Pheim Greater China Islamic Fund

PGCIF strives to provide the best possible returns over a long-term period by investing primarily in Shariah-Compliant Equities and Shariah-Compliant Equity Related Securities of companies listed on or traded in the People’s Republic of China, Hong Kong Special Administrative Region and Taiwan markets.

Suitable for investors who prefer long-term capital appreciation, are willing to accept high risks, and want to have a portfolio of investment in the Greater China region rather than a restricted portfolio of domestic securities. 

The Fund seeks to provide capital appreciation. To pursue this goal, the Fund will invest primarily in the People’s Republic of China, Hong Kong Special Administrative Region and Taiwan markets in accordance with Shariah requirements. 70% – 95% of the NAV of the Fund will be invested in Shariah-Compliant Equities and Shariah-Compliant Equity Related Securities (including Shariah-Compliant Warrants); 0% – 20% of the NAV of the Fund will be invested in Islamic Collective Investment Schemes (including Islamic REITs); and the remaining NAV of the Fund will be invested in Sukuk and Islamic Liquid Assets. The performance benchmark of this Fund is a 5.5 % growth in NAV per annum over the long-term.

40% of the Fortune Global 500 are from Asia, and three of the top 10 companies are from China. Asia is the key outsourcing destination for technology manufacturing globally, representing a multitude of diverse players of all shapes and sizes, including industry behemoths in the key electronic and semi-conductor sector, such as Taiwan’s TSMC and South Korea’s Samsung Electronics. Half of the world’s fastest growing global companies in a broad range of sectors, including industrial, automotive, information technology, finance and supply chain logistics are located in Asia. The East’s predominance as the outsourcing manufacturing location for the world is not expected to change in the foreseeable future despite the US’ push for US businesses to relocate manufacturing to the US.

This push for development and trade is a common theme among many countries as Asia already makes up half of the world’s middle class, accounting for 40% of global consumer spending. That percentage will go up to above 50% by 2032 as a result of the expanding middle class and urbanization.

Urbanization will add 1.2 billion people to urban areas by 2050. Urbanization and the rise of the middle class will boost investments in infrastructure and consumer demand, unleashing continuing demand for goods and services. By strengthening its foothold into promising developing nations such as Malaysia (of which rank China as its largest trading partner in 2019) and other key Asian nations, China will be able to gain access to the vast resources and business opportunities.

With the world’s largest population, more than 1 billion Asians are set to join the Middle Class by 2030, with three quarters expected to come from India and China itself.

“Asia will account for 50% of global consumer spending by 2032.”