As you yourself have mentioned, it's for 1 year. indeed if you invest exactly a year ago, this will be the return. but it's definitely not sustainable.

which is why if you look at the annualised return for past 10 years, it's about 10+%.

Before you compare, try to take your units in AMReits x (1.56/100) and add to your total NAV. Then compare again. There is a distribution on 20/2/2017.

A noob will look through a key hole and make judgement. A non-noob will look at the ROI and risk aka volatility to make judgement. A wise one will look at ROI, the volatility and the corr-coeff to make a holistic portfolio judgement.

AMReits volatility = 5.XX%

Manulife Reits volatility = 8.XX%

Manulife Reits over the same tracking period (that is over past three years historically) do fluctuate more wildly compared to AmReits.

Xuzen

This post has been edited by xuzen: Feb 24 2017, 11:26 AM

I was talking about before distribution. Before distribution it was 1.2-1.3x while Manulife was at 3.6x%

Is it correct to say if there is a fed rates hike coming up, it will favour bond funds ?

As far as I know rate hikes are bad for bond pricing. Maybe some sifu can clarify ?

Increase in rate is bad for bond and Reits. However unlike bond, reit can increaee rental to cover.

Think of it. If FD give 3% and bond give 3% and reit give 3%, which one will you choose?

https://www.forbes.com/sites/robertberger/2...s/#757d1ea35290

Interest rate vs bond

Thanks for quoting this article. Enlighten me about the mechanics.

Still depends on what types of bond does the fund invest in

Care to elaborate why certain bonds will behave differently ?

For example, high yield bond funds is less impacted by interest rate compared to normal bond funds because high yield bonds tends to be factor more by the underlying bond credit risk (since they invest in lower credit rating companies)

Shorter duration bonds also less impacted compared to longer duration bonds since they mature fast and less impact on their valuation

Thanks for bring out the high yield bond funds part, as I am still thinking if there is a 'better timing' to enter it.

High Yield bond is also known as junk bonds or non investment bonds. They are loans to companies considered high risk due to their lower credit rating. So the more pressing risk is whether these company will default. But my understanding is they are also exposed to rate increase but this risk is lower compared to defaults.

We may not be so adversely affected depending on the fund that we buy. I think if you buy US bond fund then now is the time for you to find contingency. I think most of us buy MY, AP or EM bond fund, less effect. No direct impact but may feel secondary impact due to interconnecting factors.

To Avangelice and all our east malaysian buddies, do yourselves and the ones you care a favor by voting here:

https://www.fundsupermart.com.my/main/resea...aysia!-8040

killdavid is right about this.

I think i shared something similar in fsm sg thread, as below:

Awesome! Thanks for sharing. Vote casted! Now keepin fingers crossed. I think there is no longer any doubt FSM had spies in here. Whoever you are..keep listening to your clients, we are your source of revenue

*NOOB QUESTION ALERT*

If I buy into a fund using Cash Management Fund (CMF), how do I adjust my excel spreadsheet to reflect the transaction?
Is it :
(A) sell CMF + buy said fund?
OR
(B) switching from CMF to said fund?

I think is the same, but entry wise, A will be more appropriate

done thank you!!

You from sarawak also ka? Kuching?