Contents

Fund Information 2

Fund Performance 3

Manager’s Report 6

Trustee’s Report 10

Shariah Adviser’s Report 11

Statement By Manager 12

Independent Auditors’ Report 13

Statement Of Assets And Liabilities 16

Statement Of Income And Expenditure 17

Statement Of Changes In Net Asset Value 18

Statement Of Cash Flows 19

Notes To The Financial Statements 20

Corporate Information 35

Network Of Public Mutual Branch And Agency Offices 37

Public Islamic U.S. Equity Fund • 1

Fund Information Fund Information

Fund Name Fund Distribution Policy

Public Islamic U.S. Equity Fund (PIUSEQF) Incidental

Fund Category Breakdown of Unitholdings of PIUSEQF as at 31 May 2021

Equity (Shariah-compliant) Size of holdings No. of % of No. of units
unitholders unitholders held (million)
Fund Investment Objective
5,000 and below 2,978 21.65 10
To achieve capital growth over the medium to long term period by investing 5,001 to 10,000 2,461 17.89 18
in a portfolio of investments that complies with Shariah requirements. 10,001 to 50,000 5,330 38.74 122
50,001 to 500,000 2,836 20.62 388
Fund Performance Benchmark 500,001 and above 152 1.10 139
The benchmarks of the Fund and their respective percentages are 90% Total 13,757 100.00 677
S&P United States LargeCap Shariah Index and 10% 3-Month Islamic
Interbank Money Market (IIMM) rate. Note: Excluding Manager’s Stock.
The “S&P United States LargeCap Shariah Index” is a product of S&P Dow Jones Indices LLC or
its affiliates (“SPDJI”), and has been licensed for use by Public Mutual Berhad. Standard & Poor’s® Fund Performance
and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow
Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); and these
trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by Public Average Total Return for the Following Year Ended 31 May 2021
Mutual Berhad. It is not possible to invest directly in an index. PIUSEQF is not sponsored, endorsed,
sold or promoted by SPDJI, Dow Jones, S&P, any of their respective affiliates (collectively, “S&P Average Total
Dow Jones Indices”). S&P Dow Jones Indices will not make any representation or warranty, express
or implied, to the owners of the PIUSEQF or any member of the public regarding the advisability of Return of PIUSEQF (%)
investing in securities generally or in PIUSEQF particularly or the ability of the S&P United States
LargeCap Shariah Index to track general market performance. Past performance of an index is 1 Year 21.09
not an indication or guarantee of future results. S&P Dow Jones Indices’ only relationship to Public
Mutual Berhad with respect to the S&P United States LargeCap Shariah Index is the licensing of
the Index and certain trademarks, service marks and/or trade names of S&P Dow Jones Indices
Annual Total Return for the Financial Years Ended 31 May
and/or its licensors. The S&P United States LargeCap Shariah Index is determined, composed and
calculated by S&P Dow Jones Indices without regard to Public Mutual Berhad or the PIUSEQF. Year 2021 2020
S&P Dow Jones Indices has no obligation to take the needs of Public Mutual Berhad or the owners
of PIUSEQF into consideration in determining, composing or calculating the S&P United States
PIUSEQF (%) 21.09 18.72*
LargeCap Shariah Index. S&P Dow Jones Indices is not responsible for and have not participated
in the determination of the prices, and amount of PIUSEQF or the timing of the issuance or sale * The figure shown is for period since Fund commencement (30 April 2019).
of PIUSEQF or in the determination or calculation of the equation by which PIUSEQF is to be
converted into cash, surrendered or redeemed, as the case may be. S&P Dow Jones Indices has The calculation of the above returns is based on computation methods of Lipper.
no obligation or liability in connection with the administration, marketing or trading of PIUSEQF.
There is no assurance that investment products based on the S&P United States LargeCap Shariah Notes:
Index will accurately track index performance or provide positive investment returns. S&P Dow Jones
Indices LLC is not an investment or tax advisor. A tax advisor should be consulted to evaluate the 1. Total return of the Fund is derived by this formulae:

( )
impact of any tax-exempt securities on portfolios and the tax consequences of making any particular
investment decision. Inclusion of a security within an index is not a recommendation by S&P Dow End of Period FYCurrent Year NAV per unit
Jones Indices to buy, sell, or hold such security, nor is it considered to be investment advice. -1
End of Period FYPrevious Year NAV per unit
S&P DOW JONES INDICES DOES NOT GUARANTEE THE ADEQUACY, ACCURACY,
TIMELINESS AND/OR THE COMPLETENESS OF THE S&P UNITED STATES LARGECAP (Adjusted for unit split and distribution paid out for the period)
SHARIAH INDEX OR ANY DATA RELATED THERETO OR ANY COMMUNICATION, INCLUDING
BUT NOT LIMITED TO, ORAL OR WRITTEN COMMUNICATION (INCLUDING ELECTRONIC The above total return of the Fund was sourced from Lipper.
COMMUNICATIONS) WITH RESPECT THERETO. S&P DOW JONES INDICES SHALL NOT BE
SUBJECT TO ANY DAMAGES OR LIABILITY FOR ANY ERRORS, OMISSIONS, OR DELAYS 2. Average total return is derived by this formulae:
THEREIN. S&P DOW JONES INDICES MAKES NO EXPRESS OR IMPLIED WARRANTIES,
AND EXPRESSLY DISCLAIMS ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS Total Return
FOR A PARTICULAR PURPOSE OR USE OR AS TO RESULTS TO BE OBTAINED BY PUBLIC
MUTUAL BERHAD, OWNERS OF THE PIUSEQF, OR ANY OTHER PERSON OR ENTITY FROM Number of Years Under Review
THE USE OF THE S&P UNITED STATES LARGECAP SHARIAH INDEX OR WITH RESPECT TO
ANY DATA RELATED THERETO. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT
WHATSOEVER SHALL S&P DOW JONES INDICES BE LIABLE FOR ANY INDIRECT, SPECIAL,
INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES INCLUDING BUT NOT LIMITED TO,
LOSS OF PROFITS, TRADING LOSSES, LOST TIME OR GOODWILL, EVEN IF THEY HAVE
BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, WHETHER IN CONTRACT, TORT,
STRICT LIABILITY, OR OTHERWISE. THERE ARE NO THIRD PARTY BENEFICIARIES OF ANY
AGREEMENTS OR ARRANGEMENTS BETWEEN S&P DOW JONES INDICES AND PUBLIC
MUTUAL BERHAD, OTHER THAN THE LICENSORS OF S&P DOW JONES INDICES.

2 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 3
Fund Performance Fund Performance
For the Financial Year Ended 31 May 2021 For the Financial Year Ended 31 May 2021

Other Performance Data for the Past Two Financial Years Asset Allocation for the Past Two Financial Years (cont’d)
Ended 31 May As at 31 May
2021 2020 (Percent of NAV)
Unit Prices (MYR)
Highest NAV per unit for the year 0.3685 0.2985 2021 2020
Lowest NAV per unit for the year 0.2846 0.2273 % %
United States (cont’d)
Net Asset Value (NAV) and Units in Circulation Industrial 1.7 1.4
(UIC) as at the End of the Year Technology 33.1 34.4
Total NAV (MYR’000) 242,725 145,118
UIC (in ’000) 676,814 489,019 TOTAL QUOTED EQUITY SECURITIES 86.7 89.7
NAV per unit (MYR) 0.3586 0.2968 SHARIAH-BASED PLACEMENTS WITH
Total Return for the Year (%) 21.09 18.72 FINANCIAL INSTITUTIONS 14.8 9.9
Capital growth (%) 22.03 19.09 OTHER ASSETS & LIABILITIES -1.5 0.4
Income (%) -0.77 -0.31
Management Expense Ratio (%) 1.82 1.87
Portfolio Turnover Ratio (time) 0.28 0.77
Notes: Management Expense Ratio is calculated by taking the total management expenses
expressed as an annual percentage of the Fund’s average net asset value.
The Management Expense Ratio for the financial year 2021 dropped to 1.82% from
1.87% in the previous financial period mainly due to the Fund’s lower administrative
fees and expenses and the Fund’s higher average net asset value.
Portfolio Turnover Ratio is calculated by taking the average of the total acquisitions and
disposals of the investments in the Fund for the year over the average net asset value
of the Fund calculated on a daily basis.
The Portfolio Turnover Ratio for the financial year 2021 dropped to 0.28 times from 0.77
times in the previous financial period on account of lower level of rebalancing activities
performed by the Fund during the year.

