welcome...
Now what?

Mana ada kan cheong bro. 15 years or even 10 years ago there was no FSM. Online trading for unit trusts pun tarak. How to check NAV and what not on a daily basis? Not much money to invest also.

Now I see everything so canggih already. How times have changed!

testing tag Avangelice Ramjade puchongite

edit: how to tag people

post edit: testing yeah

This post has been edited by AIYH: Oct 7 2016, 08:39 PM

Put that in square brackets.

Avangelice Ramjade puchongite

I asked FSM about the switch sell and siwtch buy time frame

I will take these 2 funds and some variables to illustrate it as well as the attachment for both funds for reference.


a) Switch Sell Fund : Affin Hwang AIIMAN Asia (Ex Japan) Growth Fund - MYR

b) Switch Buy Fund : CIMB-Principal ASEAN Total Return Fund - USD

c) Switch Sell Lag time for Cheque Orders (Business Days) : X (Affin switch sell days)

d) Switch Buy Lag time for Cheque Orders (Business Days) : Y (CIMB switch buy days)


Take this scenario:

I switch sell from Affin fund on T (Monday 10/10 10:10), so it will transact on the day itself and priced on T (MOnday 10/10).

They will receive the sales proceed from Affin on T+X, in this case, X = 5 days, so is T+5 (Monday 17/10).

Then They will switch buy CIMB fund and priced on T+X+Y, in this case, Y = 3 days, so is T+5+3 = T+8 (Thursday 20/10).

Finally, FSM will take 4 more days to show your holdings, so in total you gotta wait T+X+Y+4 = T+12 ( Wednesday 26/10).


***In summary, your switch sell price will be based on T and switch buy price will be based on T+X+Y



Using the concept above, will take Ramjade case for, say switch sell Libra Asnita and switch buy kenanga growth fund.

Switch sell Libra Asnita will priced at T and switch buy KGF will priced at T+2, and holding will be shown on T+6.


Hope this make switch sell and switch buy understandable to those who want to know.


Edit: Avangelice I made some correction to it, ps

This post has been edited by AIYH: Oct 7 2016, 09:14 PM


Attached thumbnail(s)

thank you!! that was informative and I will be sure to take this into consideration before doing a switch sell and switch buy in the future.

pinky spider request this to be placed in the first post to all future threads and this particular version.

This will mean FSM needs to correct their footnote document which generalized all switch-buy to be transacted on T+2 :-

For example :-

https://www.fundsupermart.com.my/main/buyse...do?code=MYHWDBS

The footnote says T+2 for switch-buy. Which is wrong. T+2 will be common but not applicable to all.

I am about to make some changes to my portfolio...then I noticed.
ex
originally I have only Ponzi 2.0 allocated 20.90% is having profit of 7.35% ROI and 4.54% ROI since Mid Jan

if I switched out 8.31% of value in RMx of this 20.90% to Cimb Bond fund (buy with RMx)

my Ponzi 2.0 allocation from 20.90% >>12.60%
my Ponzi 2.0 profits from 7.35% >> 12.81%
my Ponzi 2.0 profits since mid Jan 4.54% >> 10%

my total available balance are SAME
my IRR remains the SAME
my ROI since invest remains the SAME
the money is in circulation in the portfolio, no service charges...

if my EXCEL file correct?
I think something WRONG with my excel file...
if it is correct....if I were to "play switching around".....my individual ROI & IRR of PONZI 2.0 just goes up....

SIFUs sekelian....
ever notice or experienced this before?

pls teach..where did I go wrong.

oohh.
I think
I am using calculation as EXAMPLE
original invest value RM 20000 = 20000 units
original NAV = 1
now NAV = 2
I sell 10000 units x 2 = RM 20000

invested value is RM 20000 - sell RM 20000 = 0
Balance unit available is 10000 with "0" cost....

looks funny....how should I do it.....??



This post has been edited by yklooi: Oct 7 2016, 09:29 PM


Attached thumbnail(s)

I think the footnote is illustrating an example similar to my one

This is bad. Can't use libra asnita to park temporary. Thanks.

Rhb cash management fund 2 will have 0 day lag but returns is lower than Libra Anista.

If you want parking for money, just directly invest via fpx and wait until few days before you need the money then you sell, that will just be T+4.

