COMPANY BACKGROUND

Established in 1996, the Unit Trust division, called OSK-UOB Unit Trust Management Berhad, is a synergistic joint-venture between OSK and the UOB Group, Singapore. Presently, we manage 31 funds with a total fund size of over RM3.4 billion. Each fund has its own distinct objective and follows a well-defined and consistent strategy. We consistently rank amongst the Top 10 in the Unit Trust Industry out of a total of 39 unit trust management houses in Malaysia*. We have moved into global investments which expands investors investment opportunities to participate and achieve effective diversification. We have won numerous awards from Edge-Lipper and Standard & Poors since 1998. To-date a total of 21 accolades have been awarded.

* in terms of funds under management Source: Lipper Malaysia

Stable of funds include:

Single Country Funds Islamic Funds Regional Funds Global Funds

The funds range from equities, bonds, money market, balanced funds, capital guaranteed funds, lifestyle funds, feeder funds, asset class funds and more. The spectrum of funds caters from the low-risk appetite investors to the very high risk investors as well.

About OSK-UOB Unit Trust Management Berhad

Incorporated on 16 August 1995, OSK-UOB Unit Trust Management Berhad is a joint venture company between the OSK Group and the UOB Group with a shareholding structure of 70% and 30% respectively. It is ranked amongst the top 10 leaders in the investment fund management business and as at 31 May 2010, is managing funds of over RM5.3 billion. The company has been in the industry for over fourteen years and its personnel collectively have over 25 years of experience in the industry covering all aspects of the unit trust industry. It has 13 strategic locations nationwide to serve its business partners and investors. The company is well known for providing competitive investment performance and has won a total of 31 awards from the Edge Lipper Malaysian Unit Trust Fund Awards and Standard & Poors Investment Funds Awards which includes 2 Achievement Awards for year 2008 from the Asian Investor.

The company currently manages 48 Unit Trust Funds under its stable. Many of the Funds are award winning funds with good performance track records. The Funds are grouped under different categories based on its investment mandates and they range from equities, bonds, money market, balanced funds, capital protected funds, lifestyle funds, asset class funds and more. The spectrum of Funds caters to the low-risk appetite investors to the very high risk investors. The Funds offerings are further categorized into single country funds, Islamic funds, and regional funds and off shore funds. Each Fund is managed on the basis of specific objectives and follows a well-defined and consistent strategy.

Corporate Information
The Manager, OSK-UOB Investment Management Berhad (formerly known as OSK-UOB Unit Trust Management Berhad) (OSK-UOB), is a holder of a Capital Markets Services Licence and a Restricted Dealing License issued under the Capital Markets and Services Act 2007. OSK-UOB, a joint-venture company between the OSK Group and the UOB Group, Singapore, was incorporated on 16 August 1995 with a current authorised and paid-up capital of RM10 million. The equity structure of OSK-UOB is as follows:

OSK Investment Bank Berhad * United Overseas Bank (Malaysia) Berhad

70% 30%

100% * Formerly known as OSK Securities Berhad

The Manager commenced operations in 1996 with the launch of its maiden fund, OSK-UOB Equity Trust. As at 30 April 2012, it has fifty five (56) unit trust funds and 9 wholesale funds (5 of which are private funds) under its management with an aggregate fund size in excess of RM6.26 billion. The unit trust funds under its management are:

Name of Fund
1.

Fund Type
Growth

Fund Category
Equity

Launch Date
08.08.96

OSK-UOB Equity Trust

2.

OSK-UOB Small Cap Opportunity Unit Trust

Aggressive Growth

Equity (Small-cap)

20.04.98

3.

OSK-UOB KidSave Trust

Income & Growth

Balanced

10.05.99

4.

KLCI Tracker Fund

Index Tracking Fund

Equity

03.04.00

5.

OSK-UOB Dana Islam

Growth

Equity (Syariah-based)

26.10.01

6.

OSK-UOB Income Fund

Income

Bond

26.02.03

7.

OSK-UOB Emerging Opportunity Unit Trust

Aggressive Growth

Equity

18.05.04

8.

OSK-UOB Smart Series Funds consisting of : - OSK-UOB Smart Treasure Fund - OSK-UOB Smart Balanced Fund - OSK-UOB Smart Income Fund Aggressive Growth Income & Growth Equity 07.09.04

9.

Balanced

07.09.04

10.

Income

Bond

07.09.04

11.

OSK-UOB Growth And Income Focus Trust

High Growth & Income

Equity (Small-Cap) / Bond

07.01.05

12.

