Eh, what is the difference between these 2 funds actually? I thought their performance is closely related?

My bad...peace bro.

Yes, we should take profits or re-balance our portfolio quarterly, half yearly or annually. Look at my portfolio for example. In less than one week, my entire profit since December 2014 until now was wiped out for EISC and KGF.

But luckily I took profits a few times for both funds. As to the meaning of "taking profits", that is a topic for another day.

Thank you. I need to do more research. Morningstar Asia gave EM 4 star while Asian Total Return gets only 2 star. I wonder why.

The worst has yet to come for KLCI. Unless we resolve the political and economic uncertainties, the market will continue to bleed. My original plan remain unchanged. To go into KLCI in December?

This post has been edited by Vanguard 2015: Aug 14 2015, 04:44 PM

For the long run, I still believe that an asset allocation of 80/20 basis, i.e. 80% equity and 20% bond funds, is ideal for most investors. This is especially so when the markets are volatile.

The following funds seems to fit nicely into any portfolio of RM100K or less:-

(1) Kenanga Growth Fund or Eastspring Small Cap;
(2) CIMB Asia Pacific Dynamic;
(3) CIMB Global Titans;
(4) TA European Equity Fund; and
(5) Libra Asnita Bond Fund.

Note : I cannot comment much on the current US funds or the Asian small cap funds available in FSM which should also form part of the core portfolio.

For a portfolio of RM100K or more, I think investors should diversify some money into specialist funds as part of the supplementary portfolio. Some funds which comes to my mind are:-

(1) Affin Japan Growth Fund;
(2) CIMB China Fund;
(3) TA Global Technology Fund.

Note : Unfortunately FSM do not appear to have any global REIT fund.

What say you?

Eh Pink Spider, when I posted this asset allocation a few months ago, I had the impression that most of the young investors here are 100% into equity funds. Therefore I am now still suggesting a 80/20 ratio as recommended by most finance books.

IMHO, for young investors (i.e. anyone below 40 years old) with a long term investing horizon, 80/20 is still acceptable. For older investors (i.e. 40 years and above), they may wish to consider a higher bond ratio depending on their projected retirement age.

Interesting. I wonder whether it is possible to have a voting system in this thread. I am really quite keen to see the asset allocation ratio of the members here.

I always thought (maybe wrongly?) that most investors here are mostly into equity funds and have very little bond funds.

I am now currently holding 95.13% equity funds and 4.86% in bond funds. It has deviated a lot from its original portfolio because of the drop in the China linked funds. A lot of the bond funds was liquidated to top up the China linked funds.

Eventually, I hope to re-balance it back to at least 80/20 in equity/bond funds.

I agree...we shall see by year end what happens to my portfolio.

Agree. As I have posted before, unit trust investments should ideally only form one of our baskets of investment.

Thank you for the compliment but unfortunately I am already in my 40's. 😄

What about you bro?

Hey, 40's is the new 20's.

This looks like a great asset allocation.

Tsk, tsk, tsk. Another day where there is only a sea of red except for KLCI.

Shall we put everything in FD and go to sleep?

Ouch, you got a point there.

Hi Ivan,

I think you need some exposure to a global fund in developed markets. Since you are practising DCA, I would still recommend GTF although it may perceived to be expensive now. I am assuming that you will stay invested for 2-3 years using DCA.

Please don't follow the example of some of the forumers here, including myself. Sometimes we do crazy things like trend trading without proper asset allocation. I would not recommend it for the normal investors who cannot tolerate high risks or do not have alternative baskets of investments.

Good luck!

Agree. That's why I said 'perceived to be expensive'.

Having said that, I still believe that a lump sum investment into GTF or into any other funds for that matter is not suitable for most average investors.

I would consider lump sum investment as RM10k or more although others may have a higher or lower sum in mind.

Until now I still don't know the difference between investing in FSM MY and FSM SG. What are the pros and cons?

Could someone enlighten me please? Thank you.

Thank you everyone for your replies. I am still thinking whether it is necessary for us to open another account in FSM SG.

It seems that they have more funds which are better and the charges are lower. The only disadvantage is the forex exchange since our MY is weak?