Distribution and Unit Split

No distribution and unit split were declared for the financial years ended
31 May 2021 and 31 May 2020.
Past performance is not necessarily indicative of future performance and unit
prices and investment returns may go down, as well as up.

Asset Allocation for the Past Two Financial Years

As at 31 May
(Percent of NAV)
2021 2020
% %
EQUITY SECURITIES
Quoted
Outside Malaysia
United States
Communications 14.5 12.4
Consumer, Cyclical 8.2 8.5
Consumer, Non-cyclical 19.5 24.9
Energy 3.7 2.4
Financial 6.0 5.7

4 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 5
Manager’s Report Manager’s Report

Overview Returns Breakdown by Asset Class

This Annual Report covers the financial year from 1 June 2020 to Market /
31 May 2021. Returns On Benchmark Benchmark Average Attributed
Investments Returns Index Used Exposure Returns
Public Islamic U.S. Equity Fund (PIUSEQF or the Fund) seeks to achieve Shariah-
capital growth over the medium to long term period by investing in a compliant
portfolio of investments that complies with Shariah requirements. equity and
For the financial year under review, the Fund registered a return of +21.09% Shariah-
as compared to its Benchmark’s return of +26.99%. The Fund’s Shariah- compliant
compliant equity portfolio registered a return of +25.78% while its Islamic equity-
money market portfolio registered a return of +1.73% during the financial related
year under review. A detailed performance attribution analysis is provided securities 25.78% 29.86% Benchmark 88.11% 22.71%
in the sections below. Islamic money Overnight
market 1.73% 1.76% Islamic Rate 11.89% 0.21%
From its commencement on 30 April 2019 (being the last day of the initial
offer period) to 31 May 2021, the Fund generated a total cumulative return less:
of +43.76% as compared to its Benchmark’s return of +48.46% over the Expenses -1.83%
same period. As the Fund has generated a positive return over the review Total Net
period, it is the opinion of the Manager that the Fund is positioned to meet its Return for
objective of achieving capital growth over the medium to long term period. the Year 21.09%
Equity Benchmark = S&P United States LargeCap Shariah Index
Performance of PIUSEQF from 30 April 2019 Overnight Islamic Rate = Overnight Islamic Interbank Money Market Rate
(Commencement Date) to 31 May 2021
60%
Shariah-compliant Equity Portfolio Review
PIUSEQF BENCHMARK
50%
For the financial year under review, the Fund’s Shariah-compliant equity
40% portfolio registered a return of +25.78% as compared to the equity
Returns from Start of Period

30%
Benchmark’s return of +29.86%. The Fund’s Shariah-compliant equity
portfolio registered a lower return as compared to the equity Benchmark
20%
during the financial year under review as the latter was lifted by the rise
10% in Consumer stocks which the Fund had a lower exposure to due to the
uneven recovery of their earnings.
0%

The Fund commenced the financial year under review with a Shariah-
-10%
compliant equity exposure of 89.7% and ended the financial year under
-20% review with a Shariah-compliant equity exposure of 86.7% as the Fund
Apr-19 Sep-19 Feb-20 Jul-20 Dec-20 May-21
continued to capitalise on Shariah-compliant investment opportunities in
the U.S. market. Based on an average Shariah-compliant equity exposure
The Fund’s Benchmark is a composite index comprising 90% S&P United of 88.11%, the Fund’s Shariah-compliant equity portfolio is deemed to have
States LargeCap Shariah Index and 10% 3-Month Islamic Interbank Money registered a return of +22.71% to the Fund as a whole for the financial year
Market (IIMM) rate. under review. A full review of the performance of the equity market is tabled
in the following sections.
Effect of Distribution Reinvestment on Portfolio Exposures
Sector Allocation
There were no distributions declared for the year ended 31 May 2021.
The top 5 sectors in the United States invested by the Fund are Technology,
Change in Portfolio Exposures from 31-May-20 to 31-May-21 Consumer (Non-cyclical), Communications, Consumer (Cyclical) and
Financial.
31-May-20 31-May-21 Change
Shariah-compliant equity and
Shariah-compliant equity-related
securities 89.7% 86.7% -3.0%
Islamic money market 10.3% 13.3% +3.0%

6 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 7
Manager’s Report Manager’s Report

Stock Market Review Outlook and Investment Strategy

Shariah-compliant equities in the U.S. market, as proxied by the S&P U.S. Global and regional markets experienced volatile trading conditions in 2020.
Shariah Index, commenced the financial year under review at 251.67 points. After retracing sharply from late January to March 2020 amid economic
The index rose in early June 2020 amid better-than-expected corporate concerns over the lockdowns of major cities and supply chain disruptions
profits and the gradual reopening of the U.S. economy, before retracing in across the globe, the markets subsequently rebounded on the back of
the latter half of June 2020 on concerns over a resurgence of new Covid-19 concerted global policy responses and the phased lifting of lockdown
cases in several U.S. states. Encouraging results from clinical trials of restrictions. Despite concerns over elevated Covid-19 cases in certain
potential Covid-19 vaccines, coupled with better-than-expected jobs data countries and the subsequent lockdowns, global markets generally traded
and corporate earnings releases, led the index higher from July to early higher in the first five months of 2021 on optimism over a broader-based
September 2020. The index subsequently traded range-bound for the economic recovery amid the accelerated pace of nation-wide vaccinations.
remainder of September and October 2020, before rallying in November
and December 2020 amid optimism following the U.S. Presidential election To mitigate the adverse economic impact of Covid-19, central banks and
as well as positive developments on Covid-19 vaccine approvals. governments around the world have ramped up stimulus efforts in the
form of policy rate cuts, liquidity injections and financial relief. As with the
The S&P U.S. Shariah Index extended its rally into mid-February 2021 on recovery of the global economy from the 2008 downturn, the combination
hopes that a larger stimulus package proposed by the Biden administration of accommodative monetary policies and fiscal stimulus measures should
would bolster the nation’s economic recovery, but trended lower in late lend support to economic activities and gradually restore consumer and
February 2021 on concerns over inflationary pressures and higher bond business confidence.
yields. The index subsequently rose to a record high of 354.91 points
on 26 April 2021 amid rotational interest into cyclical stocks as investors Looking ahead, the equity markets’ longer-term performance will depend
positioned for an economic recovery. After profit-taking activities in mid- on the pace of recovery in the key economies of the U.S., Europe and the
May 2021, technology stocks subsequently rebounded in late May 2021. Asia Pacific region. Investors will also continue to monitor new Covid-19
The S&P U.S. Shariah Index closed at 349.06 points to register a gain infections with the progress of vaccinations globally.
of 38.70% (+31.59% in Ringgit terms) for the financial year under review. Led by a recovery in consumer and investment spending, the U.S. economy
is anticipated to recover strongly to a growth of 6.5% in 2021 compared to
Economic Review a contraction of 3.5% in 2020.
The U.S. registered a real gross domestic product (GDP) growth of 0.4% Supported by an improving economic outlook among the developed
in 1Q 2021 compared to a contraction of 3.5% in 2020 following a recovery markets, the U.S. market’s prospective P/E ratio of 22.5x as at end-May
in consumer and private investment spending. Consumer spending grew 2021 was above its 10-year average of 17.0x.
by 1.8% in 1Q 2021 compared to a decline of 3.9% in 2020. Meanwhile,
private investment spending increased by 4.9% versus a fall of 5.2% over Given the above factors, the Fund will continue to rebalance its investment
the same period. portfolio accordingly with the objective of achieving capital growth over the
medium to long term period by investing in a portfolio of investments that
To cushion the economic impact of Covid-19, the Federal Reserve (Fed) complies with Shariah requirements.
reduced the Federal funds rate by a total of 150 basis points (bps) (to a
range of 0%-0.25%), launched an open-ended quantitative easing (QE) Notes: Q = Quarter
programme and disbursed up to US$2.3 trillion in loans last year. On H = Half
27 August 2020, the Fed also announced a new monetary policy framework,
focusing on a more flexible inflation policy target averaging around 2.0%. At Policy on Soft Commissions
the Federal Open Market Committee (FOMC) meeting on 27-28 April 2021, The management company may receive goods or services which include
the Fed maintained the Federal funds rate and remained committed to its research materials, data and quotation services and investment related
bond-buying programme; even as the U.S. economic recovery gains pace publications by way of soft commissions provided they are of demonstrable
while inflation continues to trend higher. benefit to the Fund and unitholders.
Meanwhile, the U.S. government launched a US$2.7 trillion stimulus During the financial year under review, PIUSEQF has received data and
package (12.9% of the 2020 U.S. GDP) in 1H 2020, followed by an quotation services by way of soft commissions. These services were used
additional US$0.9 trillion stimulus package (4.3% of the 2020 U.S. GDP) to provide financial data on securities and price quotation information to the
in December 2020. On 11 March 2021, a new Covid-19 relief stimulus Fund Manager during the financial year under review.
of US$1.9 trillion (9.1% of the 2020 U.S. GDP) was approved to aid the
recovery of the U.S. economy.