OSK-UOB Global Equity Yield Fund

Income & Growth

Equity

09.11.05

13.

OSK-UOB Asia Pacific Fund

Growth

Equity

06.01.06

14.

OSK-UOB Money Market Fund

Income

Money Market

20.01.06

15.

OSK-UOB Global Allocation Fund

Growth

Feeder Fund

27.03.06

16.

OSK-UOB Resources Fund

Growth

Equity

16.05.06

17.

OSK-UOB Global New Stars Fund

Growth

Equity

24.01.07

18.

OSK-UOB Muhibbah Income Fund

Income & Growth

Balanced

12.03.07

19.

OSK-UOB Golden Dragon Fund

Growth & Income

Equity / Bond

08.05.07

20.

OSK-UOB Asian Real Estate Fund

Growth

Equity

22.08.07

21.

OSK-UOB Thematic Growth Fund

Growth

Dynamic

26.09.07

22.

OSK-UOB Asia Active Allocation Fund

Growth & Income

Equity / Bond

23.10.07

23.

OSK-UOB Institutional Islamic Money Market Fund

Income

Money Market (Islamic/ShariahBased fund)

01.11.07

24.

OSK-UOB Big Cap China Enterprise Fund

Growth

Equity

03.12.07

25.

OSK-UOB Asian Growth Opportunities Fund

Growth

Feeder Fund

08.01.08

26.

OSK-UOB Malaysia Dividend Fund

Income & Growth

Equity Fund

04.03.08

27.

OSK-UOB Global Capital Fund

Growth

Feeder Fund

11.06.08

28.

OSK-UOB Cash Management Fund

Income

Money Market

04.09.08

29.

OSK-UOB Energy Fund

Growth

Fixed Income

23.03.09

30.

OSK-UOB Capital Protected One Advantage Fund

Capital Protected

Fixed Income

08.05.09

31.

OSK-UOB Capital Protected Gold Guru Fund

Capital Protected

Fixed Income

01.07.09

32.

OSK-UOB Gold and General Fund

Growth

Feeder

21.07.09

33.

OSK-UOB Capital Protected China AShare Fund

Capital Protected

Fixed Income

09.09.09

34.

OSK-UOB GLobal Stimulus Fund

Growth

Fund-of-funds (ETFs)

15.09.09

35.

OSK-UOB Capital Protected China AShare Fund - Series 2

Capital Protected

Fixed Income

28.10.09

36.

OSK-UOB ASEAN Fund

Growth

Equity

02.12.09

37.

OSK-UOB Asia Consumer Fund

Growth

Feeder

18.01.10

38.

OSK-UOB China-India Dynamic Growth Fund OSK-UOB Asian Recovery Fund

Growth Growth

Feeder Fixed Income

11.03.10 27.04.10

39.

40.

OSK-UOB Capital Protected US Recovery Fund

Capital Protected

Fixed Income

10.05.10

OSK-UOB Flexifund China Solutions consisting of:

41.

42.

- OSK-UOB Flexifund China Equity "A" - OSK-UOB Flexifund Money Market RMB

Growth

Wholesale-Feeder (Equity)

11.05.10

Income Wholesale-Feeder 11.05.10 (Fixed Income)

43.

OSK-UOB Asian Advantage Bond Fund

Growth

Bond (close-ended)

19.07.10

44.

OSK-UOB Capital Protected World Mining Fund

Capital Protected

Fixed Income

17.08.10

45.

OSK-UOB Capital Protected Asia Gaming & Hospitality Fund

Capital Protected

Fixed Income

05.10.10

46.

OSK-UOB US Focus Equity Fund

Growth

Feeder

15.10.10

47.

OSK-UOB Pre-IPO Fund

Growth

Wholesale (Equity)

04.01.11

48.

OSK-UOB Asia Financials Fund

Growth

Feeder

11.01.11

49.

OSK-UOB Capital Protected Sector Strategy Fund

Capital Protected

Fixed Income

01.03.11

50.

OSK-UOB Indonesia Equity Growth Fund

Growth

Equity

04.04.11

51.

OSK-UOB Multi-Asset Recovery Strategy Fund

Growth

Funds-of-Funds (ETFs)

19.05.11

52.

OSK-UOB US Legendary Fund

Growth

Wholesale (Structured Investment)

25.05.11

53.

OSK-UOB Capital Protected Dual Opportunities Fund

Capital Protected

Fixed Income

28.06.11

54.

