MARKET WRAP: WEEK ENDED WEEKLY HIGHLIGHTS

5 NOVEMBER’10
Bursa Securities vs Public Mutual’s performance* • The FBM KLCI rose to a 33-month
4 Nov'10## 29 Oct'10 % chng intraday high of 1,513.4 points on
FBM KLCI 1,511.74 1,505.66 +0.4
FBMS Shariah 9,937.36 9,884.82 +0.5 Thursday following a rebound in global
MSCI FEXJ# 525.86 503.55 +4.4 and regional markets before closing at
MSCI World# 326.91 315.95 +3.5
Local Funds
1,511.7 points to register an increase of
PSF 0.7348 0.7273 +1.0 0.4% for the week.
PGF 0.5395 0.5360 +0.7
PIX 0.7653 0.7624 +0.4
PIF 0.5435 0.5390 +0.8 • Regional markets strengthened on the
PAGF 0.7529 0.7472 +0.8 back of expectations that the U.S.
PRSF 0.6373 0.6350 +0.4
PBF 0.7903 0.7875 +0.4 Federal Reserve’s Quantitative Easing
P SmallCap 0.8787 0.8704 +1.0 policy will help to sustain U.S. economic
PEF 0.3071 0.3038 +1.1
PFSF 0.2662 0.2619 +1.6 activities.
PDSF 0.2990 0.2974 +0.5
PSSF 0.2931 0.2914 +0.6
PSA30F 0.3623 0.3611 +0.3
• Looking ahead, the local market is
POGF 0.2775 0.2763 +0.4 anticipated to move in tandem with
PBBF 0.8422 0.8406 +0.2 overseas markets. Investors will continue
PBGF 0.8358 0.8306 +0.6
Local Islamic Funds to monitor the outlook for the U.S. and
P Ittikal 0.9161 0.9092 +0.8 global economic activities.
PIEF 0.3385 0.3372 +0.4
PIOF 0.3395 0.3357 +1.1
PIBF 0.2928 0.2925 +0.1 STOCKMARKET COMMENTARY
PIDF 0.3451 0.3433 +0.5
PISSF 0.3030 0.3013 +0.6
PISTF 0.3080 0.3050 +1.0 Led by buying of blue chip index stocks, the
PIOGF 0.2879 0.2872 +0.2 FBM KLCI rose to a 33-month intraday
PISEF 0.3385 0.3370 +0.4
PBIEF 0.2599 0.2596 +0.1
high of 1,513.4 points on Thursday amidst a
Foreign Funds rebound in global and regional markets.
PFES 0.3002 0.2946 +1.9 Selected profit-taking caused the FBM
PRSEC 0.2636 0.2593 +1.7
PGSF 0.1985 0.1961 +1.2 KLCI to close at 1,511.7 points and register
PFEDF 0.2563 0.2507 +2.2 an increase of 0.4% for the week.
PFEBF 0.2212 0.2176 +1.7
PGBF 0.2112 0.2094 +0.9
PCSF 0.1934 0.1894 +2.1 Average daily trading volume rose to 1,698
PFEPRF 0.2391 0.2360 +1.3
PSEASF 0.2750 0.2716 +1.3
mil units from 1,289 mil units in the
PFECTF 0.3139 0.3070 +2.2 preceding week while daily turnover in
PCTF 0.2501 0.2430 +2.9 value terms increased to RM2,664 mil from
PFETIF 0.3526 0.3485 +1.2
PNREF 0.2897 0.2834 +2.2 RM1,825 mil over the same period.
PAUEF 0.2809 0.2699 +4.1
PFA30F 0.2687 0.2656 +1.2
PINDOSF 0.2497 0.2507 -0.4 Regional markets strengthened on the back
PBAEF 0.2846 0.2796 +1.8 of expectations that the U.S. Federal
PBADF 0.2747 0.2737 +0.4
PBEPEF 0.1957 0.1929 +1.5
Reserve’s Quantitative Easing policy will
PBCPEF 0.1813 0.1768 +2.5 help to sustain U.S. economic activities.
PBCAEF 0.3591 0.3528 +1.8 The Hong Kong and China ‘H’ shares
PBCAUEF 0.2792 0.2720 +2.6
PBSGA30EF 0.2832 0.2759 +2.6 markets led with gains of 7.7% and 7.1%
PBAREIF 0.2497 0.2483 +0.6 respectively for the week.
PBADBF 0.3102 0.2984 +3.9
PBINDOBF 0.2492 0.2500 -0.3
Foreign Islamic Funds On Wall Street, share prices rose ahead of
PAIF 0.2690 0.2631 +2.3
PIADF 0.2337 0.2303 +1.5
the Federal Open Market Committee
PIABF 0.2274 0.2243 +1.4 (FOMC) meeting on 3rd November and
PCIF 0.2089 0.2048 +2.0 gained pace after the FOMC announced that
PIALEF 0.2680 0.2618 +2.4
PBIAEF 0.2208 0.2161 +2.2 the Fed will purchase US$600 bil of
PBIASSF 0.1841 0.1804 +2.1 Treasury securities until June 2011 to boost
Capital Protected Funds
PCPSPF 1.1071 1.1030 +0.4
the U.S. economy. The Dow closed at a 26-
PBCPDF 1.0581 1.0559 +0.2 month high of 11,444 points to register a
PBCPRF
*Buying Price, #
1.0989
in USD
1.0959 +0.3 weekly gain of 2.9%. The Nasdaq also rose
##
As 5 Nov’10 was a Public Holiday, the funds’ NAV and local indices are
based on 4 Nov’10 closing prices.