8 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 9
Trustee’s Report Shariah Adviser’s Report
For the Financial Year Ended 31 May 2021

To the Unitholders of To the Unitholders of

PUBLIC ISLAMIC U.S. EQUITY FUND PUBLIC ISLAMIC U.S. EQUITY FUND
We, AMANAHRAYA TRUSTEES BERHAD, have acted as Trustee of PUBLIC We have acted as the Shariah Adviser of PUBLIC ISLAMIC U.S. EQUITY
ISLAMIC U.S. EQUITY FUND for the financial year ended 31 May 2021. In FUND. Our responsibility is to ensure that the procedures and processes
our opinion, PUBLIC MUTUAL BERHAD, the Manager, has operated and employed by PUBLIC MUTUAL BERHAD and that the provisions of the
managed PUBLIC ISLAMIC U.S. EQUITY FUND in accordance with the Master Deed dated 28 January 1999 and subsequent Supplemental Master
limitations imposed on the investment powers of the management company Deeds (collectively referred to as “Deeds”) are in accordance with Shariah
under the Deed, securities laws and the applicable Guidelines on Unit Trust principles.
Funds during the financial year then ended.
We hereby confirm the following:
We are also of the opinion that:
To the best of our knowledge, after having made all reasonable enquiries,
(a) Valuation and pricing is carried out in accordance with the Deed and PUBLIC MUTUAL BERHAD has operated and managed the Fund during
any regulatory requirement; and the period covered by this financial statements ended 31 May 2021 in
accordance with the Shariah principles and complied with the applicable
(b) Creation and cancellation of units are carried out in accordance with guidelines, rulings or decisions issued by the Securities Commission
the Deed and any regulatory requirement. Malaysia pertaining to Shariah matters.
The asset of the Fund comprises of instruments that have been classified
as Shariah-compliant by the Shariah Advisory Council (“SAC”) of the
Securities Commission Malaysia, the SAC of Bank Negara Malaysia or the
Shariah Supervisory Board of Standard & Poor’s Shariah Indices. As for
the instruments which are not classified as Shariah-compliant by the SAC
Yours faithfully of the Securities Commission Malaysia, the SAC of Bank Negara Malaysia
AMANAHRAYA TRUSTEES BERHAD or the Shariah Supervisory Board of Standard & Poor’s Shariah Indices, we
have reviewed the said instruments and confirm that these instruments are
Shariah-compliant.
The instruments which were earlier classified as Shariah-compliant
and subsequently reclassified as Shariah non-compliant by the Shariah
Supervisory Board of Standard & Poor’s Shariah Indices consist of The
ZAINUDIN BIN SUHAIMI Boeing Company and Viatris Inc. These reclassified Shariah non-compliant
Chief Executive Officer instruments shall be disposed of in accordance with the Fund’s Shariah
Investment guidelines as provided in the Fund’s deed and disclosed in
Kuala Lumpur, Malaysia the Fund’s prospectus, of which Viatris Inc had been fully disposed on
21 June 2021 23 November 2020.

For ZICO Shariah Advisory Services Sdn Bhd

DR. AIDA OTHMAN PROF. DR. MOHAMAD AKRAM LALDIN

Director Designated Person Responsible for
Shariah Advisory
29 June 2021

10 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 11
Statement By Manager Independent Auditors’ Report

We, TAN SRI DATO’ SRI TAY AH LEK and QUAH POH KEAT, being two Independent auditors’ report to the Unitholders of
of the directors of PUBLIC MUTUAL BERHAD, do hereby state that, in PUBLIC ISLAMIC U.S. EQUITY FUND
the opinion of the Manager, the accompanying statement of assets and
liabilities as at 31 May 2021 and the related statement of income and Report on the audit of the financial statements
expenditure, statement of changes in net asset value and statement of Opinion
cash flows for the financial year ended on that date together with the notes
thereto, are drawn up in accordance with Malaysian Financial Reporting We have audited the financial statements of PUBLIC ISLAMIC U.S. EQUITY
Standards and International Financial Reporting Standards so as to give a FUND (“the Fund”), which comprise the statement of assets and liabilities as
true and fair view of the financial position of PUBLIC ISLAMIC U.S. EQUITY at 31 May 2021, and the statement of income and expenditure, statement of
FUND as at 31 May 2021 and of its financial performance, changes in net changes in net asset value and statement of cash flows of the Fund for the
asset value and cash flows for the financial year then ended and comply financial year then ended, and notes to the financial statements, including
with the requirements of the Deeds. a summary of significant accounting policies, as set out on pages 16 to 34.
In our opinion, the accompanying financial statements give a true and fair
view of the financial position of the Fund as at 31 May 2021, and of its
financial performance and its cash flows for the financial year then ended
in accordance with Malaysian Financial Reporting Standards (“MFRS”) and
International Financial Reporting Standards (“IFRS”).
For and on behalf of the Manager Basis for opinion
We conducted our audit in accordance with approved standards on auditing
in Malaysia and International Standards on Auditing. Our responsibilities
under those standards are further described in the Auditors’ responsibilities
for the audit of the financial statements section of our report. We believe
that the audit evidence we have obtained is sufficient and appropriate to
TAN SRI DATO’ SRI TAY AH LEK provide a basis for our opinion.
Independence and other ethical responsibilities
We are independent of the Fund in accordance with the By-Laws (on
Professional Ethics, Conduct and Practice) of the Malaysian Institute of
Accountants (“By-Laws”) and the International Code of Ethics for Professional
Accountants (including International Independence Standards) (“IESBA
QUAH POH KEAT Code”), and we have fulfilled our other ethical responsibilities in accordance
with the By-Laws and the IESBA Code.
29 June 2021
Information other than the financial statements and auditors’ report
thereon
The Manager of the Fund is responsible for the other information. The other
information comprises the information included in the Annual Report of the
Fund, but does not include the financial statements of the Fund and our
auditors’ report thereon.
Our opinion on the financial statements of the Fund does not cover the other
information and we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements of the Fund, our
responsibility is to read the other information and, in doing so, consider
whether the other information is materially inconsistent with the financial
statements of the Fund or our knowledge obtained in the audit or otherwise
appears to be materially misstated. If, based on the work we have performed,
we conclude that there is a material misstatement of this other information,
we are required to report that fact. We have nothing to report in this regard.

12 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 13
Independent Auditors’ Report (cont’d) Independent Auditors’ Report (cont’d)

