January-2017 Alinma IPO Fund
Alinma IPO Fund Approved by Alinma Sharia Board
January-2017
C. R. No. 1010269764 | CMA License No. 09134 - 37
Fund's Objectives & Strategy
Market Outlook & Commentary
The Fund aims to achieve long-term capital appreciation attained by investing mainly in Shariah-Compliant Initial Public Offerings of Saudi Companies, Right Issues and Rump Offering as well as ShariahComplaint Saudi Companies that have been listed in the Saudi Stock Exchange for 3 years or less. The Fund may also invest in shariah compliant funds with similar objectives.
Fund's Information
Alinma Saudi IPO Equity Islamic Index (a customized index provided by Alinma Investment Company) decreased by 3.41% versus closing of last December and down by 3.41% YTD (versus down 1.51% on monthly basis and down 1.51% YTD for TASI). The market movement during the month was affected by the announcement of the Saudi Budget, stability in oil prices in addition to corporate quarterly results. Brent price decreased for this month by 3.32% closing at 55.58 USD/bar while average of the month was 55.95 USD/bar, slightly up by 0.67% from last month average (OPEC’s basket ended the month down by 2.08% to 52.19 USD/bar while average of the month is 52.40 USD/bar, up 1.41% versus last month). On interest rate issue, FOMC, as expected, kept its rate fixed on the February 1st meeting. No new IPO announced during the month on the Main Market, but a couple of companies announced and started their book-building to be listed on the new market named Nomu-Parallel Market to be launched by February 26th 2017. NomuParallel Market will have less listing requirements compared to the Main Market and will be limited to qualified investors.
Performance & Risk Parameters
Asset Type
Open-ended Fund
120
Risk Level
High
100
Fund Manager
Alinma Investment Company
80
Fund Listing
Saudi Arabia
60
Launch Date
May 17, 2015
40
Benchmark
Alinma Saudi IPO Equities Islamic Index by IR
20
Inception Price (SAR)
10.00
Unit Price (SAR)
9.68
AUM (SAR)
243,739,611.08
Base Currency
Saudi Riyal
Initial Investment
5,000 individual/20,000 institution
Subsequent Investment
Minimum of 1,000 individual/10,000 institution
Subscription & Redemption
Monday and Wednsday of every week
Subscription Fees
1.5% of subscribed amount
Management Fees
1% per annum
Redemption Fee
1.5% if exit before 30 days
Sharia Board
Yes
Bloomberg Code
ALINIPO AB EQUITY
Fund
Fund BM Gap Fund BM Gap ++ Fund BM
Abbreviations * YTD: Year To Date
* SD: Standard Deviation
* SI: Since Inception
* Avg R: Average Return
* BM: Benchmark
1M 3M -3.41% 12.8% -6.52% 25.4% 3.11% -12.6% 2016 4.9% -13.7% 18.7%
BM
YTD 1Y -3.4% 5.4% -6.5% -0.3% 3.1% 5.7% 2015++ -4.5% -34.7% 30.2%
2Y N/A N/A N/A
SI -3.2% -47.3% 44.1% 2014 N/A N/A N/A
Launch date was 17th May 2015, partial performance for the year
Avrg R -1.9% -31.2%
SD 11.2% 23.5%
Sharpe* -0.34 -1.41
Alpha** 6.9%
Beta** 0.33
Correlation**
0.69
* Free interest rate is taken to be the Saudi Interbank Average 12M ** relative to benchmark
Asset Class Distribution
Note: Statistics are based on Inception Date
Latest IPOs Listed
Code
15.3% 17.9% Cash Equity Funds
Listing Dt
IPO Pr
Closing Pr
Perform
4320
Alandalus
Stock
RE Dev.
Sector
12-Jan-16
18.00
19.94
10.78%
4009
MEAHCO
Retail
29-Mar-16
64.00
69.23
8.17%
1304
22-May-16 Alyamamah Steel Building & Construction
39.60
29.83
-24.67%
4011
LAZURDE
37.00
22.44
-39.35%
Retail
29-Jun-16
Murabaha
Sukuk 66.8% Equity Sector Allocation
0%
10% 20% 30% 40% Health Care Equipment & Svc Consumer Services Real Estate Mgmt & Development Food & Staples Retailing Capital Goods Energy Pharma, Biotech & Life Science Diversified Financials Commercial & Professional Svc Telecommunication Services
Disclaimer
Top Equity Holding
50%
60%
70% 80% 90% Transportation Materials Retailing Banks Consumer Durables & Apparel Food & Beverages Utilities Media Real Estate Investment Trust Insurance
100%
Code
Stock
4009
Saudi German Hosptl
HealthCare Equipment & Svc
Sector
4031
SGS
Transportation
1820
Al Hokair Group
Consumer Services
4007
Al Hammadi
HealthCare Equipment & Svc
3005
UACC
Materials
4320
ALANDALUS
Real Estate Mgmt & Dev't
4008
SACO
Retailing
4006
Farm Superstore
Food & Staples Retailing
#NUM!