OSK-UOB Taiwan Opportunity Fund

Growth

Fixed Income

29.07.11

55.

OSK-UOB Agriculture Fund

Growth

Fixed Income

11.08.11

56.

OSK-UOB Deposits Fund

Income

Money Market

19.10.11

57.

OSK-UOB Focus Bond Fund

Income

Bond (close-ended)

03.01.12

58.

OSK-UOB Emerging Markets Bond Fund

Income

Feeder

03.01.12

59.

OSK-UOB Focus Bond Fund - Series 2

Income

Bond (close-ended)

22.02.12

60.

OSK-UOB Focus Bond Fund - Series 3

Income

Bond (close-ended)

14.03.12

Summary of Financial Position

Year Ended 31 December (Audited)

2009 Paid-up Share Capital Shareholders Funds Turnover Pre-tax Profit Post-tax Profit RM10,000,000 RM47,059,968 RM77,992,341 RM15,793,068 RM11,993,308

2010 RM10,000,000 RM60,405,547 RM88,928,856 RM18,334,153 RM13,327,713

2011 RM10,000,000 RM63,295,603 RM102,353,629 RM17,141,634 RM12,890,056

BOARD OF DIRECTORS

The board of directors of OSK-UOB are as follows:

1. Encik Izlan Bin Izhab (Independent Non-Executive Director) 2. Dr Choong Tuck Yew (Independent Non-Executive Director) 3. Ms Eliza Ong Yin Suen (Non-Executive Director) 4. Dato Nik Mohamed Din bin Datuk Nik Yusoff (Non-Executive Chairman/Director) 5. Mr Thio Boon Kiat (Non-Executive Director) 6. Ms Lim Suet Ling (Alternate Non-Executive Director to Mr Thio Boon Kiat) 7. Mr Ho Seng Yee (Executive Director)

Profiles Of Investment Committee Members

Encik Izlan Bin Izhab is an independent non-Executive Director of the Manager and an independent member of the investment committee. He is also a member of the Board of Governors of Research Institute of Investment Analysts Malaysia (RIIAM), a member of Bursa Malaysia Berhads Appeals Committee, an independent non-Executive Director of CIMB Aviva Takaful Berhad and CIMB Aviva Assurance Berhad, the independent non-Executive Chairman of N2N Connect Berhad, an independent non-Executive Director of K & N Kenanga Holdings Berhad, OSKUOB Islamic Fund Management Berhad and UOB-OSK Asset Management Berhad, a nonindependent non-Executive Director of Box-Pak (Malaysia) Berhad and a non-executive director of Kenanga Deutsche Futures Sdn Bhd. Encik Izlan graduated in law from the University of London and attended the Advanced Management Program at the University of Hawaii. Prior to his retirement, Encik Izlan held various key positions at Majlis Amanah Rakyat, Kompleks Kewangan Malaysia Berhad, Permodalan Nasional Berhad and Kuala Lumpur Stock Exchange, where he held the position of Executive Vice President, Corporate & Legal Affairs.

Mr Ho Seng Yee, Chief Executive Officer was appointed in November 2002. He graduated with Bachelor of Economics Degree (Honours) in Business Administration from University Malaya and a Capital Markets Services Representatives License. Mr Ho joined the senior ranks of the OSK Group in June 2000 and has considerable experience and knowledge of the securities and futures industry. Prior to that, he spent twenty four years in the commercial and financial services industry, predominantly in the financial arena. During that tenure, Mr Ho held various management positions and was actively involved in the sales and marketing of products and the development of new businesses. Mr Ho is also a non-independent Executive Director of the Manager as well as a nonindependent non-Executive Director of UOB-OSK Asset Management Sdn Bhd and OSK-UOB Islamic Fund Management Berhad.

Ms Eliza Ong Yin Suen is a non-independent non-Executive Director of the Manager and a nonindependent member of the investment committee. She joined OSK Holdings Berhad in 2002 as the Personal Assistant to Mr Ong Leong Huat, Group Managing Director/Chief Executive Officer of OSK Holdings Berhad. Prior to that, she worked in Australia with National Australia Bank Limited. During her tenure, she held various positions within the bank and gained exposure within the Global Credit Bureau (with portfolios in wholesale banking and bank and sovereign risk) as well as the Asset Structuring department. Ms Ong holds a Master of Business (Banking and Finance) from Monash University, Australia and is a senior associate member of Australasian Institute of Banking and Finance (AIBF), Certified Treasury and Finance Professional (CTFP) and a Certified

Financial Planner. She is also a director of UOB-OSK Asset Management Sdn Bhd, OSK International Asset Management Sdn Bhd (formerly known as OSK Asset Management Sdn Bhd), Land Management Sdn Bhd, 3 Fairies Holdings Sdn Bhd, Regal Maridian Sdn Bhd, OSK International Asset Management Pte Ltd, OSK International Investment Pte Ltd and Echelon Sdn Bhd.

