Although the above is meant to rhetoric, never the less, the most appropriate answer to the above question is as follows:

"The best time to invest is now, and the best time to sell is when you need to use the money"

I say now because once your money is in the capital market, the chance for it to gain reward outweighs the risk of inflation due to the money sitting in FD. It is a known fact.

The selling part, I do not need to elaborate, it is self explanatory.

Xuzen

Kisah benar, hari ini dalam sejarah: This reminded me of mid 2014 when all the China fund was like this. High return, awesome Sharpe ratio within the 1 year period. It beat all other geographical segment flat down. It is like our Dato LCW beating that forgettable Surinam badminton player.

Then suddenly, you all know what happen. Why is this so? Looking back in hindsight, the Standard Deviation was very high no doubt, but the ROI in one year is f3ckingly so high that the Sharpe ratio invariably looks so pretty & nice. Then it turn sour just like that and investors lost 20 - 30% of their investment.

Some lesson learnt from the burnt:

I) Use three years data instead of one year.

II) Even if the Sharpe ratio looks good, take a look at the Stan-dev. If it is very high, then take a hike. For me, I try to stay away from Stn-Dev that exceeds 10, unless it is my supplementary portfolio.

Xuzen

You go and main stock - market lah! You stock - market person you.....

Xuzen

p/s My answer is targeted at those who are still in baby level in UTF investment. For those more experience, lai lai, let's talk about port optimization & minimum variance portfolio.

This post has been edited by xuzen: Aug 15 2016, 10:29 AM

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This post has been edited by xuzen: Aug 15 2016, 10:27 AM

Look at the photograph below:

This post has been edited by xuzen: Aug 15 2016, 12:20 PM


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In my not so humble opinion , KAF-Bond UTF do not provide any numerical superiority over the retail friendly Libra-Asnita Bond UTF. Take note both of them are exposed to similar type of asset holding, that is, both are exposed to Malaysia Corporate Bonds.

Xuzen

Incriminating evidence that FSM peepul are monitoring and responding to this LYF - FSM thread!

p/s FSM peepul, I want also the correlation - coefficient available in your website, can or not? Pretty pretty please?

Xuzen

CASA rate is less than 1% p.a.! Govt given inflation is around 2.5 to 3.0% lar! Your advise darn lousy leh!

Xuzen

Take profit from US (if you came in a few mths ago, you would have gained from USD/MYR Fx as well as some US capital gain from Brexit).

Now it is time to move to North Asia. PER US is around 18.5, PER of China is in single digit. What do you think?

Xuzen

yar lor, two or three pages of talking about some twenty basis points advantage only. Come on lar, for so little gain spend so much time for what? It is not like you people are handling institution money and have a few hundred million cash placement where twenty basis points are important. Much ado about nothing mentality!

Xuzen

P/s Ini semua salah itu orang ASX / FD punya pasal! Sini FSM, we talk ROI of ten to twenty percent, not in terms of basis points. And further more itu Labah-labah merah jambu go layan itu orang lagi!



This post has been edited by xuzen: Aug 16 2016, 09:26 PM

why ar? No significant news also.....

Xuzen

p/s If tonight get gold medal, I wonder esok stock - market will rally or not?



This post has been edited by xuzen: Aug 17 2016, 02:28 PM

Absolutely nothing. However in my tongue-in-cheek manner, I wish to highlight the absurdity of the sentiment driven stock-market movement. Something that is completely unrelated can create momentum in the stock-market. Go figure!

Xuzen.

This post has been edited by xuzen: Aug 18 2016, 09:27 AM

Suxs fund!

Xuzen

When the funds are priced quite low, dare not enter also....

Xuzen

Ahem, corrected liao...

Xuzen

He is asking about EPF right? All the listed above are not part of KWSP-MIS list.

For KWSP-MIS, I am with Eastspring.

Xuzen

p/s For KWSP-MIS, interested investor may look at CIMB, Eastspring and Kenanga. The others, are, how should I put it ...... they are forgettable.


This post has been edited by xuzen: Aug 20 2016, 12:12 PM

This brings back our discussion previously about diversification along different fund manager but on the same asset class.

When Malaysian small cap index drops, all the small cap UTF also drop in tandem. So what sort of fund manager diversification are we talking about? There is no diversification at all....

Hence fund manager diversification is a false assumption.

Xuzen

Personal choices mah!

Xuzen

Yeah, similar stories here except mine was on steroid thanks to both US (benefited from the USD appreciation) & India stock - market exposure.

Xuzen

this is not consider diversification at lar! RHBSC cap drop 15%, ESISC drop 10%, apa diversification is this?

A diversification strategy that work should be UTF A dropped 15%, UTF B up 10%, portfolio only drop 5%

or

UTF A up 15%, UTF B drop 10%, portfolio gain 5%

Ini baru is smart diversification. Understand boh?

Xuzen