so basically once you buy there will be no hidden/maintenance charges until your retirement withdrawal?

so what's current PRS trend ? still CIMB PRS Principle Ex Japan?
near year end. yet to topup for tax relief

i wanna check, can i switch from manulife to CIMB PRS?

Really not worth it. The only advantage for PRS is tax benefits but then even then those companies has already "accounted" for those advantage.

I see, so means the performances still does matter and I might need switching fund from time to time.

If 1 yrs after my purchase and let say the fund price has increase by 5%, and I’m performing the switch, is the concept the same with stock - my profile will “sell” the fund at current price and earn 5%, then “purchase” the new fund with that total of 105% amount?

Not sure whether this is a good timing, but I’m doing this too late as it’s already Dec and have to make a purchase although I saw some fund is near the peak at the moment

I only go for the tax relief which there is until 2021 and then I will stop contributing I guess

I withdrew all my PRS funds early this year (after reaching 55) but now I decided to contribute back. In order to eligible for tax relief, do I have to contribute back all the funds I withdrew plus a new contribution or just a new contribution? Thank you.

alright, thanks for your info, i will confirm with my fund agent too, coz she also not that sure about PPA / FSM.
from my understanding the PPA / FSM just act as a middle-man.

coming towards the year end , havent spend my 3k PRS quota, any good fund recommended from FSM ? please recommend some

Hi all, wanna ask how to buy prs in fsm? I jz noticed that we need to submit a complete set of original fill documents to fsm by mail to their office? How long will this take for processing? And also after submit this so in future we don’t need go through this method ady?

  thanks for the updates...

then that means, withdraw RM1500, then use that withdrawn money of RM1500 to contribute back to PRS....get tax relief or RM1500 (for free)
all the gain with nothing to lose but some 'spending time" only...  :thumbsup:

those withdraw now could be from Conservative PRS fund,....intending to buy into EQ PRS funds.....

well anyway, how you know now is not the good time or now is a good time?
the price could be stagnant, up or fall after you sold and buy again (to get the FREE tax relief gain as posted above)

withdraw now and buy again....
if buy again, at a higher price.....you lose if the price paid is higher than the tax relief gain
if buy again, at a lower price.... you gain the lower priced units PLUS the gain of tax relief.
if buy again at the same price as you sold earlier...you will still gain the tax relief.

It will be interesting to see how many will still contribute to PRS post 2020 (I believe it is the last year for relief, barring any extensions, or corrections - in case I am mistaken).

I for one, will not as the main purpose is to gain from tax savings. The moment this no longer exists, there will be no significant incentive to even consider this medium.

Their returns (in my case) have been super pathetic and I have tried all permutations - aggressive, moderate, conservative. All super koyak - putting the money in FD even at 3% per year is better. And I have been investing since 2012.

However, I will take advantage of the RM 1,500 and then retop up another RM 1,500 for the final time this year.

It appears that PRS seems to have missed its intended purpose. Retirement savings? I think many people here only use it to save tax, nothing more. The moment the government removes this tongkat, what will happen to it?

I just pray that I don't lose when I can finally withdraw. At least EPF is guaranteed 2.5% per annum (and most of the time outperforms the minimum and FD!). Why can't PRS since it is suppose to act exactly the same as EPF?

LOL - not just you, most likely most who invest. Instead of PRS, it should be renamed as TRF (Tax-Relief Fund). That way, they will be no misunderstanding and they don't need to hard-sell that they can make money for you (which in my experience, it is pitiful - just putting the money in FD alone makes way more than my PRS returns over the past several years).

Just have to remember - TRF.

Since we know that EPF (I guess it will never fail since there is always income going in) will be around and I guess guaranteed by the government, what about PRS? Is there a chance it will collapse? After all, it is a supposed Private Retirement Fund? Luckily, maximum (for Tax-Relief) is only RM 3k per year x # of years invested. That is the total loss scenario. It could happen, I guess, if there is no guarantee - at least I don't recall reading it...

Now SSPN is another story - it gives around 4% returns per year, for many years in a row. PRS should model itself after SSPN - if SSPN can do it, why not PRS? SSPN gives you the same tax relief (this year RM 8k!) and virtually returns FD like or better rates! So you actually benefit upfront AND back-end, cumulative (provided you don't withdraw).

Yes, you are right. I never did much research but since there is time aplenty now from the never-ending MCO, should start looking. Any pointers?

ok fine, got a point. that one immediately got some few hundred bucks back in cash.

but don't forget also, you cannot withdraw the money until you're 55.

so assuming if the tax relief thing is only until 2020 and the gomen didnt extend the tax relief perk.

then your money is stuck in there for another dunno how many years.

let's throw in a scenario, if you're 30 this year and you can still qualify for the tax relief for the next 2 years.

assuming RM3k x 24% tax savings = RM720 per year x 2 = RM1440 for the next 2 years and no more after that.

then assume your fund is stuck inside until you're 55, means 55 - 32 = another 23 years to go.

assuming the fund only make 3%, or 4% which means you stand to gain 1% p.a. for the next 23 years.

wouldn't you be better off in the long run until 55, having your money in the FD with compounding effect than the tax savings + PRS?

but it is pretty difficult to "time" the market, the general idea of DCA is to eliminate all the noises, doing it regularly would smoothen your costs out and at the same time stay invested.
There's this theory where "time in the market" > "time the market", right?
Thanks. Corrected the tax relief of up until 2022.

on that,...
recently there was a forummer mentioned that he is still waiting for the drops and he has until DEC to wait for he expected the mkts would drops

thus i think, DEC is the cut off time (if tax relief is the objective), no matte up or down, by that time, have to go in too

yeah, i've been doing both. with the regular monthly DCA.

plus, buying extra when there's bad news regarding the market. been doing that quite a bit especially in stashaway.

on the tax relief, thanks for the correction, i thought it is until 2022. so in this case until 2021, means the last tax filing to claim such tax will be by April 2022.

those who are going in now just to get the tax relief gotta be extra careful if you don't want your money stuck there for the next many years.

agreed. but gotta bear in mind, picking the right fund is equally important.

The argument was, there's no point if the return of the fund is 3-4% p.a. and you're paying 3% annual fees for that fund. This will kill you in the long run, hypothetically.

Is this a good fund?

The only reason I haven’t DCA is because I’m waiting for FSM lump sum promotion for PRS during year end.

If I can predict the March sell down and rebound I would have invested all my money then