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no ppl update here 1 ah lol

What kind of updates are you expecting?

i mean dont seem anyone is posting. seems quiet ...

Ask something and we will reply lah...

Is SmallCap a potential fund? Is it wise to switch over to it?

Hm... I've put in some money into PUBLIC ISLAMIC ASIA LEADERS EQUITY FUND (PIALEF) since the launch. The NAV seems to fluctuate around 0.25. I mean, could it perform better? It's been 1.5 months.

how to monitor NAV for certain UT fund for the latest one?
can i buy UT units online without UT agents, i want to control the U.T myself?
what charges involve?

if i am not mistaken you cant. you need broker de ..

Which fund?

So that I can provide the link.

Xuzen

I was told you can go open online banking from Public Bank, then you will be able to monitor and make transaction from online directly, no?

btw, is there a list of funds that are available for EPF money? going to jump into UT with only my EPF money, will be doing a semi active management on top of dollar averaging every 3 months.

Any good funds to recommend? thanks

But you still need an agent for setting up an account/profile and you'll still be charged the same up-front fee of 5.5%.

There are a lot of online sites selling UT without agent and of course it is much cheaper, since they cut out the agent fees.

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Added on March 19, 2010, 12:21 pmNot a bad fund, I also own some of it. It has good morningstar and lipper rating. But the fund is high risk. So depends on your investment strategy.

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Added on March 19, 2010, 12:24 pm1.5 months is too short of an investment period for you to notice anything. To see actual performance, you will need about 2-3 years.

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Added on March 19, 2010, 12:29 pmI have an account with PM online. Can monitor your funds, buy, sell and switch. But too bad, the fees still stays the same with no reduction for DIY.... very bad.

This post has been edited by gark: Mar 19 2010, 12:29 PM

thank you very much for answering my questions. actually i have not invested in any U.T..still looking for suitable fund for me.

any recommendation for current fund that still open to investors?
preferably Under Public Mutual or CIMB.

what others strategy other than DCA(Dollar Cost Averaging) and switching in U.T investment strategies?

which one is better to monitor current fund NAV..public mutual website or lipperleadders?

hope anyone could reply

This post has been edited by imax80: Mar 19 2010, 08:23 PM

If you are looking for UT's which are suitable for you, suggest that you need to know about your risk tolerance first. There are many site which does a free risk profiling for you with questionnaires. Although this is somewhat inaccurate, at least you know where you stand.

After you are sure of your risk profile, then you can plan your holdings, ie. percentage of each fund/sector that you want to hold. Diversification is recommended so you do not lose everything if a fund tanks, especially a high risk funds. For me I am concentrated in Malaysia, Asia Pac ex Japan, a little europe and US with a sum in pure China & commodities. Bond and cash funds provide stability in my holdings.

To gauge which funds have relatively good performance, you may refer to charts available online at lipper or morningstar. For me i do not chase the best performer, rather those with consistent earnings and lose the LEAST during a recession. Preservation of capital is important for me. Read the fund fact sheet and annual reports. Be wary of high initial and annual fees.

For me, unfortunately i do not use DCA, i buy on weakness and sell on strength. DCA will get you on average performance, which if it is suitable for you, then go for it. Switching in UT is an important strategy, however you need to use it sparingly since there are massive charges involved (ie. pay a lot of initial charge). You may switch to rebalanced your portfolio, ie. sell those with high profit and move them to the least profit or to lower/increase your exposure to risks. I am now actively re balancing most of my equity portfolio to bonds on market out performance.

Don't just monitor NAV, you must also include the dividends you receive in calculating profits. You can check the nav at each respective UT site.

This post has been edited by gark: Mar 19 2010, 10:09 PM

great explanation really appreciate it.

I like medium risk like Public Ittikal, purpose for long term for retirement. Which one is actually good local exposure or global exposure in your opinion?

planning to invest initial RM10,000 and watch the NAV and do DCA if necessary especially if NAV go down. I will top up more after the dividen declaration because the NAV will reduce in price but my total units will increase. If the fund not performing in 3-4 years and NAV keep downtrend I will either do switching or withdraw my investment. Is it normal things to do for any investor?

