FundDetails

FundType EquityFund
FundManager AAIM
LaunchDate February26,1998
Structure OpenEnded
Domicile Egypt
FundCurrency EGP
Administrator AAIB
Custodian AAIB
Auditors KPMGHazemHassan
NAVperCertificate* EGP129.79
Subscription/Redemption** Daily
ManagementFee 0.9%
PerformanceFee
12%aboveexcessreturnover
CBdiscountrate
AdministrationFee 1.0%
CustodianFee 0.25%
SubscriptionFee None
RedemptionFee 0.75%
Min.InitialInvestment 1certificate
*Asof30/06/2014
**Dailysubscriptionandredemptionuntil12pmthroughoutAAIBbranches
NAVispublishedweeklyinAlMasryAlYomNewspaper

The local bourse ended the month on a negative note owing to
governments flow of austerity measures in attempt to narrow the
budget deficit. Volatility marked the markets performance during
the month in speculation of the likely impact on listed companies
fromsuchstringentdecisions,leadingtheEGX30toshed1.0%ofits
value. The President did not ratify the budget initially proposed for
FY2015asitwasestimatedtoraisedomesticdebttoEGP2.0trillion,
callingformoredecisivemeasurestobetakentonarrowthebudget
deficit.ThePresidentalsoissuedadecreetoapplythe10.0%taxon
capital gains/stock dividends and also to impose income taxes on
both resident and nonresident commercial, industrial, and
professionalactivitiesabroadbutnotremittances.
Consequently, the government announced several immediate
stringentmeasuresmainlytargetingtoraisetaxrevenuesandlower
the energy subsidy bill. The structural reforms included 1) raising
natural gas to USD7.00 per mmBtu for steel, copper, ceramics, and
glass players and USD8.00 per mmBtu for cement players, 2)
doubling electricity prices for industrial use over the course of five
years, 3) raising electricity prices for higherconsuming segments of
thepopulationby15.0%20.0%,4)raisinggasolineanddieselprices,
5) raising taxes on the corporate segment and individuals, and 6)
raising sales tax imposed on local and imported cigarettes by up to
120%anddoubledthesalestaxrateonalcoholicbeverages.
The Ministry of Finance stated that the government is targeting to
narrow the deficit to 10.0%down froma 12.0% deficit presented in
the current budget in addition to reducing domestic debt to 80%
85.0% of GDP down from 93.7% expected for FY2014 over the
coming three years. The government expects economic growth of
3.2% in FY2015 and to reach 4.0% 5.8% over the coming three
years.
In terms of political, parliamentary elections are scheduled to take
place before 18 July, marking the final milestone to complete the
transitional roadmap. Meanwhile on the corporate front, EFG
Hermes was confronted with a voluntarily tender offer by a
consortium between New Egypt Investment Fund B.V. (17.82%),
Beltone Capital (1.09%), Beltone Financial (1.09%) to acquire 20.0%
of the company, at an acquisition price of EGP16.0 per share. HC
Securitieswashiredastheindependentfinancialadvisorandvalued
the company at EGP22.93 per share, a c.43.0% premium to the
offeredacquisitionprice.Thetenderoffertookplaceover5working
daysandended6July2014,withlessthanhalfoftotaltargetshares
to be acquired being offered. Consequently, the consortium stated
thatitwillnotbuythesharesoffered.

Shieldvs.EGX30*
*Performance since15/10/2008 dateatwhichAAIMstartedmanagingthefund
FundPerformance

AAIBMutualFund(Shield)
FactSheetJune2014
June 2014 2013
2014 YTD
Shield -0.2% 17.5% 21.2% 28.3% -27.1%
EGX30 -1.0% 20.3% 24.2% 50.8% -49.3%
2012 2011

20
40
60
80
100
120
140
160
Shield EGX30

InvestmentApproach
We are value investors. We invest in quality companies we believe are undervalued by the market. In an effort to limit downside risk and maximize
upsidepotential,wetypicallyseekoutcompaniesthathavestrongcompetitivepositions,solidfinancials,andcapablemanagementteams.Ourgoalisto
generatereturnthroughstockselection.Weseekinefficienciesinthevaluationofcompaniesweaimtoinvestin.Ourinvestmentdecisionsareprimarily
longtermandresearchdriven.

AboutArabAfricanInvestmentManagement
Arab African Investment Management (AAIM), a subsidiary of the Arab African International Bank (AAIB), was established in 2006 with investment
management as our area of expertise. AAIM covers different asset classes in effort to enhance investors diversification and investment opportunities
through Shield (EquityFund), Juman (Money Market Fund), and Gozoor (Fixed Income Fund). We also manage tailored portfolios for institutions
andhighnetworthindividuals.

ContactDetails

ArabAfricanInvestmentManagement
5MidanAlSarayaAlKoubra,GardenCity11516,Cairo,Egypt
Tel.+20227926825(7)(9)Fax+20227961879
Website:www.aaim.com.eg
AAIBCallCenter:19555

Shield
EGX30
*Annualizeddatasince15/10/2008dateatwhichAAIMstarted
managingthefund
Shield EGX30
StandardDeviation 16.6% 28.4%
SharpeRatio** 0.18 -0.08
InformationRatio*** 0.27 N/A
Max.MonthlyLoss -9.7% -20.9%
%OfPositiveMonths 61.5% 55.4%
*Datasince15/10/2008dateatwhichAAIMstartedmanagingthefund
**Measuresriskadjustedreturncomparedtoriskfreerate
***MeasuresriskadjustedreturncomparedtoEGX30
KeyStatistics*
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
0% 5% 10% 15% 20% 25% 30%
R
e
t
u
r
n
StandardDeviation