Sorry, please forgive my newbness. I get the KWEB part, but not the USD conversion side. Why it's affected by our strengthening of MYR?

Checking in with you folks.

Background:

- I started Stashaway with an initial capital investment of RM10k in Feb 2021 and every month, i allocate RM1k to be deposited into my investment portfolio. To date, i have deposited a total of RM13k as of May 2021
- My risk setting is set to the highest at 36%

Question:

- I noticed that over the past 4 months since my initial capital investment, i have never break even or seen any positive returns when evaluating my portfolio every month
- Are any of you folks in the same boat as i am whereby in the past 6 months or so, you have noticed negative returns month on month?

When comparing Stashaway's robo advisor performance against my Public Mutual's portfolio performance, i'm quite embaressed to say that my Public Mutual porfolio out performs it by quite a large margin month on month.

Checking in with you folks.

Background:

- I started Stashaway with an initial capital investment of RM10k in Feb 2021 and every month, i allocate RM1k to be deposited into my investment portfolio. To date, i have deposited a total of RM13k as of May 2021
- My risk setting is set to the highest at 36%

Question:

- I noticed that over the past 4 months since my initial capital investment, i have never break even or seen any positive returns when evaluating my portfolio every month
- Are any of you folks in the same boat as i am whereby in the past 6 months or so, you have noticed negative returns month on month?

When comparing Stashaway's robo advisor performance against my Public Mutual's portfolio performance, i'm quite embaressed to say that my Public Mutual porfolio out performs it by quite a large margin month on month.

Hey, I am in the same situation hahaha 
Now I learn the power of DCA 

Err noob question. Friday deposit and still don't see amount in system yet. Is it sat sun not not counted?

Err noob question. Friday deposit and still don't see amount in system yet. Is it sat sun not not counted?

As Sat and Sun is weekend, SA is closed. Monday for Malaysia is Sun in the US. I think you should see your amount invested on Tue.

yup.  Sat Sun off.  Malaysia Public Holiday off.  US Public Holiday also off.

You deposit in MYR, then SA convert MYR and invest in USD.

YOUR INVESTMENT IN USD.

So weaker USD = strengthen MYR.

USD 1 = MYR 4.20
USD 1 = MYR 4.15
USD 1 = MYR 4.10
USD 1 = MYR 4.05
USD 1 = MYR 4.00

When you withdraw investment and wanna convert to MYR, it's getting lesser.
This is the risk of FOREX.

SA's ETFs are traded in USD, so SA needs to convert your deposits into USD before they can buy units. Conversely, when you "withdraw", they sell off units and convert the USD earned into MYR before deposit into your savings account.

So if MYR strong during buy time, can convert to more USD, if weak then less USD.

Then if MYR get stronger during withdraw, your gains/losses might not be as high as when MYR is weak during withdrawal.

The ETF traded in USD and you actual traded portfolio value are in USD

RM portfolio value is only taking USD portfolio convert back to show your account in SA which is RM value

Hence any movement USDMYR will impact when you withdraw while MYRUSD will impact your deposits

Even is RM is stronger no point unless you are planning to deposit more to take advantage of weaker USD

Only USD portfolio matters when you are buying the ETFs and showing the actual performance of it

If you compare your RM and USD returns you notice the difference in returns in % and each currency value

Ohh, so it means when we withdraw next time when MYR is even stronger than now against USD, we shall lose when USD is converted back to MYR?
If what I understand is correct, and sounds silly as it goes, when we buy more during strong MYR (let's say now), we should be hoping that MYR is weaker during withdrawal, is that right? 

...and if the above is right, then I can grasp better what some had commented about the currency exchange factor if we invest more into SA now.

Nothing to do with DCA but your entry’s point was at bullish trend with higher highs

Always VCA or DDCA when it is the right time like now

That's about correct.    But I think one should be too concerned with the currency exchange if the investments are very long term say 20 years. It may not affect much.

Thanks ChessRook and everyone for helping me understand this 
Ya, I think so too, cuz if long term...then...let it be...we can't control everything. Even for shorter term, personally I will not think too much about that part too, but it's very useful to be aware of it and make better decisions.

Thinking to take epf acc 1 and put into stashaway.

Any advise?

Thinking to take epf acc 1 and put into stashaway.

Any advise?

Thinking to take epf acc 1 and put into stashaway.

Any advise?