Information extracted from the Public Mutual Weekly Review for the week ended 13th March 2015

As at 13 March 2015, the local market’s P/E valuations are above historic levels: - P/E valuation: prospective P/E of 16.2x versus the 10-year average P/E ratio of 15.6x. - Dividend yield: 3.21%, which is lower than the 12-month F.D. rate of 3.35%*.

The regional market, as proxied by the MSCI Far East ex-Japan Index, is trading at a 12.5% discount to its 10-year average P/E ratio: - Regional P/E valuations: 11.9x versus the 10-year average P/E ratio of 13.6x.

Eh, that cannot be right? Did you invest in long term bonds with moderate risk? That could be the reason. If we invest in short to mid term bonds with low risk, then we should not be making losses.....

But if your definition of "not doing WELL" means not meaning much profit, then I think this is normal for bond funds.

But the total return for RHB BRIC last year was only 1.42% wor? Even RHB OSK Islamic Bond Fund beat it with a 5.91% return.

Yes, RHB BRIC has picked up a lot this year. Is it too late to join the party? I suppose it is OK if we invest in it for a short term period as a supplementary portfolio. But to my mind, still very high risk...

Haiz...sorry to hear that bro. You may want to consider:-

(1) RHB OSK Islamic Bond Fund (watch out for the redemption fee and switching fee though and this fund is more volatile!)
(2) RHB OSK Bond Fund (watch out for the redemption fee and switching fee again!)
(2) Libra Asnita Bond Fund
(3) AMB Dana Arif Class A (recommended by FSM)

Any of the above funds should perform better than FD.

Good luck!

This post has been edited by Vanguard 2015: Mar 17 2015, 05:23 PM

Well best of luck. I also have supplementary portfolio in other high risk unit trusts. For eg. AmPrecious Metal....lost about 12% a few days ago. Now recovered a bit but still lost 9.51%

This post has been edited by Vanguard 2015: Mar 17 2015, 05:43 PM

I think Affin Hwang Select Bond Fund is not available for new subscribers. There is no buy button to click on in the FSM factsheet for this fund.

Thanks for the info.

John Bogle's 10 Rules Of Investing


1. Remember reversion to the mean. What's hot today isn't likely to be hot tomorrow. The stock market reverts to fundamental returns over the long run. Don't follow the herd.


2. Time is your friend, impulse is your enemy. Take advantage of compound interest and don't be captivated by the siren song of the market. That only seduces you into buying after stocks have soared and selling after they plunge.

3. Buy right and hold tight. Once you set your asset allocation, stick to it no matter how greedy or scared you become.

4. Have realistic expectations. You are unlikely to get rich quickly. Bogle thinks a 7.5 percent annual return for stocks and a 3.5 percent annual return for bonds is reasonable in the long-run.

5. Forget the needle, buy the haystack. Buy the whole market and you can eliminate stock risk, style risk, and manager risk. Your odds of finding the next Apple (AAPL) are low.

6. Minimize the "croupier's" take. Beating the stock market and the casino are both zero-sum games, before costs. You get what you don't pay for.

7. There's no escaping risk. I've long searched for high returns without risk; despite the many claims that such investments exist, however, I haven't found it. And a money market may be the ultimate risk because it will likely lag inflation.

8. Beware of fighting the last war. What worked in the recent past is not likely to work going forward. Investments that worked well in the first market plunge of the century failed miserably in the second plunge.

9. Hedgehog beats the fox. Foxes represent the financial institutions that charge far too much for their artful, complicated advice. The hedgehog, which when threatened simply curls up into an impregnable spiny ball, represents the index fund with its "price-less" concept.

10. Stay the course. The secret to investing is there is no secret. When you own the entire stock market through a broad stock index fund with an appropriate allocation to an all bond-market index fund, you have the optimal investment strategy. Discipline is best summed up by staying the course.

This post has been edited by Vanguard 2015: Mar 18 2015, 05:07 PM

Is RHB closing down the RHB-OSK-GS BRIC EQUITY FUND? It is a fact that they are closing down RHB-OSK GLOBAL CAPITAL FUND because the fund size is too small.

I note that RHB is also not accepting any new funds for RHB-OSK GLOBAL MULTI MANAGER FUND....

Hang in there Mr. Looi. If RHB is planning to closing down the BRIC fund, they should be sending you an e-mail to offer you a deal to switch out to other RHB funds without incurring the switching fee of RM25.

Wow good return +2.3%.

Well, I am in the same boat. I just switched some fund from RHB-OSK Global Capital into RHB-OSK Global Multi Manager Fund. But looks like Multi Manager is also closing shop as well. Haiz....

Good morning everyone. Another beautiful day. All the funds in my portfolio are super green (except for Am Precious). Until the next market correction.

I guess the super green applies to all the regular investors in FSM as well.

Yes I have. You have to monitor this fund closely and switch out quickly once you make a profit. It is super high risk.

RHB OSK still have a few good funds...China India and Asia Financial Funds are among the best performers.

Haha, I do agree with you to a certain extent. RHB OSK killed 3 funds in the past 1 1/2 months including BRIC.

I really don't understand the idea of RHB charging a switching fee of RM25 for intra fund transfer and imposing redemption fee of 1% for its bond funds.

I thought we have already paid the sales charge of 2% when we buy into the RHB OSK unit fund and also paying the annual management fee of 1.50% p.a. of NAV and annual trustee fee up to 0.07% of NAV?

Still not enough profit margin for RHB OSK???

Yes, AmPrecious Metals is special. I have posted here before.....investing in AmPrecious is like gambling. Just fasten your seatbelt and prepare for the roller coaster ride. Definitely not for the faint hearted.

I have a small supplementary portfolio in TA Global Technology Fund. I switch it back and forth with TA European Equity Fund.

Call it pure dumb luck on my side. I switched into TA European Equity Fund before it rallied recently. Now TAEFF is up 4.81% whilst my TAGTF is only up 0.23%. Time to switch back some money into TAGTF?

BTW, it is all FREE, TA Fund House does not impose any switching fee.

Happy Investing.

Thanks for the info. Time to switch my profits again from TA European Equity Fund into the TA Global Technology Fund......

RHB-OSK launching 2 new funds via FSM after closing 3 other funds recently?

Minimum investment of RM20K?

Ask them to sau pei lah.

Dear Xuzen,

I think you have missed the point completely. The issue here is not the affordability of RM20K to buy into the RHB-OSK European Fund. If you have been reading this forum for the past few days, you should know that the unhappiness here is the switching fees and redemption fees charged by RHB-OSK and their act of closing down 3 funds recently.

On a different point, not everyone is as lucky as you to inherit a family business or shop that was started by your grandfather, passed down to your parents and finally to yourself.

I am sure you are doing well financially. But that is not a reason to put down other forum members such as myself and assume that I am poor. Financial success means nothing in life if a person does not have humility, kindness and empathy towards others.

Finally, I hope you enjoyed the lunch organised by FSM at the Bijian Bar and Restaurant.

Vanguard

Apology accepted.

Yes, I have a sensitive heart and it is easily hurt.

No, I did not try to profile you. The information was staring at my face. I know what you did last summer.

Now let us all get back to making money via FSM and share info!