After all, it is not for emergency liquidity fund, that belongs to eGIA

On the other hand, if you want park for very short term future potential investment, just sell to CMF or directly to ur banking account and reinvest later through either platform will do

I think the switch system is still ok for normal transfer between funds but not for dynamic "taking advantage of maket fluctuation" type, you will die just for waiting them to show up after each switch

Nope,not to spark any argument on it

I will never use CMF as long as eGIA-i rates beat it.

That's my parkong definition for FSM
For now I will use eGIA-i as parking.

But if you have some not so emergency fund and can take a bit risk, libra asnita still provide better returns compare to eGIA and ASNB

Diversify some money to it ma, not a replacement of eGIA also

I used all of them for different purposes

No harm trying it, experience at least once with minimum money, you might have different opinion after trying it

This post has been edited by AIYH: Oct 7 2016, 10:09 PM

looks like I need to really set up an instant liquidity account and also a bridge to fsm while balancing the rates of eGIA-i and fixed income.

after seeing AIYH post on down time and lag and ramjade for chiming in I have been neglecting to create a real instant emergency fund.

so let me get this straight. rates of eGIA-i > cash management account >savings account

three of which are able to liquid cash ASAP.

to cut short the switch sell and buy of T12 days which we found out, it is better to sell the fund first then on the same day buy the intended fund with your other savings parked in your eGIA-i?

I always thought the fixed income fund will be my ammo storage. guess not.

I can only answered you the bolded part.
Yes. The interest of eGIA-i > cash management account >savings account.
Liquidity wise it's very liquid however note that eGIA-i can only be access from 6am-10pm. One cannot uplift it in the middle of the night. So if you want emergency fund in the middle of the night, then eGIA-i won't be able to help you.
eGIA-i depends on OPR. If OPR is reduced further, it will drop. Whether it drop > CMF, I don't know. But seeing that CMF invest in FDs, it should also drop.

For me personally, I won't use the switch-buy feature to get best NAV (eg india incident). I will use my instant liquidity stock i.e eGIA-i.

Don't listen to me. I am noob. Just starting out.

Depending on which fixed income fund you put as your ammo, you might need to check the difference between their switch sell lag time (transfer fund to fund) and sell off time (transfer to CMF or bank).

Refer these below to understand more.

Switching Fund FAQ

Intra Switch Table

Inter Switch Table

Selling Funds FAQ

Depends on your investment amount and how much you reserve in your liquid assets vs fixed income fund.

If your planned investment amount is < 10k, then i think the method of selling fixed income fund and investing same day via eGIA is a good method

But fixed income fund selling will still need 4 working days (mostly, depend on funds, refer to selling FAQ) to reach CMF/bank, so you might need to ensure your emergency amount will still be sufficient for the following 4 days after you invest with your emergency fund

Inter switch will generally have 2 days lag. But intra switch will generally have zero lag ( there is a list of exceptions ).

So if I am targeting to invest in cimb equity fund, may be can consider parking into cimb bond fund in the mean time ? LOL.

This post has been edited by puchongite: Oct 8 2016, 10:00 AM

a "friend of mine"...always has a minimum
1) 1/2 month expenses in CASH lying around the house
2) 1 monthly expenses in Saving a/c of EACH of the 3~4 different banks with ATM cards
3) 3 months of saving in FDs on monthly renewal mode

that is "his" 1st pockets of Emergency fund that is to be "VERY" liquid.

there is really no right or wrong methods to have in an emergency fund.

just that don't be too annalistic in "concerning" too much about the "losses" of some % of interest on this emergency fund....not to the extend of calculating to the precise "lag" time in days of the x% of emergency cash in the said a/c....

concentrate more into how/where to position one funds in the portfolio; be it includes among other things like; Vanguard credit ninja trick, RSP ninja trick, abit of timing (buy lower ), try to seek funds (if possible) from FH with free switching and no holding periods between EQ / FI funds, visiting and actively posting more in here, etc, etc.........to helps provides winnings/savings that is/will be much more than the losses of some % in the lag time.

1/2 half month expenses lying around the house. wah like that the officer who kept millions on millions of cash in the house took this literally.

jokes aside. Thank you for the information and yes I was anal over it as there are days I feel I am really broke as I don't have much physical money when everything is in accounts, properties, unit trusts and fixed deposits