1) This fund is invested 25% of the fund in the financial sector which is highly related to the economy. With a simple estimation like 10 years a recession gap, the fund is possible grow to until in 5 years until to mature level.

2) As for 60% of the fund is located in Malaysia, it is probably low/middle risk due to Malaysia is a conservative country that all the investment is guide by the Bank Negara Malaysia. There is another 15% is in china which is assume a 5% minimum growth annually while the target is set at 8% for their government.

For my personal opinion, Malaysia economy is almost recover of 80% based on the performance of overall company in share price while China is estimated recover 100% and grow to a better level.

What i mean is to compare the potential of recovery with the potential of grow. If you invest the fund in recession and you will properly earn about 50% -100% grow in 1 year while if you invest the fund now and you will properly earn around 5%-10% or higher if lucky.

As for this fund is recover up to 80% compare to the highest price in 3 years. I assume the speed of grow will become slower and there is a risk to drop but the risk is low as i mention the investment is in Malaysia and China.

Political issue<< i skip this due to hard for estimation.

Conclusion:
If you wish to earn a better profit by putting your money in saving, there is definitely a YES to invest in this fund. If you wish to earn a high profit with this fund, it is probably hard with this fund.

**The info given up there is based on my own opinion. There may be other issue that i hard to mention all in here or the issue that not acknowledged by me.**

This post has been edited by Ern3st: Apr 26 2010, 12:57 PM

Compare with graph is 1 of the type of analysis. It is extremely important in compare in the graph in order to make a rational analysis like what i stated in previous post. In fact there are a lot of issue that may influence the fund such as Environment, Industry, Economy Condition, Politic issue, Legal issue, Accounting standard, Tax Issue, Financing environment, Business environment. Anyway it is only theory in the book unless you know how to analyze it in reality.

For my analysis, i treat fund is a business due to the fund is investing in the business therefor if you able to analyze in business>industry>environment very well and this will provide you a good strength in investing in fund. Anyway most of the environment fact is also a prediction from the analyst.

For example, if i predict there would a change of government for next year? so the investment will have a great impact due to the unstable of politic environment. But it is only my prediction with NO SUPPORTING DOCUMENT.

If i predict there would be a crisis due to a particular country who facing a financial loss of USD$300billion? so this bring a global economy crisis once again and caused Malaysia economy to goes down which is bringing the investment value down.

Anyway there is no 100% right/wrong in analysis while just in term of " Do you believe it?" If dun believe the analyst and you may change. If dun believe the type of analyze approach and you may change.

Hopefully you may get some understanding about analyze an investment.

This post has been edited by Ern3st: Apr 26 2010, 01:18 PM