
Asia Bonds
8 Pacific Cash Fund
SD and MMF
9 KAF Bond Fund
Local Bonds
10 Affin Hwang Select Bond Fund - MYR
Asia Bonds
Source: iFAST Compilations, data as of end 30-Jun-2015
For professional use only
Page 13 of 40
Refer to Annex A for common abbreviations
Table A5SG - iFAST Pensions Top Selling Funds
Table A5SGa - SG Top Selling Funds for 1H2015 (iFAST Pensions)
Rank
Fund Name
Region
1
LionGlobal SGD Money Market
SD and MMF
2
Infinity Global Stock Index
Global Equity
3
Phillip Money Market
SD and MMF
4
Cash Fund
SD and MMF
5
LionGlobal Short Duration Bond Fund
Global Bonds
6
Vanguard U.S. 500 Stock Index Fund
US Equity
7
First State Worldwide Leaders Fund
Global Equity
8
Aberdeen Global Opportunities
Global Equity
9
Vanguard Global Stock Index Fund
Global Equity
10 FTIF-Templeton Glb Bond A(mdis) SGD-H1
Global Bonds
Source: iFAST Compilations, data as of end 30-Jun-2015
For professional use only
Page 14 of 40
Refer to Annex A for common abbreviations
2.0 Mutual Funds Flow by Asset Classes
Singapore
Charts ASG – Net Funds Flow (total inflow less total outflow)
Source: iFAST Compilations, Total inflow less total outflow
Our Commentary
The net funds flow trend in 1H15 was generally positive with the exception of January where there was
a net out flow in equity and alternative investments for both adviser assisted and DIY investors due to
profit taking activities. Net funds flow trend surged in the month of March for DIY Investors where
majority of fund flow was into equity funds.
The concern of rising interest rates has continued to dampen the flow into bond funds as we saw
consecutive months of net outflow in bond funds by adviser assisted investors as seen in Chart A3SG.
However, we observed that there was an increase in bond fund flows in Apr and May for DIY investors
but the trend was short-lived with negative outflow in bond funds in June. There was a consistent inflow
of funds into alternative investments (represented under ��Others�� in the charts above) for adviser
assisted investors.
For professional use only
Page 15 of 40
Refer to Annex A for common abbreviations
Charts BSG – Mutual Funds Sales Distribution
Source: iFAST Compilations, relative to total inflow
For professional use only
Page 16 of 40
Refer to Annex A for common abbreviations
Hong Kong
Charts AHK – Net Funds Flow (total inflow less total outflow)
Source: iFAST Compilations, Total inflow less total outflow
Our Commentary
The net funds flow trend was positive for 1H15 with investors continuing to favour equity over bond
funds for both adviser assisted and DIY investors, similar to investors in Singapore. There was a record
monthly inflow into equity funds in the month of April.
Net funds flow into Bond Funds was negative for the last three months as investors continue to be
concern about the possibility of rising interest rates. Fund flows into alternative investments and
balanced funds are generally positive for 1H15 with slight outflow in the March and April.
For professional use only
Page 17 of 40
Refer to Annex A for common abbreviations
Charts BHK – Mutual Funds Sales Distribution
Source: iFAST Compilations, relative to total inflow
For professional use only
Page 18 of 40
Refer to Annex A for common abbreviations
Malaysia
Charts AMY – Net Funds Flow (total inflow less total outflow)
Source: iFAST Compilations, Total inflow less total outflow
Our Commentary
The net funds flows in Malaysia was positive for 1H15 with record inflow in February. Similar to
Singapore and Hong Kong, investors continue to favour equity over bond funds as demonstrated by the
higher inflow into equity funds for both adviser assisted and DIY investors. Flows into bonds funds are
generally positive with the exception of January.
In terms of asset selection, Malaysia investors focuses mainly on equity and bond funds, with little
allocation to ��others�� category.
For professional use only
Page 19 of 40
Refer to Annex A for common abbreviations
Charts BMY – Mutual Funds Sales Distribution
Source: iFAST Compilations, relative to total inflow
For professional use only
Page 20 of 40
Refer to Annex A for common abbreviations
3.0 Equity Funds Flow
Singapore
Charts CSG – Net Funds Flow (total inflow less total outflow)
Source: iFAST Compilations, Total inflow less total outflow
Our Commentary
Equity funds flow for 1H15 was generally in the positive zone except for January and April where
investors exited markets due to market volatility. Similar to previous quarter, the equity fund inflow was
dominated by adviser assisted investors. We observed a spike in net outflow in Asia equities in June,
possibly due to market correction in China.
