Unit Trust is still the way to go!

At the current level of the KLCI, anyone who had bought unit trust in the past one year must have been feeling jittery right now. Generally, it has dropped off 20% of the value when they bought one year ago. So what now? Is it time to redeem for cash now?

Well, this question depends on the individual. If you need this money, of course you are forced to sell off your unit trust. Or maybe you have some investment ideas, or you foresee some great chances to increase your earning, by all means, sell off your units. Do not risk incurring opportunity cost.

But, if you sell off your unit trusts just to keep in the savings account, then the answer to the question above is a definite NO! The reasons are simple:

1) You suffer losses by selling off your unit trusts at current price.
2) You denied yourself a chance to recover back your losses.
3) Your money will lose out to the effect of inflation.

Investing in unit trust can be ANYTIME. Yes, even during the current financial crisis, as long as you are doing dollar cost average. Dollar cost averaging is a concept to minimize your risk, especially during the current crisis.

Of course it is possible that after you buy in, the price will continue to drop off. But with dollar cost average, you are picking up units at price lower than your 1st time to purchase, therefore covering your losses from your 1st investment.

Unless you are a stock market expert, normal people can never know exactly when the market will rebound, but we do know that historically, everything that fall down will climb back up again! So pick up the units gradually when the market is low (though no one knows whether this is the bottom or not).

For those who invested lump-sum and suffering paper loss now, if you don't need the money now, DON'T SELL. Unit trust has a better chance of recovering, with medium risk.

Consider this, even during this crisis, there are still investor buying into unit trust. These money enable the fund manager to do bottom-fishing, accumulate stocks at low price, and this will enable the funds to recover their price more swiftly when the market recover.

If you are buying into a blue chip stock, can you have this privileged? NO! Not at all, you can only hope it reached the price above your buying price, provided that the company's earnings and prospects remained positive. What if the counter you bought do another Transmile (a former blue chip counter who drop from RM13 to the current 55 sen at time of publishing)?

Therefore, unit trust remain the best bet for the general public to invest in, especially during the current crisis where we can get more units at less price.

What is your Risk Profile?

Answer each of the following 12 questions. Take as long as you like, there is no time limit. For the multiple choice questions, try and choose the answer that is closest to your circumstances.

1. When you hear unexpected adverse or bad financial news, you
A. never overreact
B. rarely overreact
C. always overreact


2. Between a new position offering greater job security with small pay rise, and another, with a high pay rise but less job security, which would you select?
A. Probably higher pay rise
B. Not sure
C. Probably greater job security


3. Would you borrow money or go on margin trading to make an investment that might double your money
A. Yes
B. Maybe
C. No


4. If you have invested in a stock that rose 30% within 6 months after you bought it, you would
A. do nothing or buy more shares
B. sell some shares
C. sell all your shares

5. Do you believe luck is important in making your investment decisions?
A. Yes
B. Sometimes
C. No

6. If you could increase your chances of improving your returns by taking more risk, you would be
A. willing to take a lot more risk with all your money
B. willing to take some risk with some of you money
C. unwilling to take much more risk

7. What percentage of your household income (after tax) is spent each month paying off credit card bills, car payments and either on rent or mortgage payments?
A. More than 50%
B. Between 25% and 50%
C. Less than 25%

8. In case of an emergency, you would have available savings to pay for
A. less than 3 months' living expenses
B. 3-12 months' living expenses
C. more than 12 months' living expenses

9. Would you invest in a stock based on a friend's tip?
A. Yes
B. Maybe
C. No

10. Which of the following statement best describes your feelings about investment risk?
A. I prefer to select an aggressive mix of investment - some that have a low degree of risk, but with emphasis on others that have a higher degree of risk that may yield greater returns
B. I prefer to select a balanced mix - some that have a low degree of risk, others that have a higher degree of risk that may yield greater returns
C. I prefer to select a mix of investment with emphasis on those with a low degree of risk and a small portion in others that have a higher degree of risk that may yield greater returns

11. Do you expect your future earnings over the next five years to:
A. increase
B. stay the same
C. decrease

12. Would you invest in individual stocks or equity (stock-based) unit trust?
A. Yes
B. Maybe
C. No


You are a Moderate Investor (20-30)

As a Moderate Investor, you are most comfortable with a combination of low and high-risk investments in your portfolio. Bear in mind that you will need to take some degree of risk to receive greater reward. You will require an investment strategy that will cope with the effects of inflation. Most of all, you will not worry excessively about your investments when the market drops because you know that the potential for long-term capital growth means riding out the dips. Your allocation of your assets should be equally distributed among equity, balanced, and bond funds.


You are an Aggressive Investor (31-36)

As an Aggressive Investor, you are very comfortable with high-risk investments in your portfolio. You have no qualms about taking risk and in fact, you seek the greatest reward for every ringgit invested. You know that there will be potential for gains but also know that there will be potential for loss as well. You will have no problems with investing a major portion of your assets in equity funds, and a minor portion of your assets in balanced and bond funds

You are a Conservative Investor (12-20)

As a Conservative Investor, you are most comfortable with low-risk investments in your portfolio. You will only take the risk if your principal amount of investment is protected and incur interest from there. But bear in mind that your investments may not outpace inflation as the returns are considerably lower. Your best bet would be investing a majority of your assets in bond funds, and consider allocating a small percentage to both balanced and equity funds.

For calculation,

3 points for every question that you answered A.

2 points for every question that you answered B.

1 point for every question that you answered C.

