Small fund is high risk as if 1 bond default the it will impacted heavly

since the limitation is usually by %
example:,...
1) The value of the Fund’s investments in fixed income securities issued by any one group of companies must not exceed 30% of the Fund’s NAV.

2) The value of the Fund’s placement in deposits with any single institution must not exceed 20% of the NAV of the Fund.

thus having 24 million or 240 million fund size not same scenario when 1 bond default? will it impact be the same since it is by % of NAV?

In theory when u look yes it is but if u look back as bond default case then it will be different, u can try check amdyamic its bond default impact compare to other bond fund

usually they will mention the exposure % in the default holdings


the individual assets holdings inside each of the FI funds are not same.....
example 1 bond funds has 20 holdings,
bond fund A has 1 defaults, 25 funds stagnant, 3 goes down 1 goes up ....maybe the NAV could down by 5%
bond fund B has 1 defaults, 25 fund moving up, 4 stagnant....nav could go down by just 1%

both having same holding defaulted and both are holding same % of nav in that bond that default but the impact of each bond fund nav is not the same.

This post has been edited by T231H: Jul 23 2020, 10:13 PM

i want to ask the button "cooling off" buat apa?
after click my screen turn blue saja and do nothing


This post has been edited by majorarmstrong: Jul 23 2020, 10:40 PM

To cancel your fund purchase.

COOLING-OFF
A Cooling-off Right is only given to an individual investor who is investing in any of the unit trust funds managed by us for the first time except for the following investor:
 our staff; and
 any person registered with a body approved by the SC to deal in unit trusts funds.

If you are eligible for the Cooling-off Right, you may exercise the Cooling-off Right within 6 Business Days from our receipt of your application for Units.

https://forum.lowyat.net/index.php?showtopi...post&p=95055061

Uncle, jgn tekan sebarang ini.
😅

Question:
1. i just now press redemption and i see need 10 calendar day to take money back? Is this true?
2. Why this opus not like other plaform that got 'switch' button, this one can only do redemption and send to your bank account?

1. Dont worry, just a wording. Our experience is T+1, which you might need to wait till Monday as now already Friday.
2. You need to send them email and do manually. My advise is redeem and buy others faster than that process which might need longer period to switch.

Fuyoo, cepatnya uncle redeem oledi.
Mrk taku Kasi u can switch online, nanti mrk biz sangat.
Redeem take 10 days supaya u fikir 10 kali baru tekan 😜

I not try to redeem I just want to experience how fast money can come out. So just in case emergency then I can still depend on some of the money inside

People also shared their experience. It'll be T+1 business day.
But you seem like don't believe at all.

Info is also provided in Post#1 by TS

This post has been edited by GrumpyNooby: Jul 24 2020, 09:08 AM

Total agree with T231H, MNet comment is so misleading and confusing. It is always back to % of holdings and % of performance.

If a 24 million fund had a high potential default bond exposure of 2.4 million (10%), as compare to a bond fund which has 240 million fund size but 48 million (20%) exposure of potential default bond, what is the impact?

Fund size does matter, I agree with that, but still back to underlying assets that they invest into. Is a bit unfair to keep commenting about defaulting bonds while you can't provide actual facts that is there really defaulted bond in it? I think earlier also i highlighted look at the credit profile in fund fact sheet, it will give u a better view how is the quality of the bonds are and what exposure is it in the funds.

Price updated on 1st post, very handsome rise~

Can you share a little bit on which fund is kena default drop till gila gila? Or totally become zero value?

Only of the RHB bond fund I believe most impacted when one of its holding being default.
That was few years back.

This post has been edited by GrumpyNooby: Jul 24 2020, 09:31 AM

a FI UT fund consisted of a baskets of bond holdings....
to have an NAV become totally 0 value...then ALL the holdings must defaults and must also be sure that all of them cannot be recovered

even if 1 holding defaults, there are other holdings still inside the assets in the UT fund

This post has been edited by MUM: Jul 24 2020, 09:35 AM

Uncle, I have no idea which one as I never experience investing in such fund yet and I hope I am not so unlucky, I am poor guy and looking for consistent return only. But according to MNet, he may be experienced before with AmDynamic Fund, may be he can help to explain a bit what happened.

Month-to-date 2% rise, better than 1 year FD rate...hahaha...can buy few more packs nasi lemak bungkus.