EASTSPRING INVESTMENTS TARGET INCOME FUND 72 032778 1000 7 Breakdown of Unit Holdings by Size As at...

Eastspring Investments Berhad 200001028634 (531241-U)

Level 22, Menara Prudential, Persiaran TRX Barat55188 Tun Razak Exchange, Kuala LumpurT: (603) 2778 3888 F: (603) 2789 7220eastspring.com/my

Client ServicesT: (603) 2778 1000 [email protected]

FOR THE FINANCIAL PERIOD FROM 13 MAY 2019(LAUNCH DATE) TO 30 JUNE 2020

QUARTERLY REPORT

EASTSPRING INVESTMENTSTARGET INCOME FUND 7

Dear Valued Investor,

Greetings from Eastspring Investments Berhad!

First and foremost, we would like to take this opportunity to thank you for choosing to invest with Eastspring Investments Berhad.

We are pleased to enclose a copy of the Annual/Interim/Quarterly Fund Reports of Eastspring Investments Berhad’s fund(s) for the reporting period ended 30 June 2020.

You may also download these reports from our website at www.eastspring.com/my

Should you require any assistance, please do not hesitate to contact our Client Services at 03-2778 1000.

Yours sincerely,

Raymond Tang Chee Kin Non-Independent, Executive Director and Chief Executive Officer

TABLE OF CONTENTS

Fund Information 1

Key Performance Data 3

Manager’s Report 5

Market Review 8

Rebates and Soft Commissions 8

Condensed Statement of Comprehensive Income 10

Condensed Statement of Financial Position 11

Condensed Statement of Changes in Net Assets Attributable to Unit Holders 12

Condensed Statement of Cash Flows 13

Notes to the Condensed Financial Statements 14

Corporate Directory 24

1Client Services : 03-2778 1000

Quarterly Report

FUND INFORMATION

Name of Fund Eastspring Investments Target* Income Fund 7 (the “Fund”)

* The Fund aims (i.e.Target) to distribute income on an annual basis from coupon payments received from the bonds investments.

Fund Category/ Type

Bond (close-ended)/income

Fund Objective The Fund endeavours to provide regular income** during the tenure of the Fund.

** Income declared will be paid out by way of e-payment (i.e. telegraphic, online transfer or other forms of electronic payment) according to Unit Holders’ instructions in the account opening form.

Termination Date 20 June 2024

Duration of the Fund

Five (5) years close-ended bond fund.

Performance Benchmark

5-year Maybank fixed deposit rate as at Commencement Date.

Please note that investors may obtain information on the benchmark from the Manager upon request.

As the Fund will invest in local and foreign markets across various bonds of different ratings, the risk profile of the Fund is not the same as the risk profile of the performance benchmark.

Fund Income Distribution Policy

Subject to the availability of income, distribution of income, if any, will be on annual basis, after deduction of taxation and expenses.

Client Services : 03-2778 10002

Eastspring Investments Target Income Fund 7

Breakdown of Unit Holdings by Size

As at 30 June 2020, the size of Eastspring Investments Target Income Fund 7 stood at 131.559 million units.

Fund Size

Breakdown of Unit Holdings

FUND INFORMATION (CONTINUED)

Unit Holdings

No. of Unit

Holders %

No of Units* (‘000) %

5,000 units and below - - - -

5,001 to 10,000 units - - - -

10,001 to 50,000 units 1 1.85 20 0.02

50,001 to 500,000 units 49 90.74 6,765 5.14

500,001 units and above 4 7.41 124,773 94.84

Total 54 100.00 131,558 100.00

* excludes units held by the Manager.

Apr2020

May2020

Jun2020

Un

its

(Mill

ion

)

0

20

40

60

80

100

120

140

160


Quarterly Report

Category

Since commencement

20.6.2019 to 30.6.2020

Since commencement

20.6.2019 to 31.3.2020

Since commencement

20.6.2019 to 31.12.2019

(%) (%) (%)

Unquoted fixed income securities 94.09

97.68

96.18

Derivatives (1.68) (3.12) 2.04

Cash and other assets 7.59 5.44 1.78

Total 100.00 100.00 100.00

Net Asset Value (NAV) (RM'000)

121,706

115,939

130,851

Units In Circulation (Units '000)