The overall equity fund sales trend has been quite consistent, with majority of flow going into Asia
equities, Developed markets and Global equities for both adviser assisted and DIY investors for the first
six months of the year. However, Global equity fund sales have been seeing a downward trend for the
past six months.
For professional use only
Page 21 of 40
Refer to Annex A for common abbreviations
Charts DSG – Mutual Funds Sales Distribution
Source: iFAST Compilations, relative to total inflow
For professional use only
Page 22 of 40
Refer to Annex A for common abbreviations
Hong Kong
Charts CHK – Net Funds Flow (total inflow less total outflow)
Source: iFAST Compilations, Total inflow less total outflow
Our Commentary
Equity net funds flows in Hong Kong are positive for 1H15 with record inflow in the month of April. The
bulk of fund flows are going into Asian equity and local equity funds. Negative fund flows were seen in
GEM, Latin America and US equity funds. The overall equity fund sales trend has been quite consistent
for both adviser assisted and DIY investors for the first six months of the year.
For professional use only
Page 23 of 40
Refer to Annex A for common abbreviations
Charts DHK – Mutual Funds Sales Distribution
Source: iFAST Compilations, relative to total inflow
For professional use only
Page 24 of 40
Refer to Annex A for common abbreviations
Malaysia
Charts CMY – Net Funds Flow (total inflow less total outflow)
Source: iFAST Compilations, Total inflow less total outflow
Our Commentary
Equity net funds flows in Malaysia have displayed a positive trend for 1H15 with record inflow in the
month of February. Malaysian investors continued to invest more in Asian equities than local equities
for the first half of the year. However, local equities continued to be a big portion of the overall portfolio
as can be seen in chart DMY, particularly by adviser assisted investors.
The overall equity fund sales trend has been quite consistent, with majority of flow going into Asia
equities, local equities and global equities for both adviser assisted and DIY investors for the first six
months of the year.
For professional use only
Page 25 of 40
Refer to Annex A for common abbreviations
Charts DMY – Mutual Funds Sales Distribution
Source: iFAST Compilations, relative to total inflow
For professional use only
Page 26 of 40
Refer to Annex A for common abbreviations
4.0 Bond Funds Flow
Singapore
Charts ESG – Net Funds Flow (total inflow less total outflow)
Source: iFAST Compilations, Total inflow less total outflow
Our Commentary
Interest in bond funds continued to be weak for 1H15. Net funds flows in Bond funds displayed a
downward trend during the first quarter but turned positive for the second quarter of the year.
Investors continued to show preference for short duration and money market, high yield and global
bond funds for 1H15 as seen by three consecutive months of net inflows into these three categories.
A number of officials from the central bank have suggested that there may be two possible interest rate
rises this year in September and December. We believe that investors are still adopting a cautious
approach in view of the expectation of rising interest rates.
For professional use only
Page 27 of 40
Refer to Annex A for common abbreviations
Charts FSG – Mutual Funds Sales Distribution
Source: iFAST Compilations, relative to total inflow
For professional use only
Page 28 of 40
Refer to Annex A for common abbreviations
Hong Kong
Charts EHK – Net Funds Flow (total inflow less total outflow)
Source: iFAST Compilations, Total inflow less total outflow
Our Commentary
Net funds flows in Bond funds have displayed a positive trend for 1H15 with record inflow in the month
of April. Unlike Singapore investors, Hong Kong investors demonstrated preference for local bond and
high yield bond funds over short duration and money market funds.
We observed an improvement in local bond fund sales for 1H15 where it contributed 51% of overall
bonds sales, with contribution coming mainly from adviser assisted investors. However, the trend is
different for DIY investors where they tend to have a preference for High Yield bond funds. High yield
bond funds attributed 42% of total bond fund sales whereas local bond funds only attributed to 16% of
total bond fund sales.
