Thomson Reuters Lipper today said all unit trusts and investment-linked insurance products (ILPs) that are included under the Central Provident Fund Investment Scheme (CPFIS) rose 1.32% on average in the fourth quarter of last year.

Specifically, CPFIS-included unit trusts increased 2.36% and CPFIS-included ILPs rose 0.69%, it said upon announcement of its findings on the performance of the unit trusts and investment-linked products.

For all CPFIS-included funds, equities posted positive returns of 2.50%, mixed-asset, and money market funds grew 0.51% and 0.08%, while bonds posted negative returns of 2.65%.

During the same period, MSCI AC Asia ex-Japan index and Citigroup WGBI TR fell 0.66% and 3.08% respectively.

For the one year since December 2015, the overall performance of CPFIS-included funds increased 4.82% on average.

CPFIS-included unit trusts rallied 5.43% on the year and CPFIS-included ILPs soared 4.46%.

Analysts told Lipper moving forward into 2017, investors are advised to stay on top of political and economic movements on a macro-level and maintain a diversified portfolio to counteract potential risks.

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The Citigroup WGBI TR rose 3.47% and MSCI AC Asia ex Japan Index soared 7.71%. For the one-year period, on average, equities (+5.70%) outperformed bond offerings (+2.39%), mixed-asset (+4.23%) and money market funds (+0.64%).

From December 2013 through to December 2016, CPFIS-included funds reported a strong growth of 11.92% on average, accounted for by a gain of 13.56% from CPFIS-included unit trusts and 11.07% from CPFIS-included ILPs.

During this period, MSCI AC Asia ex-Japan Index soared 15.88% and Citigroup WGBI TR rose 11.56%.

Equities were the lead gainer with growth of 13.22%, while the money market portfolio posted 1.31% on average.

Performance of CPFIS-included unit trusts and ILPs during the 3, 12 and 36 month periods ending December 2016:

The Investment Management Association of Singapore (IMAS) and Life Insurance Association of Singapore (LIAS) have appointed Lipper to monitor the performance of all unit trusts and investment-linked insurance products included under the Central Provident Fund Investment Scheme (CPFIS).

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