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For more information, visit our website
at www.securitybank.com or call (02) 888 7378 email us
at [email protected]
SB FUNDS SB PESO EQUITY FUND
SECURITY BANK CORPORATION
SB Peso Equity Fund
Key Information and Investment Disclosure StatementMonth Ended
29 January 2016
FUND FACTS
Classi f ication: Peso Equity Fund Net Ass et Value Per Unit:
1.819362
Launch Date: 1 February 2010 Total Fund NAV: Php 3,998.35
million
Minimum Investment: Php 10,000 Dealing Period 9:00
am – 1:30 pm any banking dayMinimum Additional
Investment: Php 5,000 Redemption Settlement: Four (4) banking days
after the
redemption dateBloomberg Ticker: SBPSEQF PM Equity
FEES*
Trustee Fee
0.1273%
Security Bank Corporation
Custodianship
0.0023%
HSBC
External Auditor Fee
0.0001%
SGV & Co.
*As a percentage of average daily NAV for the quarter valued at
Php 3,973.26 million
INVESTMENT OBJECTIVE AND STRATEGY
SB Peso Equity Fund aims to achieve long term growth by
diversifying mainly into select equity investments listed in
the
Philippine stock exchange, and other marketable instruments. The
Fund aims to surpass its benchmark (gross of fees)
which is 90% Philippine Stock Exchange Index (price only return)
+ 10% O/N Special Savings Account (net of
withholding tax).
CLIENT SUITABILITY
A client profiling process should be performed prior to
participating in the Fund to guide the prospective investor if
the
Fund is suited to his/her investment objectives and risk
tolerance. Clients are advised to read the Declaration of
Trust/Plan Rules of the Fund, which may be obtained from the
Trustee, before deciding to invest.
SB Peso Equity Fund is suitable only for investors who:
• Have an aggressive risk tolerance.
• Seek potentially higher returns through investments on
Philippine Stock Market and who can tolerate high price
volatilities.
• Have the possibility to be exposed to capital losses
given the volatility nature of the local equities markets
• Have an investment horizon of one to three (1-3)
years.
KEY RISKS AND RISK MANAGEMENT
You should not invest in this fund if you do not understand or
are not comfortable with the accompanying risks.
Market | Price Risk – The possibility for an investor
to experience losses due to changes in market prices of equities
or
bonds.
Liquidity Risk – The possibility for an investor to
experience losses due to inability to sell or convert assets into
cash
immediately or in instances where conversion to cash is possible
but at a loss.
THE UIT FUND IS NOT A DEPOSIT AND IS NOT INSURED BY THE
PHILIPPINE DEPOSIT INSURANCE CORPORATION(PDIC).
RETURNS CANNOT BE GUARANTEED AND HISTORICAL NAVPU IS FOR
ILLUSTRATION OF NAVPUMOVEMENTS/FLUCTUATIONS ONLY.
WHEN REDEEMING, THE PROCEEDS MAY BE WORTH LESS THAN THE ORIGINAL
INVESTMENT AND ANY LOSSESWILL BE SOLELY FOR THE ACCOUNT OF THE
CLIENT.
THE TRUSTEE IS NOT LIABLE FOR ANY LOSS UNLESS UPON WILLFUL
DEFAULT, BAD FAITH OR GROSSNEGLIGENCE.
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8/19/2019 Security Bank - UITF Investment Report
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For more information, visit our website
at www.securitybank.com or call (02) 888 7378 email us
at [email protected]
SB FUNDS SB PESO EQUITY FUND
FUND PERFORMANCE AND STATISTICS AS OF 29 JANUARY 2016For
reference purposes only and not a guarantee of future returns.
OUTLOOK AND STRATEGY.
