PRESENTATIONS - THE CIMB WAY (GUIDE)

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(No Transcript)
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• Shariah Investing Resilience
• A Value Proposition for Thailand

IFN Roadshow 2011
Datuk Noripah Kamso Chief Executive 29 June 2011
- Thailand
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Global Industry Landscape
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Malaysia Leading in Sukuk Growth
2007
Dec 06 - Dec 07
2008
Dec 07 - Dec 08
2009
Dec 08 - Dec 09
SUKUK BY COUNTRY
SUKUK BY COUNTRY
SUKUK BY COUNTRY
Malaysia captured the biggest market share in
2008 at 39.9
Malaysia captured the biggest market share in
2008 at 66.7
Malaysia captured the biggest market share in
2008 at 46.6
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Led by Malaysia Saudi Country-Domiciled
Islamic Funds
Ireland US 0.23b 24
Bahrain US 2.15b 47
Malta - -
Dubai (UAE) US 0.58b 12
Luxembourg US 0.58b 35
Malaysia US 5.1b 184
Cayman Islands US 4.63b 63
Saudi Arabia US 22.7b 174
Mauritius US 0.12b 3
Singapore US 0.76b 13
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Source EY
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Islamic Funds Playing Catch Up

• Global mutual funds AUM reached US 22 trillion
  in 2009 and exhibited signs of recovery from the
  lows of 2008

• In contrast, the global Islamic fund management
  industry growth remained flat, with AuM of US 52
  billion

Source EY
ISLAMIC Broad Across Asset Classes
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Case for Islamic Asset Management
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Do you know that
ISLAMIC EQUITY INDICES TEND TO OUTPERFORM
CONVENTIONAL INDICES OVER LONG-TERM PERIOD?
Comparable risk-returns
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Shariah Investment Approach

• Integration Qualitative and Quantitative
  Investment Process

Qualitative
Step 1
Gambling, Financials, Pornography, Liquor, Pork
Screen out
Quantitative
Step 2
High Debt, High Receivables, Unproductive cash,
Tolerance Level
Financial Screening
Equity Investment Process
Investment Approach has merit even through a
strong bull market
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Why Invest in Shariah?
1. Exercise Prudence Elimination of investible
companies that carry unacceptable debt. 2.
Provide A Choice Ability for a wider choice. Not
exclusive for faith investing. 3. SRI Angle It
substitutes a choice, alternatives or compliments
the ethical way. 4. Value-Based Focus on social
justice but with the same Risk-Reward
potential. 5. Lowly Leveraged Assets Investing
in Assets which are established,
well-capitalized, well-managed, lowly
leveraged 6. Complement-Diversification to
Ethical Investing Combines the virtues of ethical
Investing with the advantages of non-correlation
with mainstream trends of mainstream equity
funds.
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Why Invest in Shariah?
7. Move From Free to FAIR Market The structure
mitigates the greed behavior because it practices
fair distribution of wealth that inhibits ultra
profiteering and greed. It goes back to
basic.Fundamentally based on tangible and
Asset-Backed Transaction. 8. Ethical
Investing Combines the virtues of Ethical
Investing with the advantages of non-correlation
with mainstream trends of mainstream Equity
Funds. 9. Faith Investing Besides being faith
investing, it is also SAME Returns with the
social cause.
Investing in lowly leveraged funds with low
downside risk in a downtrending market and YET
able to invest in faith
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Shariah Investing Through Bull Bear Market -
Comparable returns with Conventional
Over the longer term, Shariah is still ahead.
Not just one for the credit crisis.
Source Bloomberg Returns are for price levels
of the Dow Jones indexes only and do not include
dividend reinvestments
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Shariah Resilience Japan
Japan Earthquake Tsunami
European Sovereign Debt Crisis
Global Financial Crisis
Inflationary Fears
Dubai Credit Crisis
US Mortgage Crisis Credit Crunch
Middle East North Africa Unrest / Protest
Increasing Oil Price Inflation Fears
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Shariah Resilience Post 2011 Japan Earthquake
Global
Europe
Asia Pacific ex Japan
Japan
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No Immunity but Some Shelter Less volatility
Five years (July 2005 June 2010)
Still beating the credit crunch???

