Eastspring Investments MIP M

[etan]

Oh yes, be on the lookout for even better offers!

By then there will be better offers.

[NTL]

Question is now. I do have some spare cash, so looking at where to place it.

So is this an opportunity?

[money]

Hi,
Any buddies into above investment? Can share your views? TQ!
It's fixed income, mthly distribution of 0.4 cts per unit (for 11 mths), 0.6 cts (for the 12th mth).
The funds are invested into US High Yield bonds and Asian Bonds, sub fund invest into Asia pacific investments (including real estate investment trust, dividend yielding equities.
Launch date: Y2005. Fund size : S$1,099.40 mil.

If price falls below $1, could it be better than FD interest?

useless one la... Just see it as a mixed bond fund that will incur huge capital losses when interest rate rises

Are investors really so hard pressed for yield nowadays?

[CY09]

Hi,
Any buddies into above investment? Can share your views? TQ!
It's fixed income, mthly distribution of 0.4 cts per unit (for 11 mths), 0.6 cts (for the 12th mth).
The funds are invested into US High Yield bonds and Asian Bonds, sub fund invest into Asia pacific investments (including real estate investment trust, dividend yielding equities.
Launch date: Y2005. Fund size : S$1,099.40 mil.

If price falls below $1, could it be better than FD interest?

useless one la... Just see it as a mixed bond fund that will incur huge capital losses when interest rate rises

Are investors really so hard pressed for yield nowadays?

Yup investors are really hard pressed for yields, thus explaining why REITS prices shot up in the first half of the year. Tat is how monetary policy works. A lower return for "risk-free" assets, though an expansionary Monetary policy forces individuals to put capital into "risker assets".

[ForeverAlone]

Initial Sales Charge
Max 5%

Annual Management Fee
1.25%^

how come the cost so expensive one????

http://www.eastspringinvestments.com.sg/...yscode=201

[NTL]

Management fees for funds is unavoidable. But initial sales charge can be zero with FundSupermart.

https://secure.fundsupermart.com/main/ar...w-on--7967

[morbidskunk]

Hi guys, realise this is an old thread, but just came across the fund as well, after an RM marketed this plan/fund to my mom.

Over the weekend, I noticed more than a few funds and banks marketing similar products involving higher yield bonds in the papers.

Over the past few weeks, have been seeing articles on high-yield/junk bond markets facing a crash, with interest rates set to go up.

So there seems to be some disconnect there. My hunch is that funds and banks are trying to push the products to retail investors (hence advertising in papers) -- for various reasons e.g. because institutional interest is waning / keeping the fixed income mkt afloat / spreading the risks to retail investors etc. (Haha anyone wants to verify this??)

That said, the returns are still not bad even with the rather high expense ratio and one-off sales charge, given that they've been able to keep up with rather stable div payments (even through the subprime crisis, altho price fell 30%).

Any take on this? My current stand is to KIV it and consider buy in when the interest rates really start hiking up and the price falls.

[greengiraffe]

I think you answered yr own questions... basically when some products reached retail clients via the banks' sale channels, they really smells.

Over time, I only believe that one should only invest if one puts in the hardwork to understand what investment is all about.

Frankly, if anyone continues to rely on others for information without conducting their own due diligence, the person is better leaving his own money in the risk free accounts then to subject to capital risks of the principal.

GG

Hi guys, realise this is an old thread, but just came across the fund as well, after an RM marketed this plan/fund to my mom.

Over the weekend, I noticed more than a few funds and banks marketing similar products involving higher yield bonds in the papers.

Over the past few weeks, have been seeing articles on high-yield/junk bond markets facing a crash, with interest rates set to go up.

So there seems to be some disconnect there. My hunch is that funds and banks are trying to push the products to retail investors (hence advertising in papers) -- for various reasons e.g. because institutional interest is waning / keeping the fixed income mkt afloat / spreading the risks to retail investors etc. (Haha anyone wants to verify this??)

That said, the returns are still not bad even with the rather high expense ratio and one-off sales charge, given that they've been able to keep up with rather stable div payments (even through the subprime crisis, altho price fell 30%).

Any take on this? My current stand is to KIV it and consider buy in when the interest rates really start hiking up and the price falls.

[Shrivathsa]

http://blogs.wsj.com/moneybeat/2013/07/3...ket-bonds/

Most of the bigger investors are shunning it, could be opportunity or a potential problem

I do agree with gg, likely to be a problem for retail investors.

Plus fees are too high

[NTL]

Well, this is still a fund that I am interested about.

From the article you posted, the avoidance is to Emerging Market Bonds. Looking at the factsheet and the report, they are into US High Yield and Asia Bonds, and 10% into stocks and reits. So it might not be so relevant.

What will be more relevant is the risk of raising interests that leads to the falling NAV of the units.

So, why am I interested in unit trusts, and willing to pay for the management fees? 2 reasons.

1. My spouse is not as savvy in investment as me (and I still see myself as an amateur). In an event that I am unable to do the investment, someone have to take over. I am basically setting up the platform now, and she just have to follow through in the future.

2. I believe everyone need to eat. Just like when we work, we want to get paid. So all these fund managers will need to earn a living too. So I take it as it is fair for them to demand a management fee. Question is, how much is the right amount.

http://blogs.wsj.com/moneybeat/2013/07/3...ket-bonds/

Most of the bigger investors are shunning it, could be opportunity or a potential problem

I do agree with gg, likely to be a problem for retail investors.

Plus fees are too high