131,559

131,559

131,753

Net Asset Value Per Unit (RM)

0.9251

0.8813

0.9932

Highest Net Asset Value Per Unit (RM)

0.9356

1.0125

0.9932

Lowest Net Asset Value Per Unit (RM)

0.8687

0.8813

0.9662

Total Return (%)

- Capital Growth 4.97 (11.27) 2.87

- Income Distribution - - -

Total Return (%) 4.97 (11.27) 2.87 Gross Distribution Per Unit

(RM)

-

-

- Net Distribution Per Unit

(RM)

-

-

- Management Expense

Ratio (MER) (%)

-

-

- Portfolio Turnover Ratio

(PTR) (times)

-

-

-

KEY PERFORMANCE DATAFOR THE FINANCIAL PERIOD ENDED



KEY PERFORMANCE DATA (CONTINUED)

Bases of calculation and assumptions made in calculating returns:

Percentage growth =

NAVt = NAV at the end of the period

NAV0 = NAV at the beginning of the period Performance annualised = (1 + Percentage Growth)1/n - 1

Adjusted for unit split and distribution paid out for the period

n = Number of years

Past performance is not necessarily indicative of future performance and unit prices and investment returns may go down, as well as up.

NAVt -1NAV0

Sincecommencement

20.6.2019 to30.6.2020

(%)

Average total return (7.26)

Year ended

Since commencement

20.6.2019 to30.6.2020

(%)

Annual total return (7.49)

Source: The above total return of the Fund was sourced from Lipper for Investment Management.


Quarterly Report

MANAGER’S REPORT

Fund Performance Since inception, the Fund recorded a return of -7.49%, underperforming the benchmark return of 3.18% by 10.67%.

During the period under review, the Fund registered a return of 4.97%, outperforming the benchmark return of 0.62% by 4.35%.

The Fund delivered a positive return over the quarter as it benefitted from the rebound in credit markets amid a sharp turnaround in risk sentiment. The Fund’s allocation to China real estate sector, as well as Mexico quasi-sovereigns, were key positive contributors. This helped offset negative contribution from security selection in Indonesia and Sri Lanka.

The performance is calculated on NAV-to-NAV basis with gross income or dividend reinvested. Benchmark: 5-year Maybank fixed deposit rate as at Commencement Date. Fund performance is sourced from Lipper for Investment Management, 30 June 2020 and the benchmark is obtainable from Eastspring Investments Berhad upon request. Past performance of the Fund is not necessarily indicative of its future performance.

Eastspring Investments Target Income Fund 7 Benchmark

SI %

Ch

ang

e

Eastspring Investments Target Income Fund 7 - Since Inception (SI) Return Vs Benchmark

-14%

-12%

-10%

-8%

-6%

-4%

-2%

0%

2%

4%

6%

Jun2019

Jul2019

Aug2019

Sep2019

Oct2019

Nov2019

Dec2019

Jan2020

Feb2020

Mar2020

Apr2020

May2020

Jun2020

-14%

-12%

-10%

-8%

-6%

-4%

-2%

0%

2%

4%

6%



Analysis of Fund Performance

For the financial period ended 30 June 2020:

Income Return

Capital Return*

Total Return

Total Return of Benchmark

(%) (%) (%) (%)

0.00 4.97 4.97 0.62

* Capital return components (NAV per unit to NAV per unit).

Distribution/ Unit Split

No distribution or unit split were declared for the financial period ended 30 June 2020.

Investment Strategy During the Period Under Review

As this is a close-ended bond fund, the Fund will be managed on a semi-active basis by the Fund Manager. Semi-active management of the portfolio refers to that while the Fund’s bond investments will be typically held to maturity, the Fund Manager may trade and rebalance its investments under the following scenarios:

• Increased default risk and/or from uptrend interest rate concerns;

• Hedging transactions in the event that the sale of the security at risk is not possible; and

• Reinvesting proceeds from maturing securities

MANAGER’S REPORT (CONTINUED)


Quarterly Report

Asset Allocation

Asset Allocation30-Jun

202031-Mar

2020 Changes

(%) (%) (%)

Unquoted fixed income securities 94.09 97.68 (3.59)Derivatives (1.68) (3.12) 1.44 Cash and other assets 7.59 5.44 2.15

During the period under review, as the Fund employs hedging, the negative derivative position was due to the mark to market effect of the Fund’s derivative holdings.