For professional use only
Page 29 of 40
Refer to Annex A for common abbreviations
Charts FHK – Mutual Funds Sales Distribution
Source: iFAST Compilations, relative to total inflow
For professional use only
Page 30 of 40
Refer to Annex A for common abbreviations
Malaysia
Charts EMY – Net Funds Flow (total inflow less total outflow)
Source: iFAST Compilations, Total inflow less total outflow
Our Commentary
Net funds flow in bond funds continued to be weak for 1H15 even though the trend was a positive one.
Majority of the overall bond funds sales were in short duration and money market bond funds, followed
by local bond funds for both adviser assisted and DIY investors. Based on the past observation, Malaysia
investors tend to place less emphasis in fixed income assets.
For professional use only
Page 31 of 40
Refer to Annex A for common abbreviations
Charts FMY – Mutual Funds Sales Distribution
Source: iFAST Compilations, relative to total inflow
For professional use only
Page 32 of 40
Refer to Annex A for common abbreviations
Industry Insights
Launch of ETFs and Bonds on iFAST Singapore Platform
SINGAPORE (
21 May 2015) - iFAST Financial Pte Ltd (��iFAST Singapore��), Singapore��s leading platform
distributor of investment products, is pleased to announce the launch of the sale of Exchange Traded
Funds (ETFs) and bonds to add to the financial products offering on our Business-to-Business (B2B) iFAST
platform. With effect from 22 May 2015, a total of 87 ETFs currently listed on the Singapore Exchange
Ltd (��SGX��) and more than 300 bonds will be made available for trading on our iFAST platform.
��The launch of ETFs and bonds is in line with iFAST Corporation Ltd (��iFAST Corp��)��s commitment
towards providing the wealth advisers and financial institutions on our B2B platform, as well as their
clients, with a comprehensive suite of financial products to better serve their investment objectives,��
says Mr Lim Wee Kiong, General Manager, Platform Services of iFAST Singapore.
��SGX welcomes iFAST Singapore��s business expansion to include distribution of ETFs and bonds. The
broadened product offering by iFAST Singapore and financial advisers will benefit the investing
community,�� adds Ms Jenny Chiam, Senior Vice President and Head of Securities at Singapore Exchange.
With the growing popularity of and increasing investments into the global ETF industry, presently
estimated to be in excess of US$2 trillion, iFAST Singapore believes that the introduction of ETFs trading
onto our iFAST platform represents a timely opportunity for the wealth advisers and financial
institutions to help investors tap into this surging trend.
Besides offering investors an easily accessible platform to buy and sell ETFs, the iFAST platform also
provides comprehensive resources to help investors understand the benefits and risks of buying ETFs,
the different types of ETFs available and their historical price performance, and how these ETFs can fit
into their existing investment portfolios. They can also make use of tools such as the Chart Center to
compare performances between ETFs or between similar ETFs and unit trusts. ��We believe this
development will not only create greater awareness but also generate broader interest in ETFs as an
important asset class in any investor��s diversified portfolio. The ease of use and wealth of information
on our platform will help to make the trading of ETFs easier and more accessible to a greater pool of
investors going forward,�� says Mr Lim Wee Kiong.
Besides ETFs, iFAST Corp has also officially launched our online bond research portal, Bondsupermart
and bonds trading on our iFAST platform, in response to the growing demand for bonds as a fixed
income asset allocation. Bondsupermart, a leading global bond information depository, will provide
investors with resources on how to invest in bonds including a growing list of more than 300 bond fact
sheets, yield and maturity information as well as investing tools such as Bond Selector to help investors
choose the right bond that meets their investment profile and financial objectives. Our bond offerings
will cover a comprehensive range of government bonds, corporate bonds, high yield bonds and quasi-
sovereign bonds from Singapore and other international markets, to suit investors with varying risk
profiles and financial objectives.
Previously the lack of easily accessible information and distribution channels for bonds have deterred
many investors from including this asset class in their portfolios but with the launch of Bondsupermart
and bonds trading via our iFAST platform, investors will welcome another user-friendly channel to buy
and sell bonds easily.
For professional use only
Page 33 of 40
Refer to Annex A for common abbreviations
��Now that iFAST Singapore has added ETFs and bonds to complement our unit trust offerings, we
believe wealth advisers and financial institutions on our iFAST platform will be better equipped to
expand their wealth management and advisory services, hence helping their clients to achieve their
portfolio diversification objectives,�� concludes Mr Lim Wee Kiong.
