Huh?

I learned new stuff today...

All this time was thinking the 2.5% is from EPF only...

That's why to make sure they can pay that 2.5% if anything goes wrong... So they need to keep some buffer yearly basis... Thus dividend payout ratio don't exceed certain percentage....

That's why you see my argument previously that EPF need to keep some $$$... And not pay all...

well... last year, the economists explained how the shariah components did so so so very well due to the foreign equity exposure to tech stocks...

this year (of course it has only been 2 months), the tech stocks are really not doing so well... like really not well.

so... what does this mean for the shariah pot?

You can.

According to this site,

https://theedgemalaysia.com/node/737967

New RM1.3 mil threshold
With the introduction of its enhanced savings threshold of RM1.3 million, the EPF will also increase the threshold at which EPF members can take out excess savings at any time from the current RM1 million to RM1.1 million from Jan 1, 2026, RM1.2 million from 2027, and RM1.3 million from 2028.

which platform can help us diverse?

https://www.sinarharian.com.my/article/7295...tahun---azalina

Hot news! Seems like 60 years old is too young to retire so gov need to perform an indepth study to see if we need to increase our retirement age to 65. Hopefully this don't impact our current EPF withdraw rules...

Everyone want to retire early and there are always many type of ppl

1. Retire early scare not enough money to survive
2. Retire early scare no work equal lazy lifestyle faster die
3. Retire early scare later children useless we can't support them
4. Dare not retire as that disturb the norm

To be honest I don't mind increase the retirement age to 65 as long as gov don't change the epf withdrawal rules

For me I just have to plan well and try to retire early but I don't have the balls...

Hai...

If all these gonna happen future on...

With full withdrawal age being increase....

Better temporarily stopped from self contribution first...

The excess money better dump elsewhere.... In places where you can access easily but same time give dividends rates cceptable level...

Probably ASMx funds could be one of it....

changing retirement age will take some time to take effect... after gov of the day decided to gazette it... according to chatgpt, back in 2012, it took like 11 months to come into effect.

But the fun thing is... at some point, if gov pushes the retirement too far, EPF don't have any reason to raise any limit... in fact it may need to reduce the limit...
imagine retirement age got changed from 60 to 70 (for example), and average life for men remains at 73 years (assume), then said men can enjoy only 3 years of life. Still need 1.3M or 1.6M or some high number?

 

Next year is RM1.1m. Then RM1.2m in 2027. Finally RM1.3m in 2028. 2029 there will be a review.

Doesn't really inspire confidence. It seems the fund really desperate to prevent withdrawals 

Or no change.

The RM1.3 million came from their retiirement study, where they outlined 3 targets for a 20 year retirement.

Basic which is 60% of Adequate.

Adequate Savings is RM650k

Enhanced Saving which is just double of Adequate.

Previously, there were just basic of RM240k and the RM1m. Everyone says, even in this forum, that these were inadequate.

U face currency and interest rate risk there in 30 year Treasury.

Errrmmmm... US Treasury Bond as save and US gov sure keep their promise?

I wouldn't be too sure on that now. Things are changing very fast nowadays. 30 years is a very very long time... US Bond yield is increasing now and my understanding is unless you hold to maturity, if you sell halfway, you might actually suffer loses too. Because increasing bond yield means bond price drop.

Will US continue to be dominant and USD continue to be the world's reserve currency? If you asked me 10 years ago the answer would have been an easy yea but now... I  am not too sure. You might even lose out on currency exchange rate as well if USD continue to weakens...

Exactly.... And the increase rates is to compensate the less take up rate and with moody downgrading on US ... That will be a fun ride.

Just short 5 years ago, these bonds were sold at less than 2%..... With weakening of us dollars... And all these delusional characters... Mad world. The biggest joke.. China can issue US dollar denominated bonds and sold off rapidly even at lower credit rating and lower rate....