Report on the audit of the financial statements (cont’d) Report on the audit of the financial statements (cont’d)
Responsibility of the Manager and Trustee for the financial statements Auditors’ responsibility for the audit of the financial statements (cont’d)
The Manager of the Fund is responsible for the preparation of financial • Conclude on the appropriateness of the Manager’s use of the going
statements of the Fund that give a true and fair view in accordance with concern basis of accounting and, based on the audit evidence obtained,
MFRS and IFRS. The Manager is also responsible for such internal control whether a material uncertainty exists related to events or conditions
as the Manager determines is necessary to enable the preparation of financial that may cast significant doubt on the Fund’s ability to continue as a
statements of the Fund that are free from material misstatement, whether going concern. If we conclude that a material uncertainty exists, we
due to fraud or error. are required to draw attention in our auditors’ report to the related
disclosures in the financial statements of the Fund or, if such disclosures
In preparing the financial statements of the Fund, the Manager is responsible are inadequate, to modify our opinion. Our conclusions are based on the
for assessing the Fund’s ability to continue as a going concern, disclosing, audit evidence obtained up to the date of our auditors’ report. However,
as applicable, matters related to going concern and using the going concern future events or conditions may cause the Fund to cease to continue
basis of accounting unless the Manager either intends to liquidate the Fund as a going concern.
or to cease operations, or has no realistic alternative but to do so.
• Evaluate the overall presentation, structure and content of the financial
The Trustee is responsible for overseeing the Fund’s financial reporting statements of the Fund, including the disclosures, and whether the
process. The Trustee is also responsible for ensuring that the Manager financial statements of the Fund represent the underlying transactions
maintains proper accounting and other records as are necessary to enable and events in a manner that achieves fair presentation.
true and fair presentation of these financial statements.
We communicate with the Manager regarding, among other matters, the
Auditors’ responsibility for the audit of the financial statements planned scope and timing of the audit and significant audit findings, including
Our objectives are to obtain reasonable assurance about whether the financial any significant deficiencies in internal control that we identify during our audit.
statements of the Fund as a whole are free from material misstatement, Other matters
whether due to fraud or error, and to issue an auditors’ report that includes
our opinion. Reasonable assurance is a high level of assurance, but is not This report is made solely to the unitholders of the Fund, as a body, in
a guarantee that an audit conducted in accordance with approved standards accordance with Guidelines on Unit Trust Funds issued by Securities
on auditing in Malaysia and International Standards on Auditing will always Commission Malaysia and for no other purpose. We do not assume
detect a material misstatement when it exists. Misstatements can arise from responsibility to any other person for the content of this report.
fraud or error and are considered material if, individually or in the aggregate,
they could reasonably be expected to influence the economic decisions of
users taken on the basis of these financial statements.
As part of an audit in accordance with approved standards on auditing in
Malaysia and International Standards on Auditing, we exercise professional
judgment and maintain professional skepticism throughout the audit. We also: Ernst & Young PLT Ng Sue Ean
• Identify and assess the risks of material misstatement of the financial 202006000003 (LLP0022760-LCA) & AF 0039 No. 03276/07/2022 J
statements of the Fund, whether due to fraud or error, design and perform Chartered Accountants Chartered Accountant
audit procedures responsive to those risks, and obtain audit evidence
that is sufficient and appropriate to provide a basis for our opinion. The Kuala Lumpur, Malaysia
risk of not detecting a material misstatement resulting from fraud is 29 June 2021
higher than for one resulting from error, as fraud may involve collusion,
forgery, intentional omissions, misrepresentations, or the override of
internal control.
• Obtain an understanding of internal control relevant to the audit in order
to design audit procedures that are appropriate in the circumstances,
but not for the purpose of expressing an opinion on the effectiveness
of the Fund’s internal control.
• Evaluate the appropriateness of accounting policies used and the
reasonableness of accounting estimates and related disclosures made
by the Manager.

14 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 15
Statement Of Assets And Liabilities Statement Of Income And Expenditure
As at 31 May 2021 For the Financial Year Ended 31 May 2021

Note 2021 2020 1.6.2020 10.4.2019

MYR’000 MYR’000 to to
Assets Note 31.5.2021 31.5.2020
Investments 4 210,453 130,225 MYR’000 MYR’000
Due from the Manager, net 7 - 342 Income
Other receivables 203 157 Profit from Shariah-based placements 352 442
Shariah-based placements with financial Dividend income 1,817 1,015
institutions 8 35,888 14,344 Net gain from investments 4 37,477 16,108
Cash at banks 9 196 77 Net realised gain on sale of
246,740 145,145 non-permissible securities 6(b) 13 -
Liabilities Net realised/unrealised foreign
Due to the Manager, net 7 3,980 - exchange gain/(loss) 87 (159)
Due to the Trustee 12 7 39,746 17,406
Other payables 23 20 Less: Expenses
4,015 27 Trustee’s fee 13 115 51
Management fee 14 3,337 1,478
Total net assets 242,725 145,118 Audit fee 7 7
Tax agent’s fee 3 3
Net asset value (“NAV”) attributable
Brokerage fee 25 32
to unitholders (Total equity) 10 242,725 145,118
Administrative fees and expenses 34 65
Units in circulation (in ’000) 11 676,814 489,019
3,521 1,636
NAV per unit (in sen) 35.86 29.68
Net income before taxation 36,225 15,770
Taxation 15 (537) (297)

The accompanying notes are an integral part of this statement. Net income after taxation 35,688 15,473
Net income after taxation is made up
as follows:
Realised 3,591 (618)
Unrealised 32,097 16,091
35,688 15,473

The accompanying notes are an integral part of this statement.

16 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 17
Statement Of Changes In Net Asset Value Statement Of Cash Flows
For the Financial Year Ended 31 May 2021 For the Financial Year Ended 31 May 2021

Unitholders’ Retained 1.6.2020 10.4.2019

capital earnings Total to to
MYR’000 MYR’000 MYR’000 31.5.2021 31.5.2020
MYR’000 MYR’000
As at 10 April 2019 - - -
Cash flows from operating activities
Creation of units 140,984 - 140,984
Proceeds from sale of investments 32,205 411
Cancellation of units (11,339) - (11,339)
Purchase of investments (74,982) (114,580)
Net income after taxation - 15,473 15,473
Maturity of Shariah-based placements 4,899,560 3,833,871
As at 31 May 2020 129,645 15,473 145,118 Shariah-based placements (4,921,104) (3,848,215)
Profit from Shariah-based placements
received 352 440
Net dividend income received 1,230 567
As at 1 June 2020 129,645 15,473 145,118
Trustee’s fee paid (110) (44)
Creation of units 101,271 - 101,271
Management fee paid (3,177) (1,266)
Cancellation of units (39,352) - (39,352)
Audit fee paid (7) (3)
Net income after taxation - 35,688 35,688
Tax agent’s fee paid (3) -
As at 31 May 2021 191,564 51,161 242,725 Payment of other fees and expenses (31) (52)
Net cash outflow from operating activities (66,067) (128,871)

The accompanying notes are an integral part of this statement. Cash flows from financing activities
Cash proceeds from units created 101,811 140,430
Cash paid on units cancelled (35,730) (11,339)
Net cash inflow from financing activities 66,081 129,091
Net increase in cash and cash equivalents 14 220
Effect of changes in foreign exchange
rates 105 (143)
Cash and cash equivalents at the
beginning of the financial year/period 77 -
Cash and cash equivalents at the end of
the financial year/period 196 77

The accompanying notes are an integral part of this statement.

18 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 19
Notes To The Financial Statements Notes To The Financial Statements
31 May 2021 31 May 2021

