Franklin Select Global Multi Asset Income Fund A MDis HKD

富蘭克林智選環球多元資產入息基金 A類 MDis 港元

HK0000283306

Risk Rating: Level 3

iFund risk rating methodology is a qualitative and quantitative assessment of a single fund’s geographic and asset class focus, investment style and any potential risk factors, as measured from one (1) (lowest risk) to six (6) (highest risk). For the funds with risk rating three (3) or four (4), these are mainly aimed at providing income and capital appreciation to investors by investing primarily in balanced portfolio, including high yield bonds and global equities etc. For more details, please refer to the Due Diligence section under the Procedures page.

Non-dealing Hours

Dealing Information

Secure Transaction

Derivatives knowledge not required

HKD10,000.00Min. Subscription

0.85%

HKD10,000.00Min. Subscription

AUD / HKD / JPY / EUR / GBP / RMB / USD / NZD

HKD10,000.00Min. Subscription

HKD10,000.00

HKD10,000.00

Daily

15:30

-

*Not include dividends (If applicable)

Fund Performances (including dividend, if any)

1 mth
+0.75%
3 mth
+1.28%
6 mth
+2.91%
1 yr
+6.35%
3 yr
+10.42%
5 yr
-

Analytical Figures (3 years)

Annualized Return
+3.36%
Annualized Volatility
+5.64%
Sharpe Ratio
+0.14

Fund Information

Fund Houses
Franklin Templeton Investments (Asia) Ltd.
Launch Date
2016-07-04
Fund Manager
Team Managed
Manager Start Date
Team Managed (Start Date: 2016-07-05)
Geographical Focus
Global
Asset Class/ Sector
Balanced
Risk Rating
Risk Level 3

iFund risk rating methodology is a qualitative and quantitative assessment of a single fund’s geographic and asset class focus, investment style and any potential risk factors, as measured from one (1) (lowest risk) to six (6) (highest risk). For the funds with risk rating three (3) or four (4), these are mainly aimed at providing income and capital appreciation to investors by investing primarily in balanced portfolio, including high yield bonds and global equities etc. For more details, please refer to the Due Diligence section under the Procedures page.

Fund AUM(As of 2019-10-30)
USD 21,108,307.758
Management Fee
0.85%
Latest Dividend
HKD 0.039000 (2019-11-07)

Sector Leaders

    No Funds

Dealing Information

Secure Transaction

Derivatives knowledge not required

HKD10,000.00Min. Subscription

0.85%

HKD10,000.00Min. Subscription

AUD / HKD / JPY / EUR / GBP / RMB / USD / NZD

HKD10,000.00Min. Subscription

HKD10,000.00

HKD10,000.00

Daily

15:30

-

Dividend Records

Dividend DateDividend Records (HKD)
2019-11-070.039000
2019-10-090.039000
2019-09-080.039000
2019-08-070.039000
2019-07-080.040000
2019-06-100.038000
2019-05-080.039000
2019-04-080.039000
2019-03-070.039000
2019-02-120.039000
2019-01-080.037000
2018-12-090.038000
2018-11-070.039000
2018-10-080.040000
2018-09-090.040000
2018-08-070.041000
2018-07-090.040000
2018-06-070.041000
2018-05-080.041000
2018-04-100.041000
2018-03-070.042000
2018-02-070.043000
2018-01-080.043000
2017-12-070.043000
2017-11-070.043000
2017-10-100.043000
2017-09-070.043000
2017-08-070.043000
2017-07-090.043000
2017-06-070.043000
2017-05-090.042000
2017-04-100.042000
2017-03-070.042000
2017-02-070.042000
2017-01-090.041000
2016-12-070.041000
2016-11-070.042000
2016-10-100.043000

Investment Objective

The Fund’s investment objective is to achieve a level of total return consisting of income and capital appreciation, allowing it to support a steady level of distribution. There is no guarantee that the Fund will achieve its objective

