The Fund aims to provide daily performance, before fees and expenses, which closely corresponds to the daily performance of the Benchmark.
The Fund does not seek to achieve its stated investment objective over a period of time greater than one day.
The Fund is suitable for investors who:
seek inverse (-1x) exposure to the companies of the Underlying Index;
have a bearish view of the market;
intend to actively monitor and manage their investments; and
have high risk tolerance.
Up to 70% of its NAV is to be committed as margin for futures contracts; and
The remaining balance of the Fund’s NAV (if any) is to be invested in money market instruments, money market collective investment schemes and/or deposits placed with financial institutions.
Long Term Holding Risk
Inverse Fund vs. Short Selling Risk
Unconventional Return Pattern Risk
Risk of Rebalancing Activities
Intraday Investment Risk
Portfolio Turnover Risk
Risk Associated with Investment in Futures Contracts
Inverse Performance of Underlying Index
Risk Related to the Benchmark
Risk of Reliance on the Manager
Risk of Reliance on the Technical Advisor
The Benchmark for Kenanga KLCI Daily (-1x) Inverse ETF is designed to provide an -1x inverse exposure to the daily performance of the Underlying Index. The daily inverse price return is calculated by multiplying the -1x inverse factor to the daily price return of the Underlying Index, excluding finance cost^.
As the Benchmark for each Fund derives its return from the Underlying Index, its performance is dependent on the performance of the constituents of the Underlying Index.
The Underlying Index consists of the largest 30 companies ranked by full market capitalisation, i.e. before the application of any investability weightings, in the FTSE Bursa Malaysia EMAS Index. The number of constituents in the Underlying Index is fixed.
The Benchmark for each Fund and the Underlying Index are all constructed, compiled, calculated, maintained, reviewed and published by the Index Licensor. The Underlying Index was launched with a base date of 1 January 1977 and was constructed based on a reference value of 100. The Benchmark for each Fund was launched on 4 March 2019.
The Benchmark for each Fund and the Underlying Index are all denominated in MYR.
The Index Licensor is not a related corporation of the Manager.
^ Finance cost refers to the financing cost of leverage and is the Kuala Lumpur Interbank Offered Rate (“KLIBOR”) rate. The Benchmark for the Kenanga KLCI Daily 2x Leveraged ETF includes finance cost as the Benchmark is required to leverage its exposure to 200% of the Underlying Index by holding futures contracts to represent 200% of the Underlying Index and there are costs to be incurred for holding such futures contracts. Whereas, the Benchmark for Kenanga KLCI Daily (-1x) Inverse ETF excludes finance cost as there is no leverage on the total exposure to the Underlying Index.
|Rank||Constituent||Index Weight (%)|
|1.||Malayan Banking Bhd|
|2.||Public Bank Bhd|
|3.||CIMB Group Holdings Bhd|
|4.||Tenaga Nasional Bhd|
|5.||Petronas Chemicals Group Bhd|
|6.||IHH Healthcare Bhd|
|8.||Press Metal Aluminium Holdings Bhd|
|9.||Sime Darby Plantation Bhd|
|10.||Petronas Gas Bhd|
There is no guarantee or assurance of exact or identical replication at any time of the performance of the Benchmark.
Index composition of the Underlying Index may change and securities may be de-listed.
There is a lack of discretion for the Funds to adapt to market changes due to the inherent investment nature of exchange-traded funds and that falls in the Benchmark are expected to result in corresponding falls in the value of the Funds.
|Category of Fund||Exchange-Traded Fund|
|Type of Fund||Inversed exchange-traded fund|
|Launch Date||13 January 2020|
|Benchmark Index||FTSE Bursa Malaysia KLCI Daily Short (Price) Index|
|Initial Approved Fund Size||1,000,000,000 units|
|Initial Issue Price (Per unit)||MYR2.00|
|Income Distribution||Distribution of income, if any, will be on incidental basis|
|Exchange Listing||Main Market of Bursa Malaysia Securities Berhad|
|Stock Short Name||KLCI1XI|
|Bursa Securities Code||0835EA|
|Bloomberg Ticker - Fund||KLCI1XI MK Equity|
|Bloomberg Ticker - Benchmark||FTKLPS1X Index|
|Annual Management Fee||0.50% p.a. of the NAV of the Fund|
|Annual Trustee Fee||0.04% p.a. of the NAV of the Fund|
|Index Licence Fee^||Up to 0.05% p.a. of the NAV of the Fund|
^ The index licence fee is calculated based on the NAV accrued daily (at the end of each trading day) for the quarter. Subsequently, the fee is payable to the Index Licensor on the following quarter.
|Creation/Redemption Application Fee||MYR200|
|Creation/Redemption Application Cancellation Fee||Up to 1.00% of the Subscription Amount or Cash Redemption or such amount as may be determined by the Manager from time to time, in consultation with the Trustee.|
|Transaction Costs||We may charge Transaction Costs (incurred by a Fund) to prevent the NAV of the Fund from being diluted.|
|Brokerage Fee||As prescribed by the Bursa Securities.|
|Bursa Securities Clearing Fee||0.03% of the transaction value subject to a maximum of MYR1,000 per transaction. A MYR10 minimum fee per transaction is applicable for direct business contracts.|