State of Affairs of the Fund

There have been neither significant change to the state of affairs of the Fund nor any circumstances that materially affect any interests of the unit holders during the period under review.

Cross-Trade Transaction

During the period under review, there were cross-trades executed through a dealer or a financial institution on an arm’s length and fair value basis and in the best interest of the Fund. The trades for the period from April to June 2020 will be tabled for review at the upcoming investment committee meeting.

MANAGER’S REPORT (CONTINUED)

Asset Allocation as at 30 June 2020

Cash and other assets 7.59%

Unquoted fixed income securities

94.09%Derivatives(1.68%)



MARKET REVIEW

During the quarter, global financial markets experienced a sharp turnaround in risk sentiment. While concerns over a second wave of COVID-19 outbreak persisted, investors drew comfort from the aggressive fiscal and monetary policy measures that were put in place by governments to mitigate the impact of pandemic. Positive surprises in high-frequency data, such as the purchasing managers’ indices and job data in the US, also pointed to improving growth conditions as more countries exited from lockdowns. Nevertheless, macroeconomic uncertainties remained with the simmering US-China political tensions in the background, while a resurgence in COVID-19 cases in June also cast a shadow on investor sentiment. This mixed backdrop kept a lid on US interest rates with 10-year US Treasury yields sliding just 1 bp lower to 0.66%.

In the Emerging Market (“EM”) region, while the path of recovery and COVID-19 trend diverged across countries, credit markets in the region, including Asia, benefitted from the rebound in risk sentiment and renewed investor demand for yield. As a result, EM and Asian USD credits registered strong gains on the back of the significant credit spreads tightened over the quarter. High yield bonds, especially high yield sovereigns, outperformed the investment grade sector in this environment. Within the corporate bond sector, commodity-related credits generally outperformed as they benefitted from the sharp rebound in oil prices. Corporate credits in the consumer sector also fared well over the quarter.

REBATES AND SOFT COMMISSIONS

During the period under review, the Manager and its delegates (if any) did not receive any soft commissions from stockbrokers.


Quarterly Report

EASTSPRING INVESTMENTS TARGET INCOME FUND 7 CONDENSED FINANCIAL STATEMENTS

FOR THE FINANCIAL PERIOD FROM 13 MAY 2019 (LAUNCH DATE) TO 30 JUNE 2020



CONDENSED STATEMENT OF COMPREHENSIVE INCOME FOR THE FINANCIAL PERIOD FROM 13 MAY 2019 (LAUNCH DATE)TO 30 JUNE 2020

Note

Financial period from 13.5.2019 (launch date)

to 30.6.2020

RM

INVESTMENT LOSSInterest income from deposits with licensed financial institutions 210,853Interest income from unquoted fixed income securities 8,418,286Other income 10,573Net loss on financial assets at fair value through profit or loss 4 (15,157,400)Net loss on forward foreign currency contracts (2,879,385)Net foreign currency exchange loss (118,108)

(9,515,181)

EXPENSESManagement fee 2 (195,305)Trustee fee 3 (78,122)Audit fee (10,047)Tax agent fee (5,439)Other expenses (61,392)

(350,305)

LOSS BEFORE TAXATION (9,865,486)

TAXATION -

LOSS AFTER TAXATION AND TOTAL COMPREHENSIVE LOSS (9,865,486)

Loss after taxation is made up of the following: Realised amount (940,870) Unrealised amount (8,924,616)

(9,865,486)

The accompanying notes form an integral part of the condensed financial statements.


Quarterly Report


CONDENSED STATEMENT OF FINANCIAL POSITIONAS AT 30 JUNE 2020

Note 2020

RM

ASSETSCash and cash equivalents 5 9,283,360Financial assets at fair value through profit or loss 4 114,515,498TOTAL ASSETS 123,798,858

LIABILITIESForward foreign currency contracts at fair value through profit or loss 6 2,039,425Accrued management fee 14,970Amount due to Trustee 5,988Other payables and accruals 32,154TOTAL LIABILITIES 2,092,537

NET ASSET VALUE OF THE FUND 121,706,321

EQUITYUnit holders’ capital 131,571,807Accumulated loss (9,865,486)