This material was produced by Alinma Investment, a firm regulated by the Capital Market Authority of KSA. Past performance is not a guide to future returns. All the information contained in this document is believed to be reliable but may be inaccurate or incomplete. A full explanation of the characteristics of the investment is given in the prospectus. Any opinions stated are honestly held but are not guaranteed. The outlook expressed in this fact sheet represents the views of the fund manager at the time of preparation and are not necessarily those of the Alinma Investment as a whole. They may be subject to change and should not be interpreted as investment advice. The document is meant for financial promotion and does not provide you with all the facts you need to make an informed decision about investing and hence is not intended to constitute investment advice. The information provided should not be considered as a recommendation or solicitation to purchase, sell or hold these securities. It should also not be assumed that any investment in these securities was or will be, profitable .Alinma Investment accepts no liability for any loss arising from the use of this document or its contents or otherwise arising in connection therewith. Alinma Investment shall have no responsibility or liability whatsoever in respect of any inaccuracy in or omission from this or any other document prepared by Alinma Investment for, or sent by Alinma Investment to any person and any such person shall be responsible for conducting his own investigation and analysis of the information contained or referred to in this document and of evaluating the merits and risks involved in the securities forming the subject matter of this or other such document. Alinma Investment is authorized and regulated by the Capital Market Authority(CMA) in the Kingdom of Saudi Arabia.
Head Office اإلدارة العامة P. O. Box 66333 . ب.ص Riyadh 11576 الرياض KSA المملكة العربية السعودية Tel +966 (11) 218 5999 هاتف Fax +966 (11) 218 5970 فاكس www.alinmainvestment.com
January-2017
C. R. No. 1010269764 | CMA License No. 09134 - 37
Fund's Objectives & Strategy
Market Outlook & Commentary
The Fund aims to achieve long-term capital appreciation attained by investing mainly in Shariah-Compliant Initial Public Offerings of Saudi Companies, Right Issues and Rump Offering as well as ShariahComplaint Saudi Companies that have been listed in the Saudi Stock Exchange for 3 years or less. The Fund may also invest in shariah compliant funds with similar objectives.
Fund's Information
Alinma Saudi IPO Equity Islamic Index (a customized index provided by Alinma Investment Company) decreased by 3.41% versus closing of last December and down by 3.41% YTD (versus down 1.51% on monthly basis and down 1.51% YTD for TASI). The market movement during the month was affected by the announcement of the Saudi Budget, stability in oil prices in addition to corporate quarterly results. Brent price decreased for this month by 3.32% closing at 55.58 USD/bar while average of the month was 55.95 USD/bar, slightly up by 0.67% from last month average (OPEC’s basket ended the month down by 2.08% to 52.19 USD/bar while average of the month is 52.40 USD/bar, up 1.41% versus last month). On interest rate issue, FOMC, as expected, kept its rate fixed on the February 1st meeting. No new IPO announced during the month on the Main Market, but a couple of companies announced and started their book-building to be listed on the new market named Nomu-Parallel Market to be launched by February 26th 2017. NomuParallel Market will have less listing requirements compared to the Main Market and will be limited to qualified investors.
