My holdings in AmAsia Pac REITs is only RM1,200

haha.. Mine 1.7K. Malu Malu...

So look at the layer of fees... you pay 2% to buy the Reit fund (distributor untung)...then pay the manager 1.5% to manage the fund (fund manager untung), and in the REIT holdings itself, the REIT is paying the managers 1.5%-2.0% to manage property (REIT manager untung) and also pay employees managing the REIT (holding company untung). so many fees....

if you buy yourself, then you only pay 0.1% (broker untung), 1.5%-2.0% for REIT manager (REIT manager untung)and then to the REIT employees (holding company untung)...

This post has been edited by gark: Sep 25 2012, 11:46 AM

WHY U BREAK MY DREAM BUBBLE

Break more bubble...

iShares FTSE EPRA/NAREIT Asia Property Yield Fund (IASP)

Management Fees : 0.59%
Net yield (after fees) = 3.89%

But AmAsia Pac REITs have outperformed its benchmark since commencement...

Case of REITs valuation chased up too high?

There are still a few REIT with yield of 7% to 8% SG that worth looking into. My game plan is to lock in at a reasonable yield at 8% and top up when the price goes down to average up the yield.

SG REIT yield used to be 15%-20% during the crisis, whoever very brave and locked at those rates is set for life. I know someone now getting 100K dividend per year due to aggressive SG REIT buying and compound the dividend during the crisis 2008-2010.

Here is his blog...

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Added on September 25, 2012, 12:57 pmThere are high yield REIT still available if you look hard enough.. and pay less fees..

AmAsia Pacific REIT has >50% in MY and SG REit and is totally different from the benchmark holdings... so it's hard to compare.

This post has been edited by gark: Sep 25 2012, 01:00 PM

I miss all that opportunity. At that time I only invest in land and properties and almost sold everything in the pass few year. Now only see my hard earn profit eaten up by inflation induce by central bank easing

Now I just seat and wait for opportunity and park my fund into Bond UT earning only miserable 3.8% to 7% yield with combine IRR of about 5%

Don't wait too long... you never know how long you need to wait while the world passes you by...

“Far more money has been lost by investors preparing for corrections, or trying to anticipate corrections, than has been lost in corrections themselves.” - Peter Lynch

After u break my dream bubble...now u wanna poison me to click the "Buy" button

Maybe you can recommend some good fund? I am looking at Aberdeen Pacific Equity Fund that mention earlier now.

Yep Aberdeen Pacific is a good fund...I am vested. But no matter what don't rush to invest all in one shot, invest gradually and on dips. Rushing to invest blindly is surefire way to kill yourself.

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Added on September 25, 2012, 1:36 pmJust telling the reality mah.... market timers usually don't profit. Buy on valuations and fundamentals. If you invest in UT, read more on macro-economic and general valuation of the region you are buying. The managers have you covered on individual stocks, so you must see the big picture.

This post has been edited by gark: Sep 25 2012, 01:36 PM

Currently invest in PNB's 1Malaysia scheme which so far gives average 6.5% pa. Izit worth to take it out and try the funds at fundsupermart?

Yessir!

So, what's ur view on Asia Ex-Japan small/mid caps?

This post has been edited by Pink Spider: Sep 25 2012, 02:44 PM

[quote=gark,Sep 25 2012, 11:43 AM]So look at the layer of fees... you pay 2% to buy the Reit fund (distributor untung)...then pay the manager 1.5% to manage the fund (fund manager untung), and in the REIT holdings itself, the REIT is paying the managers 1.5%-2.0% to manage property (REIT manager untung) and also pay employees managing the REIT (holding company untung).  so many fees....  

if you buy yourself, then you only pay 0.1% (broker untung), 1.5%-2.0% for REIT manager (REIT manager untung)and then to the REIT employees (holding company untung)... 

[/quote]

Yes, unit trust products are more expensive than say invest directly to the securities (in this case a REIT). But think of the fees you paid to hire the Fund Manager to manage your risk -from inspecting the assets (REIT company, sponsors, building portfolio etc) to selecting the REITs -all these may require team of professionals with more experience, skills and sometimes out-right information.

It's always cheaper to invest in stocks/REITs directly but one of the main purpose of buying UT funds are to diversify your risk and not hold to just one or a few stocks.

Just my 2 cents

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Added on September 26, 2012, 6:32 amJust telling the reality mah.... market timers usually don't profit. Buy on valuations and fundamentals. If you invest in UT, read more on macro-economic and general valuation of the region you are buying. The managers have you covered on individual stocks, so you must see the big picture.

[/quote]

Can't agree more with this statement. I have seen many punters in stock market or in UT (yes, they are many if them) don't really make meaningful or any return even after "timing" the market.

Reason is simple, people are emotional and when they make investment decisions emotionally, chances are their feet are swing by the herd and just follow the majority of retail flows.

I'll add on to gark's comment that choosing the right fund, right manager is important and also diversifying your total wealth portfolio. It is an exercise to better understand one's risk appetite, too.

This post has been edited by Bedroomguitarist: Sep 26 2012, 06:32 AM

Direct investments, dividend yield alone can get 5-8% p.a.

But, without sufficient capital to achieve adequate diversification (assuming one is not a very good stock picker to consistently pick the few winners), UT is the way to go for many of us. Like for me, as long as my portfolio as a whole matches EPF returns, I'm happy.

Same start here bro
a. Small consistent investing - cost effective via mutual funds

b. Bigger investing - when combined with sis & mum, can go do direct stocks, REITs, properties OR when my savings & EPF hits a certain number, coz like Gark mentioned, there is an "economic order quantity" (EOQ in old LCCI English) to make each transaction worth the cost %.
Just as an idea for U, for me currently:
KLSE stocks effective minimum lowest cost % = RM4K+/- per transaction
VS
SGX's SGD8.6K (eek) per transaction

'KLSE stocks effective minimum lowest cost % = RM4K+/- per transaction'...Looks like you got a very attractive rate close to 0.3% or RM12 (RM4k = RM12/0.003)

Btw, for those who would like to have diversification with cost effective via collective pool of funds, why not aim for index funds instead mutual funds? The management fees for index funds are much more lower than mutual funds.

Online brokers all competitive rates. Who still uses call-in brokers and pay RM40?