NET ASSET ATTRIBUTABLE TO UNIT HOLDERS 121,706,321

NUMBER OF UNITS IN CIRCULATION 7 131,558,878

NET ASSET VALUE PER UNIT (RM) 0.9251



CONDENSED STATEMENT OF CHANGES IN NET ASSETS ATTRIBUTABLE TO UNIT HOLDERS FOR THE FINANCIAL PERIOD FROM 13 MAY 2019 (LAUNCH DATE) TO 30 JUNE 2020

Unit holders’ capital

Accumulated loss Total

RM RM RM

Balance as at 13 May 2019 (launch date) - - -

Movement in unit holders’ contribution:Creation of units from applications 132,662,620 - 132,662,620Cancellation of units (1,090,813) - (1,090,813)Total comprehensive loss for the financial period - (9,865,486) (9,865,486)

Balance as at 30 June 2020 131,571,807 (9,865,486) 121,706,321



Quarterly Report


CONDENSED STATEMENT OF CASH FLOWSFOR THE FINANCIAL PERIOD FROM 13 MAY 2019 (LAUNCH DATE) TO 30 JUNE 2020

Note

Financial period from 13.5.2019

(launch date) to 30.6.2020

RM

CASH FLOWS FROM OPERATING ACTIVITIESProceeds from sale of investments 64,508,642Payments for purchase of investments (192,446,457)Interest income received 5,935,988Other income 10,573Management fee paid (180,335)Trustee fee paid (72,134)Payment for other fees and expenses (44,724)Net cash used in operating activities (122,288,447)

CASH FLOWS FROM FINANCING ACTIVITIESProceeds from units created 132,662,620Payments for cancellation of units (1,090,813)Net cash generated from financing activities 131,571,807

NET INCREASE IN CASH AND CASH EQUIVALENTS 9,283,360

CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE LAUNCH DATE -

CASH AND CASH EQUIVALENTS AT THE END OF THE FINANCIAL PERIOD 5 9,283,360



1. INFORMATION ON THE FUND

Eastspring Investments Target Income Fund 7 (the “Fund”) was constituted pursuant to the execution of a Deed dated 24 April 2019 (the “Deed”) entered into between Eastspring Investments Berhad (the “Manager”) and Deutsche Trustees Malaysia Berhad (the “Trustee”).

The Fund was launched on 13 May 2019 and will continue its operations until terminated by the Trustee or the Manager as provided under Part 12 of the Deed.

The Fund seeks to achieve its objective by investing a minimum of 70% of the Fund’s NAV in local and/or foreign debt securities. Not more than 60% of the Fund’s NAV may be invested either in non-rated debt securities and/or debt securities rated below investment grade rating by RAM, MARC or other rating agencies (i.e. lower than BBB3 rating by RAM or below investment grade rating by other rating agencies) while the remainder will be invested in investment grade bonds. Additionally, up to 30% of the Fund’s NAV may be invested in liquid assets. All investments will be subjected to the Securities Commission’s (the “SC”) Guidelines on Unlisted Capital Market Products under the Lodge and Launch Framework, the Deed and the objective of the Fund.

The main objective of the Fund is to provide regular income during the tenure of the Fund.

The Manager is a company incorporated in Malaysia and is related to Prudential Plc., a public listed company in the United Kingdom. The principal activity of the Manager is the establishment and management of unit trust funds and asset management.

NOTES TO THE CONDENSED FINANCIAL STATEMENTSFOR THE FINANCIAL PERIOD FROM 13 MAY 2019 (LAUNCH DATE) TO 30 JUNE 2020


Quarterly Report

2. MANAGEMENT FEE

In accordance with the Deed, the Manager is entitled to a management fee at a rate not exceeding 0.20% per annum of the net asset value of the Fund accrued and calculated on a daily basis.

For the financial period ended 30 June 2020, the Management fee is recognised at a rate of 0.15% per annum on the net asset value of the Fund, excluding foreign custodian charges, calculated on daily basis.

There will be no further liability to the Manager in respect of the management fee other than the amounts recognised above.

3. TRUSTEE FEE

In accordance with the Deed, the Trustee is entitled to an annual fee at a rate not exceeding 0.06% per annum of the net asset value of the Fund, subject to a minimum fee of RM15,000 per annum (excluding foreign custodian fees and charges).

