CPFIS-included funds delivered 3.40% on average in Q2 2017

ALL unit trusts and investment-linked insurance products (ILPs) that are included under the Central Provident Fund Investment Scheme (CPFIS) rose 3.40 per cent on average in the second quarter of 2017.

CPFIS-included unit trusts rose 3.26 per cent and CPFIS-included ILPs rose 3.47 per cent, Thomson Reuters Lipper said on Wednesday.

For all CPFIS-included funds, equities posted positive returns of 4.14 per cent, mixed-asset 2.99 per cent, bonds 1.18 per cent and money market funds 0.15 per cent. These compare to the MSCI AC Asia ex-Japan index which rallied 6.81 per cent and Citigroup WGBI rose 1.39 per cent.

Xav Feng, Head of Asia Pacific Research, Thomson Reuters Lipper, commented, "CPFIS funds posted solid returns in the first half of 2017. Strong growth in Europe and robust export and consumption figures in Asia helped fuel positive investor sentiment. Investors should watch out for higher volatility resulting from the development of global geopolitical tensions."

Lipper was appointed by the Investment Management Association of Singapore (IMAS) and Life Insurance Association of Singapore (LIAS) to monitor the performance of all unit trusts and investment-linked insurance products included under CPFIS.