Yes, 4%pa would take 18 years and 5%pa would take just over 14 years.

Budget 2025. 2% tax on dividends above 100k. No idea if that will apply to ASNB dividends but I suspect it will have to.

This post has been edited by MattSally: Oct 18 2024, 05:58 PM

I hope you are correct. I can’t find anything regarding the exemptions here. And if ASNB Funds invest in Bursa listed companies then surely we will pay the tax anyway in the form of lower dividends?

https://theedgemalaysia.com/node/730555

If you are correct it will certainly stimulate demand for EPF/ASNB Funds.

This post has been edited by MattSally: Oct 18 2024, 06:06 PM

Is that part of Budget 2025 notification or previously issued guidance please?

Please pardon my simplistic question but do we have a definitive answer yet on whether or not ASNB funds will be taxed?

And, a follow up questiion if I may please. If we do not yet have a definitive answer, when and from where can we expect one?

Thanks.

I am hoping not to have to wait that long so that contingency plans can be acted upon if necessary.

I saw an article in the newspapers yesterday (English translation) which stated that EPF, ASNB and all Unit Trust Funds would not be taxed.

And as today is the 1st of the month it would be worth checking if you will get this month's interest as the cheque was presented on the 1st but will likely not be cleared until the 4th.

Is it too soon to start thinking about the ASB1 dividend at the end of December? It is important to Bumi and Non Bumi too as it will set the upper limit of what we can expect on all ASM/ASB Fund dividends throughout 2025. I think it will be in the 5.5% to 6.0% range.

This post has been edited by MattSally: Dec 3 2024, 08:58 AM

I agree with all you write. I would just add one further comment:

There is, imho, a ‘political’ requirement for all ASB/ASM funds to continue recovering until the stabilized returns are back towards the 6% level. That, obviously, will not happen in one year but I do think that each fund’s return will be better than the previous years until circa 6% is achieved.

So I believe it is just a question of how much better this year’s dividends will be, compared to last year’s figures. I think ASM can therefore realistically expect 5.0% which is a ‘modest’ improvement on last year’s return.

Another 5 years of steady 0.25% increments each year will suit me just fine.

Fingers crossed for not less than 5.5%.

Well, those numbers would be nice but continuous slow and steady progress is fine by me.

ASB expected to return a higher dividend than last year.

https://www.nst.com.my/business/corporate/2...en-stock-market

I think ASB1 will still be around 5.5% (including any bonus) as there will be political pressure to keep the recovery going - even if it is only a modest improvement on last year.

I saw that as actually being a good point. The 5.5% would appear to reflect fund performance whereas the 0.25% bonus is what PNB decided to give on top. This year, fund performance was so improved that a large bonus was not considered 'necessary.' It might, therefore, be a modest opportunity to restock fund reserves.

This post has been edited by MattSally: Dec 25 2024, 08:21 PM

Subject to any more major geo political intervention, I would say 5.5%-5.75% for ASB2 and ASB3 and 5.25%-5.5% for ASM1, ASM2 and ASM3.

I could live with ASMx not below 5.0% but I do believe that it is not unreasonable to expect slightly better this year.

ASM1 should be at least 5.0%.

I am probably invested in ASM/ASB as much as I want to be, so just trying to second guess the ASM1 and ASB2 dividends at the end of March. Still too early to guess but no reason not to continue feeling positive I think.