Equity markets started the year on a sour note with the PSEi
dropping 3.8% to end the month at 6,687.62. Market wasvolatile
during the first week fuelled by developments in China causing a
general risk-off sentiment. However, better-than-expected GDP
numbers, recovering oil prices and passive buying helped cushion
the outflow. The PSEi registeredslightly higher average daily
turnover of $121m (vs $108.5m in December), and foreign funds
continued to remain netsellers by $42.6m for the month. The
property sector (-13.1% MTD) was sold down as investors took
profits after itoutperformed in 2015, among the top foreign names
sold included Megaworld (MEG, -16.0% MTD) and Ayala Land (ALI,-8.9%
MTD). Consumer sector (-8.4% MTD) saw a turnaround with names like
URC recovering (+3.8% MTD) while JFC(-6.3% MTD), MAXS (-31.4% MTD)
and EMP (-18.0% MTD) all sank for the month. For Banks, foreign
investors boughtSECB (-0.1% MTD) after the M&A deal with MUFG
was disclosed and BPI (+4.5% MTD), while MBT (-11.8% MTD) was
sold off. Telcos sector (+4.2% MTD) stayed positive for the
month as investors flocked to defensive names. PLDT (TEL,+7.8% MTD)
outperformed and Globe (GLO, +0.6% MTD) stayed flat. The market
bounced convincingly from its January21 low of 6,084.28 to 6,701.36
in just a span of 7 trading days. However, given the weak global
outlook and a lot ofglobal indices in bear territory, we believe
that the index could retest the January lows. The PSEi has an
initial support at6,300 and a strong support at 6,000. Hence, we
remain defensive and will be looking to accumulate as the market
drops.If we get a clear winner for the 2016 elections and
corporates deliver sound earnings, we believe that the index can
closeabove 7,000 by yearend. GLO and URC started the 4th Quarter
earnings season registering decent topline growth butrecognizing
larger than expected expenses. Large cap names we continue to
overweight include LTG and MPI becausethe former has been
benefiting from the introduction of the tax stamp program, while
the later has a number of positivecatalysts including the possible
listing of its hospital unit and a favorable decision on Maynilad’s
arbitration case. We alsolike stocks such as CEB and DNL as both
will benefit from the 2016 elections and higher discretionary
spending due tolower oil prices. Meanwhile, we remain underweight
gaming and financials given the competitive environment.
INVESTMENT POLICY / PROSPECTIVE INVESTMENTS
The Fund may invest in exchange-listed equities and fixed income
securities, deposits in the Trustee’s bank or in otherbanks,
securities issued or guaranteed by the Philippine Government or the
BSP and tradable securities issued by anysupranational entity.
Subject to BSP guidelines and the Trustee's Trust Committee
approval, the Fund may also avail offinancial derivative
instruments solely for the purpose of hedging risk exposures, as
well as invest in other tradableinvestment outlets/categories as
may be deemed suitable for the Fund.
RELATED TRANSACTIONS
The Fund has investments with Security Bank Corporation, in the
amount of: Php 469 million in deposits. Investments inthe said
outlets were approved by the Trust Committee. Likewise, all related
party transactions are conducted on anarm’s length and best
execution basis and within established limits.
NAVPU Graph NAVPU over the past 12 months
Highest 2.744735
Lowest 1.734070
Statistics
*Volatility, Past Year 20.36 %
**Sharpe Ratio (1.71)*** Information Ratio (2.13)
*Volatility measures the degree to which the fund
fluctuates vis-à-vis itsaverage return over a period of
time.**Sharpe Ratio is used to characterize how well the
return of a Fundcompensates the investor for the level of risk
taken. The higher the number,the better.***Information Ratio
measures reward-to-risk efficiency of the portfoliorelative to the
benchmark. The higher the number, the higher the reward perunit of
risk.
Top 10 Holdings
Cumulative Performance Cebu Air Inc. 6.42%
Period 1Mo 3Mo 6Mo 1Y 3Y Ayala Land, Inc. 6.28%
Fund -8.52% -16.39% -24.15% -33.49% -4.98% Puregold Price Club
5.24%Benchmark -3.39% -5.59% -10.23% -11.65% 7.06% DNL
Industries 5.20%
LT Group, Inc. 5.12%
Portfolio Composition PLDT Co. 4.80%
Robinson's Retail 4.49%
Energy Development Corporation 4.05%
Manila Electric Co. 3.97%
SM Prime Holdings Inc. 3.96%Equities81.6%
Cash &Cash
Equivalents18.4%
28.6%
24.7%
14.0%
10.3%
3.5%
0.4%
Industrial
Services
Property
Holdings Firms
Mining and Oil
Financials
1.7000
1.9000
2.1000
2.3000
2.5000
2.7000
2.9000
3.1000
29-Jan-15 29-Apr-15 29-Jul-15 29-Oct-15 29-Jan-16
SB PesoEquity FundBenchmark
http://www.securitybank.com/http://www.securitybank.com/http://www.securitybank.com/http://www.securitybank.com/mailto:[email protected]:[email protected]:[email protected]://www.securitybank.com/
