Buy Bitcoin lah. Fastest way to get rich

I know it's an instant 5% rebate. The reason I amortized it over a 30 years period is to illustrate the "supposedly
benefit" of PRS tax relief which actually does not make sense in the long run.

So I did a quick check of average return (3 years annualised since PRS is still quite new) between PRS and publicly available funds. PRS you get 5.37% and public funds you get 6.79%. So there's a difference of 1.3%.
So over a long period of time, the general funds will net you more returns over the "PRS + tax rebate"
And you have the flexibility of switching your fund, cashing out b4 a crash, emergency fund, etc....


It looks like you are comparing someone who put PRS every year vs someone who spend the 3k every year??
Sorry if i did not make things clear, I am comparing someone who buy PRS vs outside funds

RM10.60 is the activation fee charged by PPA. Yes. Still can get rm1k. Of course, age must qualify.

Depending on when you topup. Govt will pay out 2x a year one lump sum. Depending which date is the nearest to your buying date. Best to ask FSM CS. They told me before but I forgotten as who cares about it once money masuk.

"When will get the incentive from government?"
from previous postings by forummers....the cut off date is end June and Dec......then 4 months after the cut off date you will be informed and yr a/c will be updated. Btw, the RM1,000 incentive will be utilized to purchase units which will be created in sub-account A of the PRS fund.
"And to qualify for next year youth incentive again, I need to top up 1k after 1/1/18?"
The incentive is a one-off incentive which will only be received once for the entire program between 2014 to 2018 and not once every year.

for more info of this PRS things...try this FAQs
https://www.ppa.my/prs-youth/prs-youth-faqs/
http://www.publicmutual.com.my/prs/PRSYouth.aspx
https://www.fundsupermart.com.my/main/resea...ve-RM1,000-4558

that mean have to open saving account with CIMB, and create the E Banking (CIMB CLick), then only can buy ?

can i walk in to branch and buy without open saving accouont?

You buy from Cimb online, kena charge 3%. Buy FSM don't kena charge.

I saw FSM recommend Affin Hwang PRS Moderate fund. Any further comment on it? Is it really good enough for a medium risk PRS fund?

just how does one determine if a low, medium or high risk PFS fund is really good enough?

Affin Hwang Asset Management Bhd chief marketing distribution officer Chan Ai Mei reminds contributors that unlike the EPF, the PRS lacks a capital or minimum-return guarantee. “All investments carry some sort of risk and contributions to the PRS funds are not excluded. Thus, it is important that contributors understand the risks involved, have basic knowledge of investments and engage a provider that understands their needs and requirements. In short, choose wisely and invest regularly,” she says.

According to Morningstar’s monthly PRS performance report, more than one-third (24) of the 56 PRS funds saw a cumulative return of less than 3% over a one-year period ended 31 Jan 2017 — lower than local fixed deposit rates.

Over a two-year period, 20 funds saw a cumulative return of less than 3%. Of these funds, 11 recorded negative returns. Over a three-year period, 22 funds registered returns of less than 3%.

http://www.theedgemarkets.com/article/cove...80%99s-next-prs

Will the performance of this fund good to buy and hold?

Investment involves risk. The price of securities may go down as well as up, and under certain circumstances an investor may sustain a total or substantial loss of investment.
Past performance is not necessarily indicative of the future or likely performance of the fund.
Investors should read the relevant fund's prospectus for details before making any investment decision.
An Investor should make an appraisal of the risks involved in investing in these products and should consult their own independent and professional advisors, to ensure that any decision made is suitable with regards to their circumstances and financial position.

I think it is a "good" fund to step into if one has not into investing or have experienced UT investing yet...



This post has been edited by MUM: Dec 1 2017, 09:18 AM

yeah, i have no experience in UT at all. But just trust the expert review (ofcoz knowingly there is risk involved) I think I will buy into this since whatever study I do in this short time will never exceed whatever the expert team has already done. Just have to prepare for the worse and hope that whatever fund they recommend is not because of marketing or what. Thanks for advice

This post has been edited by neo_6053: Dec 1 2017, 05:26 PM

Never trust what the fund house people say. They always say their product is the best. Do your own research or ask independent people who have no conflict of interest.

the only reason one will invest in prs is for the tax deduction.

Precisely. Once they stop the tax relief, I am not going to contribute anymore.

Keep in mind that you need to manually mail FSM all the application form.

when did they receive and when did you make payment? do take note of the long weekend though.

it will take some time since u made payment on thursday. friday, saturday and sunday is off day.

Just wait 1 week la. Normal what. Lots of paperwork.

I see most of you against public mutual here 🤣 and unfortunately I'm holding 2 of the PRS fund under public mutual now.. if i would like to buy the cimb fund this year.. what is the easiest way for me to do so? Do I still need to submit ic to register again?

It's because their performance is subpar(when compared to other funds). Having 2 PRS fund means you are paying 2x annual fees.

Your option
1) transfer out your public mutual into cimb
2) buy another Cimb PRS (which means you are paying 3x annual fees)

Yes. Need to submit IC as now you are opening account with cimb principal.

Annual fee RM8.48 is deducted ONLY when u top up. if u dont top up, annual fee will not be deducted.

So, holding 3 vs 2 funds are the same, in term of cost.

If got tax relief, takkan you don't want to topup and forgo the tax relief?