Recommended Fund

• The fund seeks to deliver a high level of current income and long-term capital appreciation by investing in a diversified portfolio of global stocks, complemented by a covered call strategy designed to generate additional income.
• While the income-focused strategy naturally carries a value tilt, it aims to maintain a balanced exposure across value, quality, and momentum factors. The strategy also has the flexibility to allocate up to 10% of the portfolio to non-dividend-paying stocks to enhance growth potential.
• The fund is benchmark-aware, with the MSCI ACWI serving as its primary benchmark. It targets a distribution yield of 6% p.a.

• The fund managers seek preservation of capital and liquidity while outperforming the 3-Month Singapore Overnight Rate Average (SORA), by investing in a diversified portfolio of good quality, short-term bonds and money market instruments.
• The team believes that outperformance can be achieved through a systematic application of proprietary top-down macro and bottom-up credit research. The fund adopts a laddered approach in terms of bond maturities, protecting it against interest rate hikes to minimise immediate mark-to-market losses.
• The fund team prioritises credit quality and diversification over yield. As of 31 March 2026, the fund had 187 holdings with an average credit rating of BBB+ and a weighted average duration of 1.67 years.
• The managers progressively increased duration towards 2 years in anticipation of interest rate cuts, before beginning to reduce duration in 4Q 2025 on expectations that short-term bond yields may rise slightly in some Asian economies.
• Looking ahead, they maintain a cautiously constructive view on Asian credit and will continue to focus the fund's investments in this region, with Australia remaining the largest country allocation given its attractive spreads and yields.

• The fund seeks to maximise total return by investing at least 70% of its assets in fixed income securities denominated in various currencies, issued by governments, agencies and companies worldwide, including non-investment grade securities.
• The team combines top-down macro views with bottom-up sector and security research, allocating dynamically across rates, credit, securitised assets, emerging markets and currencies based on expected return, carry, valuation and downside risk.
• The fund is benchmark agnostic, using the Bloomberg Global Aggregate Bond Index (USD Hedged) as a performance comparator only. Duration is actively managed within -2 to +7 years, with below investment grade exposure capped at 70%.
• As of 31 March 2026, the fund held 4,066 securities with an effective duration of 3.23 years and a yield to maturity of 5.54%.
• The team maintains a defensive, carry-focused positioning, favouring securitised assets and shorter-to-intermediate duration, while staying selective in high yield and emerging markets amid ongoing geopolitical and inflation uncertainty.

• The fund adopts a value-oriented discipline and a bottom-up research process in stock selection, focusing on undervalued mid-capitalisation companies with durable business models capable of generating consistent dividend growth over time.
• The team aims to build a diversified, attractively priced portfolio of quality companies featuring strong management teams, solid balance sheets, and positive earnings and free cash flow. It may however buy companies facing difficult near-term earnings if it has confidence in their long-term recovery.
• The fund is benchmark-aware but not benchmark-constrained, using the Russell Midcap Value Index for reference.

• The fund follows a Growth at a Reasonable Price (GARP) philosophy, seeking companies with above-average sustainable earnings and cash-flow growth, while maintaining valuation discipline.
• The investment process is bottom-up. The team narrows the European small-cap universe through liquidity and ESG exclusion filters, then applies a mapping filter combining growth, earnings momentum and valuation factors.
• The fund uses the MSCI Europe Small Cap Index as its benchmark and is benchmark-aware, with sector and country deviations capped at +/-10% and individual stock overweights capped at 3%.