AL NAQAA ASIA GROWTH FUND An Open Ended Mutual Fund ...
AL NAQAA ASIA GROWTH FUND An Open Ended Mutual Fund (MANAGED BY SAUDI FRANSI CAPITAL) Interim Condensed Financial Statements (Un-Audited)
For the six months period ended 30 June 2016 together with the Review Report to the Unitholders
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) INTERIM CONDENSED BALANCE SHEET (UN-AUDITED) As at 30 June 2016 (Amounts in US Dollar) Note
2016
2015
18,581 4,832,081 671 4,851,333
13,036 5,501,926 -5,514,962
4,391 4,091 5,679 14,161
-4,741 5,145 9,886
4,837,172
5,505,076
Units in issue (numbers)
336,087
363,194
Net asset value - per unit
14.3926
15.1574
ASSETS Cash and cash equivalents Investments held for trading Prepaid Expenses Total assets
7
LIABILITIES Redemption payable Fund management fee payable Accrued expenses Total liabilities
6, 10
Net asset attributable to the Unitholders
The accompanying notes 1 to 13 form an integral part of these interim condensed financial statements. The interim condensed financial statements appearing from page 1 to 8 were approved by the Fund Manager (unitholders as per the terms and conditions of the Fund) on 14th August 2016.
1
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) INTERIM CONDENSED STATEMENT OF INCOME (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollar)
Note
2016
2015
8
183,927 183,927
425,208 425,208
6, 10 9
(24,317) (6,380) (30,697) 153,230
(28,551) (5,145) (33,696) 391,512
INCOME Trading gain, net EXPENSES Fund Management fee Other expenses Net income for the period
The accompanying notes 1 to 13 form an integral part of these interim condensed financial statements.
2
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) INTERIM CONDENSED STATEMENT OF CASH FLOWS (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollar) 2016
2015
153,230
391,512
4,306 (188,233) (30,697)
(29,174) (396,034) (33,696)
(60,729.00) 303,619.00 (671) (211) (7,045) 204,266
(61,442) 411,627 -(104) (4,183) 312,202
81,617 (294,332) (212,715)
91,846 (400,706) (308,860)
(8,449) 27,030 18,581
3,342 9,694 13,036
CASH FLOWS FROM OPERATING ACTIVITIES Net income for the period Adjustment to reconcile net income to net cash generated from operating activities: Realized (loss) / gain on investments held for trading Unrealized gain on investments held for trading Changes in operating assets and liabilities Additions to Investments held for trading Proceeds from disposal of Investments held for Trading Prepaid Expenses Fund management fee payable Accrued expenses Net cash generated from operating activities CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from issuance of units Payments for redemption of units Net cash used in financing activities Net (decrease) / increase in cash and cash equivalents Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period
The accompanying notes 1 to 13 form an integral part of these interim condensed financial statements.
3
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) INTERIM CONDENSED STATEMENT OF CHANGES IN NET ASSET ATTRIBUTABLE TO THE UNITHOLDERS (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollar) 2016
2015
4,901,048
5,422,424
153,230
391,512
Proceeds from issuance of units Payments for redemption of units Net change from unit transactions
81,617 (298,723) (217,106)
91,846 (400,706) (308,860)
Net asset attributable to the Unitholders at the end of the period
4,837,172
5,505,076
Net asset attributable to the Unitholders at the beginning of the period Net income for the period Changes from unit transactions
Transactions in units for the period are summarized as follows: (In numbers) 352,229 6,018 (22,160) (16,142) 336,087
Units at the beginning of the period Units issued Units redeemed Net change in units Units at the end of the period
383,895 6,066 (26,767) (20,701) 363,194
The accompanying notes 1 to 13 form an integral part of these interim condensed financial statements.
4
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (UN-AUDITED) For the six months period ended 30 June 2016 1.