Nature and Extent of Risks

Investment involves risks. Please refer to the offering document for details including the risk factors.
1. Asset allocation risk:
The Fund applies an actively managed asset allocation approach. A Fund could experience losses if the Manager’s judgment about markets, future volatility, interest rates, industries, sectors and regions prove to be incorrect. Legislative or regulatory developments (which may apply retrospectively) may affect the investment techniques available to the Manager. The Manager may use modeling systems to implement their investment strategies for the Fund. There is no assurance that the modeling systems are complete or accurate, or representative of future market cycles, nor will they necessarily be beneficial to the Fund even if they are accurate. They may negatively affect Fund performance for these reasons.
2. Investment funds risk:
The Fund’s performance is directly impacted by the performance of any investment funds held by it. There may be additional fees involved in such investments, including management and advisory fees and other expenses charged by the underlying investment funds. There can be no assurance that (1) the liquidity of the underlying investment funds will always be sufficient to meet redemption requests; and (2) the investment objective will be successfully achieved despite the due diligence and monitoring procedures undertaken by the Manager. These factors may have an adverse impact on the value of the Fund.
3. Debt securities risks:
The Fund may invest in debt securities which are subject to the following risks which may adversely impact the Fund:
- Sovereign debt risk: Sovereign debt securities are subject to the risk that a governmental entity may be unwilling or unable to pay interest and repay principal on its sovereign debt, or otherwise meet its obligations when due because of cash flow problems, insufficient foreign reserves, the relative size of the debt service burden to the economy as a whole, the government’s policy towards principal international lenders such as the International Monetary Fund, or other political considerations. In the event of a default on sovereign debt, the Fund may have limited legal recourse against the defaulting government entity.
− Interest rate risk: A debt security’s value will generally increase in value when interest rates fall and decrease in value when interest rates rise.
− Credit risk: Credit risk is the risk that an issuer will fail to make principal and interest payments when due. Changes in the financial condition of an issuer, changes in economic and political conditions in general or specific to an issuer (particularly a sovereign or supranational issuer), are all factors that may have an adverse impact on an issuer’s credit quality and security values
− Downgrading risk: Issuers or guarantors of debt securities may be subject to credit difficulties, leading to either the downgrading of such securities, or to the loss of some or all of the sums invested in such securities or payments due on such securities. In the event of a downgrading in the credit rating of debt securities or their issuers, the value of the affected securities or their liquidity may fall which may in turn have an adverse impact on the value of the Fund.
− Low-rated, non-investment grade or unrated securities risk: The Fund may invest in higher-yielding securities rated lower than investment grade, or unrated securities of similar credit quality, which involve greater risk of delays in interest and principal payments or a complete loss of the Fund’s investment than higher-quality debt securities. If the issuer of securities defaults, or such securities cannot be realized, or perform badly, the Fund’s Net Asset Value may be adversely impacted, and investors may suffer substantial losses.
4. Equity risk:
The Fund may invest in equity and equity related securities and its value may be affected by economic, political, market and issuer specific changes. Such changes may adversely affect securities regardless of company specific performance which may in turn adversely affect the value of the Fund.
5. Emerging markets risk:
The Fund may invest in emerging markets, which are generally smaller and less liquid, with greater exposure to economic, political, and regulatory uncertainties, than developed markets. The risks of investments in emerging markets may include: investment and repatriation restrictions; the potential for higher market volatility; shallow and substantially less liquid securities markets; international and regional political and economic developments; possible imposition of exchange controls or other local governmental laws or restrictions. Investments in emerging markets may be considered speculative, and may lead to significant losses to the Fund.
6. Eurozone risk:
