The investmentobjective of theFund is to provide investors with liquidity and a return that is comparable to that of the Singapore Dollar Banks Saving Deposits rate (1).
Investment Focus and Approach
The Managers intend to hold its assets primarily in Singapore Dollar deposits with eligible financial institutions2 with varying terms of maturity of not more than 366 calendar days . The Managers may also place deposits of varying maturity tenures exceeding 366 calendar days but not more than 732 calendar days , subject to a maximum of 10 per cent of the Fund ' s Net Asset Value .
(1) As quoted in the MAS website .
(2) An eligible financial institution , as defined in Appendix 2 of the Code on Collective Investment Schemes , issued by the MAS is :
i ) a financial institution which has a minimum short - termrating of F -2 by Fitch , P -2 by Moody ' s or A -2 by Standard and Poor ' s ( including such sub - categories or gradations therein );
ii ) a financial institution rated other than by the credit rating organisations specified in paragraph ( i ) above for which the manager has satisfied the trustee that its short - term rating is comparable to the ratings in ( i ) above ; or
iii ) a Singapore - incorporated bank licensed under the Banking Act ( Cap .19) which is not rated , but has
been approved under the Central Provident Fund Investment Scheme to accept fixed deposits .