THE FUND AND ITS ACTIVITIES Al Naqaa Asia Growth Fund (the “Fund”) is an open ended investment fund based on an agreement between Saudi Fransi Capital (the “Fund Manager”) and the investors (the “Unit holders”). The Fund commenced its operations on 20 December 2005. The Fund is a feeder fund which maintains all of its investments in the Sub Fund of Amundi Islamic Asia Pacific Quant (“the Master-Fund”), established in Luxembourg. Amundi Luxembourg is the fund manager of the Master fund. The Fund invested in the I2 share class of the Master Fund specifically issued to facilitate the conversion. The Fund is an income accumulation fund whereby net income is re-invested in the Fund and reflected in the net asset attributable to the Unitholders. Units of the Fund are made available for purchase in the Kingdom of Saudi Arabia. The objective of the Fund is to provide long term capital growth by primarily investing in both large and small cap listed equities in the AsiaPacific region in accordance with Shari’ah guidelines determined by the Shari’ah Board of the Fund. The Fund has updated their terms and condition which have been approved by the CMA on 24 Sha’aban 1436H (corresponding to 11 June 2015). The Fund Manager and Custodian of the Fund is Saudi Fransi Capital.
2.
REGULATORY AUTHORITY The Fund is governed by the Investment Fund Regulations (the “Regulations”) published by Capital Market Authority (CMA) on 3 Dhul Hijja 1427H (corresponding to 24 December 2006) detailing requirements for all investment funds within the Kingdom of Saudi Arabia.
3.
SUBSCRIPTION /REDEMPTION OF UNITS The Fund is open for subscriptions / redemptions of units with cutoff time of 12:00 pm on Monday, Tuesday and Wednesday. The net asset attributable to the Unitholders of the Fund is determined on Wednesday, Thursday and Sunday (each a “Dealing day”). The net asset attributable to the Unitholders of the Fund for the purpose of subscription/ redemption of units is determined by dividing the net asset attributable to the Unitholders of the Fund (fair value of the Fund’s assets minus the Fund’s liabilities) by the total number of the fund’s units available for redemption on the relevant dealing day.
4.
BASIS OF PREPARATION
4.1
Statement of compliance These interim condensed financial statements have been presented in accordance with the requirements of the accounting standards on financial reporting issued by the Saudi Organization of Certified Public Accountants (SOCPA). These interim condensed financial statements have been presented in condensed form and do not include all the information presented in annual financial statements of the Fund; therefore, these interim condensed financial statements should be read in conjunction with the annual financial statements of the Fund for the year ended 31 December 2015. These interim condensed financial statements does not necessarily constitute an indication of the year-end financial results. Certain prior period figures have been reclassified to conform with the current period presentation.
5
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollars) 4.
BASIS OF PREPARATION (CONTINUED)
4.2
Basis of measurement These interim condensed financial statements have been prepared under the historical cost convention using the accrual basis of accounting and the going concern concept, except for the investments held for trading which are measured at fair value.
4.3
Functional and presentation currency These interim condensed financial statements have been presented in United States Dollars (USD), which is the functional currency of the Fund. All financial information presented in United States Dollars has been rounded to the nearest United States Dollar (USD).
4.4
Use of estimates and judgment In the ordinary course of business, the preparation of the interim condensed financial statements requires management to make judgments, estimates and assumptions that affect the application of policies and reported amounts of assets, liabilities, income and expense. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are revised and on prospective basis.
5.
SIGNIFICANT ACCOUNTING AND RISK MANAGEMENT POLICIES The significant accounting policies used in the preparation of these interim condensed financial statements and the risk management policies are consistent with those used and disclosed in the annual financial statements for the year ended 31 December 2015.
6.
MANAGEMENT FEE AND OTHER CHARGES The management of the Fund is the responsibility of the Fund Manager. The Fund pays a management fee calculated at an annual rate of 1.04 percent of the net asset attributable to the Unitholders. This is accrued daily and paid on a monthly basis. The Fund Manager also recovers from the Fund any other expenses incurred on behalf of the Fund such as audit fee, board compensation and other similar charges. Subscription fee up to 3 percent of the invested amount is adjusted by deduction from the gross subscription, hence, it does not impact or reflect in the interim condensed financial statements of the Fund. Amundi Luxembourg charges a management fee at the rate of 0.31 percent per annum of the Fund's net asset value. This is accrued daily and paid on a monthly basis.
7.