1
by 2.9% to close at 2,579 points over the Looking ahead, the local market is
same period. anticipated to move in tandem with
overseas markets. Investors will continue to
In the U.S., the labour market strengthened monitor the outlook for the U.S. and global
with non-farm jobs rising for the first time economic activities.
in 5 months by 151,000 jobs in October
compared to 41,000 job losses in September At the KLCI’s closing level of 1,511.7
as more jobs were created in the services points on 4th November 2010, the local
and construction sectors. The stock market is trading at a prospective P/E
unemployment rate remained unchanged at of 16.3x on 2011 earnings, which is 2.4%
9.6% in October. Meanwhile, the below the market’s 10-year average P/E
manufacturing sector expanded with the ratio of 16.7x. The local market is supported
Institute of Supply Management’s by a gross dividend yield of about 3.5%,
Purchasing Managers Index (PMI) gaining which exceeds the 10-year average of 3.4%
pace to a 5-month high of 56.9 in October and the current 12-month fixed deposit rate
from 54.4 in September on higher of 2.85%.
production and employment. Other Markets’ Performance
5 Nov'10 29 Oct'10 % chng
Dow Jones 11,444 11,119 +2.9
At the Federal Open Market Committee’s
Nasdaq 2,579 2,507 +2.9
meeting on 3 November 2010, the U.S. TOPIX 835 811 +3.0
Federal Reserve stated that it will purchase SH Comp 3,129 2,979 +5.1
US$600bil of longer-term Treasury China*, H share 14,107 13,169 +7.1
securities until mid-2011. This policy, MSCI China 7,390 6,951 +6.3
known as quantitative easing (QE), is aimed Hong Kong 24,877 23,096 +7.7
at lowering long-term interest rates, which Taiwan 8,449 8,287 +2.0
may help boost consumer and investment South Korea 1,939 1,883 +3.0
spending. Consumer spending may also be Singapore 3,240** 3,143 +3.1
lifted by the positive wealth effect of QE Thailand 1,040 984 +5.7
due to potential gains in asset prices. Indonesia 3,655 3,635 +0.5
However, QE policies also raise the * Hang Seng China Enterprises Index
** Index as at 4 Nov 2010
possibility of a weaker U.S. dollar, higher
inflation rates and asset bubbles. Bursa Securities Market Valuations^
4 Nov'10 29 Oct'10 10 yr ave*
Oil prices closed at a 2-year high of FBM KLCI 1,511.74 1,505.66 -
US$86.85/brl to register a weekly gain of PER'10(x) 19.73 19.69 16.73
6.7% on expectations of a weak U.S. dollar PER'11(x) 16.27 16.21 -
following the U.S. Federal Reserve’s Price/NTA(x) 3.83 3.82 2.39
3mth InterBk 2.96% 2.95% 3.17%
decision to recommence the QE
12mth Fix Dep, % 2.85% 2.85% -
programme. *2000-2009 average
^PMB In-House Statistics
On the local front, Malaysia’s export
Malaysia’s Economic Snapshot
growth moderated to 6.9% in September 2009 2010F 2011F
from 10.6% in August on slower exports of GDP growth, % -1.7 7.1 5.5
electrical & electronic products. Inflation, % 0.6 2.0 3.0
Meanwhile, import growth also slowed to F=forecast
14.6% from 16.5% over the same period.
As imports outpaced exports, the Bursa Securities 10 year P/E Ratio
cumulative trade surplus for the first nine 30
months of 2010 narrowed by 1.4% to 4 Nov '10
RM84.7billion compared to the same period P/E on 2010 & 2011 earnings:
P/E Ratio (x)

