Curious what would happen to the fixed ut in the event of recession. Would the fixed ut lose money or just a decrease in dividends?

This post has been edited by haha54231: Nov 14 2019, 04:06 PM

Basically, ASNB funds are fixed priced in nature due to the fact that no matter what the actual NAV is, investors are assured that their investments remain at RM1. That means that even during tough times (1998 for example), even when the local stock market tanked and the NAV would probably be less than RM1, ASNB continues to honour investments at the same value regardless if it means it is a loss to them.

Other unit trust products do not have such a feature so if things go bad (like it did in 2008) and your investment value is less than what was invested, it's your loss. ASNB is unique that its funds are like that, I do not know anywhere in this world where you could find something like that other than in Malaysia.

This is what I got from a post from a forumer on the previous ASM threads

Therefore, more the reasons to invest in ASM!!!!