Dr Choong Tuck Yew is an independent non-Executive Director of the Manager and an independent member of the investment committee. He possesses a DComSc (Hons), an MBA, and is a Chartered Accountant (Malaysia) as well as a Member of the Malaysian Institute of Certified Public Accountants. He is also a Fellow of the CPA Australia, a Fellow of the Malaysian Association of the Institute of Chartered Secretaries and Administrators, a Fellow of the Chartered Tax Institute of Malaysia and a Chartered Fellow, as well as a Chartered Audit Committee Director of the Institute of Internal Auditors Malaysia. Dr. Choong is the Deputy Chairman of C&C Investigation Services Sdn. Bhd., a licensed private investigation agency approved by the Malaysian Ministry of Internal Security. Before his retirement, Dr. Choong was appointed by Bank Negara Malaysia as the Managing Director of Visia Finance Berhad, a licensed finance company (currently he is still a Director of the company). Prior to his secondment to Visia Finance Berhad, he was the Chief Manager in Bank Negara Malaysia, where he served for more than 25 years. Currently, Dr. Choong sits on the boards of Poh Kong Holdings Berhad as a senior independent non-Executive Director and SCC Holdings Berhad as an independent non-Executive Director. He is also an independent non-Executive Director of OSK-UOB Islamic Fund Management Berhad.

Dato Nik Mohamed Din bin Datuk Nik Yusoff is the non-independent non-Executive Chairman / Director of the Manager and a non-independent Chairman of the investment committee. He is a lawyer by profession. He read law in Lincolns Inn, London and was admitted to the English Bar in 1968. He then served as a Magistrate for the Malaysian Judicial Services in 1969. Thereafter, he joined private legal practice at Mah, Kok and Din as a lawyer for 13 years. In 1984, he left legal practice to join the stock broking business and assumed the position of the Executive Chairman as well as a shareholder of O.S.K. & Partners Sendirian Berhad (now known as OSK Investment Bank Berhad). In 1985, Dato Nik Mohamed Din was elected as Chairman and in 1988 appointed by the Ministry of Finance as the first Executive Chairman of the Kuala Lumpur Stock Exchange ("KLSE") (now known as Bursa Malaysia Securities Berhad) and he held this position for 12 years. Upon expiry of his 3rd term of appointment as Executive Chairman of the KLSE, Dato Nik Mohamed Din returned to the OSK Group as an Executive Chairman of OSK Holdings Berhad and re-designated as Non-Independent Non-Executive Chairman on 28 December 2009. Dato Nik Mohamed Din is

also the Executive Chairman / Director of OSK Ventures International Berhad and OSK Property Holdings Berhad, an independent non-Executive Chairman / Director of Jerasia Capital Berhad, the Chairman / non-Executive Director of QBE Insurance (Malaysia) Berhad and a non-independent non-Executive Director of OSK Investment Bank Berhad, OSK Trustee Berhad and Malaysian Trustee Berhad. He also sits on the boards of several other private limited companies.

Mr. Thio Boon Kiat, is a non-independent non-Executive Director of the Manager and nonindependent Member of the investment committee. Mr Thio is also the Managing Director and Chief Executive Officer of UOB Asset Management Ltd (UOBAM). He is a C.F.A. charter holder. He graduated with a Bachelor of Business Administration (First Class Honours) degree from the National University of Singapore. In 2004, he attended the Investment Management Program at Harvard Business School. In 2006, he also attended the Mastering Alternative Investments programme by Instead University. Mr Thio has over 18 years of investment management experience. He joined UOBAM in 1994 from the Government of Singapore Investment Corporation (GIC), as a portfolio manager managing Singapore, and subsequently Asia Pasific and Global equity port folios. Over the years, he also headed the International equities and Global Technology teams. In 2004, Mr Thio was appointed as Chief Investment Officer of UOBAM, a position he held till 2011 when he was promoted to his current appointment of Chief Executive Officer. Beyond his investment management responsibilities, Mr Thio has been instrumental in developing and designing UOBAMs product strategies for the retail and institutional markets, as well as spearheading UOBAMs expansion into the regional markets in Asia. He currently sits on the board of several UOB subsidiaries and affiliates, including UOB Asset Management (Singapore), UOB Asset Management (Thailand), UOB-OSK Asset Management Sdn Bhd, OSK-UOB Investment Management Berhad (formerly known as OSK-UOB Unit Trust Management Berhad), OSK-UOB Islamic Fund Management Berhad and Ping An UOB Fund Management Company Limited. Mr Thio has also been a member of the Executive Committee of the Investment Management Association of Singapore (IMAS) since 2006.