Performance & Risk Parameters
Asset Type
Open-ended Fund
120
Risk Level
High
100
Fund Manager
Alinma Investment Company
80
Fund Listing
Saudi Arabia
60
Launch Date
May 17, 2015
40
Benchmark
Alinma Saudi IPO Equities Islamic Index by IR
20
Inception Price (SAR)
10.00
Unit Price (SAR)
9.68
AUM (SAR)
243,739,611.08
Base Currency
Saudi Riyal
Initial Investment
5,000 individual/20,000 institution
Subsequent Investment
Minimum of 1,000 individual/10,000 institution
Subscription & Redemption
Monday and Wednsday of every week
Subscription Fees
1.5% of subscribed amount
Management Fees
1% per annum
Redemption Fee
1.5% if exit before 30 days
Sharia Board
Yes
Bloomberg Code
ALINIPO AB EQUITY
Fund
Fund BM Gap Fund BM Gap ++ Fund BM
Abbreviations * YTD: Year To Date
* SD: Standard Deviation
* SI: Since Inception
* Avg R: Average Return
* BM: Benchmark
1M 3M -3.41% 12.8% -6.52% 25.4% 3.11% -12.6% 2016 4.9% -13.7% 18.7%
BM
YTD 1Y -3.4% 5.4% -6.5% -0.3% 3.1% 5.7% 2015++ -4.5% -34.7% 30.2%
2Y N/A N/A N/A
SI -3.2% -47.3% 44.1% 2014 N/A N/A N/A
Launch date was 17th May 2015, partial performance for the year
Avrg R -1.9% -31.2%
SD 11.2% 23.5%
Sharpe* -0.34 -1.41
Alpha** 6.9%
Beta** 0.33
Correlation**
0.69
* Free interest rate is taken to be the Saudi Interbank Average 12M ** relative to benchmark
Asset Class Distribution
Note: Statistics are based on Inception Date
Latest IPOs Listed
Code
15.3% 17.9% Cash Equity Funds
Listing Dt
IPO Pr
Closing Pr
Perform
4320
Alandalus
Stock
RE Dev.
Sector
12-Jan-16
18.00
19.94
10.78%
4009
MEAHCO
Retail
29-Mar-16
64.00
69.23
8.17%
1304
22-May-16 Alyamamah Steel Building & Construction
39.60
29.83
-24.67%
4011
LAZURDE
37.00
22.44
-39.35%
Retail
29-Jun-16
Murabaha
Sukuk 66.8% Equity Sector Allocation
0%
10% 20% 30% 40% Health Care Equipment & Svc Consumer Services Real Estate Mgmt & Development Food & Staples Retailing Capital Goods Energy Pharma, Biotech & Life Science Diversified Financials Commercial & Professional Svc Telecommunication Services
Disclaimer
Top Equity Holding
50%
60%
70% 80% 90% Transportation Materials Retailing Banks Consumer Durables & Apparel Food & Beverages Utilities Media Real Estate Investment Trust Insurance
100%
Code
Stock
4009
Saudi German Hosptl
HealthCare Equipment & Svc
Sector
4031
SGS
Transportation
1820
Al Hokair Group
Consumer Services
4007
Al Hammadi
HealthCare Equipment & Svc
3005
UACC
Materials
4320
ALANDALUS
Real Estate Mgmt & Dev't
4008
SACO
Retailing
4006
Farm Superstore
Food & Staples Retailing
#NUM!
This material was produced by Alinma Investment, a firm regulated by the Capital Market Authority of KSA. Past performance is not a guide to future returns. All the information contained in this document is believed to be reliable but may be inaccurate or incomplete. A full explanation of the characteristics of the investment is given in the prospectus. Any opinions stated are honestly held but are not guaranteed. The outlook expressed in this fact sheet represents the views of the fund manager at the time of preparation and are not necessarily those of the Alinma Investment as a whole. They may be subject to change and should not be interpreted as investment advice. The document is meant for financial promotion and does not provide you with all the facts you need to make an informed decision about investing and hence is not intended to constitute investment advice. The information provided should not be considered as a recommendation or solicitation to purchase, sell or hold these securities. It should also not be assumed that any investment in these securities was or will be, profitable .Alinma Investment accepts no liability for any loss arising from the use of this document or its contents or otherwise arising in connection therewith. Alinma Investment shall have no responsibility or liability whatsoever in respect of any inaccuracy in or omission from this or any other document prepared by Alinma Investment for, or sent by Alinma Investment to any person and any such person shall be responsible for conducting his own investigation and analysis of the information contained or referred to in this document and of evaluating the merits and risks involved in the securities forming the subject matter of this or other such document. Alinma Investment is authorized and regulated by the Capital Market Authority(CMA) in the Kingdom of Saudi Arabia.
Head Office اإلدارة العامة P. O. Box 66333 . ب.ص Riyadh 11576 الرياض KSA المملكة العربية السعودية Tel +966 (11) 218 5999 هاتف Fax +966 (11) 218 5970 فاكس www.alinmainvestment.com
