The document provides an investment outlook and market summary from Sherman Tam Cheng Wei, an investment consultant. It discusses 2019 market performance, key themes for 2020 such as an Asian turnaround and global semiconductor upswing. It outlines views on asset classes, sectors of opportunity like technology and healthcare, and risks. The consultant believes economic impacts from the 2019-nCoV outbreak will be short-lived and markets will recover once the virus is under control. Managed portfolios from iFAST are presented as able to ride through volatility and provide stable returns.

1. Sherman Tam Cheng Wei
Investment Consultant
17 February 2020
20|20
VISION
E
Y E S
O N T H E
M A R K E T S
PRIVATE & CONFIDENTIAL. NOT FOR EXTERNAL CIRCULATION. CO. REG. NO. 200000231R

2. YTD Market Performance
The party was interruptedby casual visitor– 2019-nCOV; US holding up well
4.3%
2.7%
0.7% 0.7% 0.6% 0.1%
-0.8% -1.1% -1.3% -1.7% -1.9% -2.2% -2.6% -2.8% -3.3%
-4.2%
-6.4%
-7.6%
-10.0%
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
Source: Bloomberg Finance L.P., iFAST compilations. Data as of 10 February 2020.

3. Year Of 2019 In Review
Trade optimism and dovish central banks boosted risk sentiment
Returns
1Q19 2Q19 3Q19 4Q19 YTD
World 11.1% 5.2% 1.4% 6.5% 2.9%
Asia ex Japan 11.9% 0.8% -3.2% 9.2% 0.1%
Emerging Markets 9.7% 7.4% -0.2% 5.7% 0.9%
United States 12.0% 5.7% 3.0% 6.5% 4.5%
China (A) 31.5% -1.1% -1.9% 7.7% -4.2%
FBM KLCI Index -0.6% 2.6% -4.2% 0.9% -2.1%
Source: Bloomberg Finance L.P., iFAST Compilation. Data as of 7 February 2020. Returns
in MYR terms.

4. 2020 Outlook – The Dawn Of A Major Upswing
Key investmentthemes in 2020
Asia to witness major
turnaround
• Semiconductor cyclical
upswing
• US-China Phase 1 trade
deal
• Redirection of new
orders into Asian
economies
Global semiconductor
upswing
• Steady uptrend on
global semiconductor
sales
• Asian economies the
key of global
electronics supply
chain
Optimism in EM
and Asian equities
• Jumpstart in the
region-wide to
pass on positive
effects
• Positive fund
inflows
Earnings upgrade in EM and
Asian corporates
• Improved economic
growth and earnings
prospect
• Valuation undermanding

5. Our Call On Asia ex-Japan and Emerging Markets
EM and Asiaex-Japan have performed poorly in 2019 on the back of weakened sentiments
-5%
0%
5%
10%
15%
20%
25%
Jan-19
Jan-19
Jan-19
Feb-19
Feb-19
Mar-19
Mar-19
Apr-19
Apr-19
May-19
May-19
Jun-19
Jun-19
Jul-19
Jul-19
Jul-19
Aug-19
Aug-19
Sep-19
Sep-19
Oct-19
Oct-19
Nov-19
Nov-19
Dec-19
PriceChangeYTD(%)
Period
AC World Developed Markets Emerging Markets Asia ex Japan
Source: Bloomberg, iFAST compilations. Data as of Dec 2019.

6. Our Call On Asia ex-Japan and Emerging Markets
Growth for AsiaEx-Japan surpassedregional peers and largesteconomies
0.8
5.7
1.2
1.9
2.6
2.6
1.6
3.2
5.3
0.3
5.9
1.0
1.8
2.4
2.0
1.3
3.1
5.2
0.9
6.1
1.1
2.3
2.1
1.1
1.6
3.0
5.3
Japan
China
Eurozone
United States
EMEA
Latin America
G-8
World
Asia Ex-Japan
2019 2020 2021
Source: Bloomberg, iFAST compilations. Data as of Dec 2019.

7. Potential Upside For The Markets
Asiaex-Japan, particularlyChina equitieshave strong upsidepotential
54.5%
30.5% 30.0% 28.2%
25.7% 25.6%
14.4% 13.3% 12.0% 10.8% 10.7% 10.4% 9.5% 7.9%
Source: Bloomberg Finance L.P., iFAST compilations. Data as of December 2019.

