just wait for the local equity market crash, then u can see how the UT perform. Last time I could remember some forummer said he/she lost some 36% in UT

thanks sifu Xuzen, will study the recommended fund!

Why can't I access to Kenangainvestor website these days?

Last weekend was down and totally inaccessible.

But can access it yesterday night around 7 to 8pm.

I lost about 25% during 2010/2011

haha did u top up more then?

I'm not sure how this website got the info from the morningstar website because I can't get the listing from the free morningstar web.

but anyway, we can check the PRS fund via fundsupermart also, just go to fund info > fund selector >

Click on the Private Retirement Schemes (PRS) Providers drop down list and select all

the last I check , "CIMB-Principal PRS Plus Asia Pacific Ex Japan Equity - Class C" which invests into the "CIMB-Principal Asia Pacific Dynamic Income Fund" is currently the top rank fund for the 1 year category at 18.62%

this was not shown in the invest-made-easy website, I wonder why. Kenanga PRF was not in the FSM ranking probably because FSM just started selling it this year.

the next highest PRF fund for 1 year is "Affin Hwang AIIMAN PRS Shariah Growth Fund" at 11.49%

That time I noob...I cabut, sold everything

anyone knows how fast the money can be credited after sales?

T+2

thanks...

have no choice to liquid all investment there and cabut with 19.63% return...

Uptrend is gone.. party is over

Hahahaha, if it happen again near future. Would you do the same? Sell all again?

No. Keep invested and/or top up some more

read the first post but understand nothing about the misconception part. But still insist to try try UT. what do you guys think?

What is it that u don't understand?

Thank you so much sifu
Well, i am still very new in this and i believe most of the questions below will surely laugh die you guys \

May i know is NAV equivalent to unit price?


Q1. NAV pricing and processing time
"you will purchase units based on NAV pricing of that day. However, NAV pricing for most funds will only be published by the Fund House after 5PM on the next working day"

May I know why is the publishing time is so slow (outdated)? Why cant it announces the price everytime it changes?

"On T+4, your order will be incorporated into your holdings summary, purchase order is therefore fully completed."

Lets say if the NAV increases by 10% after the 4 days, will i receive lesser units from my purchase? Or the purchase is based on the first day NAV?

Q2. The NAV price of the fund that I'm interested in is quite high now, should I stay away? Investment gurus always say "buy low, sell high"...

- Fund ABC issues 1 million units at Initial Offer Price of RM1.00 per unit.
- As such, at Day 1, NAV of ABC is 1 million units x RM1.00 = RM1 million. NAV price is RM1.00.
- After the end of the Initial Offer Period, ABC starts to operate, it starts to invest.
- Let's say ABC bought RM200,000 worth of Maybank shares, RM300,000 of Dutch Lady shares and RM500,000 of BAT shares.
- Let's say after 1 month,

Market value of holdings"Maybank RM180,000
Dutch Lady RM360,000
Guinness Anchor RM400,000
BAT shares were sold off during the month"

Pardon me, but why is there suddenly RM400 000 from Guinness Anchor appearing? Fund ABC only bought maybank, dutch lady and BAT right?
And why is BAT giving RM50000 dividend all of a sudden?
Why is NAV price per unit: RM940,000 / 1 million units and not RM990000/1million units?

Q3 Topping up my holdings after dividend distribution pulls down my cost per unit, lower cost = higher profit.
"You hold 100 units at RM1.00 each. RM1.00 x 100 = RM100
Let's say you get 10 units extra from distribution"
I am confused. I thought we gain profit from UT through unit price increment and not units increment?

The rest of the misconception are beyond my understanding so I need sometime to digest it first.

Once again,
Thank you so much bro Pink spider!!

NAV stands for "Net Asset Value", this term is used interchangeably with unit price.