INVESTMENTS HELD FOR TRADING As at period end, the investment in the I2 class shares of Amundi Islamic Asia Pacific Quant is summarised as follows: 2015 2016 Units in Amundi Islamic Asia Pacific Quant I2 class shares 4,568 5,007 Number of units 1,057.89 1,098.79 Price per unit Net Asset Value of Amundi Islamic Asia Pacific Quant I2 class shares 4,832,081 5,501,926 Prices per unit has been rounded off to nearest two decimals. 6
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollars) 7.
INVESTMENTS HELD FOR TRADING (CONTINUED) The carrying cost of these investments is as follow:
Units in Amundi Islamic Asia Pacific Quant I2 class shares Number of units Cost price per unit Cost of Amundi Islamic Asia Pacific Quant I2 class shares
2016
2015
4,568 1,001.19
5,007 1,001.53
4,573,082
5,014,660
Cost per unit has been rounded off to nearest two decimals. Geographical break down of investments made by Amundi Islamic Asia Pacific Quant I2 class shares in percentage is as follows: Description by geographical segment
2016 % of value
2015 % of value
20.41 15.71 12.84 11.05 10.60 9.30 5.46 4.20 2.22 1.75 1.73 0.97 0.67 0.62 2.47
23.24 11.6 17.9 12.32 13.43 9.16 -2.5 2.96 1.73 -0.5 0.71 -3.95
100.00
100.00
2016
2015
(4,306) 188,233 183,927
29,174 396,034 425,208
Quoted shares: China Japan South Korea Australia Taiwan India Hong Kong Malaysia Thailand Indonesia New Zealand Philippines Singapore United Kingdom Others & Cash
8.
TRADING GAIN, NET
Realised (loss) / gain on disposal of investments held for trading Unrealised gain on revaluation of investments held for trading
9.
OTHER EXPENSES
Professional fee Fund board fee
7
2016
2015
6,337 43 6,380
5,045 100 5,145
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollars) 10.
TRANSACTIONS WITH RELATED PARTIES Saudi Fransi Capital (the “Fund Manager”), Banque Saudi Fransi (the “Bank” and the shareholder of the Fund Manager) Unitholders, and affiliates of the Fund manager are related parties. In the ordinary course of its activities, the Fund transacts business with related parties. The related party transactions are governed by limits set by the regulations issued by CMA. All the related party transactions are approved by the Fund Board. At the end of the period, cash balances with the Bank amounted to SR 18,541 (30 June 2015: SR 13,036). Related party transactions for the period ended 30 June 2016 and balance resulting from such transactions are as follows: Amount of transactions during the period 2015 2016
Name of related party
Nature of transactions
Saudi Fransi Capital Board of Directors
Fund Management fee Annual remuneration
24,317 43
28,551 100
Closing balance payable 2015 2016 4,091 13
4,741 100
The units in issue at 30 June 2016 include units held by the employees of the Banque Saudi Fransi and Saudi Fransi Capital: 2,565 units (30 June 2015: Nil units). The units in issue at 30 June 2016 include units held by Allianz Saudi Fransi: 41,541 units (30 June 2015: 33,776 units). 11.
FAIR VALUES OF FINANCIAL INSTRUMENTS Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial instruments comprise financial assets and financial liabilities. The Fund’s financial assets comprise of bank balance, investment account with the Fund Manager and investments held for trading, and its financial liabilities comprise of accrued expenses and fund management fee payable. Investments held for trading are carried at fair values. The fair values of other financial instruments are not materially different from their carrying values. Investments held for trading comprise of listed equities, fluctuation in the stock market may cause changes in fair value of the investments portfolio.
12.
SUBSCRIPTION REQUEST The Fund has received subscription request as of 30 June 2016, amounting to USD 356 (30 June 2015: USD 413) after the cutoff time and hence issued units subsequent to period end.
13.