Investment Committee Members

The members of the Investment Committee for each of our unit trust funds are:

1. Encik Izlan Bin Izhab 2. Dr Choong Tuck Yew 3. Ms Eliza Ong Yin Suen 4. Dato Nik Mohamed Din bin Datuk Nik Yusoff 5. Mr Thio Boon Kiat (except for OSK-UOB Equity Trust, OSK-UOB Global Equity Yield Fund, OSK-UOB Asia Pacific Fund, OSK-UOB Global New Stars Fund, OSK-UOB Muhibbah Income Fund, OSK-UOB Golden Dragon Fund, OSK-UOB Asian Real Estate Fund, OSKUOB Asia Active Allocation Fund, OSK-UOB Big Cap China Enterprise Fund, OSK-UOB Asian Growth Opportunities Fund, OSK-UOB Global Capital Fund, OSK-UOB Gold and General Fund, OSK-UOB ASEAN Fund, OSK-UOB Asia Consumer Fund, OSK-UOB ChinaIndia Dynamic Growth Fund, OSK-UOB Asia Financials Fund, OSK-UOB Capital Protected Sector Strategy Fund, OSK-UOB Indonesia Equity Growth Fund, OSK-UOB Multi-Asset Recovery Strategy Fund, OSK-UOB US Legendary Fund, OSK-UOB Capital Protected Dual Opportunities Fund, OSK-UOB Taiwan Opportunity Fund, OSK-UOB Agriculture Fund, OSK-UOB Focus Bond Fund, OSK-UOB Focus Bond Fund - Series 2 and OSK-UOB Focus Bond Fund - Series 3) 6. Mr Ho Seng Yee

Management Staff

1. Mr Ho Seng Yee - Chief Executive Officer / Executive Director 2. Mr Lee Seng Young - Director / Head of Regional Operations 3. Ms Lee Siew Yoong - Director of Operations 4. Ms Alice Foong Yee Quan - Associate Director, Accounts 5. Ms Jasmine Ooi Hui Khim - Senior Vice President, Head of Marketing

Investment Team

1. Mr Ho Seng Yee - Designated Futures Fund Manager 2. Mr Eng Tuck Meng Francis - Chief Investment Officer 3. Mr Lee Seng Young - Director / Head of Regional Operations 4. Mr Lim Tze Cheng - Assistant Director - Equity 5. Ms Chan Mei Lin Portfolio Manager 6. Mr Liew Kong Qian Portfolio Manager 7. Mr Sean Seah Chin Hock Portfolio Manager

ANALYSIS OF THE COMPANY MANAGEMENT FUNCTION

PLANNING

About Financial Planning

People of Today - What Do They Want?

In todays fast growing economy, people are not only working towards financial growth and stability they are also looking towards a better lifestyle for themselves and their family. While chasing dreams of early retirement, sending their children for overseas tertiary education, owning a few units of properties and a diversified portfolio of investment instruments, many questions are left unanswered.

Often people have not taken sufficient steps to ensure that their assets are protected from risk as well as ensure that their dependants are adequately taken care of financially in the event they are no longer around or in active employment. While steps have been taken to ensure that there are some forms of assets distribution arrangements, the funds required during the interim period may not be adequately set aside or worse, these funds are not taken into consideration when making the arrangements.

Also, many of the people while investing their monies and receiving investment return had not been able to analyze the actual rate of return after inflation. In fact, their investment strategies may not be in-line with their Financial Goals and Objectives without them realizing it.

Realizing Financial Goals - What Do They Need?

How then can people fulfil their Financial Goals while maintaining their current lifestyle and make their savings work harder for them? What do people require in order to ensure that all aspects of achieving their Financial Goals are taken care of? When their life circumstance changes, how do they know what impact all these issues have on their existing strategies. What should they do?

