No, there are no further deductions from the NAV price that you see, after the initial 5.5% deduction.

Some people will insist there are "hidden" audit fees and transaction fees and etc, etc, but that's totally irrelevant. The only thing that is relevant, and the only thing you are interested in, is the NAV where fees have already been deducted. The NAV is what you get in hand - so make up your mind about whether you are happy with that or not, compared to other types of investments you could make.

PS: Technically, RM1000 after 5.5%, is not RM945.00, but RM947.87.

So how the management fee charge us? I still don't understand this stage.

If use calculator press directly, will get RM945.

It's already calculated and deducted, on each day before they publish the NAV. It cannot be deducted on the a fixed date like the 31st or something like that - because people will then withdraw on the 30th or just before and save an extra 1.5%. That would create havoc with the cash-flow of the fund.

947.87 + 5.5% = 1000

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I read your post after searching from google. I don't have the right answer actually but your experience tells me something. It relieves me because the rule is not implemented automatically.
However, during the past 2 months I have switched 6 times between PMMF and other Equity Funds. And surprisingly they have been no rejection from management. Thus, by dividing 60 and 6, you get an average of 10 days, imagine how short it was. I know, I know, it's doesn't matter how fast you switch because the real question is how often can it be done... Let me give you a hint, --> Gold members are given the privilege to do free switching 18 times( that means no RM25 charges incurred for each process). Try to divide 365 days with 18, you will get 20+ days, even round off it does not equal 21 days. So, you can feel free to do so as often as 18 times a year...maybe a bit more often.

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Added on March 29, 2011, 10:47 am
wait isn't it 18 times?

This post has been edited by primepeng: Mar 29 2011, 10:47 AM

Regarding switching, i've heard that there will be a new rules that will be implement. Switching done less than 90 days will be charge 1%.
I'm not sure if it's true or not.

Any unit trust agent here? Wonder what business code you use when you file e-B form? So many business there lazy to find and this will be my last filing as a unit trust agent.

Is now a right timing for me to invest in PGSF?

i just bought my fund too...public mutual ittikal too...and i'm in age 21 now ...i wonder how to read those statement...??can anyone sifu sifu teach me..??

Switching for Mutual Gold Member (Mutual Gold Qualifying Points, MGQP = RM 100K and above) is 18 times per annum and Mutual ELITE Gold Member (MGQP = RM 500K and above) is 30 times per annum.

FYI, Unit Trust provides good yield on a longer time horizon even without any active management. Based on the latest Quarterly Fund Report, QFR Q4 2010, for those who has invested for a period of 10 years in most of the equity funds, have generated an average Annualised Return of 10%pa++ (kindly retrieve a copy of the latest QFR from your UTC).

If one has invested in Public Savings Fund, PSF (Public Mutual Oldest Fund) from 31st December, 2001 till 31st December, 2010, one would have made a Total Return of 214.45% and an Annualised Return of 12.12% pa. This result is obtained without clients making any switches in the past 10 years despite major disasterous events such as 9-11 (2001), War against Terror in Afganistan (2002), SARS (2003), War Against Terror in Iraq (2003), Tsunami (2004), US -Subprimed Mortgaged Crisis (2008), Pandemic H1N1 (2009) and Euro Crisis (2010)

Switching process is only applied when UTC would like to perform a portfolio rebalancing for fellow investors. Portfolio rebalancing is done as to optimise clients profit, based on his or her objective over given time horizon without taking any unnecessary risks. We foresee clients investment will grow in time. As time developed, clients objective will have shorter time span to ride out any market volatility. Hence, more switching will be done from equity to bond or money market funds as to ensure clients objective is secured. That is the reason why Public Mutual is giving more switching opportunities for Mutual Elite Gold Members.

Unit Trust investment is designated for investor who has money but time to conduct his or her own investment researches and management. Hence, they engage Public Mutual Fund Manager to manage their investment by servicing an upfront fees of 5.50% for Cash and 3.0% for EPF, 1.50%pa on Yearly Management Fee and another 0.8%pa on Trustees Fee.

It defeated the purpose of having to pay so much to Public Mutual while clients are still doing their own researches and switches based on their wits.

For further enquiries pertaining to switching, you are welcome to write in to me at danielle.hu@hotmail.com
Best regards,

Danielle Hu
Unit Trust Consultant
Public Mutual Berhad
Million Dollar Producer, 2010
22nd NSC Trip Qualifier, 2010

wanted to ask...

I'm a Public mutual agent but then in my public mutual online right..
In the agent drop down box there's only my previous agent's name..
how do I add my name in?

Oh sorry I just saw this
Staff/PB Group/Agent Investment


This post has been edited by miaomiaolala: Mar 30 2011, 10:57 AM

No problem!

hey, i tot there is no switching charges, as my agent say that the only charge one-off admin charges

Do u know that if u invest direct in Public Bank share in 31 dec 2001, and how much is the return? i guess at least 3x more than the Public Savings Fund. Can anyone justify it?

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Added on March 30, 2011, 11:21 amThis post has been edited by cheahcw2003: Mar 30 2011, 11:21 AM

The only thing in this world which is STILL FREE is the air that you breath. I guess you have been misinformed. Kindly validate your answer with your Unit Trust Consultant, UTC.

For further information pertaining to Public Mutual investment, you are welcome to email me at danielle.hu@hotmail.com

Best regards,

Danielle Hu
Unit Trust Consultant
Public Mutual Berhad
Million Dollar Producer, 2010
22nd NSC Trip Qualifier, 2010

This post has been edited by daniellehu: Mar 30 2011, 01:21 PM

Sorry to say, switching is a good tool for those investors who monitor their funds closely. By paying a 5.50% servicing fees upfront, sadly to say that we expect a lot of activities to be performed by fund manager. In reality, fund manager isn't able to protect our tiny investment during financial crisis due to sheer volume/size of the fund, hence our investment will also go down south instead of being kept in a safer place like MM/Bond during the crisis. If this were done, or rather can be done, by the fund manager, we wouldn't have to see a mere 12.12% AR during that 10 years period..