1. The Fund, The Manager and Their Principal Activities 2. Summary of Significant Accounting Policies (cont’d)
The Public Islamic U.S. Equity Fund (hereinafter referred to as “the (a) Basis of Preparation (cont’d)
Fund”) was set up pursuant to the execution of a Supplemental
Master Deed dated 15 February 2019 between the Manager, Public Effective dates
Mutual Berhad, the Trustee, AmanahRaya Trustees Berhad and the for financial periods
registered unitholders of the Fund. The Fund is governed by a Master beginning on or after
Deed dated 28 January 1999 and subsequent Supplemental Master Reference to the Conceptual Framework 1 January 2022
Deeds (collectively referred to as “Deeds”). (Amendments to MFRS 3 Business
The Fund’s objective is to achieve capital growth over the medium Combinations) *
to long term period by investing in a portfolio of investments that Property, Plant and Equipment - Proceeds 1 January 2022
complies with Shariah requirements. The Fund invests in investments before Intended Use (Amendments to
as defined in the Deeds. The Fund was launched on 10 April 2019 and MFRS 116 Property, Plant and Equipment) *
will continue its operations until terminated by the Trustee as provided Onerous Contracts - Cost of Fulfilling a 1 January 2022
in the Master Deed. Contract (Amendments to MFRS 137
Provisions, Contingent Liabilities and
The Manager of the Fund is Public Mutual Berhad, a company Contingent Assets) *
incorporated in Malaysia. Its principal activities are the management MFRS 17 - Insurance Contracts * 1 January 2023
of unit trusts and the sale of trust units. Its ultimate holding company Amendments to MFRS 17 Insurance 1 January 2023
is Public Bank Berhad, a licensed bank incorporated in Malaysia and Contracts *
listed on the Main Market of Bursa Malaysia Securities Berhad. Classification of Liabilities as Current or 1 January 2023
Non-current (Amendments to MFRS 101
2. Summary of Significant Accounting Policies Presentation of Financial Statements)
Disclosure of Accounting Policies 1 January 2023
(a) Basis of Preparation (Amendments to MFRS 101 Presentation
of Financial Statements)
The financial statements of the Fund have been prepared under
Definition of Accounting Estimates 1 January 2023
the historical cost convention, as modified by the revaluation of
(Amendments to MFRS 108 Accounting
financial assets and financial liabilities at fair value and comply
Policies, Changes in Accounting Estimates
with Malaysian Financial Reporting Standards (“MFRS”) and
and Errors)
International Financial Reporting Standards (“IFRS”).
Sale or Contribution of Assets between an To be announced
The Fund has adopted MFRSs, Amendments and Issue Investor and its Associate or Joint Venture
Committee (“IC”) Interpretations which were effective from periods (Amendments to MFRS 10 and MFRS 128) *
beginning on or after 1 January 2020 and 1 June 2020. The
* These MFRSs and Amendments are not relevant to the Fund.
adoption of these MFRSs, Amendments and IC Interpretations
do not have any significant impact on the financial statements of (b) Accounting Estimates and Judgements
the Fund.
The preparation of the Fund’s financial statements requires the
The Fund will adopt the following MFRSs and Amendments Manager to make judgements, estimates and assumptions that
when they become effective in the respective financial periods affect the reported amounts of revenues, expenses, assets
and these MFRSs and Amendments are not expected to have and liabilities, and the disclosure of contingent liabilities at the
material impact to the financial statements of the Fund upon the reporting date. However, uncertainty about these assumptions
initial application. and estimates could result in outcome that could require a
Effective dates material adjustment to the carrying amount of an asset or a
for financial periods liability in the future.
beginning on or after There are no major judgements nor key assumptions concerning
Interest Rate Benchmark Reform - Phase 2 1 January 2021 the future and other key sources of estimation uncertainty at the
(Amendments to MFRS 9, MFRS 139, reporting date, that may cast significant doubt upon the Fund’s
MFRS 7, MFRS 4 and MFRS 16) * ability to continue as a going concern. Therefore, the financial
Covid-19 - Related Rent Concessions 1 April 2021 statements continue to be prepared on the going concern basis.
beyond 30 June 2021 (Amendment to (c) Fair Value Measurement
MFRS 16 Leases) *
Amendments to MFRSs contained in the 1 January 2022 Fair value is the price that would be received to sell an asset or
document entitled “Annual Improvements paid to transfer a liability in an orderly transaction between market
to MFRS Standards 2018-2020” participants at the measurement date.

20 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 21
Notes To The Financial Statements Notes To The Financial Statements
31 May 2021 31 May 2021

2. Summary of Significant Accounting Policies (cont’d) 2. Summary of Significant Accounting Policies (cont’d)
(d) Financial Instruments (d) Financial Instruments (cont’d)
Financial assets and financial liabilities are recognised in the i) Financial Assets (cont’d)
Statement of Assets and Liabilities when, and only when, the Fund
becomes a party to the contractual provisions of the instrument. Financial Assets at amortised cost
A financial asset is measured at amortised cost if it is held
A financial asset or financial liability is considered to be held for within a business model whose objective is to hold financial
trading if: assets in order to collect contractual cash flows and its
contractual terms give rise on specified dates to cash flows
• It is acquired or incurred principally for the purpose of selling that are solely payments of principal and interest on the
or repurchasing it in the near term; or principal amount outstanding. The Fund includes in this
• On initial recognition, it is part of a portfolio of identified financial category amount due from brokers/financial institutions,
instruments that are managed together and for which, there is amount due from the Manager, other receivables, Shariah-
evidence of a recent actual pattern of short-term profit-taking; based placements with financial institutions and cash at
or banks.

• It is a derivative (except for a derivative that is a financial ii) Financial Liabilities

guarantee contract or a designated and effective hedging Financial liabilities are recognised initially at fair value and
instrument). classified according to the substance of the contractual
i) Financial Assets arrangements entered into and the definitions of a financial
liability.
The Fund determines the classification of its financial assets
at initial recognition, and the categories include financial The Fund derecognises a financial liability when the obligation
assets measured at fair value through profit or loss (“FVTPL”) under the liability is discharged, cancelled or expired.
and financial assets measured at amortised cost. Financial Liabilities at FVTPL
When financial assets are recognised initially on trade date, A financial liability is measured at FVTPL if it meets the
they are measured at fair value, plus, in the case of financial definition of held for trading.
assets not at FVTPL, directly attributable transaction costs. Financial Liabilities at amortised cost
Financial assets are derecognised on trade date when This category includes all financial liabilities, other than those
the rights to receive cash flows from the investments have measured at FVTPL. The Fund includes in this category
expired or the Fund has transferred substantially all risks and amount due to brokers/financial institutions, amounts due to
rewards of ownership. the Manager and the Trustee, and other payables.

Financial Assets at FVTPL Impairment

A financial asset is classified as FVTPL if it meets the definition The Fund holds only receivables which have maturities of less than
of held for trading. Subsequent to initial recognition, financial 12 months at amortised cost and has chosen to apply the simplified
assets at FVTPL are measured at fair value. Changes in approach on all receivables.
the fair value of those financial instruments are recorded
(e) Foreign Currency
in “Net gain or loss on financial assets at FVTPL”. Interest
earned and dividend revenue elements of such instruments i) Functional and Presentation Currency
are recorded separately in “Interest income” and “Dividend
income” respectively. Exchange differences on financial The financial statements of the Fund are measured using
assets at FVTPL are not recognised separately in profit or the currency of the primary economic environment in which
loss but are included in net gain or net loss on changes in fair the Fund operates (“the functional currency”). The financial
value of financial assets at FVTPL. statements are presented in Malaysian Ringgit (“MYR”), which
is also the Fund’s functional currency.

22 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 23
Notes To The Financial Statements Notes To The Financial Statements
31 May 2021 31 May 2021

2. Summary of Significant Accounting Policies (cont’d) 2. Summary of Significant Accounting Policies (cont’d)
(e) Foreign Currency (cont’d) (j) Interest from Foreign Currency Accounts
ii) Foreign Currency Transactions A portion of the cash is maintained in foreign currency accounts
outside Malaysia to facilitate the settlement of purchase and selling
Transactions in foreign currencies are measured and recorded of foreign securities in a particular country. Interest earned, if any,
in the functional currency of the Fund on initial recognition at
from these accounts is not recognised as income to the Fund. Such
exchange rates approximating those ruling at the transaction
interest will be channelled to charitable bodies as part of the Fund’s
dates. Monetary assets and liabilities denominated in foreign
cleansing process in line with the advice of the Shariah Adviser.
currencies are translated at the rate of exchange ruling at
the reporting date. Non-monetary items denominated in (k) Related Parties
foreign currencies that are measured at historical cost are
translated using the exchange rates as at the dates of the Related parties refer to Public Bank Berhad and its subsidiaries.
initial recognition.
3. Financial Risk and Capital Management Policies
Exchange differences arising from translation of monetary
items at the reporting date are recognised in profit or loss. The Fund is exposed to a variety of financial risks, which include market
Exchange differences arising from the translation of non- risk (such as price risk and currency risk), credit and counterparty
monetary financial assets at FVTPL are included in profit risk, single issuer risk, liquidity risk, reclassification of Shariah status
or loss. risk and the current COVID-19 pandemic. The overall financial risk
management objective of the Fund is to mitigate capital loss.
(f) Unitholders’ Capital
Financial risk management is carried out through policy reviews,
The Unitholders’ contributions to the Fund meet the definition of internal control systems and adherence to the investment powers and
puttable instruments and are classified as equity instruments.
restrictions stipulated in the Guidelines on Unit Trust Funds issued by
Distribution equalisation represents the average distributable Securities Commission Malaysia.
amount included in the creation and cancellation prices of
units. This amount is either refunded to Unitholders by way of
(a) Market Risk
distribution and/or adjusted accordingly when units are cancelled. Market risk arises when the value of the securities fluctuates in
response to the activities of individual companies, and general
(g) Cash and Cash Equivalents
market or economic environments. Market risk is managed
Cash and cash equivalents comprise cash at licensed banks through portfolio diversification and changes in asset allocation.
which are subject to an insignificant risk of changes in value. It comprises the following risks:

(h) Income i) Price Risk

Income is recognised to the extent that it is probable that the Price risk is the risk that prices of equity securities rise or fall
economic benefits will flow to the Fund and the income can as a result of changes in factors specific to a particular security
be reliably measured. Income is measured at the fair value of or general market conditions.
consideration received or receivable, and is presented gross of
The increase/(decrease) in the NAV attributable to unitholders
withholding tax which is disclosed separately.
as at reporting date, assuming equity prices change by +/(-) 5%
Dividend income is recognised on the date when the Fund’s right with all other variables held constant, is +/(-) MYR10,523,000
to receive the payment is established. (2020: +/(-) MYR6,511,000). This analysis is for illustration
purpose only and not an indication of future variances.
Profit from Shariah-based placements, income from sukuk and
accretion of discount/amortisation of premium are recognised ii) Currency Risk
using the effective interest method.
The Fund invests in financial instruments denominated in
(i) Taxation currencies other than its functional currency. Consequently,
the Fund is exposed to risks arising from changes in the
Current tax assets and liabilities are measured at the amount exchange rate of its functional currency relative to other
expected to be recovered from or paid to the tax authorities. The foreign currencies that might significantly impact the value of
tax rate and tax laws used to compute the amount are those that the Fund’s assets or liabilities denominated in currencies other
are enacted or substantively enacted by the reporting date. The than Malaysian Ringgit.
Fund may also incur withholding taxes on income received from
financial instruments.