LAST VALUATION DATE In accordance with terms and conditions of the Fund, the last valuation date of the period was 30 June 2016 (2015: 29 June 2015). The last valuation date for the purpose of preparation of these interim condensed financial statements was 30 June 2016 (2015: 30 June 2015). 8
For the six months period ended 30 June 2016 together with the Review Report to the Unitholders
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) INTERIM CONDENSED BALANCE SHEET (UN-AUDITED) As at 30 June 2016 (Amounts in US Dollar) Note
2016
2015
18,581 4,832,081 671 4,851,333
13,036 5,501,926 -5,514,962
4,391 4,091 5,679 14,161
-4,741 5,145 9,886
4,837,172
5,505,076
Units in issue (numbers)
336,087
363,194
Net asset value - per unit
14.3926
15.1574
ASSETS Cash and cash equivalents Investments held for trading Prepaid Expenses Total assets
7
LIABILITIES Redemption payable Fund management fee payable Accrued expenses Total liabilities
6, 10
Net asset attributable to the Unitholders
The accompanying notes 1 to 13 form an integral part of these interim condensed financial statements. The interim condensed financial statements appearing from page 1 to 8 were approved by the Fund Manager (unitholders as per the terms and conditions of the Fund) on 14th August 2016.
1
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) INTERIM CONDENSED STATEMENT OF INCOME (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollar)
Note
2016
2015
8
183,927 183,927
425,208 425,208
6, 10 9
(24,317) (6,380) (30,697) 153,230
(28,551) (5,145) (33,696) 391,512
INCOME Trading gain, net EXPENSES Fund Management fee Other expenses Net income for the period
The accompanying notes 1 to 13 form an integral part of these interim condensed financial statements.
2
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) INTERIM CONDENSED STATEMENT OF CASH FLOWS (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollar) 2016
2015
153,230
391,512
4,306 (188,233) (30,697)
(29,174) (396,034) (33,696)
(60,729.00) 303,619.00 (671) (211) (7,045) 204,266
(61,442) 411,627 -(104) (4,183) 312,202
81,617 (294,332) (212,715)
91,846 (400,706) (308,860)
(8,449) 27,030 18,581
3,342 9,694 13,036
CASH FLOWS FROM OPERATING ACTIVITIES Net income for the period Adjustment to reconcile net income to net cash generated from operating activities: Realized (loss) / gain on investments held for trading Unrealized gain on investments held for trading Changes in operating assets and liabilities Additions to Investments held for trading Proceeds from disposal of Investments held for Trading Prepaid Expenses Fund management fee payable Accrued expenses Net cash generated from operating activities CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from issuance of units Payments for redemption of units Net cash used in financing activities Net (decrease) / increase in cash and cash equivalents Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period
The accompanying notes 1 to 13 form an integral part of these interim condensed financial statements.
3
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) INTERIM CONDENSED STATEMENT OF CHANGES IN NET ASSET ATTRIBUTABLE TO THE UNITHOLDERS (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollar) 2016
2015
4,901,048
5,422,424
153,230
391,512
Proceeds from issuance of units Payments for redemption of units Net change from unit transactions
81,617 (298,723) (217,106)
91,846 (400,706) (308,860)
Net asset attributable to the Unitholders at the end of the period
4,837,172
5,505,076
Net asset attributable to the Unitholders at the beginning of the period Net income for the period Changes from unit transactions
Transactions in units for the period are summarized as follows: (In numbers) 352,229 6,018 (22,160) (16,142) 336,087
Units at the beginning of the period Units issued Units redeemed Net change in units Units at the end of the period
383,895 6,066 (26,767) (20,701) 363,194
The accompanying notes 1 to 13 form an integral part of these interim condensed financial statements.
4
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (UN-AUDITED) For the six months period ended 30 June 2016 1.
THE FUND AND ITS ACTIVITIES Al Naqaa Asia Growth Fund (the “Fund”) is an open ended investment fund based on an agreement between Saudi Fransi Capital (the “Fund Manager”) and the investors (the “Unit holders”). The Fund commenced its operations on 20 December 2005. The Fund is a feeder fund which maintains all of its investments in the Sub Fund of Amundi Islamic Asia Pacific Quant (“the Master-Fund”), established in Luxembourg. Amundi Luxembourg is the fund manager of the Master fund. The Fund invested in the I2 share class of the Master Fund specifically issued to facilitate the conversion. The Fund is an income accumulation fund whereby net income is re-invested in the Fund and reflected in the net asset attributable to the Unitholders. Units of the Fund are made available for purchase in the Kingdom of Saudi Arabia. The objective of the Fund is to provide long term capital growth by primarily investing in both large and small cap listed equities in the AsiaPacific region in accordance with Shari’ah guidelines determined by the Shari’ah Board of the Fund. The Fund has updated their terms and condition which have been approved by the CMA on 24 Sha’aban 1436H (corresponding to 11 June 2015). The Fund Manager and Custodian of the Fund is Saudi Fransi Capital.