The most talked about process today is Financial Planning. Although Financial Planning is relatively new to many people in Malaysia, it has been practiced in USA for more than 40 years. In Malaysia today, Financial Planning as a profession is regulated by the Securities Commission. Its importance and development stems from the recommendations in both the Capital Market Master plan 2001 and Financial Sector Master plan 2001.

Financial Planning - What is it all about?

Simply, Financial Planning is about helping an individual achieve his or her Financial Goals from where he or she is today. To many people, Financial Planning is a complicated process and that only the rich need to worry about it. Is this true? The answer is "No".

In fact, all of us need some form of Financial Planning. When we first purchase a house, we need to ascertain how much we can afford, how much loan to take, which financial institutions is giving the better rate and which loan is best suited to me for better cash flow management. When we invest our hard earned savings, we need to find out about our risk appetite, the time period of investment, the anticipated rate of return and asset portfolio.

If we need to categorize the different stages of the wealth management process and its solutions, it can be best described as follows:

1. -

Wealth Protection Insurance

2. -

Wealth Growth Unit Trust Funds (Learn about Unit Trust Basics) Equities Properties Savings accounts etc

3. -

Wealth Creation Insurance

4. -

Wealth Distribution Wills Trust

Doing Financial Planning - What are the Benefits to Me?

1.

Investment Growth Strategies for better Return on Investment. Find out Which Fund.

2.

Financial Protection in case of Disability and Critical Illness (when removed from Employment Permanently or Temporary)

3. 4. 5. 6. 7.

Health and Medical Coverage for Hospitalization and Surgical Costs Safeguard Family Income to ensure Continuity of Lifestyle Childrens Tertiary Education especially for Overseas Education Retirement Funds for Independent Post-Retirement Lifestyle Emergency Funds for Contingency and Replacement Costs

8.

Estate Distribution to ensure Proper Administration of Estate and Protection of Familys Assets

Financial Planning Process - What Do I Need to Know?

The Financial Planning Process involves a Six Step Process.

1. 2. 3. 4.

Establishing and Defining your Relationship with your Planner Gathering of your Personal and Financial Data including Goals Analyzing and Evaluating your Financial Status Developing alternatives and Presenting Financial Planning Recommendations and/or

5. 6.

Implementing the Recommendations Monitoring the Recommendations

Starting Financial Planning - What Should I Do?

Although the process sounds simple, many people may not be equipped with the knowledge and skills to do a proper financial planning on their own. Most often they are only able to address the issues which are most familiar to them and may overlook some pertinent issues which may have a great impact on the familys well being in future. Thus, the need for proper sound advice is important and the service of a qualified and professional Financial Planner is necessary.

To this end, the Securities Commission has recently implemented the regulation that all individuals wishing to offer financial planning and advisory services and hold themselves as Financial Planners must be licensed. Start by talking to them today.

ORGANIZING

Dato Nik Mohamed Bin Nik Yahya is an independent non-Executive Chairman/Director of the Manager and an independent Chairman of the Investment Committee. He is also an independent non-Executive Chairman of OSK-UOB Islamic Fund Management Berhad. This OSK-UOB Unit Trust Management Berhad is a privately owned investment manager who is manage by Dato Nik Mohamed Bin Nik Yahya . The firm manages equity, fixed income, and balanced mutual funds for its clients. It invests in the public equity and fixed income markets across the globe. For equity investments, the firm invests in growth and value stocks employing a fundamental analysis with a combination of top-down and bottom-up approach. For fixed income investments, it invests in bonds and fixed income securities employing a combination of fundamental and relative return analysis to make its investments. The firm operate as a subsidiary of OSK Investment Bank Bhd. OSK-UOB Unit Trust Management was founded in 1996 and is based in Kuala Lumpur, Malaysia. He also cooperated with other staff to manage the task with. Which is Encik Izlan Bin Izhab is an independent non-Executive Director of the Manager and independent Member of the Investment Committee, Ms Eliza Ong Yin Suen is a non-independent non-Executive Director of the Manager and non-independent Member of the Investment Committee. She joined OSK Holdings Berhad in 2002 as the Personal Assistant to Mr Ong Leong Huat, Group Managing Director/Chief Executive Officer of OSK Holdings Berhad, Dr Choong Tuck Yew is an independent non-Executive Director of the Manager and an independent Member of the Investment Committee, Mr. Thio Boon Kiat, is the Managing Director and Group Chief Investment Officer of UOB Asset Management Ltd (UOBAM), and Mr Ho Seng Yee, Chief Executive Officer, was appointed in November 2002. Those who are stated are managed the task together and can achieve their goal of the company.