Mounting sovereign debt burdens and slowing economic growth among European countries, combined with uncertainties in European financial markets, including feared or actual failures in the banking system and the possible break-up of the Eurozone and Euro currency, may adversely affect interest rates and the prices of both fixed income and equity securities across Europe and potentially other markets as well. These events may increase volatility, liquidity and currency risks associated with investments in Europe. A single or several European countries may exit the Eurozone or a sovereign within the Eurozone may default on its debts. In the event of the break-up of the Eurozone or Euro currency, the Fund may be exposed to additional operational or performance risks with adverse consequences for the value of the Fund.
7. Commodities related exposure risk:
Investing in commodities related instruments is speculative and can be extremely volatile. Market prices of commodities may fluctuate rapidly based on numerous factors, including: perceived or actual changes in supply and demand relationships; weather; agriculture; trade; political and economic events and policies; diseases; pestilence; technological developments; and monetary and other governmental policies. Certain commodities are used primarily in one industry, and fluctuations in levels of activity in one industry may have a disproportionate effect on global demand for a particular commodity. Recent growth in industrial production and gross domestic product has made some developing countries oversized users of commodities and has increased the extent to which certain commodities prices are influenced by those markets. The volatility in prices of commodities related instruments may adversely impact the Fund’s performance.
8. Real estate securities risk:
Real estate securities, including real estate investment trusts (REITs) may fluctuate in value depending on rental income received and underlying property value. The value and performance of the Fund may be adversely affected as a result.
9. Restructuring companies risk:
Investments in restructuring companies involve greater credit risks. The companies involved in reorganisation or financial restructuring tend to have a relatively weak financial position and may also be subject to the risks that the restructuring could be disruptive to the business and management structure of the companies involved, which may expose the Fund to higher investment risk and a greater risk of loss.
10. Market risk:
This is a general risk which affects all types of investment. Price trends are determined mainly by financial market trends and by the economic development of the issuers, who are themselves affected by the overall situation of the global economy and by the economic and political conditions prevailing in each country. Because the securities the Fund holds fluctuate in price, the value of your investment in the Fund will go up and down. You may not get back the amount you invested.
11. Foreign currency risk:
The Fund will typically invest to a significant degree in securities that are denominated in currencies other than the base currency of the Fund, Units may be issued in a currency different from the Base Currency of the Fund, and the Fund’s value may be adversely affected by changes in foreign exchange rates and the possibility of exchange control regulations. Changes in currency exchange rates may also adversely affect the income earned by the Fund and gains and losses realized by the Fund.
12. Currency hedged class risk:
The Manager will be employing currency hedging strategies to reduce exchange rate fluctuations between the currency of the hedged Classes and the Base Currency of the Fund. Financial derivative instruments may be used by the hedged Classes of the Fund as part of such hedging strategy and the Fund may therefore be subject to the risks relating to such instruments. Factors that could adversely impact the ability of the Manager to achieve the hedging objective include transaction costs associated with implementing the hedging strategies and differences in notional amounts employed and the actual value of the position in the Fund being hedged. The precise hedging strategy may vary, and there is no guarantee that the hedging will be effective and investors of such hedged Classes may still be subject to the currency exchange risk on an unhedged basis. If the counterparties of the instruments default, investors in the hedged Classes may be exposed to currency risk on an unhedged basis and may therefore suffer further losses. In addition, the cost of hedging transactions will be borne by the hedged Classes. Hedged Classes will hedge the Base Currency of the Fund back to the Class Currency, on a best efforts basis, with an objective to align the performance of the hedged Classes to that of the equivalent Class denominated in the Base Currency of the Fund. This strategy may limit Unitholders of the relevant hedged Class from benefiting from any potential gain resulting from the appreciation of the Base Currency against the Class Currency.
13. Renminbi currency risks:
The RMB exchange rate is not pegged to the US dollar. RMB has now moved to a managed floating exchange rate based on market supply and demand with reference to a basket of foreign currencies. RMB exchange
