fund.

Quick quick go cari CIMB ones.....CIMB - Principle PRS Plus Asia Pacific Ex Japan Equity Fund - Class C aka Ponzi 2.0's clone.

Xuzen

Happy Happy rite?

Keep the receipt of purchase. This one, shueh shueh / mati - mati also can claim!

Xuzen

They better continue with the tax relief, or else the whole scheme will become redundant.

Xuzen

Xuzen

Comparing PRS to FD is so wrong. These two financial instruments are created for very different reason.

One is as a temporary parking space for unused fund whilst its owner decide what to use it for in the future. It is meant as short term.

The other is meant for retirement which to many is a a long long time away.

PRS should be compared more constructively with KWSP.

Xuzen

On this matter, I have said this before and I let me repeat. When KWSP was first launch, a lot of Malaysians (according to my father) was also very skeptical. The said the same thing, what happens to the money? What if the govt collapse, what if the money dissapear into thin air? Yada yada yada....

Today, the next generation think so highly of KWSP. And now they say the same argument about PRS.

I suppose History does repeat itself. And the cycle repeats ad nauseum; ad infinitum.

Xuzen

AIA suxs!

PM PRS suxs!

AIA Suxs!

AHAM FTW!

CIMB FTW x 100

Xuzen

I cannot suggest anything for you as I have no idea who you are nor what sort of circumstances you are in. But i can share with you my train of thoughts so that you can decide whether my logic / rational suits you or not.

I) PRS to me is a very passive investment and I will not be actively monitoring it unlike my other Unit Trust Investment. It is going to be a very long term investment.

II) I participate in PRS mainly for the tax relief.

III) A large chunk of my net worth is in KWSP and it is a known fact that KWSP is mainly exposed to Malaysia stock market and bond. Indirectly my assets are mainly exposed to Malaysian stock market especially government bonds and blue chip counter and index linked stocks.

IV) as such when I invest, I will select investment tools that are not exposed to Malaysia otherwise I will unwittingly increase my concentration risk.

V) Hence, when I choose a PRS, my criteria are:

A) Preferably zero sales charge, which is a no brainer.
B) Cover as broad geographical area as possible.
C) Low risk or volatility.
D) Decent return, better or at least on par with KWSP.

Due to the above criteria, I narrow my PRS selection to Affin Hwang PRS Moderate because it satisfy A), B) & C)

Due to the above criteria, I narrow my PRS selection to CIMB Principle PRS Asia-Pac Ex Japan Equity because it satisfy A), B) & D).

With regards AMReits PRS, I reserve my participation because it is sector specific and as such being a thematic play, I will avoid it as I have to monitor it actively.

Xuzen

AHAM Growth =

AHAM moderate =

I am personally a contributor to AHAM PRS Moderate.

Xuzen

I wanted to but meh! Too lazy to switch to around PRS. It is not so convenient, unlike the FSM wrap account can do with a click of a button. Besides, I only use PRS for tax relief only and amount is small compared to my other investment. A few percent difference is acceptable to me when compared to the tax relief portion.

Xuzen

The above are my criteria, you want semi high risk, you go and do your own research..... let us know when you find out.

Friends,

PRS should not be a complicqted process. You put in only MYR 3,000.00 per annum or MYR 250.00 per month if you choose to particiapte using bank standing instruction.

If you are below 40, choose growth fund. If you are above 40 years old, choose moderate. It is my personal opinion that the conservative funds are a waste of time.

The tax relief window is until 2021, and this means you only have four years of tax releif left.

For PRS growth fund, choose CIMB-PRINCIPAL PRS PLUS ASIA PACIFIC EX JAPAN EQUITY - CLASS C

For PRS moderate fund, choose Affin Hwang Moderate Fund.

For me, I started in 2012 with Affin Hwang Moderate fund because Affin Hwang was the first PRS provider in the industry. The other PRS provider came later, about six months later than Affin-Hwang. The amount of tax relief I got cummulatively so far is MYR 3,600 (MYR 720 tax relief x 5 years). The gross return for Affin Hwang moderate fund is 6.6% p.a. Annualized.

If incorporate the tax relief, (at 24% tax bracket), the annualized return becomes 14.73% p.a. Annualised.

Apa lagi lu mau?

Sh1t, I hope the govt continue with the tax relief post 2021. Better still if they increase it to MYR 6,000.00!

Xuzen

P/s Don't put anything more than MYR 3K p.a., as anything above MYR 3K, you don't enjoy the tax releif and PRS biggest selling point is the tax relief... period.


This post has been edited by xuzen: Apr 8 2017, 08:00 PM

---- Rant mode on ---

D1U! I see people here choose this choose that, think this, think that...when all they are gonna put in is MYR 250.00 per month only. And the fact is if you don't kena tax, then no point to participate PRS. If you are eligible for the Youth incentive, then open an account, put in the minimum value (MYR 1K at the time of writing) and then wait for your govt incentive.

Once you start to work and get properly taxed then you start the PRS program. And don't play PRS like stock or normal UTF, do asset allocation lar as though doing normal UTF or time the market lar as though playing stock market....

It is a waste of time. Just put in MYR 250.00 every month and once a year get the tax relief. That itself is your guarantee win liao! That is like a guarantee income liao: APA LAGI LU MAU?

I spoke to some young kucipeks who are working, tell them open an account, just put in minimum MYR 1K to get a 100% ROI , that is , the govt incentive. 100% ROI also they boh hiu! Think this think that.... but buy Iphone 7 which is RM4K, wah! Will borrow, cheat and steal to get it! D1U!

---- Rant mode over ---



Xuzen

PRS max charges is 3% if through agent. Your friend info is inaccurate.

If you buy through FSM, it is zero sales charge..... but you have to DIY style lah!

However, FSM helpdesk are very helpful.

Xuzen.

PRS Youth incentive is automatic. No need to separately apply wan....

As long as you fulfill the following criteria:

I) Malaysian citizen
II) Btw age 20 to 29
III) Min participation is MYR 1,000.00

That is all! Simple!

Xuzen

You have not been paying attention have you?

If MYR 250 = 10% of your salary, that means your salary is MYR 2,500 per month = MYR 30K per annum which means you are not even taxable.

So why bother with PRS?

The only thing for you to consider now is, if you are a Malaysian, aged btw 20 - 30, then whack in MYR 1K, just to get the govt incentive. Then work hard and smart to up your salary to the taxable level then use PRS to get the tax relief.

Get it boh? Pay attention in class can or not?

Xuzen

For PRS and KWSP-MIS, you buy under your own name, not as a nominee account.

Xuzen

What PRS online can do, FSM - PRS - CIS can already do better. Why go the trouble?