This is the most humorous post I've seen coming from you.... made my day

These days he post more over here than on his own thread. That thread only to troubleshoot for some random forumers only

Boss, I think he's almost 100% EQ on FSM. He is also vested in ASx fixed priced funds

Me la, my FI allocation is > my age

The key to the equation with PRS is the tax relief
How much tax relief would you get if you buy 3k PRS?
For the highest tax bracket fellas it's 24%*3k - that's RM720. Where to get this kind of returns wor; of course when you IRR it over 30 years it's not a lot; but the compounding effect of that 3k that you won't take out to avoid penalty would be a lot as well

Why is withdrawal element important to you? Do you not have RM3k in a year to not see again until retirement? If the fund does not perform you can switch. RM8 per switch is not that bad

No, RHB AIF also includes a significant portion of REITs; and EMBF is mainly government bonds including those outside of Asia Pac; RHB ATR would be a closer surrogate. But composition wise, the % of EQ:FI:REITs would be dynamic with RHB AIF and how are you going to mirror that?

I've highlighted this before; when EQ is doing well, AIF will lag behind due to its FI and REITs elements. But it's a great stabiliser with a rather low volatility which is great during turbulent times. So the question is, why do you buy into this fund? Just because crystal ball say so?

Good attempt to analyse the movements. But do look into 1 year and 2 years chart then you would understand why Xuzen decided to go into AIF early this year; he was contemplating between ATR and AIF and clearly AIF is a better choice given its lower volatility and higher risk adjusted returns. All these funds are not identical and would perform differently in different market situations

Although in this case the negative IRR was due to key in error; it was previously discussed that it is mathematically possible to have a positive ROI and negative IRR.

I've personally experienced it and it was due to a rather big negative IRR from a recent purchase and a small IRR from CMF, but ROI wise it's positive because I kept the money in CMF while waiting to RSP into funds. At the moment that portfolio of 1 year old still has an IRR of 2.2% and ROI of 5.4% although if I look at CAGR it's actually closer to 5.4%

Not sure if this makes sense to you; it's mathematically correct although I'd disregard IRR and focus on ROI in this instance

Oh, it's possible to have it in the reverse situation too - +IRR and -ROI
Again due to averaging effects of IRR where some transactions made significantly more but is more recent
My GTF position is having IFF 0.74% IRR and -0.66% ROI

This post has been edited by dasecret: Oct 11 2016, 10:36 AM

It would apply to both really, when it comes to foreign balanced fund the price still does not move only up unlike local bond funds, what it means is just that you may not see a monthly -5% or -10% returns very often (and also the reverse). So it depends on what you want. If you want to gamble ala buy low sell high, AIF is not for you; if you want lumpsum/RSP and have a reasonable amount of FI portfolio it'll be quite ideal

I dislike EI GEM very much. The allocation is very heavy to asia pac and the returns pale in comparison to APDI and other asia pac funds. Would certainly discourage that move. To be honest, I don't see the potential of EMs outside of Asia pac doing well. EM bond is in a better position due to their exposure in gov securities which is less risky than ATR's corporate bonds. Other than that I don't see a reason to buy into the region

Actually it's not because the region has no potential, but the Msia funds in these region are less than ideal. Another example would be our exposure in developed markets, the best ones are GTF and Aberdeen world, but they are not that great as well

What about increasing exposure in MY EQ? With general election coming there's a good chance the market would boom (before kaboom )

It depends on your intended allocation lor. Those MY exposure within asia pac funds are negligible
Some argue home ground advantage ma. No doubt the local fund managers r good at beating the index and delivering consistent performance.

But crystal ball thinks otherwise. so it depends on what you believe lor

Question - what is the timeframe are you looking at exactly?

Something to remember when you try to time the market - For foreign funds forex plays an important role on top of the ups and downs in various equity markets
In fact forex would have more certainty in predicting if the fund would go up/down than the market indexes because the fund may or may not invest in the indexed stocks and the weightage in each top holding and market is also dynamic. The only information you have is fact sheet which is at least 1 month old

My simple solution to that is, I don't try to time the market, because I suck at it

Hmm, the answer to this question is rather complex

Each class would be translated to its denominated currency on daily basis

So although the exchange rate for 13/10/15 and 13/10/16 for USD:SGD is identical, in between there were lots of fluctuations and the transactions took place during the year would be affected by those fluctuations

The only instance where it would be exactly the same would be during the RM pegging of USD at 3.8 because there were no forex movement in the whole year.

