A unit trust fund’s performance can be measured by its total return. A fund’s total return is the change in the value of an investment in the fund, taking into account any change in the fund’s unit price during the period and assuming the reinvestment of income and capital gains distributions.
Total return is commonly presented in two ways.
1. Fund’s cumulative total return
Total rise in the value of a fund’s investments over time, assuming that income and capital gains distributions were reinvested.
2. Average annual total return
Which is the compounded total return, it would take each year to produce the fund’s cumulative total return. Seemingly modest annual returns can be converted, through the power of compounding, into impressive cumulative returns. For example, an average annual total return of 7% would, after ten years, amount to a cumulative total return of 97%.
#unittrust
#unittrustinmalaysia
Sunday, July 5, 2020
History of Unit Trusts
Malaysia introduced the unit trust concept relatively early compared to its Asian neighbours, when, in 1959, a unit trust was first established by a company called Malayan Unit Trust Ltd.
The unit trust industry in Malaysia has therefore a history of more than four decades. The development of this industry can be presented in chronological order as follows.
The Development of Unit Trusts
The Formative Years: 1959 -1979
The Period from 1980 to 1990
The Period from 1991 to 1999
The Period from 2000 to current
#unittrust
#unittrustinmalaysia
The unit trust industry in Malaysia has therefore a history of more than four decades. The development of this industry can be presented in chronological order as follows.
The Development of Unit Trusts
The Formative Years: 1959 -1979
The Period from 1980 to 1990
The Period from 1991 to 1999
The Period from 2000 to current
#unittrust
#unittrustinmalaysia
Sunday, June 14, 2020
Unit Trust Management Company - UOB Asset Management (Malaysia) Berhad
Unit Trust Management Company - UOB Asset Management (Malaysia) Berhad
UOB Asset Management (Malaysia) Berhad (“UOBAM(M)”)is built on a strong foundation of investment capabilities, grounded in rigorous and extensive research. UOBAM(M) has held the Capital Markets and Services Licence for fund management in Malaysia under the Capital Market and Services Act since January 1997. In January 2014, UOBAM (M) obtained approval from the Securities Commission of Malaysia to deal in securities restricted to unit trust products. UOBAM(M) has more than 20 years of experience in providing fund management and fund advisory services for both institutional and retail clients.
As a subsidiary of the UOB Asset Management Ltd headquartered in Singapore which has a strong regional presence in markets that include Thailand, Brunei, Taiwan, Japan, China, India, Vietnam, Indonesia and South Korea, via local offices, joint ventures and alliances, we enjoy a strong regional integration which grants us in-depth knowledge and first hand insights in an ever-changing environment.
.
#unittrustinmalaysia
UOB Asset Management (Malaysia) Berhad (“UOBAM(M)”)is built on a strong foundation of investment capabilities, grounded in rigorous and extensive research. UOBAM(M) has held the Capital Markets and Services Licence for fund management in Malaysia under the Capital Market and Services Act since January 1997. In January 2014, UOBAM (M) obtained approval from the Securities Commission of Malaysia to deal in securities restricted to unit trust products. UOBAM(M) has more than 20 years of experience in providing fund management and fund advisory services for both institutional and retail clients.
As a subsidiary of the UOB Asset Management Ltd headquartered in Singapore which has a strong regional presence in markets that include Thailand, Brunei, Taiwan, Japan, China, India, Vietnam, Indonesia and South Korea, via local offices, joint ventures and alliances, we enjoy a strong regional integration which grants us in-depth knowledge and first hand insights in an ever-changing environment.
.
Source from:
https://www.uobam.com.my
#unittrust#unittrustinmalaysia
Unit Trust Management Company - RHB Asset Management Sdn Bhd
Unit Trust Management Company - RHB Asset Management Sdn Bhd
RHB Asset Management Sdn Bhd (“RHBAM”) is a wholly-owned subsidiary of RHB Investment Bank Berhad. RHB Group Asset Management enjoys a significant presence in the ASEAN and Greater China region, with offices in Malaysia, Hong Kong, Indonesia, and Singapore where we offer customers close to 30 years’ worth of expertise and knowledge in asset management. In Malaysia, RHB Group Asset Management remains as one of the top 3 fund management companies in terms of total Assets Under Management (“AUM”), offering conventional and Islamic products.
Source from:
https://www.rhbgroup.com/malaysia
#unittrust
#unittrustinmalaysia
Factors to consider before investing Unit Trusts
Before investing in unit trust funds, you should carefully consider the following:
- Investment objectives of the fund;
- Investment policies and strategies;
- Size of fund and growth trends;
- Investment restrictions, e.g. ethical and religious considerations;
- Potential risks;
- Types and amount of fees charged, such as initial sales / service charges, exit fees, switching fees and annual management fee;
- Historical performance, particularly on price appreciation and distribution of income to investors though past performance is not an indication of its future performance;
- Latest investment portfolios and asset allocations of the fund; and
- Information on the board of directors, key management team, advisors, auditors and trustees.
