Guys, I just started investing in an endownment fund with Great Easten. I pay RM335 per month till I'm 55 (26 now) and then they pay me the whole lump sum. Interest is at 7%. Is this a good deal?

There was a thread on PFECTF some time ago.
It's investing in consumer sector in Far East countries, so it will be very cyclical in nature.
The earnings will be based on consumer spendings mainly.

PFECTF is a high risk fund, so it would invest mainly in aggressive stocks.
The aggressive stocks are cyclical, as you can see from your search that non-cyclical stocks are more defensive.
So, it does not really complement the objective of the fund.
If PFECTF were to be a dividend fund, then we can expect it to have more weightage on non-cyclical stocks.
This is just my opinion from the potential stocks selection list by the fund manager

Yes, I do mean that
Even your google search result tells you that non-cyclical = defensive = moderate.

Divide lah ur fund if scared put in bond and equity

Mutual gold status no transfer fees RM 25

But, US is considered Western already. Far-East generally refere to Japan, Korea, Taiwan, China, and Pacific Rim countries. (West of Pacific until the GMT line)

Fund managers: Market likely to improve in H2

StarBiz speaks to some fund managers on the market's direction in view of the current strong sell-down.

GERALD AMBROSE, Managing director of Aberdeen Asset Management Sdn Bhd

The local bourse's performance yesterday was largely led by Gamuda Bhd's sharp share price plunge, triggered by the sell-down by Gamuda managing director Datuk Lin Yun Ling on Thursday. 

The market reacted in the worst way possible. It was more of a sentiment thing. 

Malaysia has always been a safe haven for investors and has been on the uptrend for a while. 

Having said that, I think local investors are beginning to become anxious over future corporate earnings, given the unstable conditions in global markets. 

DANNY WONG, Chief executive officer of Areca Capital Sdn Bhd

Investors should not worry too much about yesterday's performance. The road in the short-term may be a little bumpy but most equity markets recover faster than expected. 

I foresee the local bourse performing better in the second half. 

Our fundamentals remain intact with inflation under control, interest rates stable and gross domestic product figures strong.

As foreigners perceive our currency as having more upside, there will be an inflow of money into our market. 

As for corporate earnings, we are "still there" although some recent earnings were below expectations. Firm pump priming measures should sustain earnings. 

Should the US go into recession, Malaysia would be the least affected among the emerging economies as our (robust) commodity sector would help balance things up.

We are positive on mainly banking and construction stocks and neutral on the plantation sector, which has seen a strong run-up. 

WEE KIM HONG, Head of research of M&A Securities Sdn Bhd

Our market was holding quite well even when the regional markets tumbled over the past couple of months. Investors may feel that at the moment there is not much news to drive the market and chose to take profit. 

Having said that, I am more positive on the market now compared with a few weeks ago. I believe it will strengthen after the general election.

URL: http://biz.thestar.com.my/news/story.asp?f...40&sec=business

For the Consumer Themed Fund PFECTF, it did not include US as one of its investment country. However, they can have the option to invest in company that have its business throughout the world but only listed in its origin country/other country. For example, Coca-cola have its business throughout whole world & Malaysia as well & consider to b a good consumer stocks, however its company is only listed in US market...therefore, the if Fund Manager wan to invest in this stock, he hv to invest from US market.

i.e. only selective stocks that are listed in US will be chosen by Fund Manager and not directly the whole market of US is being invested in. Therefore, US is definitely not included in the "Far-East" term here 

No one knows... even without the election the global market in general are not favourable as well. However foreign fund manager see this (election outcome) as something good for longer term - http://www.btimes.com.my/Current_News/BTIM...icle/index_html

I feel that the best is to stick back to fundamentals. As long as the general corporate earnings continue to grow, we could take advantage of short term volatility to accumulate cheaper units and stay invested for mid - longer term.

The PE ratio of index-link companies were "fair" but after today's fall should be cheaper than previous years average. I personally feel that the valuation of small/mid cap companies are much more attractive in general. Especially many of these companies were able to sustain double digit growth over the past few years.

"Be fearful when others are greedy and greedy when others are fearful" - Warren Buffett