Credit Card: A necessity in today's world

In today's world of globalization and internet business, credit card has become a necessity to most people, for credit card bring about convenience to all of us! With only one card in hand, our purchasing need can be fulfilled all around the world!

But in recent time, credit card has been misused, thus creating negative implications to the users. Everyone, whether existing users or those planning to get one, must bear in mind that credit card is meant to bring you convenience, not excessive spending without limit. If everyone practiced responsible spending, credit card will be one of the best tools in this era.

There are many types of credit card offered by almost all the banks, some in collaboration with airline or hypermarket. So how do we determine which card to apply for? In this age of internet, besides obtaining more information from the “physical” bank itself, we can also obtain the latest and most attractive offers from online credit card search. We can even apply credit card online!

And if you are in the U.S, Yourcreditnetwork.com is one site you must refer to. It offer such comprehensive information on credit card, from Low Interest Credit Cards, Student Credit Cards to Bad Credit Cards. Yes, you did not get me wrong, this site even list out Credit Cards that are considered bad, and all the cards were given rating and review.

Besides, this site also specializes on informing consumers about credit card offers, how to use credit wisely, and occasionally posts humorous insights into the wacky world of credit. What’s world without a little bit of humor? So if you are looking for information on credit cards without the usual dullness, this site is especially for you!

Public Mutual: Distribution For the Financial Year ending 31 August 2008

Public Mutual will be declaring a Final Distribution of 8 sen per unit to unit holders of Public SmallCap Fund, who remain in the register as at 31 August 2008.

Public SmallCap Fund is the winner of The Edge-Lipper Malaysia Fund Awards 2008, in the category "Best Equity Malaysia Small and Mid Caps Fund, 5 years". Besides, Public SmallCap Fund is also rated 5 Star by Morningstar Rating™.

The designated Fund Managers for this fund are Lum Ming Jang and Tan Yan Heong, who is also involve in other Award Winning Fund.

Since launched back in 2000, it has consistently out-performed the Benchmark Index of KLCI, making a total return of 176.65% compared to the 44.15% of the benchmark. Its distribution of 8 sen out performed the 12-month FD rate of 3.8%. During the current situation of high inflation, this is particularly important to curb inflation!

IPSERVERONE Hosting Services: Reliable, unbeatable support!

When you are looking for web hosting services, what are the criteria that you are looking for? Generally, the most important criteria has to be reliable and support!

Reliable means that there are no unexpected service down or unavailable, which affect whatever u planned to do. And support is essential whenever you get into trouble, as they will assist you to solved your problem. So if you are looking for web hosting services that match these two criteria, look no further. IPSERVERONE is the solution.

IPSERVERONE is a Malaysia web hosting service provider which specializes in hosting, whether it is e-mail, databases, application driven websites, corporate sites or even large multi user forums. Bundle with powerful features to help manage your web portal, it offer everything that you'll need starting from RM149/year.

Feed back from bloggers and forum has been positive,and they have notable clients too! They are Petronas, U Mobile, Fuji Xerox, Lowyat.net, Advertlets and lots more. You can also visit their client section, or read Testimonials by satisfied clients. To get to know more about their diverse range of services and clients who rely on IPSERVERONE for their web hosting needs, visit their site now!

Double launch by Public Mutual

Public Mutual launched two new Islamic funds, Public Islamic Select Enterprises Fund (PISEF) and Public Islamic Income Fund (PI INCOME) on 14 August 2008 (Thursday).

PISEF is suitable for investors who wish to participate in the long-term growth potential of Shariah-compliant bellweather companies in the domestic market. PISEF is an aggressive Islamic equity fund that seeks to achieve capital growth through investment in the largest 50 companies in term of market capitalisation (at the point of purchase) listed on Bursa Securities which comply with Shariah requirements. Among the strong points of this fund:

Largest in terms of market capitalisation.

Well-diversified portfolio with reputable track records.

Resilient growth prospects due to company size and entrenched market share.

Strong financial resources to withstand challenging economic conditions.

Complies with Shariah requirements for peace of mind.

Special promotional service charge* for cash investment during offer period from 14 August - 3 September 2008.

*Promotional service charge of 5% of Initial Offer Price per unit during offer period.

Category of Fund: Equity Fund (Shariah)
Approved Fund Size: 1.5 Billion Units
Launch Date: 14 August 2008
Investor's Risk Profile: Aggressive
Fund Objective:
To achieve capital growth through investments in the largest 50 companies in terms of market capitalisation (at the point of purchase) listed on Bursa Securities which comply with Shariah requirements.



PI INCOME caters for those seeking a steady stream of annual income. Both funds are open for EPF Members Investment Scheme. PI INCOME is an Islamic fixed income fund that seeks to provide annual income over the medium- to long-term period by investing in sukuk and Islamic money market instruments. The fund will invest up to a maximum of 60% of its NAV in sukuk in the domestic market. The balance of the fund’s NAV will be invested in Islamic money market instruments.

Category of Fund: Fixed Income Fund (Shariah)
Approved Fund Size: 500 million units
Launch Date: 14 August 2008
Investor's Risk Profile: Conservative
Fund Objective:
To provide annual income over the medium to long-term period by investing in sukuk and Islamic money market instruments.

The Initial Offer Price of PISEF and PI INCOME is at RM0.25 per unit and RM1 respectively during the 21-day initial offer period of 14 August 2008 to 3 September 2008. The minimum initial investment for both funds is RM1,000 and the minimum additional investment is RM100.