25
19.7x & 16.3x respectively
last year.
20
On a weekly basis, the Ringgit appreciated
by 0.5% against the US$ to close at 15
RM3.088 while on a year-to-date basis, the Average: 16.7x
Ringgit strengthened by 11.5% against the 10
greenback. 00 01 02 03 04 05 06 07 08 09 10

2
 BOND MARKET REVIEW: BOND MARKET COMMENTARY
FORTNIGHT ENDED
5 NOVEMBER’10 For the fortnight ended 5th November 2010,
Public Mutual's Bond Funds Performance the U.S. Treasury market strengthened due to
4 Nov'10 22 Oct'10 % chng the U.S. Federal Reserve’s announcement of
P BOND 0.9654 0.9629 +0.3 a US$600 billion purchase of U.S. Treasury
PI BOND 1.0174 1.1075 +0.1 securities by the end of June 2011. The 3, 5
PIN BOND 1.0170 1.0172 -0.02 and 10-year Treasury yields fell by between
PEBF 1.0839 1.0801 +0.4
PSBF 1.0275 1.0259 +0.2
2 basis points (bps) and 6 bps to 0.51%,
PIEBF 1.0744 1.0716 +0.3 1.09% and 2.53% respectively over the
PISBF 1.0235 1.0229 +0.1 fortnight.
PIINCOME 1.0204 1.0189 +0.1
PBFI 1.0558 1.0541 +0.2 The Malaysian Government Securities
PBIBF 1.1296 1.1274 +0.2 (MGS) market closed lower due to weaker-
PBBMTN1 1.0323 1.0324 -0.01
than-expected demand for the reopening of
PBINFBF 1.0267 1.0251 +0.2
the 3-year MGS auction. The 3, 5 and 10-
Public Mutual's Money Market Funds Performance year MGS yields rose by between 5 bps and
4 Nov'10 22 Oct'10 % chng 9 bps to 3.23%, 3.41% and 3.87%
PMMF 1.0034 1.0024 +0.1 respectively over the fortnight.
PIMMF 1.0171 1.0161 +0.1
PBCMF 1.0105 1.0096 +0.1
PBCPF 1.0034 1.0039 +0.1 The local corporate bond market closed
PBICMF 1.0047 1.0038 +0.1 generally weaker with the 3 and 5-year AAA
PBICPF 1.0036 1.0048 +0.1 corporate bond yields rising by 6 bps and 2
bps to 3.91% and 4.21% respectively over
Change in Interest Rates & Bond Yields the fortnight. The 10-year AAA corporate
5 Nov'10 22 Oct'10 Chng* bond yield remained unchanged at 4.95%
3 Month Interest Rates over the same period.
KLIBOR 2.96 2.94 +2.0
U.S. T Bill 0.11 0.12 -1.0
3 Year
In the money market, the spread of the 3-
'AAA'Corp. 3.91^ 3.85 +6.0 month Kuala Lumpur Interbank Offer Rate
MGS 3.23^ 3.18 +5.0 (KLIBOR) over the yield on the 3-month
U.S. T Note 0.51 0.53 -2.0 U.S. Treasury bill widened to 285 bps from
5 Year 282 bps a fortnight ago as the 3-month
'AAA'Corp. 4.21^ 4.19 +2.0 KLIBOR rose by 2 bps to 2.96% while the 3-
MGS 3.41^ 3.32 +9.0 month U.S Treasury bill rate fell by 1 bp to
U.S. T Note 1.09 1.15 -6.0
0.11% over the fortnight.
10 Year
'AAA'Corp. 4.95^ 4.95 -
MGS 3.87^ 3.81 +6.0
Looking ahead, U.S. Treasury bond prices
U.S. T Bond 2.53 2.55 -2.0 are expected to remain supported amidst the
*in basis points extension of the Federal Reserve’s continued
US Treasury Bond Yield accommodative monetary policies and
6
sustained demand for safe-haven assets.
5

