Can any agents furnish me information if Public e-Cash Deposit Fund is entitled for MGQP?

the campaint ended feb 28 2018 already right?

Yes u are correct

@bfs621 , @zubayr
The campaign gives extra. For regular investors, do they give any ?

my account show 0 mgpo point before 28 feb 18. only in march i have some point (from the campaign).

Some random thoughts…

Cut Lost.

Recently, Warren Buffett said in an interview on CNBC that some folks are not meant to own stocks, because they sell the stocks at lower prices than the prices they had bought.

He could very well be saying about some folks who have bought unit trust funds. Some seems to withdraw and sell at lower value than their invested value.

Why do they withdraw and sell at a lost?

- They had jumped onto the bandwagon when they heard that folks were making easy money from unit trust funds when the markets were on the rise.

- The invested money is short term, and would be needed later in the near future. So, when the money is needed, they had to withdraw even at a lost.

- They can’t take risk and can’t withstand seeing that their invested money is giving negative returns even when they are quite sure that the UT fund will regain its lost. Maybe they were used to ‘fixed-price’ UT funds and comparing the comforts they used to have with ‘fixed-price’ UT funds. They thought they can take and bear the risk, but in reality, they can’t.


Possible ways they could done the investment more correctly?

- UT funds are longer term investments. The longer they are held, the downside risk will be lower. More importantly, the longer they are held, it is less likely to have a forced withdrawal when the invested money is needed. Don’t use ‘short-term’ money to invest in UT funds. Use savings that are set aside for the longer term.

- Think longer term and don’t invest for ‘fast returns’ in UT funds. For fast money and fast returns, indulging directly in the stock market as a retail investor would give better rewards. The daily volatility of UT funds could be in the region of +/- 0.1% to +/- 2%. While in an individual stock, it could be up to +/- 5% and even be up to +/- 10% or more. You can get faster results with the limited capital in the stock market as oppose to UT funds, which is a pool of many, many stocks and they averages and lower the volatility of all the individual stocks. Also the stocks are picked by the fund manager who, hopefully, has more financial and pricing knowlege than the individual retail investor.

- Don’t do a one-time investment or ‘sailang’ as in ‘all-in’ in a poker game. This is also called a ‘lump-sum investment’. UT fund is a longer term investment, so do long term regular purchases. Whether the regular purchases are at a fixed amount (DCA method) or in variable amount (VA method), it is not that important. Or whether the purchases are done at monthly or quarterly intervals. They are not that important. More importantly, don’t do lump sum or one time investment.

- Don’t cut lost. “Cut lost” is a misguided phrase borrowed from the stock market. It does not apply to UT funds when the investment is for the longer term. As said, UT fund is a pool of many, many shares – maybe up to 80 stocks and more with about 0.2% to 2% in each listed stock. As a retail stock investor, you may have to cut your lost if it is a distress stock with more impending bad news. In a market ‘sell-off’, it is normal market behaviour, it goes up, and it goes down.

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Please also note that taking profit or trimming profit is different from cut lost. Selling a fund when it drops 10% off its peak, could be taking profit since the fund had gone up maybe 40-50% since the initial investment.


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There are 2 possible reasons for doing a lump-sum investment.

1) It is a short term investment with a limited time-frame, with the exit date already known and planned at the entry of the investment.

2) It is a full-blown portfolio of funds for passive income. Say, a retiree at age 55 or 60, may have sold a property and pool the money together with other savings and buy a portfolio of UT funds to generate a passive income for retirement.

Other than these 2 reasons, the investment method is generally regular purchases. Work -> Earn -> Monthly Salary -> Monthly Savings -> Use part of the savings to invest into a longer term savings vehicle.

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Buy the dip!



This post has been edited by j.passing.by: Mar 23 2018, 06:41 PM

Well said friend. Unfortunately your cheong - hei article will be loss on noobs. These recent entente will be in for quick cash. Quick pump & dump. Make and dash...

Just listen to their white noises...

Little news from that fatty from Land of Uncle Sam... worry, cannot eat cannot sleep

Little news from that fatty from N Kimchiland.... worry, cannot eat cannot sleep

Little news from whatever... worry, cannot eat cannot sleep.

