Unit Trust basically help you to have a peace of mind of your investment by putting your investment fund to pool which will be managed by professional fund managers.
Unit Trust meant for investors who seek for mid to long term returns. For me minimum 5 years is desirable due to volatility in current market condition. I have investors who invested during 1997 crisis and all the way to 2007 where she redeemed with a profit close to 100% gain. Even though the monthly contribution is small (RM50 per month) but she gained what she wanted.
Unit Trust helps you to manage your investment during the up and down of the markets. How? Fund managers will manage the portfolios by allocating funds in different securities to minimize the risk and thus help to retain investor’s capital at the best position ever.
Returns – realistically I am looking at 10-15% annual returns. Historically, equity returns has been always hedged cash deposit returns. So if we have excess cash, investment would be the better idea. The earlier you start, the more return you will obtain in future with lesser investment amount.
Unit Trust investment is always hedge over inflation. It always beats the inflation rate. Why? Because, it is not CASH, it is in UNITS. All investment is converted to Units and thus when inflation goes up, value of units, assets and portfolios will go up as well on par to match the inflation impact on the equity market. We are now facing an unofficial inflation rate increase. BLR will go up, property price will go up, food prices will go up and we might be facing recession. Therefore investment is essential to secure your cash value in future.
Choosing the correct fund, the good fund managers and good servicing agents are important before investing in any Unit Trust funds, Based on your age and risk tolerance, you may choose funds from conservative up to aggressive.
Markets are beginning to settle a bit although we may still see some volatility the coming months. Periodic investments via cash and EPF will be a good idea to start with.
Do call for more info
Amar
0162215364 / 0122390026
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