For more information on our iFAST Platform, please contact us at 65-6557 2000 or email us at
ifastadmin@ifastfinancial.com.
For professional use only
Page 34 of 40
Refer to Annex A for common abbreviations
What should you know about Mainland-HK Mutual Recognition?
By Calvin Cheung
On May 22, the Securities and Futures Commission (SFC) and the China Securities Regulatory
Commission (CSRC) jointly announced a Memorandum of Regulatory Cooperation on Mainland-Hong
Kong Mutual Recognition of Funds, which will allow eligible Mainland and Hong Kong funds to be
distributed in each other��s market.
Key requirements on Mutual Recognition Eligible Funds
Mainland funds entering HK retail market
HK funds entering Mainland retail market
• Domiciled on the Mainland as a retail fund
(��ļ����)
• Domiciled in HK as an authorized funds
• Established for over one year
• Established for over one year
• Fund size not less than RMB200 million
• Fund size not less than RMB 200 million
• Not primarily investing Hong Kong
• Not primarily investing in Mainland
• Distribution to HK investors doesn��t
exceed 50% of total assets
• Distribution to Mainland investors doesn��t
exceed 50% of total assets
The program had been discussed for a long while since 2013. Alexa Lam, the SFC��s deputy CEO
announced on 24 January, 2013, that the Mainland and Hong Kong were in the midst of developing a
mutual recognition platform for fund products. However, differences in industry practices and
regulatory regime in the two jurisdictions brought challenges to the program.
Finally, this long-waited program came out with a surprising timeline. The scheme is implemented on 1
July 2015 after its announcement on end May. And the first batch of MRFs is aiming to be recognized in
August.
Market statistic related to Mutual Recognised Funds (��MRFs��)
Mainland Funds
Hong Kong Funds
Total Market AUM (including locally
domiciled mutual funds only)
US$60 billion
RMB $5,241 billion
Total number of mutual funds
1,126
2,027
Total number of mutual funds eligible for
MRF
About 100
About 850
Source: PWC, information as at 31 March 2015
"The Mutual Recognition of Funds initiative is a major breakthrough in the opening up of the Mainland��s
funds market to offshore funds. It will also open up a new frontier for the Mainland and Hong Kong
asset management industries and make available a wider selection of fund products to investors in both
markets," the SFC��s Chairman, Mr Carlson Tong said.
But, the key questions of investors and IFAs are�� what products they can access via this scheme? Does
it mean there will be no quota restriction compared with QFII/RQFII? Any specific feature, opportunity
or risk they should eye on in relation to the scheme?
For professional use only
Page 35 of 40
Refer to Annex A for common abbreviations
Quick Overview on the MRF
Throughout our communications with fund managers and our initial study on the first batch of south
bound MRFs, investors and IFAs should also know that:
NUMBER of MRF?
Recogition by SFC is required
for the MRFs.
It means that not all the eligible 850
Mainland funds can be accessible to HK
investors and IFAs. It is expected that the
first batch will bring in less than 20
Mainland funds to HK investors.
WHAT PRODUCT?
Only plain-vanillia equity
funds, balanced funds, index
funds (including physical
index-tracking ETFs) are
included.
Although Yu'E bao type of MMFs catch the
eyeballs of the worlds, HK investors may
not be able to access to the MMF and other
products with special features in Mainland.
DIFFERENCES IN HK &
MAINLAND PRODUCTS?
Investors and IFAs should be
aware of the features,
management style and
product classification of the
Mainland funds.
There are lots of thematic/sectorial funds in
Mainland, which are very different to the
existing RQFII/QFII funds in HK. The MRFs
will provide a wider range to access the A-
share and onshore bond markets.
Besides, some Mainland products may be
reclassified from its original classification.
FEE?
The regulators require the
fund managers to impose
"fair" treatment for HK and
Mainland investors
Most of the funds in Mainland charges
redemption charge.
The South bound MRFs will probably charge
a flat redemption fee in HK.
QUOTA?
Fund assets must be above
RMB 200 millions. Distribution
to HK investors doesn��t exceed
50% of total assets.
The requirement on fund size and
percentage for distribution act as "quota".
If a MRF hits such requirements, the funds
will be soft-closed for subscription. Yet,
investors can still be able to redeem the
fund.
