078 Malaysian Unit Trust Performance After Jul / Aug Market Drop

Malaysia stock market experienced drop during the last Jul / Aug / Sep. Some of the funds drop to their lowest price for the year. Some clients do not dare to buy or to do dollar cost averaging.

Now, after 2~3 months, I want to see how has the funds performed.

Highlighted in yellow are the funds that has hit new high after Oct. Certain funds may not looked like they did because of distribution (normally called dividend).

Even if the fund doesn't make new high, I can see many of them has risen more than 10% from their low. I think returns of 10% per annum is very impressive. I would be very satisfied.

As investors, we all know we should buy low sell high, but when the price comes low, we don't buy. Actually, unit trust funds are managed by professional fund managers. We should leave it to them on the market issues. Our job, I think, is to choose a fund manager that can perform.

As investors, we should buy when prices are low. If we are unsure of the market situation, I think the best strategy will be to start a Regular Savings Program (RSP). RSP allows investors to do regular investment in a very small amount, maybe as low as RM100.

As the saying says "sikit-sikit lama-lama jadi bukit", the RM100 will grow to big number after 10, 20 years. Past performance has proved unit trust funds gives great results especially after it went thru market ups and downs.

Market has never been quiet, we hear uneasy news every now and then. Just like the current situation. Before this, market is worry about US raising interest rate. Now that US has been giving more affirmative news it will raise interest by Dec, we hear Europe is going to put more easing policies. And then we hear Turkey downed a Russia warplane.

So, they are noises around us. Are we going to let noises disrupt our financial planning?

This post is not a promotion of any unit trust fund. The funds shown are purely for discussion purpose. Investors are advised to refer to their financial planners / agents / fund houses before making any investment.

Fund prices are taken from Bloomberg.
Funds discussed using Morningstar STAR ranking.