8. 2020 Outlook – The Dawn Of A Major Upswing
Our views in asset classes
• Improved market outlook in 2020
and low interest rate to support
equities
• Major catalysts for rebound in
Asian equities
• Sentiment remain cautious,
leaving room for bull run
• Yield should edge up modestly
• Short-lived yield curve inversions
are not worrisome. Prefer a
blend of quality bonds (MY
bonds) and tactically-oriented
bonds (Asian & EM HY)
• US Dollar – Bearish
• EM Currencies (ex China) – Bullish
• China Yuan – Bullish

9. Market Outlook For Key Sectors
Our thematic ideas
• Prices to remain supported in 2020
• Expect no significant headwinds ahead for REITs
• Global monetary policies to remain accommodative
• Look beyond FAANG for growth
and value
• Commercialisation of 5G
broadband cellular network
technology
• Semiconductor sector is also on
the verge of a recovery
• Aging global demographics, rising
wealth and the expansion of the
health care system in Asia
• Strong earnings growth to drive
performance going forward
Technology
Healthcare
REITs

10. Risks To Our Views
Activeinvestmentis anticipatingwhat is ahead
Risks to Our
Views
Re-escalation of
trade disputes
Unfavourable Brexit outcome
Slower-than-
expected economy
Weakening corporate
earnings and fundamentals
Delay in semiconductor upcycle
US Presidential Election 2020

11. Where Are The Investment Opportunities?
We believe valuationsare attractiverelativeto fundamentals
➢ We prefer equity over fixed income; regionally, EM to DM
➢ Avoid timing the market, stay invested
➢ Active management could outperform passive

12. The Multi-dollarQuestion
How do we add-valuefor our clients?Where do we go from here?
Early Cycle Mid Cycle Late Cycle Down Cycle
BONDS
EQUITIES
AND RISK
ASSETS
MULTI-ASSET/CASH/ALTERNATIVES
BONDS

13. 17 February 2020
2019-nCoV outbreak
Our Thoughts
We help investors around the world invest globally and profitably
PRIVATE & CONFIDENTIAL. NOT FOR EXTERNAL CIRCULATION. CO. REG. NO. 200000231R
Sherman Tam Cheng Wei
Investment Consultant

14. EconomicImpacts From Such Factor Are Likely To Be Short-lived
Markets willeventually recover and rebound strongly once the virus is undercontrol
2019-nCOV
Cases
71,329
Deaths
1,775
Fatality Rate
2.5%
Source: China’s NHC, state media, other authorities. *US Centers for Disease Control and Prevention (CDC) estimated data from 2019-2020 Season. Data as of 16
February 2020.

15. EconomicImpacts From Such Factor Are Likely To Be Short-lived
Markets willeventually recover and rebound strongly once the virus is undercontrol

16. EconomicImpacts From Such Factor Are Likely To Be Short-lived
Markets willeventually recover and rebound strongly once the virus is undercontrol

17. EconomicImpacts From Such Factor Are Likely To Be Short-lived
Markets willeventually recover and rebound strongly once the virus is undercontrol

18. EconomicImpacts From Such Factor Are Likely To Be Short-lived
Markets willeventually recover and rebound strongly once the virus is undercontrol

19. iFAST Managed Portfolio – Ride Through Volatility
5 Key Benefitsfor Advisors
Time & Cost
Effective
• Hands-off approach
to fund selection.
• More time spent
on building client
relationship.
Professionally
Managed
• Over 30 investment
professional in 5
countries.
• Structured
Investment
Methodology.
Support
• Monthly factsheet/
commentaries
• Bi-weekly portfolio
updates.
• Joint client events.
Less Surprises
• Managed Portfolio
is designed to be
well-diversified.
• This reduces
client’s risk of
adverse market
movements of a
single market.
Stable AUA
• long-term
investment
principle provides
advisors with stable
recurring Income.

20. iFAST Managed Portfolio – Ride Through Volatility
Snapshot of DPMS performance
Performance of Islamic Managed Portfolio as at 7 Feb 2020
Performance of Conventional Managed Portfolio as at 7 Feb 2020
iFAST Managed Portfolio shows resiliency amid
the Covid-19 outbreak
“Delivering risk adjusted returns to achieve your financial goals”

21. Thank You