• Shariah investments avoids riskier stock
  constituents in favour of more defensive stocks
• Aversion to debt good position to avoid credit
  squeeze
• Exclude options, avoid derivatives, deny
  short-selling, ignore hedge funds

Source Bloomberg
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Your Enabler CIMB-Principal Islamic Asset
Management
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Assets Under Management

• Total combined assets under management of 245.9
  billion
• Total combined Islamic assets under management of
  2.7 billion

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As of 31 March 2011
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Investment Capabilities shared global resources

• Leverages the experience of both Principal Global
  Investors and CIMB-Principal Asset Management
  with the objective of delivering top-tier
  investment capabilities
• Offering Global and Regional Equity and Sukuk
  capabilities to meet client needs
• GIPS-compliant

Global Regional Equities
Regional Sukuk
Regional Asian Equity
Global Sukuk
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CIMB-Principal Islamic Asset Management Awards
Best Islamic Fund Manager CIMB-Principal
Islamic Asset Management
Most Outstanding Islamic Fund Manager
CIMB-Principal Islamic Asset Management
Best Asset Management House CIMB-Principal
Islamic Asset Management
Best Islamic Asset Management Company
CIMB-Principal Islamic Asset Management
Fund Recognitions
Best Asian Equity 1-Year CIMB Islamic Asia
Pacific Equity Best Malaysia 1-Year CIMB
Islamic Equity Aggressive FundBest Malaysia
5-Year CIMB Islamic Equity Fund
Islamic Balanced Fund for the Morningstar Fund
Award (Malaysia) 2009 CIMB Islamic Balanced Fund
Equity Malaysia Islamic, 3-Years CIMB Islamic
DALI Equity Growth FundEquity Malaysia
Islamic, 5-Years CIMB Islamic DALI Equity Fund
Islamic Balanced Fund for the Morningstar Fund
Award (Malaysia) 2009 CIMB Islamic Balanced Fund
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Invest beyond the shores of Thailand
Thank You
Questions?
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Contact us

• Datuk Noripah Kamso
• Chief Executive
• Phone [phone]
• E-mail noripah.kamso_at_cimb.com
• Dr Zeid Ayer
• Chief Investment Officer
• Phone [phone]
• E-Mail zeid.ayer_at_cimb.com
• Suhazi Reza Selamat
• Marketing Client Servicing
• Phone [phone]
• E-Mail suhazireza.selamat_at_cimb.com

• CIMB-Principal Islamic
• Asset Management Bhd
• Level 5, Menara Milenium
• 8, Jalan Damanlela, Bukit Damansara
• 50490 Kuala Lumpur, Malaysia
• Please visit us at
• www..cimb-principalislamic.com.my

DISCLAIMER All figures shown in this document are
in U.S. dollars unless otherwise noted. This
document is provided to you for information only
and should not be construed as an offer or a
solicitation of an offer to purchase or subscribe
or sell securities. It may not be reproduced,
distributed or published by any recipient for any
other purpose. The information contained herein
has been derived from sources believed to be
reliable and is current as at the publication
date. No representation or warranty is made nor
is there acceptance of any responsibility or
liability as to its accuracy, completeness or
correctness. Expressions of opinion contained
herein are those entirely of CIMB-Principal Asset
Management Berhad and CIMB-Principal Islamic
Asset Management Sdn Bhd only and are subject to
change without notice. Persons wishing to rely
upon this information should perform their own
independent evaluation of risks and benefits or
consult directly with the source of information
or obtain professional advice. Past performance
is not reflective of its future performance.
Issued by CIMB-Principal Asset Management Berhad,
CIMB-Principal (Singapore) Pte Ltd and
CIMB-Principal Islamic Asset Management Sdn Bhd.
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