For the financial period ended 30 June 2020, the Trustee fee is recognised at a rate of 0.06% per annum subject to a minimum of RM15,000 (excluding foreign custodian fees and charges), calculated and accrued on daily basis.

There will be no further liability to the Trustee in respect of the trustee fee other than the amounts recognised above.

4. FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS

2020

RM

Designated at fair value through profit or loss: Unquoted fixed income securities 114,515,498

Net loss on financial assets at fair value through profit or loss: Realised loss on disposals (8,272,209) Change in unrealised fair value loss (6,885,191)

(15,157,400)



Unquoted fixed income securities

Name of counterNominal

valueAggregate

cost

Fair value as at

30.6.2020

Percentage of net

asset value of the Fund

RM RM RM %

Bond

3.70% Taiyuan Longcheng Development Investment

Group Co., Ltd 26.6.2023 (NR) 500,000 2,133,600 2,131,909 1.754.65% Abu Dhabi National

Energy Company PJSC 3.3.2022 (AA1) 5,000,000 5,074,252 5,175,963 4.258.625% ADES International

Holding Plc 24.4.2021 (B+) 500,000 2,160,687 2,017,469 1.666.625% Alam Synergy Pte Ltd 26.6.2020 (CCC+) 500,000 1,999,350 1,000,553 0.824.00% BOS Funding Limited 18.9.2024 (BBB+) 700,000 2,969,090 2,997,983 2.467.65% Central China Real

Estate Limited 27.8.2023 (NR) 200,000 852,973 852,889 0.701.75% CNAC HK FINBRIDG 14.6.2022 (BBB) 200,000 946,696 957,706 0.793.95% Coastal Emerald

Limited 1.8.2022 (Baa2) 400,000 1,675,390 1,736,708 1.436.50% Country Garden

Holdings Company Limited 8.4.2022 (BBB-) 1,000,000 4,326,292 4,613,796 3.794.88% Comision Federal de

Electricidad 15.1.2024 (BBB) 600,000 2,624,825 2,761,739 2.272.95% DIB Sukuk Limited 16.1.2026 (A-3) 200,000 856,226 864,150 0.718.13% Easy Tactic Limited 11.7.2022 (BB-) 200,000 870,370 785,420 0.65


Quarterly Report


valueAggregate

cost

Fair value as at

30.6.2020

Percentage of net


RM RM RM %

Bond (continued)

3.94% ESIC Sukuk Limited 30.7.2024 (Baa3) 1,300,000 5,476,956 5,565,720 4.5711.75% Fantasia Holdings

Group Co Limited 17.4.2021 (B) 500,000 2,163,069 2,259,617 1.863.875% Gansu Provincial

Highway Aviation Tourism Investment Group Co Ltd 5.7.2022 (BBB) 800,000 3,375,671 3,490,496 2.874.78% GENM Capital Berhad 31.3.2022 (AAA (S)) 5,000,000 5,133,217 5,200,391 4.274.974% GLP China Holdings Limited 26.2.2024 (BBB-) 800,000 3,514,411 3,581,844 2.946.25% Greenko Mauritius 21.2.2023 (Ba1) 200,000 829,850 875,728 0.723.50% GuangXi

Communications Investment Group Co Ltd 17.9.2022 (Baa2) 400,000 1,682,167 1,735,120 1.434.30% Haiguo Xintai Capital Limited 8.10.2022 (BBB) 600,000 2,537,156 2,366,269 1.944.37% Hanhui International Limited 22.8.2022 (BBB+) 200,000 850,905 873,022 0.726.375% Indo Energy Finance II B.V. 24.1.2023 (Ba3) 228,000 923,278 946,082 0.7810.75% JGC Ventures Pte Ltd 29.6.2020 (B-) 300,000 1,409,549 528,907 0.437.125% Kondor Finance Plc 19.7.2024 (B) 500,000 2,565,789 2,505,555 2.06

Unquoted fixed income securities (continued)




valueAggregate

cost

Fair value as at

30.6.2020

Percentage of net


RM RM RM %

Bond (continued)