LEADING

OSK-UOB Unit Trust Management Berhad (OSK-UOB) is a holder of a Capital Markets Services Licence and a Restricted Dealing License issued under the Capital Markets and Services Act 2007. OSK-UOB is a joint-venture company between the OSK Group and the UOB Group.

Then the Group continues to grow in many aspects; in terms of market coverage, products and services, human capital and skills set, financial strength as well as network infrastructure. The equities and futures segment retained its lead for the year under review as the major profit contributor to the Group. The lower contribution from the properties segment arises from the distribution of its shareholdings in OSK Property Holdings Berhad which was completed on 30 September 2008. The Groups performance in 2009 reflects a good mix and balance in terms of revenue and profit contributions from various business segments. The Groups treasury business in Malaysia has been proactive in expanding its product range and market reach, while keeping risk exposure under control. We will continue to invest aggressively in human capital, both by developing our existing people and by recruiting new talents from various backgrounds with new expertise and experience to join the Group. OSK-UOB Trust Management Berhad is a leading unit trust management company in Malaysia.

CONTROLLING
On 8th January 2007, HOSSB entered into a an agreement with EXXONMOBIL to provide all the supervision, procedure, labour , material , equipment, tools , service and all other things of the light nature pursuant to the EXXONMOBIL contract and EXXONMOBIL shall pay HOSSB for the above mention services and work done. The salient terms of the above agreement are as follow:

Duration
The contract shall commence from 1st may 2006 and shall be valid for five (5) years with two one years extension options each from the effective date.

Termination
EXXONMOBIL has the right to determine the contract by giving written notice upon occurrence of an event of default of HOSSB. EXXONMOBIL shall have the right at any time to suspend to terminate without cause all or any part of work by giving HOSSB a written notice specifying the part of the work to be suspended or terminated. If in the performance of the contract, HOSSB provides services, personnel and/or Equipment (as defined in the contract) in association with or pursuant to its association is terminated or for any reason ceases, EXXONMOBIL shall have the option to terminate the contract upon written notice to HOSSB. EXXONMOBIL shall have the right at its option to terminate the contract if HOSSB no longer holds a valid PETRONAS licence for this particular category of work / services due to the licence being suspended to terminate by PETRONAS.

PROBLEMS AND ISSUES ARISE

Fund Managers Report United Gold and General Fund

Physical gold started December 2009 at US$1,180/oz and initially strengthened to reach a monthly high of US$1,216/oz on 2 December 2009. The gold price then came under sustained selling pressure to reach a monthly low of US$1,084/oz on 22 December 2009 before staging a minor rally to close the month at US$1,097/oz. The recent strength in the gold price has been largely driven by the COMEX gold futures market, as shown by the November 2009 increase in total long positions to 1,234 tonnes (+7.9%). This was followed by profit taking in December, with COMEX long positions falling to 1,087 tonnes (-11.9%) by end-December 2009. COMEX long gold positions have now returned to the levels seen in September 2009 when the gold price broke through the US$1,000/oz level. We consider it a positive sign that the gold price remained above the US$1,045/oz level paid in November 2009 by the Reserve Bank of India for 200 tonnes of gold sold by the IMF.

Given the current inverse relationship between gold and the US Dollar, the gold price was hindered by the US Dollar index increasing from 74.9 to 77.9 (+4.0%) during December 2009. The US Dollar was particularly strong against the Euro, which declined from EURUSD1.50 to EURUSD1.43 (-4.6%) during the month. While the financial markets are concerned about the US Dollar, there are developing structural concerns about the Euro given problems in Greece, Iceland and Eastern Europe. Although a strong US Dollar could be a short-term negative for the gold price, we believe a developing crisis in any of the main fiat currencies may prove a longer-term positive for gold. The weakness in the COMEX gold futures markets was marginally offset by demand from

Gold ETFs and jewellery buying. There were anecdotal reports of stronger buying from the Indian jewellery markets, as shown by the Bombay Bullion Association (BBA) revising its 2009 demand projections upwards. There were also reports of stronger retail buying from China. These reports will be confirmed in February 2010, when the World Gold Council releases its assessment of 4Q09 gold supply and demand trends. Gold equities moved downwards in line with the decline in the physical gold price, with the ratio between the physical gold price and HUI index of gold-producing companies decreasing slightly from 2.5x to 2.6x. The gold/gold equities ratio remains above its 5-year average of 2.0x,

suggesting gold equities could still outperform the underlying gold price in an extended upward rally.