Hope that makes sense
Anyway, is this an important consideration? The SGD and USD class as I understand is to be distributed by CIMB in other Asean countries instead of Malaysia. If you invest in the MYR class just focus on the MYR performance lor

Now we know who has platinum status
And I have to say this, your % of holdings in gold & general times with 750k

Well, last time lukenn always post graphs with forex to show how much of the gains came from forex

A good place to do that is bloomberg as you can plot the feeder fund, the source fund and the forex in one chart

To be honest, I think you missed the boat if you want to ride on the forex gain. Do you think we will hit USD1:RM5 anytime soon? If it's just 4.4, the gain would be rather minimal

oops sorry boss.... am precious metal that is...

you need to manually key in the units in transaction amount; the guidance is at the transaction amount cell if you hover around it


And delete the units from the manual adjustment column

Your formula is based on the assumption that the 3 funds invest in the same stocks/bonds/markets in identical proportion which is clearly not the case

That's just a general idea since all 3 funds invests in the asiapac ex jap market; 1 in equity, 1 in FI and 1 balanced
But if you apply that formula xyz for 1 day, it won't work because they are not investing in the exact same stocks/bonds in the exact same proportion

However, on a 3 year returns basis you may find that it's quite close due to all the averaging effect. But that also depends on power of the respective fund manager. Investing is not so black and white and mathematical la

for the unit split? 0% la, takkan gotta pay sales charge for distribution pulak
The NAV u can just put whatever number, if you look at the calculation it has zero effect as unit split/distribution only increase units held and not investment cost

Sounds like I didn't quite get your point here

So what's the conclusion after you discover all these? What is your choice of fund and why?

Great effort!

Now, if you look closer, you would notice that when equity is not doing well early this year, the gap narrowed which means AIF tends to be more resilient and that's where lower volatility comes in.

At the end of the day it depends on what you want, APDI made close to 20% in the last 6 months and that's something that AIF would never be able to do. But when all the EQ funds kaputed early this year, my AIF IRR maintained at around 7%

Yet another auntie advice, learn the basics of unit trust. Don't just look at returns. Volatility is important. Underlying assets is important. Market outlook shd not be ignored. It's not as simple as comparing returns to FD n ASx returns

Now what I will do is I will give you the answer. But the reason you need to figure out by reading up past discussions about ATR n RHB Islamic bond

Bad idea to buy ATR if you want stable returns. ATR is anything but consistent. It's consistent with USD:RM forex rates

RHB Islamic bonds may not be able to return 7% consistently as well. It has some bond default in the past n is seem as more risky bond fund than say asnita and EI bonds or PM bond funds. But those bond funds don't give u 7% in a normal year. This year is not a normal year for MY bond

Nope, Public Mutual funds are only distributed by their exclusive agents. Not distributed by IUTA and CUTA as far as I know

Difference of PMO and FSM?
Sales charge - 5.25% vs 2% or lower
Choice of funds - limited to PM funds vs a wide range of funds across different asset management companies and switching enabled between different asset management companies as well (some subject to charges)
User friendliness of the website - I don't know about you, I find fundsupermart much better with wide range of articles and research reports, charting tools and simulators
Fund returns - This one very hard to compare la, have to compare those from the same range etc. But when I sort morningstar results by 5 years annualised returns, PM funds hardly even show up on the first page or top 20...

Is that enough reasons for you to consider FSM?

I don't use eUnitTrust and too lazy to check - What's the current indicative interest rate for PMMMF?

FSM CMF is T+2

I also liked the fact that redemption they will bank in for me instead of sending me a cheque which would mean >T+2 effectively.

But just like the debate between Maybank eGIA vs CMF; the differential usually is very small. 0.2% per annum difference works out to be RM200 difference for RM100,000 per year. And who put large amounts in CMF or MMF for a year right?

Trivial matter.... not worth comparing

On the other hand, it is a lot more meaningful to compare EI small cap fund vs RHB SCOT vs CIMB small cap vs Public small cap because the difference in returns is huge, can be more than 10% per annum

Ada free credit ninja or not for inter fundhouse switching?

But at the end of the day, the website is such a major turn off to me that even 0% sales charge also I won't go for it. Macam built by some teenagers and never upgrade for the past 5 years

Indicative interest rate is forward looking which would be comparable to savings acc or FD etc. The past performance is not as meaningful in the case of MMF. Any interest rate adjustments would impact the future returns significantly

Well done!

Actually if we still want to dwell into this. eGIA is more superior la. Liquidity and returns both win

But, keep your eyes on what matters... the EQ and FI funds... not MMF