147 eUnitTrust — Cost-efficient and convenient way to online unit trust / PRS investing

eUnitTrust — Cost-efficient and convenient way to online unit trust / PRS investing

I have been investing in unit trust (as well as shares) for more than 15 years. In those days, we have to look for an agent to open an account. And every subsequent transactions (redemption, switching etc), we have to meet the agent or go to branch to do it. This means we have to sacrifice our annual leave or weekends to meet the agent to request the transactions.

As time goes by, online investing comes into picture. Unit trust companies is a bit slow to go online. Investment banks (i.e. shares transactions) is quite fast to implement online transactions. That said, I remember the brokerage fee was still quite high (0.47% if not wrong) in the beginning. Then it continue to fall to quite low level today (as low as 0.10% or RM8 per transaction). I used to call my remisier when I want to buy/sell shares, then I try online platform, now I don't use a remisier at all. I still remember my remisier advised me not to use online trading to avoid any wrong transactions.

I kept on wondering when will unit trust investing go online, hoping the service charge will become lower. The norm then (even now) was 5%-6%. At 5%-6% service charge, it means our investment will start make money after the unit trust fund price has appreciate by 5%-6%.

When I knew of Phillip Mutual's eUnitTrust platform, it immediately changed how I invest. Even now in MCO (Movement Conrol Order) period, I have no problem monitoring or perform necessary transactions.

What is eUnittrust?

eUnittrust.com.my (eUT) is the online unit trust distribution platform of Phillip Mutual Berhad (PMB). eUnitTrust is very suitable to investors who are (1) very open to online transaction, (2) do not need agent's service / advice. Besides that, I enjoy some more other benefits.

1. Save on service charge: The highest service charged being levied on is only 1.50%. It means I start making money once the unit trust price appreciate by 1.50%, instead of the usual 5%-6%. For PRS, the service charge is reduced to 0%.
2. Invest at nil service charge: Not only that, I can wait until eUnitTrust do a promotion before making an investment or switching. During promotion time, the service charge of participating funds will be slashed to 0%. It means I start making money once the unit trust price starts moving upward.
3. Choices, choices, and more choices: There are so many unit trust funds in the market. Sometimes certain fund from a certain fund house performs better than another fund house. By having choices, I am not bound to choose a fund from a single fund house only. Example: I may have China fund from CIMB, Technology fund from TA, Small Cap fund from Eastspring etc.
4. Convenience of doing transactions: Now I can do any transaction anytime, be it night time, weekend, public holiday or even MCO period. All I need is a PC/laptop, tablet or mobile phone. All I have to do is log into eUnitTrust website.
5. No platform fee: Some online platform will charge a platform fee for investing in certain funds. For eUnitTrust platform, there is no such fee.
6. Earn higher interest on money parked in Phillip Master Money Market Fund (PMMMF): Whenever I have extra money, or when I switched out from another fund, I will parked the money into PMMMF to earn higher interest. The money can be swiftly switched to another fund if i intend to invest, or it can be withdrawn and bank in to my savings account by the second day latest.
7. No cash up-front when opening a new account: When we open a new unit trust account through a bank or agent, we are required to pick a fund and put in an investment amount. This is not needed in eUnitTrust. Investors can just open a new account for free, without selecting any fund, plus without  any up-front payment.
8. Payment through FPX online transfer: When an investors decide to invest in a particular fund, then he is required to make a payment through FPX online transfer. Almost all banks can be used. No need to issue cheque, bring cash, buy banker's cheque etc. The process is similar to buying an airline ticket or making purchases at Shopee, simply use online banking. That's it.

How to open an account with eUnittrust?

Opening a eUnitTrust account is easy peasy.

1. Click "Open an eUnittrust account now"
2. In "1. Applicant's Details", fill up all the columns.
3. Click "Send Security Code" to receive a security code. Make sure you fill in "Mobile number" to receive this code. System will prompt "Valid security code entered".
4. Proceed to fill in all the columns.
5. At "5. Attachment & Confirmation" tab:
1. Click "Choose Files" to select the pictures of your NRIC front & back or Passport, then click "Upload Files".
2. Tick the checkbox to confirm all the information given
3. Tick the checkbox "I'm not a robot".
6. To complete the account opening, eUnitTrust request a minimum RM1 transaction for verification and confirmation purpose. This RM1 is not a fee because it will be invested in our Phillip Master Money Market Fund or Philllip Master Islamic Cash Fund.
7. In "Your Account Opening Process Is Almost Complete":
1. Select Phillip Master Money Market Fund (for non-Muslim) or Philllip Master Islamic Cash Fund (for Muslim).
2. For "Amount (MYR), Enter minimum 1 (you may enter any amount because all amount will invested in the fund selected above.)
3. For "Bank", please select the online banking you would like to use.
4. Tick the checkbox to declare and confirm "I/We declare ......"
8. The rest of the process will be taken over by the online banking.
9. Once everything complete, the account is open successfully.