risk stil the risk. bonds fund are diversifed with a few bonds, so the risk are mitigated.

FD only has coverage up to RM250,000. if the bank koyak and if u have rm1mil in FD. u only refund rm250,000.

so, risk is every where, it depends how u C it.

BNM and govt just make sure depositors hv confident on FD. it was raise from rm60K to rm250k 2 yrs back.

islamic product is fast growing industry include china, us n europe. for islamic bonds/sukuk, malaysia can say as a leader.

http://www.mydigitalfc.com/personal-financ...fund-tricky-950

past performance only a indicator of the fund . and its not guarantee for the future performance.

c the past perfomance 3 - 5 yrs. is the the fund perform /recover from down. also the asset allocations, but the allocations will change time to time for the opprtunity.

i dont focus too much on allocations, that is FM job. most of my invesment in local funds. for me , as long epf/PNB hidup, local funds hidup.

example only:
30 yrs old PSF, 70% allocated in local, already past 3 decades, still concider good fund eventhough negative a feww yrs initialy and during down trends..

another reason is to attract back FD depositors back to bank after the FD rates drop from 3.7 to 2.5 in 2009....... bank lossing depositors.

who will put the money if the protection only up to rm60K and the interest only 2.5%.

asset allocation.

whre the money allocated?
local? foreign? sectors?equity?bonds, MM, holding cash?

some local fudns hv allocate 30% from the fund to foreign market. so, which counrty/sectors?

this is call asset allocation.

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Added on March 4, 2012, 7:09 pm u can study abt the allocation in prospectus and fund review.

This post has been edited by kparam77: Mar 4 2012, 07:09 PM

PRSF 100% local market.

better dont in after this FYE. better wait for GE because 100% invest in local market.

u can read all the infos in prospectus. study in fund reports.

its abt trustee fee. simple understanding, if a fund value rm1bil, the fee applicable 0.08%, or min rm18K to max rm350k from the fund value.

bonds and money market funds is for u if u prefer low risk fudns.

returns in bonds funds concider fix income.

direct bonds actualy are loans issue by banks, company or govt. if we buy bonds directly, meaning we are "loanning" our money to them and we will receive interest. after the maturity, we will receive our capital.

someting like if we borrow money from bank, we pay the interest + capital for a certain period of time. 5,10,15 yrs. bond is vise versa from public.

BOND funds, meaning the fund will deversify in a few bond.

equity funds are, the money will be use to trade in stock markets and the returns is depends on how the holding stocks perform.

bonds are fix income, while equity funds may give higher returns if the market conditon in uptrends. of cource, equity funds higher risk the bond funds.

im holding my OWN investment and waiting for GE over. so, i dont recommedn any fudns for time being for local market.

but my list as follow:
PSF,PRSF,PDSF, PGF, PAGF, PIF ALL LOCAL ISLAMIC FUNDS.

NO COMMENTS FOR FOREIGN FUNDS SISNCE IM NOT INVEST ON THAT.

IF U PLAN FOR DDI, NOT NECCESARY TO WAIT UNLESS U ENTER BY VCA, BETTER WAIT.

plan wisely before enter.

DDI, not need to wait for GE.

u want to learn or want open acc with min Rm1k? not need to find agent in branch sine we hv many agents in this tread including me. PM me if u interested.

but KLCI up???????

because local market support by EPF, PNB....... nothing wrong with that as long investors benefits. malaysia one of the country recover fast in 2009.

every months EPF receive mil of money from contributiors. so, they will pump in the money in local markets follow the allocation.

Fix depocit also not fix return-lah kawan.

normaly, fix income meaning u got the dividedns annualy. its a annual income distribution policy.

KLCI closed -15 points today.

for local funds, let the market drop deep first.

PSF,
PRSF,
PAGF,
PIX,
PDSF,
ALL LOCAL ISLAMIC EQUITY FUNDS.

read the prospectus first before enter.

i think ur mother bought the units with higher price before market crach on 2008.

ya, maybe can wait until the GE, the price be may more higher.
or maybe can set the stop loss to rm3.5k.