Bro,... thank you for the heads-up,... glad that it's not any big issue after all,....

If have holdings in all 3 FP funds, then will be able to withdraw dividends in the months of April, August and September,...for usage,...

Hi bro prince,... I have been a PNB FP investor for a long time,... it was from last year that I started pulling out my funds,....slowly,...

Yeah, many got stuck in this way,....

Actually, which do you guys think is better ? EPF or ASX FP Funds ?

Just saw this,... Hi Hyelbaine and forummers,...

Reading it at one go, it says :-

1) Westeros Bhd wishes to issue a series of debt instruments, called Medium Term Notes (MTNs), total amount of which is RM10 Bil.

2) The first 'round' amounted to RM1 Bil, which comprises :-
a) RM970 million senior class A MTNs, given a rating of “AAA/Stable” by RAM Rating Agency.
b) RM30 million sub-tranche MTNs, given a slightly lower rating of “BBB2/Stable” by RAM Rating Agency.

3) In short, these debt instruments, are 'guaranteed' by,... err,... the ASB and ASB2 Funds, in an indirect way.

4) The different rounds of note issues are independant of each other, meaning, err,... if one round defaults, this will not affect the other rounds. Only one collateral will be affected.

To me, it is more like Westeros owns a lot of the ASB and ASB2 units, and is using these units as collateral for raising and issuing the MTNs. In the event that Westeros is not able to honour the conditions of the MTNs, those ASB and ASB2 holdings will be used to fulfill the pledges.

PNB comes into the picture when the ASB and ASB2 units needs to be liquidated in order to repay the MTN holders.

Hence, indirectly, PNB is 'guaranteeing' the MTNs issued by Westeros,... no matter how they word it.

Foa a particular round of issuance, or called tranche in the financial world, there are two sub-batches. One batch has a higher credit quality, which pays a lower coupon while a lower credit quality tranche would probably pay a higher coupon.

Tq, dasecret,...

Yes, I looked closely too at the sentence you pointed out, and on top of that, I looked at the immediate next paragraph to try interpreting better what it means by : ASB investments (ASB loans).

Hence, from the first few paras of the article, specifically these two paragraphs, one following the other, seemed to indicate that those 'ASB Loans' are forms of ASB Units owned by Westeros :-

" The rating agency said this First MTN Series marks the first rated securitisation involving personal loans secured against ASB investments (ASB loans).

Managed by Amanah Saham Nasional Bhd (ASNB), a wholly-owned subisidary to Permodalan Nasional Bhd, the ASB funds (ASB and ASB2) are open-ended, fixed-price unit trust funds that benefit from ASNB’s repurchase obligation. "

Westeros owns some form of ASB and ASB2 'units', called ASB loans, which it intends to use as collateral to issue notes to be sold to outsiders. These ASB and ASB2 units, or ASB Loans are quite safe as collaterals because of, 'the benefit from ASNB's repurchase obligations', meaning if the collateral need to be activated, ASNB will kick-in into the picture, 'acting as a guarantor'.

If we look at the way this whole thing is being packaged, what we have here is actually our ASB and ASB2 'units', renamed as ASB Loans being SECURITISED OUT AGAINST MTNs. This is a securitisation program made against ASB and ASB2 'units', called ASB Loans.

If those loans are straight-forward borrowings given out by ASB, then there should not be any mention of ASB or ASB2 programs here anymore, and the often-repeated repurchase obligations of ASNB.

These are dangerous events to be onvolved in...

When our assets are being SECURITISED, it is scary because some entity is out there putting in a counter-party risk against our assets.

Imagine if we read another article saying the ASM, or ASW2020, or the AS1M being involved in a Securitisation Program.

I was caught in the subprime crisis, hence the knowledge picked-up from there, not that detailed,... but adequate to be more careful in future,...

FRom the same article : Westeros Capital is an orphan company incorporated specifically to facilitate the securitisation of ASB loans.

Should be what you said in the above,....

I am. But conversion rate a bit high though,... But can make back-lar,... No prob,....

No bro,... the mailman will leave a notice in our mailbox. Then we will pick up the document at the designated post office as per the notice. If we don't pick up after three weeks, then it will be returned to the sender.