Besides that, you must keep the list of fund account number(s) if you want to inquire or perform something.

By the way, what's the difference between Switching and Transfer? Not sure if anybody asked this before.

Why the fund drop so high? Any link to this declaration?

It's not dropping. It's doing an adjustment after declaring the distribution (paying out the dividend) to the unitholders.

Just declare RM 0.02 only. But the unit price drop 10%.

Switching is to switch between funds, but transfer is to transfer the ownership of the funds..

As explained by David, it's an adjustment to balance the NAV to reflect the distributions..
No link to this declaration as far as I'm concerned, but someone posted the article sent to unit holders in the previous page..

It's a very complicated calculation I believed. The NAV will be adjusted based on total distribution is being payout.

PAIF 0.3176 -0.0204 -6.04%
Where got 10%..?

just call tele mutual to find out the net price and total unti lo..

I think he's referring to PIF with 10 cents per unit distribution. The NAV has been adjusted by 11%

Alright, let me clarify this, which many still seem confused..
When a distribution is declared, it's taking out of the NAV to pay back investors (not extra money)..
Therefore it'll cause the NAV to decrease (simple maths of apples)..

For example, lets say the NAV of the fund is 0.3000, with a distribution of 0.03, after the ex-distribution the NAV will be adjusted to 0.2700..
So, in percentage wise, this is 0.03/0.3000*100=10%..
Therefore, when you see 10% decrement, it's actually only 0.03..

I gave a call yesterday and apparently my PAIF hasn't updated yet.

If you reinvest the distribution, it'll be bought at that NAV (after deducting tax payable)..
Then you'll be receiving the reinvestment slip soon..
So no need to worry

Yes, I'm reinvesting my distribution and I'm aware of that too.

Distribution - Tax = Amount reinvested

How many percentage of the tax? 25% or 26%?

It's taxed at 27% if I'm not mistaken..

So you get taxed on the distribution? So logically speaking after the distribution you will lose some money right?

ie. if have invested RM10,000 and there is a distribution of 10% = RM1,000.

The RM1000 will be taxed 27% = RM270.

Therefore your investment is now only worth RM10,000 - RM270 = RM9,730

So for a distribution of 10%, you lost 2.7% of your total investment to taxes...

This post has been edited by lelong1234: Nov 3 2007, 12:48 PM

Not really..
At the moment you can still claim back the tax paid..
So, you don't lose anything fortunately

oh.. so how do you go about getting it back?

if your not working, do they also tax you?

Yes, but if your income is not in that tax bracket, you can claim your tax..
They tax you the highest tax bracket..
Just send the application to IRB and you'll get the refund..

Oh.. ic.. wah.. so troublesome have to go do all this especially if you only have a small investment.

Btw, is there like a certain period after the distribution is made before which you have to fill in the application for the refund? Or can you like just go once a year to get the refunds for all your funds? (because funds usually give out their distribution at different times)

I think you just keep all the distribution statements that PM sent to you (if there's any) and file everything once in that particular assessment year.