EPF returns consider BOND returns, so, to max epf money, u need to inveest in high or higher risk fund.

FYI, dividends on BOND funds are not taxable, least, no deduction for the tax.

This post has been edited by guanteik: Sep 7 2011, 09:44 PM

if u know how to calculate the dividedns, u will understand it. the dividedns actualy from ur investment gain/lost.

go to how to calculate the divicedns in my signature.

Interest and dividend are two different thing. Interest is like a bonus on top of your EPF where as dividends from equity/bond are distributed out of the profit/gain or loss on NAV. Lets say u invested $1 and it increased to $1.4 in a year, the dividend u receive will come from the 0.40 gain (or maybe more? i dono)... at least thats what i was told

How about... transfer as much $ from EPF to bonds fund after EPF paid its interest (every April?), left the $ in bonds fund for 6-8 months and hope the NAV value appreciate, then sell/transfer back all the $ into EPF (before Dec 31) and enjoy the next year interest ---> at least let the $ to have chance to grow more within the 6-8 months

Sorry for causing all the misunderstanding... blame it to my left/right/centre/up/down brain... keep thinking how $ can grow more...

This post has been edited by lowyat2011: Sep 7 2011, 10:14 PM

Where can I find Public Mutual DATA more than 52 weeks ? ( 1 year)


Wow , I see that PUBLIC BOND FUND drop quite a lot on Aug'11 . The reason behind ?

Thanks ...

Here: http://www.publicmutual.com.my/application...formancenw.aspx

PBOND? You saw the wrong fund, Bro.

If u invest in the right bond fund of public mutual, the return will beat the epf return, they have 5-10 years record to prove it right.

PB BOND FUND>. Overseas Bond not local..
quite dangerous now

why spend all the hassle of transfer in and out from the epf to bond fund? epf dividend is paid on monthly rest basis, the moment u withdraw fr epf, interest stop accumulating. Plus u need to pay 0.25% every time u buy bond funds.

sorry, I thought epf is yearly rest. If this is the case... not worth the hassle

depending which country u talking about. US T bills rates are regarded as risk free rate, even their bond hv been dowgraded recently, it is still considered safe. Austalia/NZ soverign bond are also considered safe.

Just curious, if the dividend declared is 5%, the latest nav value is RM1.00 and I have 1000 units...
5% of RM1.00 is RM0.05, after declared, am I getting:
a) (RM1.00 + RM0.05) x 1,000 = RM1,050
or
b) (RM0.95 + RM0.05) x 1,000 = RM1,000

Thanks in advance.

---

Added on September 8, 2011, 1:23 amSorry, forgot to ask... If the bond fund's initial nav is RM1.0000 and the average of 4-5% growth, after few years, the nav should be increased to RM1.2000 to 1.3000, but the current nav still around RM0.9999 - 1.009, does it means... after declared the dividend, the nav value dropped and investor either gets more units (reinvest) or gets $?

Thanks in advance.


This post has been edited by lowyat2011: Sep 8 2011, 01:23 AM

er.. simplifying:
1. U bought at $1 NAV (ignoring 0.25% svc charge) in 2011 1 Jan
2. NAV goes up to $1.10 in exactly 1year in 2012 1 Jan
and dividend declared $0.06 cents per unit
3. 2nd Jan, after ex, NAV will now be $1.10 - $0.06 + whatever growth between 2012 1 Jan to 2012 2 Jan.

Thus, please note that dividends in mutual funds are similar to stocks - when it's paid out, the $ is from the fund (in stocks' case its company's cash), thus it devalues each unit held in the fund.
However, the effect of the distribution of dividends are a bit dis-similar to stocks.
Fund's NAV drops EXACTLY the amount distributed via dividend (then +/- all the other stuff - see below "to complicate matters")
Stocks' price drops based on market's sentiment, heck, sometimes even rises after ex!


To complicate matters, no. 3 is actually
NAV will now be $1.10
- $0.06 dividend distributed
+(whatever growth between 2012 1 Jan to 2012 2 Jan)

-(mgt fees prorated + trustee fees prorated + etc.)
-(whatever transaction cost by bond fund managers' buy/sell between 2012 1 Jan to 2012 2 Jan)

u must know how the EPF dividend calculation. this blog can help u. epf dididends..

Actualy EPF dividends calculated by monthly.

there is no way u enjoy double dividends in 1 year.

EPF - dividedns (additional from capital)
UT - capital gain/lost and dividedns is from the gain/lost.

ya, but I recommend, if use cash, can go for BOND, better than FD returns. If use EPF, I don't recommend to BOND.

dividedns need to calculate base on how many cents decalred, not the %.

b) is correct.
if u hv 1000 units, then times with the dividedns = dividedns x 1000 units. = amount u will get.
the next operation day, the new unit price will open with previous day price - declared dividedns which is Rm1.00 - 0.05 = Rm0.95

Public Sukuk Fund... is a bond fund, rite? Recommend for investment or not?

I want to know from your experience. How many days did EPF take from the time of application submission to UT account created with the unit purchased?
I am exploring the EPF UT investment option.
Thanks.

3 days as far as I experienced.