The Underlying Fund For TNG GO+ Will Soon Be Shariah-Compliant

https://www.principal.com.my/sites/default/...ectus_ENG_2.pdf

I was wondering how can Stashaway Simple and Versa still advertise >2% p.a. return when OPR is like 1.75%, even the top performing MMF on FSM is <2% p.a. for the past 6 months. Its either outdated or some hidden catch.

Stash Away Simple
Underlying Fund: AmIncome Fund
Consists of 50% Bonds and 50% MM Deposits, not sure whether bond downgrade will lead to loss, should really disclose it on the front page instead of digging through the FAQ and multiple google search.

Versa
Underlying Fund: Affin Hwang Enhanced Deposit Fund
Didn't seem to exceed 2% p.a. for the past 6 months

marketing trick!

it was mentioned,..."is approximately", and "Projected rate"

there is NO mentioned that there won't be losses or the rate will be guaranteed like published for Fixed deposit during depositing

it was stated in SA website, there maybe a chance of loss
and already stated in Versa website,..."The value of the Units may goes down as well as up. Past performance is not an indicative of future performance"


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Agree.
I get less than 2% pa.
Better park my money in sspn for 4% pa.

it was mentioned in SSPN thread before,...since sspn can change to the new
withdrawal condition without notice,....hopefully it won't revert back to the "old" conditions without notice too.

Projected rate from 2020 as the fund daily prices changes

Most important is the payout when you notice is dipping find somewhere else park your money short term instead

Question is can sspn guarantee rate of return and able to liquidate within a day?

Is there any Singapore Money Market that eligible to foreigner?

Yes. Stashaway, syfe, Endowus all have mmf. Their return is like max1.4%p.a

This post has been edited by Ramjade: Jul 23 2021, 09:47 PM

Worse place to put your money into now and better off buying REITs or dividend stocks in SGX

not same risk investment also

MMF is more for fund parking but REITs and dividend stocks are somehow not so suitable for parking.

Actually there are reits which are super stable and suitable as parking place. One of them is parkway life REIT.

what is the duration of this "parking"?
during this "parking' what is the purpose?.....
make money without losses?
make money with some % of losses?
just park, without any intention of profit or losses?

ease of getting the money into another investment
in less than 1 day?
in less than 1 week?
or ?

This post has been edited by MUM: Aug 4 2021, 03:11 PM

Duration depend on you. How long do you want to park your money there.

Purpose could be depend on you. Some just want like FD returns since FD in sg is so low. So they want the 3-4%p.a that Malaysia FD use to give them. Could be for upcoming purchases. Could be for while waiting for stocks to crash to buy cheaply. Could be money needed for a huge transaction coming soon. Cathie woods uses FAANG as her parking place as cash..

That's the idea. By buying FD/bond type companies you are expecting if market drop by say 10%, your investment only drop say 1%.
You cannot avoid losses if you use those stocks as parking place. The goal is to get best return (better than FDs, bank interest rate, mmf) and minimising your loss so you can go scoop up things when they are on sale.

No one will park without any intention

Unlikely you will get them out in a day.
Generally 2 days.

If you are on margin you could get them out the same day as you sold them. You just sell and money will be available in your brokerage account and you don't need to wait for 2 days for money to clear and can use the money striaght away without incurring any interest as your net balance did not turn negative (if you are using Interactive broker. I think it applies to other large us brokerage as well).

Hope this helps.

This post has been edited by Ramjade: Aug 4 2021, 07:30 PM

if it is based on "depends"...
then REITS may not be suitable to every situation....for it "depends"

For those in sg market only one REIT can do that. Parking place and that's parkway life.

If you go us market so many companies can function as parking place. You only need to look.

i doubt that no matter where one looked, those Reits cannot be as liquid as MMF for immediate fund transfer when opportunity arises....
(in terms of hours or less than 1~2 day)

i could be wrong, bcos i may have looked at the wrong things, thus correct me if i am wrong on this shortest lead time scenario

This post has been edited by MUM: Aug 4 2021, 07:43 PM

Yes you are right about sg reits and sg brokerage. But market crash usually go one for more than a week. So ample time to liquidate and and buy in.

Of course if you are using interactive broker on margin, different story. This is because it's faster than any mmf. You sell the stocks you own, you can striaght use the money to buy stuff. No waiting time required. Basically 1-10s to click. So yeah it's instant if one is using interactive broker margin account.

This post has been edited by Ramjade: Aug 4 2021, 07:50 PM

At times like example, Currently mkts had been very volatile,.... 1 or 2 days drops, then will ramp up again...for a day or 2...
In usual times, if mkt crashes, so will reits not follows to drop too?
For some people they will hv in mmf or fd waiting as warchest for those drops to happens,... Usually I think is to top up and to try to reduce the average cost so as not to look too bad on the value of paper losses in % terms

This post has been edited by MUM: Aug 4 2021, 08:06 PM

I long time never follow reits already. But last time I knowarket dive reits never even move. Few years back.