24 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 25
Notes To The Financial Statements Notes To The Financial Statements
31 May 2021 31 May 2021

3. Financial Risk and Capital Management Policies (cont’d) 3. Financial Risk and Capital Management Policies (cont’d)
(a) Market Risk (cont’d) (f) Capital Management
ii) Currency Risk (cont’d) Capital is represented by unitholders’ subscription to the Fund.
The amount of capital can change significantly on a daily basis
The increase/(decrease) in the NAV attributable to unitholders as the Fund is subject to daily redemption and subscription at
as at reporting date, assuming exchange rates of foreign the discretion of unitholders. The Manager manages the Fund’s
currencies fluctuate by +/(-) 5% with all other variables held capital in accordance to its objective as stated in Note 1, while
constant, is +/(-) MYR10,539,000 (2020: +/(-) MYR6,520,000). maintaining sufficient liquidity to meet unitholders’ redemption as
This analysis is for illustration purpose only and not an explained in Note (d) above.
indication of future variances.
4. Investments
(b) Credit and Counterparty Risk
2021 2020
Credit risk refers to the ability of an issuer to make timely payments
MYR’000 MYR’000
of profit and principal. Counterparty risk refers to the ability of a Financial assets at FVTPL
counterparty to make timely payment of proceeds from realisation - Equity securities 210,453 130,225
of investments. The Manager manages credit and counterparty
risks by setting exposure limits and undertaking periodical
The Fund’s investments are carried at fair value, which were
credit evaluation to assess the creditworthiness of issuers and
determined using prices in active markets for identical assets.
counterparties.
Quoted equity securities
(c) Single Issuer Risk Fair value is determined directly by reference to the published market
The Fund is restricted to invest in securities issued by any issuer price at the reporting date.
of not more than a certain percentage of its net asset value. Under The market prices of quoted equity securities are determined by
such restriction, the exposure risk to the securities of a single reference to information made publicly available by the New York stock
issuer is minimised. exchange.
(d) Liquidity Risk
FINANCIAL INSTRUMENTS - 31 MAY 2021
The Fund maintains sufficient level of liquid assets to meet
The equity securities held by the Fund are categorised based on
anticipated payments and redemption by unitholders. Liquid assets
their principal business activities according to the Bloomberg Sector
comprise cash, Shariah-based placements with licensed financial Classification System as at the reporting date of the Statement of
institutions and other instruments, which can be converted into cash Assets and Liabilities.
within 7 days. The Fund’s policy is to maintain a prudent level of
liquid assets and monitoring of the daily creation and cancellation Fair Percent
of units so as to manage liquidity risk. Quantity Cost Value of NAV
(in ’000) MYR’000 MYR’000 %
The Fund’s financial liabilities have contractual maturities of not EQUITY SECURITIES
more than six (6) months.
United States
(e) Reclassification of Shariah Status Risk
Communications
The Shariah-compliant securities currently held in the portfolio of Alphabet Inc - Class A 2 13,720 23,034 9.5
the Fund may be reclassified to be Shariah non-compliant in the Cisco Sys Inc 12 2,481 2,603 1.1
periodic review of the securities by the Shariah Advisory Council Facebook Inc - Class A 4 3,855 5,492 2.3
(“SAC”) of the Securities Commission Malaysia, the Shariah Uber Technologies, Inc 19 4,417 3,981 1.6
Adviser or the Shariah Boards of the relevant Islamic Indices. 24,473 35,110 14.5
If this occurs, the value of the Fund may be adversely affected
where the Manager will take the necessary steps to dispose of Consumer, Cyclical
such securities in accordance with the advice from the SAC of Nike, Inc 10 3,926 5,357 2.2
the Securities Commission Malaysia and/or the Shariah Adviser. Starbucks Corp 10 3,611 4,882 2.0
Tesla Inc 3 5,164 7,087 2.9
The Home Depot, Inc 2 1,760 2,582 1.1
14,461 19,908 8.2

26 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 27
Notes To The Financial Statements Notes To The Financial Statements
31 May 2021 31 May 2021

4. Investments (cont’d) 4. Investments (cont’d)

Fair Percent Fair Percent
Quantity Cost Value of NAV Quantity Cost Value of NAV
(in ’000) MYR’000 MYR’000 % (in ’000) MYR’000 MYR’000 %
EQUITY SECURITIES EQUITY SECURITIES
(cont’d) (cont’d)
United States (cont’d) United States (cont’d)
Consumer, Non-cyclical Technology (cont’d)
Abbott Laboratories 9 3,236 4,329 1.8 Salesforce.com Inc 5 4,204 5,297 2.2
Inari Medical, Inc 6 2,516 2,150 0.9 Vmware, Inc 6 3,699 3,905 1.6
Intuitive Surgical Inc 2 3,603 5,297 2.2
Johnson & Johnson 6 3,643 4,508 1.9 57,371 80,286 33.1
Merck & Co Inc 10 3,259 3,031 1.2
TOTAL 161,522 210,453 86.7
PepsiCo, Inc 1 443 488 0.2
Pfizer Inc 15 2,229 2,337 1.0
Procter & Gamble Co 5 2,266 2,668 1.1 Cost is translated to the Fund’s functional currency based on the
S&P Global Inc 2 1,607 2,349 1.0 exchange rate at the reporting date of the Statement of Assets and
Square, Inc 8 7,178 7,338 3.0 Liabilities.
The Coca-Cola Company 18 3,769 4,105 1.7 Net gain from investments for the financial year/period is as follows:
Thermo Fisher Scientific
Inc 2 3,142 4,223 1.7 1.6.2020 10.4.2019
Zoetis Inc 6 3,373 4,479 1.8 to to
31.5.2021 31.5.2020
40,264 47,302 19.5 MYR’000 MYR’000
Energy Financial assets at FVTPL
Chevron Corp 10 4,217 4,448 1.8 - realised gain on disposal 5,379 17
Exxon Mobil Corporation 19 4,004 4,530 1.9 - unrealised gain on changes in fair
value 32,098 16,091
8,221 8,978 3.7
37,477 16,108
Financial
Mastercard Incorporated 5 5,807 6,852 2.8
Visa Inc 8 6,463 7,817 3.2 5. Fair Value of Financial Instruments
12,270 14,669 6.0 The Fund uses the following hierarchy for determining and disclosing
the fair value of financial instruments by valuation technique:
Industrial
The Boeing Company 4 4,462 4,200 1.7 Level 1: Quoted prices per respective stock markets for identical
assets or liabilities.
Technology
Accenture plc 2 1,357 2,047 0.8 Level 2: Inputs other than quoted prices included within Level 1 that
Adobe Inc 2 3,109 4,534 1.9 are observable for the asset or liability, either directly (as
Advanced Micro Devices, prices) or indirectly (derived from prices).
Inc 5 1,814 1,650 0.7 Level 3: Inputs for the asset or liability other than observable market
Apple Inc 40 12,352 20,412 8.4 data.
Crowdstrike Holdings, Inc 5 4,170 4,578 1.9
Intel Corporation 22 4,886 5,108 2.1 As of end of the financial year/period, the Fund held the following
Marvell Technology, Inc 13 2,796 2,588 1.1 financial instruments carried at fair value on the Statement of Assets
Micron Technology, Inc 6 2,114 2,081 0.8 and Liabilities:
Microsoft Corp 20 13,144 20,694 8.5
NVIDIA Corporation 2 2,619 5,534 2.3
QUALCOMM Incorporated 3 1,107 1,858 0.8

