if it is a fixed price like ASM, ASW, or AS1M, i dont think it is wrong to say your capital is preserved.

You buy at RM1.00 and the price is always at RM1.00 whenever you wanna sell, how can you lose you capital?

Cannot be compared to FD yes, agree becos FD got PIDM.

Thanks. That was my reasoning as well. But I may be wrong. Some companies/govt can be real nasty with hidden clauses in there.

Waiting for the reply from ASNB and will share here.

Belated Merry Xmas & happy New Year 2015!!!

The term lost capital is lost the money you invest. Not how much U sell or buy, that's another issue. But this phenomenon is less likely to be happen.

Bank Rakyat, BSN & MBSB FD no PIDM protection

Dont buy dont sell sure no loss.
lost of capital can occur only if you sell.

I cannot foresee how u can lose capital in Amanah Saham fixed price types.
Anytime you wanna withdraw money, people are queing up to pay for your units.

Shares, other Unit trusts, yes you can lose, can even lose all your capital esp in shares. i have lost many times
like in Sri Hartamas, etc......

yes, can even compare to FD like u mentioned there.

so can say it is safe ..unless country goes bankrupt.


This post has been edited by guy3288: Dec 28 2014, 10:16 PM

Again, a country cannot be bankrupt. So far any country in the world bankrupt?

Got a reply from ASNB on my query on capital guaranteed ASX.

They use SC's definition of capital guaranteed fund as stated below:

Capital Guaranteed Fund as defined by Securities Commission (SC) :
• Has a maturity period
• Capital is only guaranteed if units held until maturity period
• Before maturity, units are transacted at fluctuating Net Asset Value (NAV).
• Penalty will be imposed if units are redeemed prior to maturity period
• The word 'guarantee' must appear in the fund's name


Based on the above definition, they then say ASX are not capital guaranteed funds. Sorry guys!

Note the 2nd point. Then we are safe on capital guarantee? But ASX do not have maturity period. So, not applicable again.

My takeaway from this is, when it is still a FP fund, withdraw before ASNB is running short of $$$.

Cheerio.

This post has been edited by plumberly: Dec 29 2014, 01:23 PM

I think this was discussed in an earlier version of this forum. There's a difference between capital guarantee and fixed priced. Basically, ASNB funds are fixed priced in nature due to the fact that no matter what the actual NAV is, investors are assured that their investments remain at RM1. That means that even during tough times (1998 for example), even when the local stock market tanked and the NAV would probably be less than RM1, ASNB continues to honour investments at the same value regardless if it means it is a loss to them.

Other unit trust products do not have such a feature so if things go bad (like it did in 2008) and your investment value is less than what was invested, it's your loss. ASNB is unique that its funds are like that, I do not know anywhere in this world where you could find something like that other than in Malaysia.

They may not have a "huge" year in terms of dividend pay out as compared to some UTMC but they've always preached consistent and competitive returns. Low risk and medium returns is what most people are happy with.

ASNB maintain buy & sell price for FP funds @ 1.00 ony presently

Greece is one example, no?

Germany joined the B club after WW II.

Argentina followed in 1999.

Others? I don't know.


Interesting article here http://www.futuristspeaker.com/2012/06/whe...es-go-bankrupt/



Not just Argentina: 11 countries near bankruptcy

http://www.usatoday.com/story/money/busine...uptcy/13435097/


Cheerio.

The correct term is default

Please be informed that the ASNB Kota Bharu and Temerloh branches have been temporarily closed due to the floods situations until further notice.

plumberly did u managed to change your whole family ASM passbook today anyway thanks for sharing the reply ASNB gave to u

Original plan was to do that tomorrow, a day after they are ready (time for them to have everything in place and also for them to be familiar with the changes). Ha.

With the change in school starting date from 5 to 12 Jan, plan 2 is now to do that next Tuesday, hopefully less people being middle of the month and not end of the month.

This post has been edited by plumberly: Dec 29 2014, 05:02 PM

6th Jan? well. good luck. ASB divvy already out.
based on previous expereiences, 1st & 2nd week Jan a BIG no-no for me. a lot people. waiting number also huge

For me, as long as it is in the month of January, it is a total gone case for me..

Not even consider to try my luck because normally many of the ASB holders would go withdraw their dividends in that month..

Based on my experience, the banks and the ASNB agents are often too crowded in the month of January after the dividends are declared and credited.

Thanks for the insight.

Have to time it when my schooling boys are available.

hey guys, i just saw the term "penalty" under their terms and conditions..do you know if i redraw before their supposed "maturity period"..will my fixed price ASX be imposed any penalty? Thanks

U can withdraw FP funds anytime w/o any penalty

Can we update our ASB books on Friday?