Congrats Avangelice. Time to diversify in your investment schemes apart from FSM!

1. StashAway
2. SSPN
3. EPF Self Contribution
4. PRS

Have a Merry Xmas and Happy New Year everyone.

Everything is selling at a discount. What a wonderful buying opportunity for those with a long term horizon.

My monthly DCA with FSM is still in place.

Nobody knows whether the market has reached the bottom yet.

Therefore, for those thinking of switching from bond funds to equity funds, DCA or VCA spread over a period of time may be the best method.

It works even better if you have credit points in FSM. For eg, if you have accumulated 20,000 credit points in your account from using the Vanguard ninja trick.

Now you can do this:

Step 1. You park RM20,000 into CIMB Bond Fund.
Step 2. You switch RM1000 into CIMB Global Titans and RM1000 into CIMB Principal Asia Pacific Dynamic on 1st April 2020 from the CIMB Bond Fund.
Step 3. Repeat Step 2 for the next 10 months at the beginning of each month.

Using the above method, you are now:

1. Diversified across asset classes (with bond and equity funds in your porfolio)
2. Diversified across markets (you are now invested across Asia and US)
3. Diversified over time (you are not making a lump sum investment when the market has not bottomed out).

Best of all, you are paying zero sales fees to FSM, i.e average saving of about RM300 based on a sales fee of 1.5%.

However, this method is not fool proof because:

1. If the market has already reached the bottom now and is going straight up for the next 10 months, then you are better off investing a lump sum of RM20K into equity funds now.

2. We are assuming that the CIMB Bond Fund will remain stable for the next 10 months. If this fund is also sinking, then you may make a loss from this bond fund as well. In other words, you are not saving the sales fees of 1% to 2% by using the Vanguard ninja trick at all.

I hope this explanation helps. Happy Investing!

Hi bro, I have 3 different portfolios. Yesterday I DCA into:

1. Kenanga Growth Fund
2. CIMB Global Titans
3. Principal Asia Pacific Dynamic Income
4. CIMB Greater China
5. TA European Equity
6. Eastspring Global Emerging Markets
7. Affin Hwang Select (ex-Japan) Quantum
8. TA Global Technology Fund

This post has been edited by Vanguard 2015: Apr 3 2020, 06:36 PM

I am been dabbling in unit trusts for about 15 to 16 years. You win some and you lose some.

I am still learning from the sifus here. It is a life long journey for me to continue increasing my knowledge.

I switched my KGF to Kenanga Bond Fund and my TA Global Technology Fund to TA Income Fund a few days ago. Then switched some again to Affin Hwang Select Bond Fund and the RHB cash management fund.

But I still maintained the DCA for KGF and TA Global.

Locked in profit of RM20K plus. Part of my asset allocation rebalancing which I have not done for a long time.

Preparing to weather the oncoming financial storm.

Thank you for the heads up.

No, switching within the same fund house is free.

But it is strange though that I could not switch from TA Global to TA Dana Afif which is less volatile.

I see. Thanks for the update.

This mean that the last time I switched from TA Global to TA Dana Afif must have been before March then.

Thank you for the update.

[double post]

This post has been edited by Vanguard 2015: Jun 23 2020, 08:40 PM

I will stop 3 and 4.

No. 3 is of course Malaysia centric. The local economy is not doing well. Caused by political uncertainty and Covid-19. This led to loan moratorium, dead tourism and weak QR by most companies. Everything is affected except for the glove stocks. Banking sectors, gaming sectors, sin stocks, REITs, Therefore, better to spread the risks around and go for Principal Asia Pacific Dynamic (No. 1).

Between Greater China (No. 2) and TA Global Tech (US Centric - 85.2%?)(No. 4), I choose China. They are the new powerhouse. Greater China invests in China, Taiwan and Hong Kong.

Just my 2 cents worth. I haven't looked closely at the composite of these funds for a long time. I just do DCA for all these 4 funds.

This post has been edited by Vanguard 2015: Sep 25 2020, 07:19 PM

Asset allocation, portfolio rebalancing and value averaging may help. Plenty of books on these topics.

Don’t let all the unrealized profits disappear. We are now in a bull market. Nobody knows how long it will last.