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Do you want to invest in the world’s major markets?

Both in developed and emerging economies..

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In some of the most valuable brands in the world…

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And knowing you are investing in an ethical way..

No investments in alcohol, tobacco, weapons & more

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CIMB Islamic Global Equity Fund (CIGEF)

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CIGEF Benefits
Easy and convenient access into Shariah
equities

Sub-managed by Principal Global Investors -


Foreign fund managers with an established
track record

Shariah compliant – Investments in an ethical


way, approved by experienced Shariah advisors

Source: CIMB-Principal

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ARE YOU…

…seeking medium
to long-term
growth
in capital ? …seeking
diversification through
global market?

…prepared to
accept equity risks
for
potentially greater
returns over the
Investment horizon?

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If yes, then
invest in the
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CIGEF today! 8
Investment Strategy

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Investment Strategy
• Focuses on securities that are undervalued by the market and
has potential for significant growth

• Bottom up stock selection is the key driver to relative


performance while minimising biases

• Investments are primarily from global securities in the Dow


Jones Islamic Market Index

• Benchmark Index: Dow Jones Islamic Market Index

Source: CIMB-Principal

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Investment Allocation

Shariah- Shariah-
compliant global compliant liquid
equities (70%- assets (1%-
99%) 30%)

Source: CIMB-Principal

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Stock Selection
Discover
Confirm
Improving Implement Monitor
Business Sustainability
of Trends Buy/Sell
Fundamentals
Decisions
Rising Investor Interpretation Portfolios
of Rankings Risk
Expectations
Management
Attractive Event Risk
Valuations Assessment Portfolio All
Research Managers
Global Research Analysts
Platform
Source: PGI

Bottom-up approach→Not country/sector/capitalization bias→


Minimizes systematic risks!

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Stock Selection (cont.)
We look for companies with:
IMPROVING BUSINESS FUNDAMENTALS
•Expected Sales Growth
1
•Change in Operating Margin
•Expected EPS Growth

RISING EXPECTATIONS
2
•Companies with Positive EPS Revisions

ATTRACTIVE VALUATION
3 •Price/Earnings
Source: PGI

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In Alpha Generation…
ALPHA, α : Excess return

Fundamental
change

Ex
pe
α n s
ct
at a tio
io u
ns V al

Superior Stock Selection from Alpha Generation is the key to Benchmark


Source: www.principalglobal.com
Outperformance!
Source: PGI

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Alpha Preservation…..using professional judgment
Global Research Research Analysts
Platform

Systematic approach Professional judgment

Broad & immediate Deep forward-looking


coverage coverage

Objective, unemotional, Specialized, focused


repeatable insights
Source: PGI

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Proven Track Record of Alpha Preservation
250 PRINCIPAL GLOBAL EQUITY
230 FUND
Fund Consistently
210 DJ WORLD STOCK INDEX Outperforms the
190
170
Benchmark
150
130
110
90
70
50
2 3 3 3 4 4 4 5 5 5 6 6 6 7 7 7
v-0 r- 0 l-0 v-0 r- 0 l-0 v-0 r- 0 l-0 v-0 r- 0 l-0 v-0 r- 0 l-0 v-0
a Ju a Ju a Ju a Ju a Ju
Source:
No M Bloomberg Noas atM30th November M
No 2007 No M No M No

TOTAL RETURN ANNUAL RETURN


PERIOD PRINCIPAL GLOBAL DJ WORLD STOCK INDEX PRINCIPAL GLOBAL DJ WORLD STOCK INDEX ALPHA
3 MTHS 4.33% 3.16% 4.33% 3.16% 1.17%
6 MTHS -0.71% 0.37% -0.71% 0.37% -1.08%
1 YR 13.71% 10.70% 13.71% 10.70% 3.01%
3 YRS 60.12% 42.90% 16.99% 12.64% 4.35%
5 YRS 127.56% 93.28% 17.87% 14.09% 3.79%

CIGEF will be managed with the same investment philosophy, style and objective

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Why invest in CIMB Islamic Global Equity Fund?

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Diversification
With a geographically diversified portfolio, you can minimize exposure to…

the downturn in the subprime market

With an industry diversified portfolio, you can capitalize on…

the rising oil prices

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Potentially Higher Risk Adjusted Returns
Geographical and Industry
Diversification

Results in Lower Correlation of


Investment Performance

Results in Lower Volatility

Results in Potentially Higher Risk-


Adjusted Returns

Not putting all your eggs in one basket!