#unittrust
#unittrustinmalaysia
Ways to invest in Unit Trusts
Unit Trusts enable investors to diversify their investments into different markets and investment instruments such as equities, bonds, securities, currencies and warrants/derivatives.
There are generally 3 ways to invest in unit trusts funds:-
There are generally 3 ways to invest in unit trusts funds:-
- Cash or Lump Sum Investments
- Regular Savings
- EPF Members Investment Scheme
#unittrust
#unittrustinmalaysia
Tuesday, June 2, 2020
Shariah-compliant funds
Shariah-compliant funds are investment funds governed by the requirements of Shariah law and the principles of the Muslim religion. Shariah-compliant funds are considered to be a type of socially responsible investing.
The main objective of Shariah-compliant investments is to provide an avenue for investors who are sensitive to Shariah requirements on their investments. A Shariah-compliant investment should be free from activities prohibited by Islam such as usury (riba), gambling (maisir) and ambiguity (gharar).
It should also exclude investments in companies or sectors primarily involved in Shariah non-compliant activities such as products or services related to conventional banking, conventional insurance, gambling, alcoholic beverages and non-halal food products.
#unittrust
#unittrustinmalaysia
The main objective of Shariah-compliant investments is to provide an avenue for investors who are sensitive to Shariah requirements on their investments. A Shariah-compliant investment should be free from activities prohibited by Islam such as usury (riba), gambling (maisir) and ambiguity (gharar).
It should also exclude investments in companies or sectors primarily involved in Shariah non-compliant activities such as products or services related to conventional banking, conventional insurance, gambling, alcoholic beverages and non-halal food products.
#unittrust
#unittrustinmalaysia
Unit Trust Management Company - Affin Hwang Asset Management
Unit Trust Management Company - Affin Hwang Asset Management
Affin Hwang Asset Management Berhad (“Affin Hwang AM”) is an independently-managed, bank-backed asset management firm that started its roots in 2001, serving the needs of corporates, institutions, pension funds, government-linked companies, high net worth individuals and the mass affluent.
Affin Hwang AM specialise in customised solutions and invest into equities, bonds, money market, structured products and other alternative investment instruments to generate returns for our clients.
Affin Hwang AM Shariah investment solutions are externally managed by AIIMAN Asset Management Sdn. Bhd. (“AIIMAN”), a wholly owned subsidiary and Shariah-compliant investment arm of Affin Hwang AM.
#unittrust
#unittrustinmalaysia
Affin Hwang Asset Management Berhad (“Affin Hwang AM”) is an independently-managed, bank-backed asset management firm that started its roots in 2001, serving the needs of corporates, institutions, pension funds, government-linked companies, high net worth individuals and the mass affluent.
Affin Hwang AM specialise in customised solutions and invest into equities, bonds, money market, structured products and other alternative investment instruments to generate returns for our clients.
Affin Hwang AM Shariah investment solutions are externally managed by AIIMAN Asset Management Sdn. Bhd. (“AIIMAN”), a wholly owned subsidiary and Shariah-compliant investment arm of Affin Hwang AM.
Source from:
https://affinhwangam.com/
#unittrust
#unittrustinmalaysia
Unit Trust Management Company - Public Mutual Berhad
Unit Trust Management Company - Public Mutual Berhad
Public Mutual Berhad, a wholly-owned subsidiary of Public Bank, is No.1* in both private unit trusts and Private Retirement Scheme (PRS) in Malaysia. It commands a market share of 34.9%^ and 43.3%^ for the retail funds sector and PRS respectively. The Company manages more than 140 funds in-house for over 4.2 million accountholders. As at end-April 2020, Public Mutual’s total net asset value stood at RM83.3 billion^. The Company’s investment philosophy is based on fundamental research with the objective of delivering superior and consistent returns over the medium- to long-term.
#unittrust
#unittrustinmalaysia
Public Mutual Berhad, a wholly-owned subsidiary of Public Bank, is No.1* in both private unit trusts and Private Retirement Scheme (PRS) in Malaysia. It commands a market share of 34.9%^ and 43.3%^ for the retail funds sector and PRS respectively. The Company manages more than 140 funds in-house for over 4.2 million accountholders. As at end-April 2020, Public Mutual’s total net asset value stood at RM83.3 billion^. The Company’s investment philosophy is based on fundamental research with the objective of delivering superior and consistent returns over the medium- to long-term.