The HSBC Global Mining Index increased by 2.56% in December 2009. The demand outlook for bulk commodities - iron ore, coking coal and thermal coal continued to be strong due to higher Chinese imports and recovering OECD demand. Although the Baltic Dry Index weakened during the month, this was a reflection of shipping-related factors rather than underlying commodity demand. Surprisingly, spot prices for base metals continued to rise despite the ongoing increase in LME inventory levels. Historical data shows that base metal prices typically decline when faced with rising inventories. The Fund retains its neutral position on bulk commodities and underweight position on base metals. Crude oil prices started December 2009 at US$77.28/bbl and after choppy trading managed to close the month slightly higher at US$79.36/bbl (+2.7%).

Although crude oil inventories remain above their 5-year average, traders note the excess has been falling from the high point reached in April 2009. Unusually cold weather saw Henry Hub spot natural gas prices strengthen in December, climbing from $4.42/mmbtu to $5.83/mmbtu (+31.9%). While this is a temporary benefit to unhedged gas producers, we remain concerned by the longer term supply issues caused by expanding output from US shale gas producers. The Fund has again increased its exposure to unhedged US gas producers, as well as to oil & gas drilling services companies.

The Fund continues to be overweight gold equities relative to our benchmark, with a focus on gold producers with strong balance sheets and low production costs. Mixed signals from global economic indicators means that low interest rates and accommodative monetary policy are likely to continue, giving rise to potentially inflationary risks. There remains an outside chance of deflation given the overall contraction of US credit and the threat of falling asset prices to the US banking system. The Funds preference for gold is based on our belief that gold-related assets can perform well in both an inflationary and deflationary environment.

RECOMMENDATION

There are ways that we can conclude in order to solve the problems and issues rises. Hence among the ways are, they should pay a lot of attention and concern about the global economic indicators from time to time in order to the selling of gold prices. Furthermore, they should be more competitive with other companies and the demand. Besides that, the

allocations are reviewed quarterly and when there is a change in outlook or fundamentals. The revisions are made based on the reviews.

Unit trust investment is medium to long-term investments. In accordance with the mandate of the fund, they take a medium to long- term view with their investments. Securities are held as long as they remain attractive in terms of valuation, yield or growth. A target price or a fair value is set for each security invested in and they will take profit on a security when it has reached its fair value. For an investors perspective, they would enjoy a regular stream of income which could contribute towards fulfilling part of their liquidity needs. Apart from that, the process is largely bottom up. For the fixed income portfolio, the manager performs credit and valuation analysis to identify risk/cheapness of a particular issue. The manager focuses on yield at an acceptable risk premium to generate regular income while constantly searching for undervalued securities for potential upgrade. For the equity portion, the research team supports the manager by making bottom-up stock recommendations. These recommendations are aggregated into model portfolios for each major region, which support the firms' global equity products.

The manager should ensures that the Shariah model portfolio includes securities that are members of the Dow Jones Islamic Index or have approval from the Shariah board. This model portfolio is used to drive the live portfolio. Next, they do not have any typical trade; however, they do have typical style characteristics in their investments that should generally dominate. They will tend to see a focus on companies with market leadership, strong growth prospects and better-than-average profitability. Specific trades will be largely driven by changes to our research recommendations which are bottom-up driven.

CONCLUSION

Overall, the key challenges in developing this offering is, in terms of delivering a global Shariah-compliant equity product, there has been no major issue/change to the firms' research process. However, the model portfolio construction process does differ in accordance with benchmark consideration, and the portfolio management process is designed with additional elements to ensure compliance with Shariah principles, namely via the introduction of a screen for compliance. Their portfolio managers perform fundamental and valuation analysis of companies within their coverage. Specifically they, have a thorough understanding of a company's businesses, its earnings and cash flow dynamics. Familiar with the industry the company is involved in and monitor developments in the industry as they affect the company's operations and prospects. Assess the quality of the management and its corporate governance practices. Value the company's securities based on a sound and thorough understanding of its businesses, growth prospects and competitive position. Monitor the company's progress, stock performance and update the relevant parties. Recommend securities for inclusion into, or exit out of holdings.

REFERENCES
OSK-UOB: Let Our Expertise Work For You. (n.d.). Retrieved August 15, 2012, from OSKUOB: http://www.oskuob.com.my