Don't compare EPF dividends with 10 years ago - chief
https://www.malaysiakini.com/news/511883

just wondering,...did anyone of you posted in the comment section of that article?....some posting looks

This post has been edited by MUM: Feb 23 2020, 10:22 AM

Not entire total amount of Dec 2019.
Entire amount of 2018 Dec balance + pro-rated increment for each month balance of 2019.

If give based on Dec 2019 total amount, then the Dec contributed amount 5.45% x 12 = 65.4% dividend already.
If like that, everyone also want to contribute big on Dec.

It should be similar to how bank count the interest.

If you are a devout Muslim, nothing to regret.

Never really bothered with compounding effect unless the percentage is fixed. Do you really lose a lot by half a percentage a year?

Alternatively you can dump some extra money into ASB 1 since EPF hasn't outperform ASB 1 historically. EPF also allow you to invest a portion of your deposit into unit trusts. Check under (I think) Investment tab.

This post has been edited by beLIEve: Feb 23 2020, 12:28 PM

Looks decent comments..
Not like some news portal..
Damn.. it's so cancerous to read 😩🥵

for most people i don't think they cam simply dump"extra money" into asb

i mean, all their money in epf is sourced from statutory deduction from salary. while all their money in asb is sourced from either their spare cash flow or from loan

I think most people are comparing to 1-2 years ago only. S&P 500 had a great 2019 and EPF does invest outside of Malaysia where in general major economies had solid returns >15%. Local bond holdings must have appreciated substantially with lower interest rates.

YES, they should not compare EPF dividends with 10 years ago....
they should have compared the current rate of 5.45% with those of 10~18 yrs ago


Attached image(s)

i checked my 2019 detailstatement, but no dividen tahun 2019?

is it just me?

did your detailed 2019 statement shows 2018 dividend?

just checked....mine shown as per image
noticed the 2019 stated dividend rate?

This post has been edited by MUM: Feb 23 2020, 12:10 PM


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he said he wanted to find better investment to cover back the loss of dividend.

Speaking of which, he can also reroute his EPF money into ASB2, ASB3, and even ASM2 and ASM3, or other trust funds.

Got it!

TQVM

5.45% is not great but reasonable

Well looking at the market performance..
I would says is really did good on the rate..

But for next year.. I doubt would even sustain at 5%
Would hit around 4+

Conventional returns will always trump over shariah, as they can invest in everything. And I've got at least 25 working years left.


Think will lose quite a lot, at least 10% less total returns over 25 years. Good suggestion to dump extra money/bonuses into ASB. My ASB1 is full, so maybe ASB2 & the rest.


True, been thinking about MIS/i-Invest. Thanks all.

Remuneration of the kwsp mgmt shud be in line with % performance... Otherwise, every year simply quote 'tough environment' = gaji buta.

5.45% is ok, decent and reasonable with worldwide interest cut everywhere.

FD rate is also going down.

While, there many other unit trust also are also registering negative return instead of positive over the last few years, apart from US related and bond funds.

Agreed..
It would make them work harder...

good point. i knew we could transfer our epf money into other unit trusts, but until u enlighten me i didnt know we could also move those money into AS* funds.

sadly this is probably gonna be the new normal . the era of high interest rates above 6% is long gone.