NO matter what happens, don't take your money out now. Otherwise, you've just did what many fall trap to.

Buy high sell low.

Wait and hold till it goes up. Buy high sell high and not lose so much

Some funds are based on benchmarks which are more prominent. Like PCSF for instance, 40% HSI, 30% HSCI and 30% Taiex. In fact, I just switched out yesterday into PMMF after doing some analysis and realizing that the technical rebound has lost steam.

This post has been edited by Medufsaid: Dec 12 2008, 08:49 PM

The fund managers are trading with the goal to match/slightly outperform the respective benchmarks for each of the funds. (Similar function as ETF right?) Which is why the onus is on the agents to educate their client on which funds to park their money in in whatever situation the market is. (Equity funds in bull market, MM/Bonds in bear market)

For the adventurous, they can even time the market even in bear market. Or in other words, switch into equity at the start of a technical rebound, switch out into conservative funds as the rebound momentum dies.

Sad to say, my agent never service me well in this aspect. Luckily i learnt all these during the bull market of last year.

China funds can. PCSF shot up by 9% one day in september, and same percentage one day in late october (to catch it like falling daggers is another thing though lol). After all it tracks HSI index.

So nostalgic to reminise on PCSF at 0.28... It's like an era long gone

For me, it's a periodical battle. Deciding between switching into PCSF to ride on technical rebound, and switching out into PMMF when storm approaches. I'm happy that I was able to gain 13% these few weeks (still paper loss, I was gambling my luck last August )

Still on track on my initial plan to save up an amount equivalent to the $$$ in UT to play stocks.

Something is wrong with PCSF. Or rather, they've switched benchmarks (MSCI golden Index fund). This benchmark is severely a LAGGARD compared to the old benchmark. Any agents here with any explanation? If not then i might consider moving out all my monies into HSI etf in Malaysia or Singapore (most likely SG i think).

Not really. I suggest you micromanage and be in PIX when its on a bull trend. Switch to PMMF if its on a (real obvious) downturn.

switching to conservative funds is a much more cheaper alternative leh.

I've never enjoyed the benefit of that rule but it doesn't bother me bcos every time i strategized i always moved a huge lump sum. So i don't really know why it should affect your play.

Nope nope. What i meant was the change in the rule wouldn't have affect decision-making when it comes to guarding against potential loss.

You don't need to. You just need to research/read books that teach you how to tell where KLCI or other indexes are heading (Dow, Nasdaq). A unit trust is designed to follow those indexes.