28 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 29
Notes To The Financial Statements Notes To The Financial Statements
31 May 2021 31 May 2021

5. Fair Value of Financial Instruments (cont’d) 8. Shariah-Based Placements with Financial Institutions
Level 1 Total 2021 2020
2021 2020 2021 2020 MYR’000 MYR’000
MYR’000 MYR’000 MYR’000 MYR’000 Shariah-based placements with a related
Financial assets at licensed financial institution 35,888 14,344
FVTPL
- Equity securities 210,453 130,225 210,453 130,225 Weighted average rates of return for the financial year/period and the
average remaining maturities of Shariah-based placements as of end
of the financial year/period are as follows:
There were no transfers between Level 1 and Level 2 during the
current financial year and previous financial period. Weighted Average Average Remaining
The carrying amounts of financial assets and financial liabilities, Rates of Return Maturities
other than above, approximate fair values due to relatively short term 1.6.2020 10.4.2019
maturities of these financial instruments. to to
31.5.2021 31.5.2020 2021 2020
6. Shariah Information of the Fund % % Day Day
(a) Reclassification of Shariah Status of Securities Shariah-based
placements,
The Boeing Company is not included in the Standard & Poor’s less than 1 year 1.73 2.81 1 1
Shariah Indices as at 21 May 2021. This security is therefore
under the category of Shariah non-compliant securities and will be
disposed of in accordance with the advice of the Shariah Adviser. 9. Cash at Banks

(b) Net Realised Gain on Sale of Non-permissible Securities 2021 2020

MYR’000 MYR’000
The net realised gain on sale of non-permissible securities arose Cash balances in licensed banks
from disposal of Viatris Inc which had been removed from the - a related party 64 50
Standard & Poor’s Shariah Indices. The Manager has fully - others 132 27
disposed of this security with a total gain of MYR12,744.48.
196 77
In addition, the Shariah Adviser confirmed that the investment portfolio
of the Fund is Shariah-compliant, which comprises:
10. Net Asset Value Attributable to Unitholders (Total Equity)
i) equity securities listed in foreign markets which have been
classified as Shariah-compliant either by the Shariah Supervisory 2021 2020
Board of Standard & Poor’s Shariah Indices and duly verified MYR’000 MYR’000
by the Shariah Adviser and/or those securities which have been
Unitholders’ capital 191,564 129,645
reviewed and classified as Shariah-compliant by the Shariah
Retained earnings 51,161 15,473
Adviser; and
242,725 145,118
ii) cash placements and liquid assets in the local market, which are
placed in investments and/or instruments. Retained earnings
- realised reserves/(losses) 2,973 (618)
7. Due from/to the Manager, Net - unrealised reserves 48,188 16,091
The net amount due from/to the Manager represents amount receivable/ 51,161 15,473
payable for units created/cancelled after netting off management fee
payable. Amounts for units created/cancelled are receivable/payable
within 10 days of creation/cancellation. Management fee is payable
on a monthly basis.

30 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 31
Notes To The Financial Statements Notes To The Financial Statements
31 May 2021 31 May 2021

11. Units in Circulation 15. Taxation (cont’d)

As of end of the financial year/period, the total number of units in 1.6.2020 10.4.2019
circulation is as follows: to to
2021 2020 31.5.2021 31.5.2020
No. of units No. of units MYR’000 MYR’000
(in ’000) (in ’000)
At beginning of the financial Net income before taxation 36,225 15,770
year/launch date 489,019 -
Taxation at Malaysian statutory rate of 24% 8,694 3,785
Creation of units 308,711 531,610
Tax effects of:
Cancellation of units (120,916) (42,591)
- income not subject to tax, net (9,539) (4,177)
At end of the financial year/period 676,814 489,019 - expenses not deductible for tax
purposes 41 33
- restriction on tax deductible expenses
12. Holdings of Units by the Manager for unit trust funds 724 323
As of end of the financial year/period, the total number and value of - tax deductible expenses not fully
units held legally by the Manager are as follows: utilised 80 36

2021 2020 - -
No. of units No. of units Foreign withholding tax 537 297
(in ’000) MYR’000 (in ’000) MYR’000
Tax expense 537 297
The Manager 285 102 316 94
16. Transactions with Brokers
13. Trustee’s Fee Percent
Trustee’s fee is computed daily based on 0.06% per annum of the net Percent Brokerage of Total
asset value, subject to a minimum fee of MYR18,000 per annum and a Value of of Total Fees and Fees and
maximum fee of MYR600,000 per annum. Name Trade Trade Commissions Commissions
MYR’000 % MYR’000 %
14. Management Fee China International
Capital Corp HK
Management fee is computed daily based on 1.80% per annum of the Securities Ltd 41,116 38 10 42
net asset value. Citigroup Global
Markets Limited 33,667 32 8 33
15. Taxation CLSA Limited 32,376 30 6 25
1.6.2020 10.4.2019 107,159 100 24 100
to to
31.5.2021 31.5.2020
MYR’000 MYR’000 17. Management Expense and Portfolio Turnover Ratios
Foreign withholding tax 537 297 (a) Management Expense Ratio (“MER”)
The MER for the financial year is 1.82% (2020: 1.87%). It is the
Domestic income tax is calculated at the Malaysian statutory tax rate of total management expenses expressed as an annual percentage
24% of the estimated assessable income for the financial year/period. of the Fund’s average net asset value.
There is no Malaysian income taxation charge for the current financial (b) Portfolio Turnover Ratio (“PTR”)
year as all income are either exempt from tax or capital in nature.
The PTR for the financial year is 0.28 times (2020: 0.77 times). It
A reconciliation of income tax expense applicable to net income before represents the average of the total acquisitions and disposals of
taxation at the statutory income tax rate to income tax expense at the the investments in the Fund for the financial year over the average
effective income tax rate of the Fund is as follows: net asset value of the Fund calculated on a daily basis.

32 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 33
Notes To The Financial Statements Corporate Information
31 May 2021

18. Segment Information Manager

Public Mutual Berhad (197501001842 (23419-A))
For management purposes, the Fund is organised into one main
operating segment, which invests in various financial instruments and
the analysis of the Fund’s investment income is as follows: Registered Office
8th Floor, Menara Public Bank 2
1.6.2020 10.4.2019
No. 78 Jalan Raja Chulan
to to
31.5.2021 31.5.2020 50200 Kuala Lumpur
MYR’000 MYR’000 Tel: 603-20226800
(a) Investment Type Fax: 603-20226900
Equity securities 39,394 16,964
Shariah-based placements 352 442 Trustee of the Fund
39,746 17,406 AmanahRaya Trustees Berhad
Tingkat 14, Wisma AmanahRaya
(b) Regional Locations No. 2, Jalan Ampang
Malaysia 352 442 50508 Kuala Lumpur
United States 39,394 16,964
39,746 17,406 Shariah Adviser
ZICO Shariah Advisory Services Sdn Bhd
Level 13A, Menara Milenium
19. Comparatives
Jalan Damanlela
The comparative figures for the Statement of Income and Expenditure, Pusat Bandar Damansara
Statement of Changes in Net Asset Value and Statement of Cash 50490 Kuala Lumpur
Flows and its relevant notes are for the financial period from
10 April 2019 (the Fund’s launch date) to 31 May 2020.
Auditor of the Manager and the Fund
Ernst & Young
Level 23A, Menara Milenium
Jalan Damanlela
Pusat Bandar Damansara
50490 Kuala Lumpur

Tax Adviser
KPMG Tax Services Sdn Bhd
Level 10, KPMG Tower
8, First Avenue
Bandar Utama
47800 Petaling Jaya
Selangor Darul Ehsan

34 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 35
Corporate Information Network Of Public Mutual Branch And Agency Offices

Board of Directors Head Office

Menara Public Bank 2,
Tan Sri Dato’ Sri Dr. Teh Hong Piow, Chairman No. 78, Jalan Raja Chulan,
50200 Kuala Lumpur.
Tan Sri Dato’ Sri Tay Ah Lek Tel: 03-20226800 Fax: 03-20226900
Hotline: 03-20225000
Dato’ (Dr) Haji Mohamed Ishak Bin Haji Mohamed Ariff Web: www.publicmutual.com.my