7.375% Kondor Finance Plc 19.7.2022 (B) 500,000 2,177,714 2,193,321 1.803.75% Mexican Petroleum 21.2.2024 (BBB) 1,000,000 4,733,280 4,472,281 3.676.95% Modernland Overseas Pte Ltd 13.4.2021 (B-) 1,000,000 4,250,761 1,477,540 1.219.75% Mongolian Mortgage

Corporation HFC LLC 29.1.2022 (B) 1,200,000 5,237,583 4,514,941 3.717.375% New Dian Group Pte Ltd 23.4.2021 (BBB-) 1,000,000 4,219,524 4,063,322 3.344.25% PT Adaro Indonesia 31.10.2022 (Ba1) 250,000 1,045,146 1,009,965 0.836.125% PT Bayan Resources TBK 24.1.2023 (Ba3) 1,400,000 5,830,132 5,765,270 4.744.75% PT Indonesia Asahan

Aluminium (Persero) 15.5.2025 (Baa2) 200,000 862,161 922,616 0.768.25% Rail Capital Markets Plc 9.7.2024 (B) 700,000 3,011,948 3,059,346 2.515.25% REC Limited

13.11.2023 (Baa3) 300,000 1,321,549 1,361,034 1.126.70% RKPF Overseas 2019 (A) Limited 30.9.2022 (BB-) 200,000 851,704 880,539 0.724.45% Saka Energi ID 5.5.2024 (BB) 400,000 1,548,639 1,576,927 1.3013.75% Scenery Journey Limited 6.11.2021 (B) 1,000,000 4,532,011 4,275,607 3.51



Quarterly Report


valueAggregate

cost

Fair value as at

30.6.2020

Percentage of net


RM RM RM %

Bond (continued)

5.25% SDG Finance I Limited 23.10.2021 (BBB-) 200,000 853,646 892,631 0.736.125% Shimao Property

Holdings Limited 21.2.2022 (BBB-) 500,000 2,195,376 2,308,786 1.903.80% Sichuan Railway Investment Group Co, Ltd

27.6.2022 (A-) 200,000 829,962 865,248 0.717.00% Sri Lankan Airlines Limited 25.6.2024 (B-) 1,200,000 4,586,905 2,780,731 2.286.85% The Democratic

Socialist Republic of Sri Lanka 14.3.2024 (B-) 500,000 2,158,915 1,531,569 1.266.25% The Democratic

Socialist Republic of Sri Lanka 4.10.2020 (B-) 600,000 2,446,291 2,479,519 2.045.125% Turkiye Cumhuriyeti Ziraat Bankasi Anonim Sirketi

3.5.2022 (B2) 200,000 792,344 846,343 0.708.125% Turkiye Vakiflar Bankasi Turk Anonim

Ortakligi 28.3.2024 (B2) 200,000 836,849 898,997 0.74






valueAggregate

cost

Fair value as at

30.6.2020

Percentage of net


RM RM RM %

Bond (continued)

4.30% Xi Yang Overseas Limited 5.6.2024 (A-) 1,000,000 4,183,949 4,401,149 3.624.00% Xi’an Municipal

Infrastructure Construction Investment Group , Corporation, Ltd 24.6.2022

(BBB) 500,000 2,067,861 2,156,005 1.778.375% Yuzhou Properties

Company Limited 30.10.2022 (B1) 200,000 853,347 879,258 0.728.65% Zhenro Properties Group Limited 3.4.2021 (B-) 500,000 2,164,830 2,234,015 1.848.30% Zhenro Properties

Group Limited 15.9.2023 (NR) 200,000 856,493 843,502 0.69

35,978,000 121,400,689 114,515,498 94.09

ACCUMULATED UNREALISED LOSS

ON FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS (6,885,191)

FAIR VALUE OF FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS 114,515,498


Quarterly Report

5. CASH AND CASH EQUIVALENTS

2020

RM

Bank balances with a licensed bank 9,283,360

The currency exposure profile of cash and cash equivalents is as follows:

2020

RM

MYR 284,517EUR 197,181USD 8,801,662

9,283,360

6. FORWARD FOREIGN CURRENCY CONTRACTS As at the date of statement of financial position, there are 9 forward foreign currency contracts outstanding. The notional principal amount of the outstanding forward foreign currency contracts amounted to RM2,039,425 (Payable). The forward foreign currency contracts entered into during the financial period were for hedging against the currency exposure arising from the investment in the foreign unquoted fixed income securities denominated in EUR and USD. As the Fund has not adopted hedge accounting during the financial period, the change in the fair value of the forward foreign currency contract is recognised immediately in the statement of comprehensive income.