4
On the domestic front, the MGS market is
expected to be supported by continued
3 demand for sovereign debts, moderate
10 Years US T Bond
2
inflationary pressures and Bank Negara’s
J a n- S e p- M a y- J a n- S e p- M a y- J a n- S e p- M a y- J a n- S e p- M a y-
03 03 04 05 05 06 07 07 08 09 09 10
supportive monetary policy to sustain
economic growth.
MGS Yield
6
10 Years MGS

3 Years M GS
2
J a n- S e p- M a y- J a n- S e p- M a y- J a n- S e p- M a y- J a n- S e p- M a y-
03 03 04 05 05 06 07 07 08 09 09 10

3
 You are advised to read and understand the contents of the Master Prospectus of Public Series of Funds dated
30th April 2010 and expires on 29th April 2011, Master Prospectus of Public Series of Shariah-Based Funds
dated 30th April 2010 and expires on 29th April 2011, Master Prospectus of PB Series of Funds dated 30th
April 2010 and expires on 29th April 2011, Information Memorandum of PB Cash Plus Fund and PB Islamic
Cash Plus Fund dated 1st March 2010, Prospectus of PB Capital Protected Dragon Fund dated 24th March
2008 and expires on 7th May 2008, Prospectus of Public Capital Protected Select Portfolio Fund dated 29th
July 2008 and expires on 11th September 2008, Prospectus of PB Capital Protected Resources Fund dated
20th August 2008 and expires on 3rd October 2008, Information Memorandum of PBB MTN Fund 1 dated
10th November 2009 and expires on 24th December 2009, Prospectus of PB Singapore Advantage-30 Equity
Fund & PB Infrastructure Bond Fund dated 11 May 2010 and expires on 29 April 2011, Public Optimal
Growth Fund dated 8th June 2010 and expires on 29th April 2011 and Public Indonesia Select Fund dated 1st
September 2010 and expires on 29th April 2011, Supplemental Prospectus of PB Islamic Equity Fund dated
8th October 2010 and expires on 29th April 2011, PB Indonesia Balanced Fund dated 12th October 2010 and
expires on 29th April 2011 and Supplemental Prospectus of Public Islamic Dividend Fund & Public Islamic
Balanced Fund dated 1st November 2010 and expires on 29th April 2011 before investing. These prospectus
have been registered with the Securities Commission who takes no responsibility for their contents, and
neither should their registration be interpreted to mean that the Commission recommends the investment.

You should note that there are fees and charges involved; and that the prices of units and distribution payable,
if any, may go down as well as up. Applications to purchase must come in the form of a duly completed
application form referred to in and accompanying the prospectus. A copy of the prospectus can be obtained
from your attending agent, corporate representative or nearest Public Mutual Office.

Past performance should not be taken as an indication of future performance.

Public Mutual Berhad (23419-A) 4

Block B, Sri Damansara Business Park, Persiaran Industri, Bandar Sri Damansara, 52200 Kuala Lumpur, Malaysia. P.O. Box 10045, 50700 Kuala Lumpur
Tel: 03-62796800 Fax: 603-62779800 Website:http://www.publicmutual.com.my