Mr. Quah Poh Keat Branches and Customer Service Centres

Dato’ Mohammed Najeeb Bin Abdullah West Malaysia

Dato’ Mohd Hanif Bin Sher Mohamed 1 Utama Shopping Centre Damansara Perdana
Lot LG-313-E, 1 & 3, Jalan PJU 8/5 I,
Ms. Yeoh Kim Hong 1, Lebuh Bandar Utama, Perdana Business Centre,
Bandar Utama City Centre, Bandar Damansara Perdana,
Bandar Utama, 47820 Petaling Jaya, Selangor.
Management Staff 47800 Petaling Jaya, Selangor. Tel: 03-20225000 Fax: 03-77222475
Tel: 03-20225000 Fax: 03-77263811 Senior Branch Manager:
Ong Chen Hung
Yeoh Kim Hong - Chief Executive Officer Alor Setar
No. 8G, Samila Business Centre, Ipoh
Lum Ming Jang - Chief Investment Officer Lebuhraya Darulaman, 37 & 39, Persiaran Greentown 4,
05100 Alor Setar, Kedah. Greentown Business Centre,
Lee Kean Gie - Senior General Manager, Tel: 04-7366500 Fax: 04-7364655 30450 Ipoh, Perak.
Retail Business Senior Branch Manager: Tel: 05-2462500 Fax: 05-2559859
Khaw Bee Ruh Branch Manager:
Richard Tan Koon Eam - Senior General Manager, Khew Kok Choy
Bangsar
Information Technology 11, 15 & 17, Jalan Bangsar Utama 3, Johor Bahru
Bangsar Utama, B-19, Jalan Molek 1/5A,
Hang Siew Eng - Senior General Manager, 59000 Kuala Lumpur. Taman Molek,
Operations Tel: 03-20225000 Fax: 03-22835739 81100 Johor Bahru, Johor.
Senior Branch Manager: Tel: 07-3607500 Fax: 07-3548600
Chooi Chan Yen Senior Branch Manager:
Senior Compliance Officer Teng Lee Yen
Batu Pahat
119, Jalan Chengal, Klang
Abdul Samad Bin Jaafar - Deputy General Manager, Taman Makmur, 28, 30 & 32,
Compliance 83000 Batu Pahat, Johor. Lorong Batu Nilam 3B,
Tel: 07-4363500 Fax: 07-4326588 Bandar Bukit Tinggi,
Branch Manager: 41200 Klang, Selangor.
Rui Lee Chong Siew Tel: 03-20225000 Fax: 03-33235632
Branch Manager:
Cheras Ng Tong Chia
44-2, 44-3, 44-4 & 34-2,
Cheras Commercial Centre, Kluang
Jalan 5/101C, Off Jalan Kaskas, 3, Jalan Dato Teoh Siew Khor,
56100 Cheras, Kuala Lumpur. 86000 Kluang, Johor.
Tel: 03-20225000 Fax: 03-91321022 Tel: 07-7391500 Fax: 07-7736195
Senior Branch Manager: Branch Manager:
Khoo Peng Seng Tan Kheng Aun

36 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 37
Network Of Public Mutual Branch And Agency Offices Network Of Public Mutual Branch And Agency Offices

West Malaysia (cont’d) East Malaysia

Kota Bharu Seberang Perai Bintulu Sandakan
PT 304 and PT 305, 1797-G-04, 4, Lot 2646, Jalan Tun Ahmad Zaidi, Lot 16, Block B,
Jalan Kebun Sultan, Kompleks Auto World, 97000 Bintulu, Sarawak. Bandar Maju Commercial Centre,
15300 Kota Bharu, Kelantan. Jalan Perusahaan, Juru Interchange, Tel: 086-859500 Fax: 086-330221 Mile 1.5, North Road,
Tel: 09-7263500 Fax: 09-7476026 13600 Prai, Penang. Branch Manager: 90000 Sandakan, Sabah.
Senior Branch Manager: Tel: 04-5407500 Fax: 04-5050005 Lilian Lo Fui Ping Postal Address:
Puan Abiesharni Bt Abdul Kadir Senior Branch Manager: Public Mutual Berhad,
Charmane Chew Hui Hsia Kota Kinabalu Sandakan Branch
Kuala Terengganu Lot 1-0-10, Lorong Api-Api 1, P.O. Box No. 3488,
1-C, Jalan Air Jernih, Seremban Api-Api Centre, 90739 Sandakan, Sabah.
20300 Kuala Terengganu, 1A & 1B, Jalan Tuanku Munawir, 88000 Kota Kinabalu, Sabah. Tel: 089-231500 Fax: 089-222889
Terengganu. 70000 Seremban, Tel: 088-327500 Branch Manager:
Tel: 09-6321500 Fax: 09-6317030 Negeri Sembilan. Fax: 088-238389 Lai Hing Goh
Branch Manager: Tel: 06-6372500 Fax: 06-7644237 Branch Manager:
Chia Siang Hong Branch Manager: Lim Shaw Siang Sibu
Michael Wong Cheong Tee 10, Lorong 2,
Kuantan Kuching Jalan Tuanku Osman,
71 & 73, Jalan Haji Abdul Aziz, Shah Alam Lot 205 & 206, Section 49, 96000 Sibu, Sarawak.
25000 Kuantan, Pahang. 54 & 56, Jalan Pahat G15/G, Jalan Tunku Abdul Rahman, Tel: 084-363500 Fax: 084-330269
Tel: 09-5118500 Fax: 09-5161223 Kompleks Otomobil, 93100 Kuching, Sarawak. Branch Manager:
Branch Manager: Persiaran Selangor, Tel: 082-226500 Fax: 082-239825 Tiong Kung Kuok
Sharon Ting Mooi Choon Seksyen 15, Senior Branch Manager:
40200 Shah Alam, Selangor. Jones Chen Chung Sze Tawau
Melaka Tel: 03-20225000 Fax: 03-55139288 TB 4437, Lot 28,
No. 929 & 930, Jalan Merdeka, Branch Manager: Miri Block D, Sabindo Square,
Taman Melaka Raya, Eric Ng Swee Huat D-G-16, Miri Times Square, Jalan Dunlop,
75000 Melaka. Marina Parkcity, 91000 Tawau, Sabah.
Tel: 06-2855500 Fax: 06-2837354 Sungai Petani 98000 Miri, Sarawak. Tel: 089-982500 Fax: 089-765326
Senior Branch Manager: 9D & 9E, Tel: 085-323500 Fax: 085-416195 Branch Manager:
Carl Wong Yon Lian Jalan Kampung Baru, Branch Manager: Janice Chong Mui Lin
08000 Sungai Petani, Kedah. Allan Ngo Say Khiang
Muar Tel: 04-4558500 Fax: 04-4230663
46, Jalan Sayang, Branch Manager:
84000 Muar, Johor. Annie Ong Sok Nee
Tel: 06-9562500
Fax: 06-9536830 Temerloh Agency Offices
Branch Manager: 10,11 & 12, 2nd Floor,
Penang (Bayan Baru) Sarawak (Sarikei)
Chong Yie Shiang Jalan Ahmad Shah,
Liang Wing Sim Agency Office Ling Chai Kua Agency Office
Bandar Sri Semantan,
Penang 104, 1st Floor, 1st Floor, No. 28, Jalan Nenas Lrg 2,
28000 Temerloh, Pahang.
16, Lintang Burma, Jalan Mayang Pasir, 96100 Sarikei, Sarawak.
Tel: 09-2955500 Fax: 09-2968060
10250 Pulau Tikus, Penang. Taman Sri Tunas, Tel: 084-654108/652094
Branch Manager:
Tel: 04-2196500 Fax: 04-2295171 Bayan Baru,
Agnes Choong Lee Yoon
Branch Manager: 11950 Bayan Lepas, Penang.
Yeoh Khye Chun Tel: 04-6422170/1
Fax: 04-6411268
Puchong
39 & 41, Jalan Puteri 1/4,
Bandar Puteri Puchong,
47100 Puchong, Selangor.
Tel: 03-20225000 Fax: 03-80653010
Branch Manager:
Bryan Koh Yi Earl

38 • Public Islamic U.S. Equity Fund Public Islamic U.S. Equity Fund • 39
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40 • Public Islamic U.S. Equity Fund