Source from:
https://www.linkedin.com/company/public-mutual-berhad
#unittrust
#unittrustinmalaysia
Benefits of Unit Trust - Professional Fund Management
Benefits of Unit Trust - Professional Fund Management
For those investors not from the financial background but would like to enjoy the return from the share market. What they can do ? They either spend the money and time to learn how to start how to buy the shares or they can just choose the best portfolio fund to invest.
Unit trusts fund managers are approved professionals in a highly regulated industry. Their license, background and expertise ensure that decision making is structured and according to sound investment principles. In the process, unit trust funds enjoy the depth of knowledge and experience that fund manager can bring. In the long term, it is this expertise that should generate above average investment returns for unit trust investors.
For those investors not from the financial background but would like to enjoy the return from the share market. What they can do ? They either spend the money and time to learn how to start how to buy the shares or they can just choose the best portfolio fund to invest.
Unit trusts fund managers are approved professionals in a highly regulated industry. Their license, background and expertise ensure that decision making is structured and according to sound investment principles. In the process, unit trust funds enjoy the depth of knowledge and experience that fund manager can bring. In the long term, it is this expertise that should generate above average investment returns for unit trust investors.
#unittrust
#unittrustinmalaysia
Benefits of Unit Trust - Diversification
Benefits of Unit Trust - Diversification
One of the rules in investment is "not putting all your eggs in one basket". This means not investing all your money in a single asset, but allocating it to a variety of assets. In short: diversifying its investments.
An investor can invest in a diversified portfolio of investments, rather than an investment portfolio of one or two investments or shares, his risk is better to spread out in line with saying "not putting all your eggs in one basket".
"Money alone does not make you happy. You also need shares, gold and real estate."
Danny Kaye (18 January 1911 – 3 March 1987), American actor
#unittrust
#unittrustinmalaysia
One of the rules in investment is "not putting all your eggs in one basket". This means not investing all your money in a single asset, but allocating it to a variety of assets. In short: diversifying its investments.
An investor can invest in a diversified portfolio of investments, rather than an investment portfolio of one or two investments or shares, his risk is better to spread out in line with saying "not putting all your eggs in one basket".
"Money alone does not make you happy. You also need shares, gold and real estate."
Danny Kaye (18 January 1911 – 3 March 1987), American actor
#unittrust
#unittrustinmalaysia
Benefits of Unit Trust - Low entry barriers
Benefits of Unit Trust - Low entry barriers
As Unit trusts are a collective investment scheme, the investors can start with an investment amount as low as RM100. The investment amount of RM100 is considered a low entry barrier, even for a fresh graduate they might also afford to start the investment.
#unittrust
#unittrustinmalaysia
As Unit trusts are a collective investment scheme, the investors can start with an investment amount as low as RM100. The investment amount of RM100 is considered a low entry barrier, even for a fresh graduate they might also afford to start the investment.
#unittrust
#unittrustinmalaysia
Tuesday, May 26, 2020
Understanding about Unit Trust Consultant
“Unit Trust Scheme Consultant” or “UTS Consultant” means an individual who is duly registered with the Federation of Investment Managers Malaysia to market and distribute the Unit Trust Scheme (UTS).
As a Unit Trust Scheme Consultant (UTS Consultant) requires compliance with all clauses under the Minimum Standards for Registration of UTS Consultant, as stipulated in the “Guidelines on Marketing and Distribution of Unit Trust Funds” issued by the Securities Commission, including the requirement to pass the CUTE prior to registration.
#unittrust
#unittrustinmalaysia
As a Unit Trust Scheme Consultant (UTS Consultant) requires compliance with all clauses under the Minimum Standards for Registration of UTS Consultant, as stipulated in the “Guidelines on Marketing and Distribution of Unit Trust Funds” issued by the Securities Commission, including the requirement to pass the CUTE prior to registration.
#unittrust
#unittrustinmalaysia
Understand different types of Unit Trust funds
There are also different types of unit trust funds you can invest in. Not all unit trusts are created equal, each fund is complemented with different assets.
#unittrust
#unittrustinmalaysia
How Unit Trust work for long term financial planning ?
Unit trusts are a good product for long-term investments, and then for retirement purposes. If you can keep it for the long-term, you can practice dollar-cost averaging (DCA). You can never buy or invest at the lowest point but when you average this out, you will get the lower average price.
#unittrust
#unittrustinmalaysia
#unittrust
#unittrustinmalaysia
Return on investment in Unit Trust
The return on investment of unit holders is usually in the form of income distribution and capital appreciation, derived from the pool of assets supporting the unit trust fund. Each unit earns an equal return, determined by the level of distribution and/or capital appreciation in any one period.