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Potentially Higher Risk Adjusted Returns (cont.)
DJIM higher
return/risk ratio over
3 years than sector
focused Islamic
indices

Source: Bloomberg as at 31st October 2007

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DJIM vs KL Indices Correlation
Correlation
5 Years DJIM KLCI FBMS
(26/10/07)

DJIM 1.00 - -

KLCI 0.32 1.00 -

FBMS 0.34 0.97 1.00

Source: Bloomberg as at 31st October 2007

Low correlation with KL Indices ideal for Malaysian investors

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Globally Diversified – Lower Volatility
Annualised Volatility
35%
30%
25%
20%
15%
10%
5%
0%
1 Yr 2 Yr 3 Yr 5 Yr
DJIM KLCI MSCI CHINA MSCI INDIA
Source: Bloomberg as at 31st October 2007

Lower Volatility → More Stability

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Reduced Risk yet Consistent Performance….
3000 DJIM Index Performance

2500

2000

1500

1000

500

Jul-03
Jul-04
Jul-05
Jul-06
Jul-07

Source: Bloomberg as at 26th October 2007

Mar-03
Mar-04
Mar-05
Mar-06
Mar-07

Nov-02
Nov-03
Nov-04
Nov-05
Nov-06

Source: Bloomberg as at 31st October 2007

Annualized Performance : 16.08% over 5 years

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Diversified - Industries
Oil & gas

Semiconductors

Pharmaceutical

Telecommunications

Metal & Mining

Consumer Supplies
Source: CIMB-Principal

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Principal Global Investors
• A diversified global asset
management
organization
• US$244.8B in assets
under management*
• 1,304 employees
including 495 investment
professionals*
• Broad range of
capabilities, tailored to
client objectives
• Global reach and clarity
of purpose
*as at 30th September 2007

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A Wealth of Experience…
Mustafa Sagun, Ph.D., CFA - Chief Investment Officer
• 14 years of investment and risk management experience
• Previously, vice president and analyst for PNC Financial Services Group and an equity
derivatives specialist for Salomon Brothers
• Ph.D. in finance and a MA in international economics from the University of South Florida

• Bachelor's degree in electronics and engineering from Bogazici University of Turkey

Christopher Ibach, CFA - Portfolio Manager


• Joined the firm in 2000 as an equities research analyst, specializing in the analysis of
international technology companies
• Previously, six years of related industry experience with Motorola, Inc
• MBA in finance and a bachelor's degree in electrical engineering from the University of Iowa

Source: PGI

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Shariah-Compliant Equities in Fund
•Securities listed under DJIM Indexes
OR
•Industry Type
ƒ Excluded are companies in the alcohol, tobacco, manufacturing of pork,
selected financial services, defense/weapons and entertainment line of
business

•Financial Ratios
ƒ Total debt divided by trailing 12-month average market capitalization < 30%
ƒ Cash plus interest-bearing securities divided by trailing 12-month average
market capitalization < 30%
ƒ Accounts receivables divided by total assets < 45%
Source: CIMB-Principal

Shariah-compliant equities are lowly geared and has downside protection


during an economic downturn…
Source:The Edge Financial Daily, 19 November 2007, Islamic equity market weathers volatility better

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Fund Information

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Prospective Companies
ExxonMobil is the world's largest company by revenue, at $377.6
billion for the fiscal year of 2006. Second largest corporation by
market capitalization at $517.92 billion. Earnings growth in 2006 –
14%

Microsoft Corporation is an American multinational computer


technology corporation with 76,000 employees in 102 countries
and global annual revenue of US$ 51.12 billion in 2007

Headquartered in Palo Alto ,USA, it has a global presence in the


fields of computing, printing, and digital imaging, and also provides
software and services. In 2007, revenue earned of $104 billion
(13% growth) made HP the first IT company to report revenues
>$100 billion
Swiss global health-care company which operates world-wide
under two divisions: Pharmaceuticals and Diagnostics. In 2006, it
had revenue of 42 billion Swiss francs (17% growth)

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Prospective Companies
An American multinational corporation with a focus on designing
and manufacturing consumer electronics and closely related
software products. Apple employs over 20,000 permanent and
temporary workers worldwide and had worldwide annual sales in
its fiscal year 2007 of US$24.01 B.

Vodafone is a mobile network operator headquartered in UK. It is


the largest mobile telecommunications network company in the
world by turnover and has a market value of about £84.7 billion.

Headquartered in San Jose, California, it designs and sells


networking and communications technology and services. It has
54,000 employees and an annual revenue of US$35 billion as of
2007

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Fund Details
Annual
Management 1.85%
Fee
Minimum Investment of
Trustee RM1,000
Fee 0.08%1
To Start

Application 6.5%
Fee

Withdrawal 1.0%2
Fee

1subject to minimum of RM18,000 p.a.


2chargeable within 3 months of the commencement date

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Thank You

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Disclaimer
This document is provided to you for information purposes only and it may not be
reproduced, distributed or published by any recipient for any other purpose. It should
not be construed as an offer or a solicitation of an offer to purchase or subscribe.

The information contained herein has been derived from sources believed to be reliable
and is current as at the date of publication. No representation or warranty is made nor is
there acceptance of any responsibility or liability made as to the accuracy,
completeness or correctness of the information contained herein. Expressions of
opinion contained herein are subject to change without notice. Persons wishing to rely
upon this information should consult directly with the source of information or obtain
professional advice.

"Dow JonesSM” and "Dow Jones Islamic Market IndexSM" are service marks of Dow
Jones & Company, Inc. and have been licensed for use for certain purposes by CIMB-
Principal Asset Management Berhad. CIMB-Principal Asset Management Berhad's
CIMB Global Islamic Equity Fund based on the Dow Jones Islamic Market Index, are
not sponsored, endorsed, sold or promoted by Dow Jones, and Dow Jones makes no
representation regarding the advisability of investing in such product(s).

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