Hi all, been reading all 30 pages of v4 (and v3 partially). I have 3 funds namely PIDF, PISSF and PIOG from EPF (75%) and cash investment (25%). As these 3 are equity funds, do I need to open one bond/moderate fund first before I can do switching i.e. Open another tabung before I can deposit? Or can i select to do switching to any bond fund and automatically a bond fund can be selected?

Thanks heaps. Been enjoying reading all these banter and educational stuff, especially from Mr. Wong and Mr. Xuzen.

Thanks for "absorbing" Gen_iUS84 (uncle ni perasan, thought only 1 Wong around ).

Ok, down to the technicalities:
1. To open a new a/c (bond fund or otherwise), minimum $1K

2. Thus, when U want to switch from Equity to Bond fund:
a. Are U going to switch >=$1K worth?
If so, U don't need to bother creating a bond fund a/c now
When U switch, it will be created automatically.

b. If U are going to switch < $1K, then yes please plonk in $1K into a bond fund a/c now.

NOTE:
another donkey technicality to consider - minimum units to SWITCH is 1,000 units if i'm not mistaken.
IMHO, pretty not-smart lor, shd be based on VALUE mar, not UNITS.
eh.. i didnt come up with this "note" technicality yar, PMut did

This post has been edited by wongmunkeong: Jan 15 2013, 06:54 PM

I meant that U may be having more exposure to China than U planned/wished.
However, if U don't mind that, then no issue mar

Keep in mind, diversifying is good to a point.
However, since we're talking about mutual funds here, Funds A, B, C, D, E & F (wah diversified cow cow hor 6 funds) may be holding similar country's stocks or same stocks, thus your personal exposure to the specific country or specific stock(s) is HIGH and U aren't as diversified as U thought/planned.
Thus, i highlighted that PFES & PRSEC holds quite a bit in China equities the last i checked.

Just a thought

PEBF need 100K to invest meh? Cannot be lar...

See urself.

Looks like a lot of rich people in Malaysia...

I am just checking on their latest report, see below. There are about 86% of the fund owner not reaching 100k, which they are purchase before the rule change. So they are really "lock" up this fund, can see can not buy for most people,

wonder why they want to increase the investment cap? the fund really performing so good?

If the switch request is based on VALUE, by the time they get to processing your request, the NAV may have dropped so much that there is not enough VALUE to switch.

If the switch is by UNITS, you will never have that problem.

True but does the majority of investors think in terms of units or value?
In addition, what is the chance that "the NAV dropping so much that there is not enough VALUE to switch"?

Anyhow, when i mean "switch by value", i meant switching units but NOT at a minimum of 1,000 units, not verbatim switch by value $ per se. My bad - my previous posting can be construed such.

This post has been edited by wongmunkeong: Jan 15 2013, 10:53 PM

The things is new fund is overprice by 5% for the similar portfolio.

When it comes to investment (aka MONEY), what investors think, or what the chances are do not come into it. The terms and conditions should be precise and not leave anything to "chances".

But from a user convenience point of view, I agree. I prefer to use value, rather than convert value to units.

Thanks Mr. Wong for responding; it is more than 1000 units so I can just switch without opening the bond account first. Know any good-performing islamic bond? When switching to bond from equity, what is the min amount required to maintain the equity account?

This post has been edited by gen_ius84: Jan 16 2013, 02:12 PM

You should be able to get this information from the fact sheet..

Sorry Kaka, by fact sheet do you mean the prospectus? Where can I get my hands on them? Actually I only just registered at PB branch for PM online. Fact is, I've instructed my PM agent to discontinue my EPF investment as I'm moving to CWA and become part-time agent (lower sales charge) now that I'll be actively monitoring my funds. Only last week done my analysis and learning the ropes.

Yeap.. From their prospectus. Look for minimum account balance need to be maintained.

Not mistaken, most funds should have a min of 1000units..

Just look at Public Far-East Property & Resort.

The rally just wont stop. Wonder if it is still the right time to top up? The property sectors are very diversified across the countries.

yes, PMO is a little bit dumb and can only handle switches in 'units'. Maybe a bit too kamsiap to opt for a smarter system? As it is, we can never get neat round numbers...

rm8800 is so nice to start a new fund; but it could become rm8804.44. LOL.

=================

On the minimal units to switch, why do it if it is just several hundred ringgits and the switching fee is then no less than 5% of the switched out amount?

Say, invested amount rm5000, now increased by 10% to rm5500. To switch out rm500?

ok, we take out rm500 and pay rm25 as switching fee.

After deducting the switching fee, the switched out rm500 becomes rm475. Let's say, the nav price drops by 5% the next month, and the remaining rm5000 becomes rm4750. So, the total now is rm475 + rm4750 = rm5225.

But if we left it untouched, rm5500 drops 5% in following month to rm5225. End result is the same.

But remember this is PM unit trust funds we talking about. 5% or 10% in a month or a couple of months is a very volatile movement. (PM is conservative in nature, and their best funds are usually the conservative ones.)

Putting several hundreds of ringgits into a bond fund and watch it grow, is like watching wet paint drying. And it is not too often is there a bull rally... (and you're holding the right equity fund, LOL)

I'd rather switch out the whole amount (do a 'full' switch rather than a 'partial' switch) when the going is good; especially when it has gained 5% or 10% in a month or two, it can also drop 5-10%...

In short, in terms of percentages, anything around 5% is too high and painful to pay for switching at minimal units...

Lastly, IMHO, there are at least 3 stages to an investment: savings and building a nest egg, monitoring and growing the nest egg, maintaining the nest egg for regular income, exiting....

If you're in the initial stage of a savings plan and making regular savings, I don't think there is any real need of making switches. If it does happen, maybe the investment strategy is not right for the savings plan. The investment strategy is most probably wrong if needed to make switches at minimal units.

Far-East... but looking into its year-end report, it is in sing, mal, indo & thai.

It seems that I am not receiving any financial year-end reports lately by mail (since July?)... did PM stop it? The e-reports in their website is no good - they don't have the last few pages showing the list of invested companies unlike their 'booklet' report by mail.

j.passing.by, my thoughts exactly which is why I enquired the min amount that can be left in the equity. Little impact if small units switched as compared to the switching fee, but then isn't there 4 times free switching in a year? Or that is for cimb funds?

This post has been edited by gen_ius84: Jan 17 2013, 01:57 PM