Q1. NAV pricing and processing time
"you will purchase units based on NAV pricing of that day. However, NAV pricing for most funds will only be published by the Fund House after 5PM on the next working day"

May I know why is the publishing time is so slow (outdated)? Why cant it announces the price everytime it changes?
- Taikor...a UT fund could be holding 30-100 different stocks...stock prices changes every second from 9AM to 5AM during a trading day...u want the UT manager to update every second and post online for u see meh? And some funds hold foreign company stocks...as at 5PM today, US markets also haven't even open, not to say close, how to update?

"On T+4, your order will be incorporated into your holdings summary, purchase order is therefore fully completed."

Lets say if the NAV increases by 10% after the 4 days, will i receive lesser units from my purchase? Or the purchase is based on the first day NAV?
- T+4 is only the processing delay for the units to be shown in your holdings summary...your order will be priced on T=Transaction Day

Q2. The NAV price of the fund that I'm interested in is quite high now, should I stay away? Investment gurus always say "buy low, sell high"...

- Fund ABC issues 1 million units at Initial Offer Price of RM1.00 per unit.
- As such, at Day 1, NAV of ABC is 1 million units x RM1.00 = RM1 million. NAV price is RM1.00.
- After the end of the Initial Offer Period, ABC starts to operate, it starts to invest.
- Let's say ABC bought RM200,000 worth of Maybank shares, RM300,000 of Dutch Lady shares and RM500,000 of BAT shares.
- Let's say after 1 month,

Market value of holdings"Maybank RM180,000
Dutch Lady RM360,000
Guinness Anchor RM400,000
BAT shares were sold off during the month"

Pardon me, but why is there suddenly RM400 000 from Guinness Anchor appearing? Fund ABC only bought maybank, dutch lady and BAT right?
- This is only a sample scenario...in this scenario, the fund first bought Maybank, DLADY and BAT. But have subsequently sold off BAT and bought Guinness Anchor. Open your eyes big big

And why is BAT giving RM50000 dividend all of a sudden?
- Aiyoyoyoyo...as above, this is only a sample scenario to illustrate my points. Listed companies distributes dividends every now and then. U wanna know why? Call Directors of BAT and ask them!

Why is NAV price per unit: RM940,000 / 1 million units and not RM990000/1million units?
- Aiks...ini typo error! Thanks for pointing out

Q3 Topping up my holdings after dividend distribution pulls down my cost per unit, lower cost = higher profit.
"You hold 100 units at RM1.00 each. RM1.00 x 100 = RM100
Let's say you get 10 units extra from distribution"
I am confused. I thought we gain profit from UT through unit price increment and not units increment?
- This...to explain, involves quite complicated maths
Just remember this:
"After distribution, you get more units, and your unit cost will go down. BUT AT THE SAME TIME the value per unit i.e. NAV price also comes down"

This post has been edited by Pink Spider: Sep 23 2014, 04:42 PM

Okay, so for Q3, distribution can actually be categorized into two types: Unit increment and unit price increament.
Unit increment is like:
Before distribution: 1000 units x RM1/unit = RM1000
After distribution: 2000 units x RM0.5/unit = RM1000
So even though the total amount is still the same, but we gain more units.

But if its like this, then is this distribution consider an income? I dont see any earning from here

Correct... dividends and unit splits mean nothing in UT.. they are just done to lower the "price" without lowering the value. See a lot of people think unit trusts are like shares, they are not. The price of a ut goes up because the fund manager is good, there are no fundamentals that will cause the price to go up. Saying a fund price is too high is like saying the fund manager is too good lol. Most people don't like high prices, but they like to have the value of the fund go up. But for the value of the fund to go up, the price has to increase. But most people will not buy into a high-priced fund because wah so expensive how to buy. So we need a way to control the price but still retain the value.

So how do we retain the value of the fund, without increasing the price of the fund? The solution is to lower the price and then declare a div for the amount it was lowered. The price comes down, but the value does not change, problem solved

So that's why they do it. If the fund manager thinks people will not buy the fund because the price is too high, they will do that stuff (unit split, dividend etc.) so they can drop the price without affecting the value.