2.
REGULATORY AUTHORITY The Fund is governed by the Investment Fund Regulations (the “Regulations”) published by Capital Market Authority (CMA) on 3 Dhul Hijja 1427H (corresponding to 24 December 2006) detailing requirements for all investment funds within the Kingdom of Saudi Arabia.
3.
SUBSCRIPTION /REDEMPTION OF UNITS The Fund is open for subscriptions / redemptions of units with cutoff time of 12:00 pm on Monday, Tuesday and Wednesday. The net asset attributable to the Unitholders of the Fund is determined on Wednesday, Thursday and Sunday (each a “Dealing day”). The net asset attributable to the Unitholders of the Fund for the purpose of subscription/ redemption of units is determined by dividing the net asset attributable to the Unitholders of the Fund (fair value of the Fund’s assets minus the Fund’s liabilities) by the total number of the fund’s units available for redemption on the relevant dealing day.
4.
BASIS OF PREPARATION
4.1
Statement of compliance These interim condensed financial statements have been presented in accordance with the requirements of the accounting standards on financial reporting issued by the Saudi Organization of Certified Public Accountants (SOCPA). These interim condensed financial statements have been presented in condensed form and do not include all the information presented in annual financial statements of the Fund; therefore, these interim condensed financial statements should be read in conjunction with the annual financial statements of the Fund for the year ended 31 December 2015. These interim condensed financial statements does not necessarily constitute an indication of the year-end financial results. Certain prior period figures have been reclassified to conform with the current period presentation.
5
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollars) 4.
BASIS OF PREPARATION (CONTINUED)
4.2
Basis of measurement These interim condensed financial statements have been prepared under the historical cost convention using the accrual basis of accounting and the going concern concept, except for the investments held for trading which are measured at fair value.
4.3
Functional and presentation currency These interim condensed financial statements have been presented in United States Dollars (USD), which is the functional currency of the Fund. All financial information presented in United States Dollars has been rounded to the nearest United States Dollar (USD).
4.4
Use of estimates and judgment In the ordinary course of business, the preparation of the interim condensed financial statements requires management to make judgments, estimates and assumptions that affect the application of policies and reported amounts of assets, liabilities, income and expense. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are revised and on prospective basis.
5.
SIGNIFICANT ACCOUNTING AND RISK MANAGEMENT POLICIES The significant accounting policies used in the preparation of these interim condensed financial statements and the risk management policies are consistent with those used and disclosed in the annual financial statements for the year ended 31 December 2015.
6.
MANAGEMENT FEE AND OTHER CHARGES The management of the Fund is the responsibility of the Fund Manager. The Fund pays a management fee calculated at an annual rate of 1.04 percent of the net asset attributable to the Unitholders. This is accrued daily and paid on a monthly basis. The Fund Manager also recovers from the Fund any other expenses incurred on behalf of the Fund such as audit fee, board compensation and other similar charges. Subscription fee up to 3 percent of the invested amount is adjusted by deduction from the gross subscription, hence, it does not impact or reflect in the interim condensed financial statements of the Fund. Amundi Luxembourg charges a management fee at the rate of 0.31 percent per annum of the Fund's net asset value. This is accrued daily and paid on a monthly basis.
7.
INVESTMENTS HELD FOR TRADING As at period end, the investment in the I2 class shares of Amundi Islamic Asia Pacific Quant is summarised as follows: 2015 2016 Units in Amundi Islamic Asia Pacific Quant I2 class shares 4,568 5,007 Number of units 1,057.89 1,098.79 Price per unit Net Asset Value of Amundi Islamic Asia Pacific Quant I2 class shares 4,832,081 5,501,926 Prices per unit has been rounded off to nearest two decimals. 6
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollars) 7.