#unittrust
#unittrustinmalaysia
#unittrust
#unittrustinmalaysia
Is that Unit Trust covered by PIDM ?
Is that Unit Trust covered by PIDM ?
Answer: Unit Trust is not covered DIS under PIDM.
Coverage of DIS
All types of depositors, whether businesses or individuals, are protected. The maximum limit of coverage is RM250,000 per depositor per member bank. This includes both the principal amount of a deposit and the interest / return. With the RM250,000 limit, 97% of depositors are protected in full. The Malaysian Deposit Insurance System provides separate coverage for conventional and Islamic deposits.
#unittrust
#unittrustinmalaysia
Refrence：-
PIDM is a Government agency established under Akta Perbadanan Insurans Deposit Malaysia (Malaysia Deposit Insurance Corporation Act). PIDM was set up in 2005 to administer the Deposit Insurance System (DIS) aimed at protecting depositors.
Beginning 31 December 2010, PIDM’s role was expanded to administer the Takaful and Insurance Benefits Protection System (TIPS) to provide protection to owners of takaful certificates and insurance policies.
Within Malaysia, we are known as PIDM, being short for Perbadanan Insurans Deposit Malaysia. Internationally, we are also known as the Malaysia Deposit Insurance Corporation (MDIC).
Answer: Unit Trust is not covered DIS under PIDM.
Coverage of DIS
All types of depositors, whether businesses or individuals, are protected. The maximum limit of coverage is RM250,000 per depositor per member bank. This includes both the principal amount of a deposit and the interest / return. With the RM250,000 limit, 97% of depositors are protected in full. The Malaysian Deposit Insurance System provides separate coverage for conventional and Islamic deposits.
Source from：
https://www.pidm.gov.my/en/for-public/deposit-insurance-system-dis/coverage-for-dis/
#unittrust
#unittrustinmalaysia
Refrence：-
PIDM is a Government agency established under Akta Perbadanan Insurans Deposit Malaysia (Malaysia Deposit Insurance Corporation Act). PIDM was set up in 2005 to administer the Deposit Insurance System (DIS) aimed at protecting depositors.
Beginning 31 December 2010, PIDM’s role was expanded to administer the Takaful and Insurance Benefits Protection System (TIPS) to provide protection to owners of takaful certificates and insurance policies.
Within Malaysia, we are known as PIDM, being short for Perbadanan Insurans Deposit Malaysia. Internationally, we are also known as the Malaysia Deposit Insurance Corporation (MDIC).
Saturday, May 9, 2020
Unit Trust Management Companies
Unit Trust Management Companies
Updated: 09.05.2020 | 16:58
#unittrustinmalaysia
Thursday, May 7, 2020
How Unit Trusts (UT) work ?
A unit trust is a portfolio of stocks, bonds, property, cash or other asset classes, chosen by professional fund managers according to themes and styles of investing.
The manager buys these securities on behalf of the fund, which is then split into equal units which are sold to investors. In an open-ended fund, the number of units is unlimited so more investors can pile into the fund.
The fund is priced daily according to the net asset value of the underlying investments. Dividends and interest from the underlying investments are either reinvested or paid out. Investors share in the gains of the unit trust - and the losses. Investors benefit in terms of dividend paid or capital growth.
#unittrust
#unittrustinmalaysia
The manager buys these securities on behalf of the fund, which is then split into equal units which are sold to investors. In an open-ended fund, the number of units is unlimited so more investors can pile into the fund.
The fund is priced daily according to the net asset value of the underlying investments. Dividends and interest from the underlying investments are either reinvested or paid out. Investors share in the gains of the unit trust - and the losses. Investors benefit in terms of dividend paid or capital growth.
#unittrust
#unittrustinmalaysia
Wednesday, May 6, 2020
Understanding Unit Trusts (UT)
A unit trust is a type of collective investment packaged under a trust deed. Unit trusts provide access to a vast range of securities.
A unit trust's success depends on the expertise and experience of the company that manages it.
#unittrust
#unittrustinmalaysia
A unit trust's success depends on the expertise and experience of the company that manages it.
#unittrust
#unittrustinmalaysia
What is a Unit Trust (UT)?
A unit trust is an unincorporated mutual fund structure that allows funds to hold assets and provide profits that go straight to individual unit owners instead of reinvesting them back into the fund. The investment fund is set up under a trust deed. The investor is effectively the beneficiary under the trust.
#unittrust
#unittrustinmalaysia
#unittrust
#unittrustinmalaysia
Subscribe to:
Posts (Atom)