First of all, I have no idea when it comes to Public Bank Berhad direct equity investment return rate in the past 10 years.

The risk and return relationship depends on clients risk appetite. There is no doubt that by having to invest directly in the equity market will have the potential of making larger gain, provided if investors would have done proper research, have sufficient capital to invest in certain companies that have larger trading price per unit of share and understand the risks that come along with it.

Unit Trust is designed for those who has money, but time & knowledge in the investment industry and at the same time, would like to enjoy adequate returns that is able to combat the ever increasing inflation rate with diluted risks through diversification.

FYI, Public Savings Fund invested in Public Bank Berhad as well and at a cap of nothing more than 12% of the total Nett Asset Value (NAV) of the fund. This is part of the practice of any unit trust fund as to promote "diversification".

For more information pertaining to "Diversification" and "Asset Allocation" in Unit Trust Fund, you are welcome to email me at danielle.hu@hotmail.com

Thank you & kind regards,

Danielle Hu
Unit Trust Consultant
Public Mutual Berhad
Million Dollar Producer, 2010
22nd NSC Trip Qualifier, 2010

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Added on March 30, 2011, 1:20 pmHi Numbertwo,

First of all, thank you for your feedback. I can understand your expectation & frustration. To my understanding, a Fund Manager objective is to ensure the unit trust fund performs better than the benchmark and the return of investment (ROI) is able to fend off inflation. So far, we have done a good job by being Malaysia No.1 Best Performing Unit Trust Company for 8 consecutive years among competitions and also being Asia No. 1 Unit Trust Company for Best Performing Shariah Compliant Fund as recognised by Failaka Advisor for 3 consecutive years.

Make an appointment with your UTC today, have your goals established over a predetermined time horizon. If by gaining an Annualised Return of 12.12%pa is able to realise your goals, I do not see any reason why you should take further risks as to make anything extra.

Remember, the idea is to "OPTIMISE" and not "MAXIMIZE" your return. Optimising Returns means, our award winning fund managers will do their best to realise your goals by taking calculated risks only. Whereas, Maximizing Returns would mean the fund managers would go all the way to exceed your goals by assuming all kind of risks.

I am sure the investors are smart enough to make reasonable choice.

For further information pertaining to "Goals Establishment" over given "Time Horizon", please do not hesitate to contact me via email at danielle.hu@hotmail.com

Thank you and kind regards,

Danielle Hu
Unit Trust Consultant
Public Mutual Berhad
Million Dollar Producer, 2010
22nd NSC Trip Qualifier, 2010

This post has been edited by daniellehu: Mar 30 2011, 01:23 PM

usually big cap's share price will split to 200 units instead of 1 lot (1000units), so retail investor can also invest in small amount like few thousands in shares. The reason i quoted public bank is because public bank make profit from selling unit trusts as public mutual is wholly owned by PBB, so when u buy into PBB, u will be able to "shared" the profit of the 5.5% sales charge commission. Invest in PBB share do not required much time, knowledge just use the buy and hold strategy and it can easily outperform the Public Saving fund that u quote. For me, invest in PBB is a good diversification already because PBB has all type of biz, Mutual fund, conventional banking, islamic banking, insurance, trustee service, investment banking, and etc.

On top of the 5.5% surchage, the yearly 1.5% admin fee is also a killing factors that reduce the fund performance. That is why i say PBB is always better choice than P Saving Fund.

That bit about switching is just marketing nonsense.

The Fund Manager's aim is to beat the benchmark. So if the fund is -50%, the Fund Manager achieved -40%, the Fund Manager has beaten the benchmark and so has done "very well".

A very small minority of UTC get involved in advising the clients on switching, but the majority barely understand the difference between equity and bond funds, apart from the fact that one is high risk and the other is low risk, let alone when is an appropriate time to switch.

Even if they are actively involved in advising clients, they may decide to stop doing so without any warning whatsoever because they decided to do something else with their career. Those UTCs can do this because they have no obligations whatsoever to the client - because they are simply sales people, and all Public Mutual expects from them is securing the initial sales which are worth 5.5%. So to imply that clients don't have to do their their own "researches and switches" after paying so much (particularly the bit in bold) is just rubbish.

If a particular UTC is really that good and knows when is a good time to switch, that UTC should be appointed to the Fund Manager's team so that the Fund Manager's team can do both fund management (which they currently do) and switching (which they currently don't do much of) so that the fund makes lots of money and everybody lives happily ever after. But that's not the case because fund management by beating the benchmark is quite achievable, but knowing when to switch is not that simple. That's why Fund Managers focus on comparing against the benchmark while letting the UT sales people sell the marketing nonsense about switching.

Honestly, the UT sales people I know are only interested in telling me about new funds, and that there is a 0.5% discount from the normal charge of 5.5% or something trivial like that.

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Added on March 31, 2011, 12:14 amNo, it's not.

Investing in a single share is definitely not "always" better than investing in a diversified fund. Far too many reasons to list why, here.

This post has been edited by howszat: Mar 31 2011, 12:14 AM

If u read my post carefully I was talking abt the 10 years horizon. Comparing investing in P saving fund and pbb as a single counter. And historical result return comparing these 2 has proven that I am right. Again we are talking about Pbb, the best managed bank in SEA. I know what u meant abt diversification, but the text book theory is not always right, at least at this example.