TAXATION?
The scheme is silent on the
potential PRC tax implications
on non-resident investors
deriving income from a
Mainland fund recognised by
SFC.
HK investors are facing taxation risk for the
MRF before the authorities clarify.
From the QFII/RQFII experience, the funds
will without 10% tax. From the Stock
Connect program, there is dedicated rules to
waive the Mainland tax for HK investors.
For professional use only
Page 36 of 40
Refer to Annex A for common abbreviations
• Compared with the existing RQFII and QFII funds which invest into onshore instruments, the
south bound MRFs provide more choices and themes which HK investors cannot access
previously. For example, one of the funds invested in the stocks listed in Shenzhen Exchange
which tabs on the opportunities in the ��New Economy�� stocks.
• Although the news is talking about 850 eligible Mainland Funds, the actual number of
applications should be fewer than that. Other news mentioned that 8 fund houses submitted
south bound applications for 14 funds from Mainland. However, our understanding is that there
were more applications submitted. But all funds are still subject to SFC approval.
• Majority of the first batch of MRFs will be equity funds in Mainland China, with a minority of
bond funds and balanced funds.
• Equity funds in Mainland have great flexibility for their stock position. For example, some equity
funds can hold more than 30% of their assets in cash and fixed income instruments. It is possible
that such funds need to be re-classified as mixed assets funds when they are recognized in HK.
• Similarly, balanced Funds in Mainland may not hold 50:50 allocations on equities and bonds.
These funds may be re-classified as mixed assets funds as well.
• Some bond fund in Mainland can impose significant leverage (the leverage could be over 200%).
And some bond funds in Mainland can invest into stocks and/or IPOs. It is also possible that such
bond funds may not be recognized in the first batch of MRFs.
• As such, a lot of MR Eligible funds should probably be re-classified as mixed asset funds in HK. It
is possible that the Mainland funds may change their fund names, classification, or impose new
restriction on asset allocation in the fund mandates.
• Due to management style and flexibility for its asset allocation, the funds from Mainland China
may be more volatile in general. The funds can achieve very attractive upside in favourable
market environments. However, investors may also face larger downside risks in unfavourable
market conditions. In the first half of 2015, many equity Funds, balanced Funds and bond funds
in Mainland posted over 100% performance.
• Investors should also be aware of other features of MRFs:
o The MRFs will be a new share class (H Class) of the existing Mainland funds. NAV and
performance of such H Class may be different to the existing share class due to
differences in fee.
o A flat redemption fee with be charged (ranged from 0.125% to 0.25%). The redemption
charge will become the funds�� assets.
o A maximum subscription amount may be imposed. Large subscription amounts may be
rejected by fund managers.
o There will be other scenarios to prohibit investors to transact, e.g. holiday in either
markets, the offshore distribution percentage reaches 50% of the fund��s AUM, etc.
Since Mutual Recognition brings a new set of products with new product features, investment
opportunities and risks, investors are advised to look into the product details and relevant offering
documents before making the investment decision.
For professional use only
Page 37 of 40
Refer to Annex A for common abbreviations
As a leading wealth management platform, iFAST will work closely with the fund managers in dealing
with the operations and settlement matters, as well as to assist investors and IFAs to understand the
product features once the first batch of MRFs are recognized.
For professional use only
Page 38 of 40
Refer to Annex A for common abbreviations
Annex A – Category Description
Category Description
Balanced
Funds that allocate assets into both bonds and equities.
Bonds
Asia & GEM Bonds
Asia Bonds
Such funds invest primarily in Asian debt securities. Consist of both sovereign and corporate
issues, as well as both local and hard currency issues.
GEM Bonds
Such funds invest primarily in global emerging market debt securities. Consist of both sovereign
and corporate issues, as well as both local and hard currency issues.
Global & Dev. Market Bonds
Europe Bonds
Such funds invest primarily in mainly in investment-grade issues of European issuers (includes
both sovereign and corporate) although some of the funds do have exposure to sovereign issues
as well. High yield bonds are not covered under this category.
Global Bonds
Such funds have a bias towards investment-grade issues from both sovereign and corporate
issuers. However, most of these funds operate on flexible global strategic mandates that target
to maximise returns based on the fund's reference currency.