Xuzen

p/s They are treating UTF as stock market and using stock market tactics and strategy to apply wholesalely into UTF.

It is like trying to use futsal tactics and strategy to play eleven-a-side football.




This post has been edited by xuzen: Mar 24 2018, 10:22 AM

Here’s another long post!

Catch a Falling Knife.

Another often quoted phrase borrowed from the stock market.

It is a warning to be aware of buying a stock at a fallen level and low price. The low price may be value for money; and it is also an indication that the stock is distressed and could be heading into deeper waters. Worst case scenario, the stock could be suspended and delisted when the company files bankruptcy.

Does it apply to UT funds? NO!

This is why UT funds existed. It is precisely to avoid the danger of riding on one single stock which so happen to be a failed stock. Whatever amount of money you spend is not riding on one single stock – but a whole bunch of stocks in an UT fund.

But… but… but… one may counter that underlying the UT fund is a bunch of stocks, so the phrase is equally applicable, does it not? It is like buying a basket or handful of stocks, one failed stock will also impact the whole investment.

True. If the basket is holding several stocks, the impact of 1 failure in 5 stocks is 20%, and 1 in 10 stocks is 10%.

In a usual UT fund, it will be more diverse, it would be holding up to 80 and more different stocks across a wide range of industries and across several countries if it is a regional fund. The holding in any single equity is in the range of 0.2% to about 2%... with an average of about 0.5%.

So the impact of any one fail stock is reduced significantly. That is if the fund manager so happened to select it after doing all the due diligence and evaluation of all the stocks he selected.

Plus the usual UT fund is “actively managed”; and its allocation in each stock is not ‘dead’ nor set permanently in concrete. Its holdings and allocations is constantly reviewed and readjusted by the fund manager.

So when there is a market sell-off and someone is telling you to be aware of catching a falling knife, ignore it.

Market sell-off is a buying opportunity!

Hey guys,

I am new to this investing thingy.

I plan to invest in PMO's Public Regular Saving Fund Plan

May i know your point of view on this?

while waiting for responses......
if that fund performance is what you seek....
can try use this tool to see how it performed
remember to subtract the % of sales charges imposed
then see it the returns PA is ok to you or not or maybe you needs something more risky?

https://www.publicmutual.com.my/Home/Fund-Performance


This post has been edited by MUM: Mar 31 2018, 09:02 AM

"Public Regular Saving Fund Plan"...

1. Regular Savings Fund is closed to new investments. What is available is its 'Sequel' fund.

2. 'Regular Saving Plan' is an investment plan offered by fundsupermart, not Public Mutual. Using this plan, the initial investment can be as low as rm100 instead of the usual 1k minimal entry.

If the subsequent auto-debit purchases are less than 1k, say rm100 or rm200, this DCA purchases is more even. And it is more strategic in a long down trend.

If I sell of my PM funds that was bought using my KWSP today before 4pm, when will I see the balance appear in my KWSP?

Public Regular Saving Fund focuses on many blue chip stocks and companies listed on Bursa Securities, which is purely a malaysian/ local fund and does not have currency risk.
Quite an old fund, since 1994. I would say it is stable and only if u are ok with quite a long long term saving/ investment period, although there is no commitment to it.

The longer the unit trust are held, the downside risk will be lower. Basically they are looking at average annual return of 10% per year, over 10 years. Personal experience, some funds can give you 80%-100% growth in 10 years investment tenure, provided you have the mindset of increase your savings and ok with lower risk lower return.

I still investing on PRSF, heard rumors that it already close, but I still saw it available.

Hey, How's your experiences in Bond fund? how's the return? is it similar to Fix deposit , although I know their mechanism is different.

I'd say just slightly better than FD after minus those agents fees and such. Not really worth my time with Public Mutual.

Thought it brings you satisfaction, coz u mentioned you prefer bond fund rather than equities.

Yeah at the point you quoted my sentences it was about a year ago. Right now, look at their funds. In a good market, they are performing sub-par-ly. To be frank, I took out all of my investment with Public Mutual and invested elsewhere.

I guess first to second year will make lost due to agent fees... is it the sales charge 3% or less? Cant remember already

I had been with Public Mutual since 1997 till this year So you can imagine how many years I had invested and same time looking at the returns for the recent years, it's not up to my expectations.