rate is also subject to exchange control policies. The exchange rate between RMB and other currencies may be susceptible to movements based on external factors and as a result investments in Classes denominated in RMB may be adversely affected by the fluctuations in the exchange rate between RMB and other foreign currencies even though underlying investments increase in value. RMB is currently not a freely convertible currency. The supply of RMB and the conversion of foreign currency into RMB are subject to foreign exchange control policies of and restrictions imposed by the Mainland authorities, and as such currency conversion is subject to the availability of RMB at the relevant time. There is a risk that payment of redemption monies and/or dividends in RMB may be delayed when there is not sufficient amount of RMB for currency conversion for settlement of the redemption monies and distributions in a timely manner. In any event, redemption monies will be paid within one calendar month upon receipt of all properly completed documentation. The RMB Class available in the Fund is valued with reference to offshore RMB (CNH) rather than onshore (CNY). RMB convertibility from CNH to CNY is a managed currency process. While CNH and CNY represent the same currency, they are traded in different and separate markets which operate independently. CNH does not necessarily have the same exchange rate, may have wider bid-offer
spreads, and may not move in the same direction as compared to CNY due to a number of factors including, without limitation, foreign exchange control policies and repatriation restrictions. The fluctuation in the CNH/CNY exchange rate may impact the value of the RMB class. There can be no assurance that RMB will not be subject to devaluation, which may adversely affect the value of investors’ investments in the RMB Class. Investors of the RMB Class may have to convert HK dollar or other currency(ies) into RMB when investing in Classes denominated in RMB and subsequently convert the RMB redemption proceeds and/or dividend payment (if any) back to HK dollar or such other currency(ies). Investors will incur currency conversion costs and you may suffer losses depending on the exchange rate movements of RMB relative to HK dollar or such other currency(ies).
14. Derivative risk:
The Fund may have exposure to derivatives for investment or hedging purposes, which may expose the Fund to higher counterparty, liquidity and market risks. There is no guarantee that the Fund’s use of derivatives for hedging or investment purposes will be effective Derivatives are subject to transaction costs and typically involve making a small investment relative to the market exposure assumed, creating a leverage effect that may result in higher volatility or, in adverse market conditions, a significant loss in the Fund’s assets within a short period of time.
15. Counterparty risk:
When over-the-counter (OTC) or other bilateral contracts are entered into, the Fund may find itself exposed to risks arising from the solvency of its counterparties and from their ability to respect the condition of these contracts and the Fund/investors may be adversely impacted.
16. Liquidity risk:
The Fund may not be able to easily sell securities due to adverse market conditions or the reduced creditworthiness of issuers in which it invests. The inability of the Fund to sell securities or positions may also impede the ability of the Fund to meet redemption requests in a timely manner. Certain securities may also be illiquid due to limited trading markets or contractual restrictions on their resale. Reduced liquidity due to these factors may have an adverse impact on the net asset value of the Fund.
17. Dividend policy risk:
The Fund's dividend policy may allow for payment of dividends out of capital. Where this is done, it amounts to a return or withdrawal of part of an investor's original investment or from any capital gains attributable to that original investment. Any distributions involving payment of dividends out of the Fund's capital or payment of dividends effectively out of the Fund's capital (as the case may be) may result in an immediate reduction of the net asset value per Unit. Unitholders should accordingly note that dividend payout from the Fund may not be equivalent to the yield of your investment in the Fund.
18. Securities lending risk:
Securities lending transactions involve certain risks and there can be no assurance that the objective sought to be obtained from such use will be achieved. In case of default, bankruptcy or insolvency of the borrower of securities lent by the Fund, there is a risk of delay in recovery or failure to recover the securities lent (that may restrict the ability of the Fund to meet delivery obligations under security sales), or even loss of rights in collateral received. Further, if the borrower of securities fails to return the securities lent to the Fund, there is a risk that the collateral received may be of lower value than the securities lent, whether due to inaccurate pricing, adverse market movements, deterioration in the credit rating of issuers of the collateral, or the illiquidity of the market in which the collateral is traded. Investors should note the potential risk of loss or adverse impact to the performance of the Fund as a result.

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