US Bonds
Such funds invest primarily in mainly in investment-grade corporate issues of US issuers (includes
both sovereign and corporate) although some of the funds do have exposure to sovereign issues
as well. High yield bonds are not covered under this category.
High Yield Bonds
All high yield bonds funds are included in this category. While dominated by US high yield funds,
this category includes both Asian high yield and European high yield bond funds.
Local Bonds
Local refers specifically to the country in discussion. For example, a local bond for Singapore is
one that invest either in Singapore bonds or is bias towards the SGD.
SD and MMF
Bond funds that are actively managed to reduce interest rate risk. Most of these funds' mandate
does not invest in bonds with duration exceeding 5 years.
Equity
Asia
This category includes all Asian equity funds, sub-regional Asian funds (such as Greater China
equity funds) and all single Asian country funds with the exception of equity fund specific to the
local country. For example, a Singapore equity fund is excluded from this category when
compiling for Singapore but not for Hong Kong and Malaysia.
Developed Markets
Europe Equity
All European equity funds.
Japan Equity
All Japanese equity funds.
For professional use only
Page 39 of 40
Refer to Annex A for common abbreviations
US Equity
All US equity funds.
GEMs
EEMEA Equity
Emerging Europe, Middle East and Africa. This category consists of both regional equity funds, as
well as single country funds within this region. For example, Russia and Turkey equity funds fall
under this category.
GEM Equity
Specific to only global emerging market funds and does not contain any single emerging market
equity fund.
Latin America Equity
This category consists of both regional equity funds, as well as single country funds within this
region. For example, Brazil equity funds fall under this category.
Global
Specific to only global equity funds and does not contain any single country or regional equity
fund. These funds are however biased towards developed market equities.
Local
Local equity funds refer to equity funds invested their specific local market. For example, a
Malaysia equity fund is categorised as local equity when compiling Malaysia data but not so for
both Hong Kong and Singapore.
Others
All other funds that do not fall under bond funds, equity funds and balanced funds.
For professional use only
Page 40 of 40
Refer to Annex A for common abbreviations
Contact Us
Our institutional team is available to discuss your requirements for a tailored solution. For more
information or to arrange a meeting, please contact us at:
Singapore
iFAST Financial Pte Ltd
10 Collyer Quay #26-01
Ocean Financial Centre Building
Singapore 049315
Phone: 65-6557 2000
Fax: 65-6557 2601
Email Address: insti@ifastfinancial.com
Malaysia
iFAST Capital Sdn. Bhd.
Level 28, Menara Standard Chartered,
No 30 Jalan Sultan Ismail,
50250 Kuala Lumpur, Malaysia
Phone: 603-2149 0600
Fax: 603-2143 1218
Email Address: insti.my@ifastfinancial.com
Hong Kong
iFAST Platform Services (HK) Limited
Suite 4606, Two Exchange Square
8 Connaught Place
Central Hong Kong
Phone: 852-3766 4399
Fax: 852-2521 4399
Email Address: insti.hk@ifastfinancial.com
Disclaimer
This report is issued by iFAST Financial Pte Ltd ("IFPL") and iFAST Platform Services (HK) Limited (��IPS��), and has not been
reviewed by the Securities and Futures Commission of Hong Kong or other regulators. All materials and contents found
herein this article are strictly for information purposes only and should not be considered as an offer, or solicitation, to deal
in any of the funds or products found in this article. While IFPL and IPS have tried to provide accurate and timely information,
there may be inadvertent delays, omissions, technical or factual inaccuracies and typographical errors. Any opinion or
estimate contained in this article is made on a general basis and neither IFPL, IPS nor any of its servants or agents have given
any consideration to, nor have they or any of them made any investigation of the investment objective, financial situation or
particular need of any user or reader, any specific person or group of persons. You should consider carefully if the products
you are going to purchase into are suitable for your investment objective, investment experience, risk tolerance and other
personal circumstances. If you are uncertain about the suitability of the investment product, please seek advice from a
financial adviser, before making a decision to purchase the investment product. Past performance is not indicative of future
performance. The value of the unit trusts and the income from them may fall as well as rise. Opinions expressed herein are
subject to change without notice. Please read our full disclaimer in the respective websites (Singapore, Hong Kong, Malaysia).