INVESTMENTS HELD FOR TRADING (CONTINUED) The carrying cost of these investments is as follow:
Units in Amundi Islamic Asia Pacific Quant I2 class shares Number of units Cost price per unit Cost of Amundi Islamic Asia Pacific Quant I2 class shares
2016
2015
4,568 1,001.19
5,007 1,001.53
4,573,082
5,014,660
Cost per unit has been rounded off to nearest two decimals. Geographical break down of investments made by Amundi Islamic Asia Pacific Quant I2 class shares in percentage is as follows: Description by geographical segment
2016 % of value
2015 % of value
20.41 15.71 12.84 11.05 10.60 9.30 5.46 4.20 2.22 1.75 1.73 0.97 0.67 0.62 2.47
23.24 11.6 17.9 12.32 13.43 9.16 -2.5 2.96 1.73 -0.5 0.71 -3.95
100.00
100.00
2016
2015
(4,306) 188,233 183,927
29,174 396,034 425,208
Quoted shares: China Japan South Korea Australia Taiwan India Hong Kong Malaysia Thailand Indonesia New Zealand Philippines Singapore United Kingdom Others & Cash
8.
TRADING GAIN, NET
Realised (loss) / gain on disposal of investments held for trading Unrealised gain on revaluation of investments held for trading
9.
OTHER EXPENSES
Professional fee Fund board fee
7
2016
2015
6,337 43 6,380
5,045 100 5,145
AL NAQAA ASIA GROWTH FUND AN OPEN ENDED MUTUAL FUND (MANAGED BY SAUDI FRANSI CAPITAL) NOTES TO THE INTERIM CONDENSED FINANCIAL STATEMENTS (UN-AUDITED) For the six months period ended 30 June 2016 (Amounts in US Dollars) 10.
TRANSACTIONS WITH RELATED PARTIES Saudi Fransi Capital (the “Fund Manager”), Banque Saudi Fransi (the “Bank” and the shareholder of the Fund Manager) Unitholders, and affiliates of the Fund manager are related parties. In the ordinary course of its activities, the Fund transacts business with related parties. The related party transactions are governed by limits set by the regulations issued by CMA. All the related party transactions are approved by the Fund Board. At the end of the period, cash balances with the Bank amounted to SR 18,541 (30 June 2015: SR 13,036). Related party transactions for the period ended 30 June 2016 and balance resulting from such transactions are as follows: Amount of transactions during the period 2015 2016
Name of related party
Nature of transactions
Saudi Fransi Capital Board of Directors
Fund Management fee Annual remuneration
24,317 43
28,551 100
Closing balance payable 2015 2016 4,091 13
4,741 100
The units in issue at 30 June 2016 include units held by the employees of the Banque Saudi Fransi and Saudi Fransi Capital: 2,565 units (30 June 2015: Nil units). The units in issue at 30 June 2016 include units held by Allianz Saudi Fransi: 41,541 units (30 June 2015: 33,776 units). 11.
FAIR VALUES OF FINANCIAL INSTRUMENTS Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial instruments comprise financial assets and financial liabilities. The Fund’s financial assets comprise of bank balance, investment account with the Fund Manager and investments held for trading, and its financial liabilities comprise of accrued expenses and fund management fee payable. Investments held for trading are carried at fair values. The fair values of other financial instruments are not materially different from their carrying values. Investments held for trading comprise of listed equities, fluctuation in the stock market may cause changes in fair value of the investments portfolio.
12.
SUBSCRIPTION REQUEST The Fund has received subscription request as of 30 June 2016, amounting to USD 356 (30 June 2015: USD 413) after the cutoff time and hence issued units subsequent to period end.
13.
LAST VALUATION DATE In accordance with terms and conditions of the Fund, the last valuation date of the period was 30 June 2016 (2015: 29 June 2015). The last valuation date for the purpose of preparation of these interim condensed financial statements was 30 June 2016 (2015: 30 June 2015). 8
