What is the difference between the Target Payout Rate and the Since Inception Return for Mari Invest Singapore Equity?

For Mari Invest Singapore Equity, both the Target Payout Rate and Since Inception Return help us to understand the fund’s returns. However, they differ in terms of (i) definition, and (ii) time period.

Target Payout Rate

The Target Payout Rate is 5-7% p.a.* of the NAV per Unit, this reflects the monthly distribution, presented on an annualised basis, which Amova Singapore Dividend Equity Fund - SGD Class intends to make.

Since Inception Return

The Since Inception Return takes into account both (1) sum of monthly payouts; and the (2) unit price movement since the launch of the fund on 2 August 1999 (and assumes payouts are reinvested).

The (1) sum of monthly payouts take into account the actual payouts since the launch of the fund, and may differ from the target 5-7% p.a. Payout Rate set by the fund.

While the (1) sum of monthly payouts contribute positively to the Since Inception Return, the (2) unit price movement may contribute positively or negatively to the Since Inception Return.

The fund offered through Mari Invest Singapore Equity is subject to market fluctuations and similar to all other investments, its Unit Price may increase, decrease, or remain the same over time.

*This relates to the distribution policy as set out in the fund’s prospectus. Based on the NAV Per Unit at the time payouts are declared by the fund manager. Any payout is expected to result in an immediate reduction of the fund’s NAV Per Unit. Payouts are not guaranteed and will be reviewed periodically by the fund manager. Historical payouts are not indicative of future payouts. Payouts may be made out of either income and/or capital of the fund. Historical performance of the fund or the fund manager, is not indicative of future performance of the fund or the fund manager. Returns may vary and are not guaranteed.