7. UNITS IN CIRCULATION

Financial period from 13.5.2019

(launch date) to 30.6.2020

No. of units

At the beginning of the launch date -Creation of units arising from applications during the financial period 132,662,620Cancellation of units during the financial period (1,103,742)

At the end of the financial period 131,558,878

8. UNITS HELD BY THE MANAGER

The related party of and its relationship with the Fund are as follows:

Related party Relationship

Eastspring Investments Berhad The Manager

30.6.2020

No. of units RM

Eastspring Investments Berhad 1,000 925

The above units were transacted at the prevailing market price.

The units are held legally by the Manager and are within the prescribed limit allowed by SC’s Guidelines on Unlisted Capital Market Products under the Lodge and Launch Framework. Other than the above, there were no units held by the Directors or parties related to the Manager.


Quarterly Report

9. SIGNIFICANT EVENT DURING THE FINANCIAL PERIOD

The worsening macro-economic outlook as a result of Covid-19, both domestically and globally, has resulted in the deterioration of the Fund’s Net Asset Value/unit as of the date of this report. This is mainly due to the decrease in fair value of the Fund’s investments at fair value through profit or loss.

The Manager is monitoring the situation closely and will be actively managing the portfolio to achieve the Fund’s objective.



THE MANAGERNAME

EASTSPRING INVESTMENTS BERHAD

COMPANY NO.

200001028634 (531241-U)

REGISTERED OFFICE

Level 25, Menara Hong Leong

No. 6, Jalan Damanlela

Bukit Damansara

50490 Kuala Lumpur

BUSINESS OFFICE

Level 22, Menara Prudential

Persiaran TRX Barat

55188 Tun Razak Exchange

Kuala Lumpur

TELEPHONE NO.

603-2778 3888

FAX NO.

603-2789 7220

EMAIL

[email protected]

WEBSITE

www.eastspring.com/my

TRUSTEENAME

DEUTSCHE TRUSTEES MALAYSIA BERHAD

COMPANY NO.

763590-H

REGISTERED OFFICE & BUSINESS OFFICE

Level 20, Menara IMC

No. 8, Jalan Sultan Ismail

50250 Kuala Lumpur

TELEPHONE NO.

603-2053 7522

FAX NO.

603-2053 7526

SALE & PURCHASE OF UNITSEastspring Investments BerhadLevel 22, Menara Prudential

Persiaran TRX Barat

55188 Tun Razak Exchange

Kuala Lumpur

TELEPHONE NO.

603-2778 1000

CORPORATE DIRECTORY


Quarterly Report

BRANCHESPetaling JayaEastspring Investments Berhad

A-17-P1 & M

Block A, Jaya One

72A, Jalan Universiti

46200 Petaling Jaya, Selangor

TELEPHONE NO.

603-7948 1288

Kota KinabaluEastspring Investments Berhad

Suite E3, 9th Floor

CPS Tower, Centre Point Sabah

No. 1, Jalan Centre Point

88000 Kota Kinabalu, Sabah

TELEPHONE NO.

6088-238 613

ENQUIRIESCLIENT SERVICES

603-2778 1000

Eastspring Investments Berhad 200001028634 (531241-U)

Level 22, Menara Prudential, Persiaran TRX Barat55188 Tun Razak Exchange, Kuala LumpurT: (603) 2778 3888 F: (603) 2789 7220eastspring.com/my

Client ServicesT: (603) 2778 1000 [email protected]

FOR THE FINANCIAL PERIOD FROM 13 MAY 2019(LAUNCH DATE) TO 30 JUNE 2020

QUARTERLY REPORT

EASTSPRING INVESTMENTSTARGET INCOME FUND 7

EASTSPRING INVESTMENTS TARGET INCOME FUND 72 032778 1000 7 Breakdown of Unit Holdings by Size As at...

Documents

Transcript of EASTSPRING INVESTMENTS TARGET INCOME FUND 72 032778 1000 7 Breakdown of Unit Holdings by Size As at...