On switching technique, the switching from equity fund to bond or money market, what actually that means? and what is low loaded and loaded funds?

appreciate any reply

For public Ittikal, the holdings for February 2010 is 91% equities and rest in cash. The equity holdings are 62% Malaysia, 12% China, 12% Korea and Taiwan, and the rest in Japan, Australia and USA. This IMHO is not a moderate risk fund, in fact the holdings are quite risky for the fund.

There is no advantage to top up after the dividend declaration as the NAV will drop accordingly. The devidends are taken out of your own pocket to be given back to you (and minus tax!). I actually prefer funds that DON'T give out any dividend. So many people misunderstood that lots of dividends means that the fund is good. (It's all a lie by the way). For example Public Ittikal gave up 6 sen of dividend ALTHOUGH they lost -16% in 2009.

If you switch or withdraw your investment if the NAV is down trending, then you re making a paper loss into a REAL loss. Wether the fund will perform or not depends when you buy it. If you invest a big sum at the market top, then it is downhill from there. Rather than put a large sum in one period, disperse your investment and gauge the market at the meantime.

Bond funds are low risk funds, while equity is quite risky. During good times when risk rewards, switch your bond funds to equity to gain from the good market performance. If the market is very bad, or losing then switch equity to bond, to preserve your assets and also minimize any losses from downtrend. Alternatively you may switch some units from equity to bond funds to lock in your gains. Low load funds are funds you pay 0%-2% of initial fees and loaded funds typically charge 5.5% to 6.5%.

This post has been edited by gark: Mar 19 2010, 11:15 PM

I don't understand why fund that given out dividend is out good.


What is the difference between distribution and dividend ?
I purchase Public Dividend Select Fund.

This post has been edited by Peter_APIIT: Mar 19 2010, 11:24 PM

Distribution and dividend is almost the same thing except unit split.

Lets say you have 1,000 units of UT with a NAV of RM 1, that makes a total of 1,000 units x Rm 1.00 = RM 1,000.
Lets say a fund decide to give up 5 cent dividend, So your 1,000 units x RM 0.05 = RM 50 as dividend. You are happy to receive dividend.
The the unit trust HAVE TO MANDATORY revalue the unit price of RM 1.00 - Rm 0.05 (dividend) = RM 0.95 per unit
The unit trust now you hold is valued at RM 0.95 x 1,000 units = RM 950.

So do you really earn any money? You receive RM 50 dividend, yet your investment is now valued at RM 50 less than before. Yet you need to pay tax on these dividend.

So as you can see above, unit trust that is paying dividend is actually taking from your investment and pay to your pocket. So there is no advantage if a UT gives up dividend.

By holding Public Dividend select will not makes much difference. The shares held by the trust pay the dividen to the trust and not to you. The dividend that the trust pays to you is from the earnings whether if it is from the dividend they receive, interest or gains from selling the shares. (minus management fess of course.. ). Go ask your UT consultant, and watch him get tongue tied. You can see all of these if you look closely at the financial reports.

This is of course different from fixed priced fund such as ASB, but that's a different calculation. ASB pays out from retained earnings as the unit price don't change. And dividend from ASB is tax free.

This post has been edited by gark: Mar 19 2010, 11:58 PM

The word "Dividend" in the name of the Fund does not mean anything by itself. You still have to read up on the objectives of the fund, and what the fund actually does.

There is no difference between distribution and dividends as far as funds are concerned. In fact, funds use the word "distribution" rather than "dividends".

Funds "that give out dividends" is purely a marketing gimmick. Distributions are irrelevant. You need to look at the total gain in $ value of your investment, not how much distribution the fund has given out.

Public Mutual has THE best website around in terms of showing the actual gain of your investments in graphical form.

Public Mutual is also guilty of announcing "distributions" as if it means anything useful or relevant. Distributions are meaningless. Ignore them.