Public Mutual Bhd is launching a new fund, Public Australia Equity Fund (PAUEF) on 8 September 2009 to tap into the growth potential of the Australian Market. Its chief executive officer Yeoh Kim Hong said PAUEF would give investors the opportunity to capitalise on the long-term growth potential of the Australian market, given the country's strong position in natural resources and its diversified services sector.
The fund will mainly focus on sectors such as the natural resources, banking, real estate and consumer sectors. Please refer the url for more detail.
As usual, this new fund brought up some discussion among my friends at our kopitiam session ;)
Some said "well, it's potential"
Some said "i would rather invest in China Market"
Some said "how about the predicted performance?"
Some said "i am not interested in mutual fund. i am an equity guy."
Whatever category you are, let review some data. I have compiled some of market movment of Equity Indexes that included US (DJI), Australia (S&P/ASX200), Hong Kong (HSI), Singapore (STI) and Malaysia (KLSE). I hope this data could help you up ;)
DJI
-32.2% from it's peak
+46.7% since march 2009
S&P/ASX200
-32.7% from it's peak
+46.1% since march 2009
HSI
-33.1% from it's peak
+86.5% since march 2009
STI
-30% from it's peak
+84% since march 2009
KLSE
-20.3% from it's peak
+44.1% since march 2009
Despite of the rebound since march 2009, most of the equtiy market is still underperform. Which market is more attractive to you? Another risk factor to think about it when investing oversea - currency exchange. I have compiled some of the past currency exchange data for AUD, CNY, HKD, SGD and MYR. In long term, which of the following currency will appreciate?
AUD - potential to appreciate vs the peak
CNY - potential to appreciate
HKD
SGD - potential to appreciate vs the peak
As usual unit trust is good for long term, diversification and frequent (dollar-cost-averaging) investment. So, I think its a 'safe' investment.
ReplyDeletebase on the performance of the australia dynamic fund since launched (~3 months), it able to give ~15% return with only 60% of its NAV (max) invested in the equity, ranked top 5 among the public mutual funds. this dynamic fund is a balance fund. if you look at the fund manager name, the 2 persons who manage the australia dynamic fund, are the 2 who manage this new australia equity fund as well.
ReplyDeleteaustralia equity fund is going to invest in similar way compare to the australia dynamic fund, but more aggresively (max 90% of NAV can be invested in equity), thus it should give better return during the economy downturn.
so, is it potential? yes, of course!
BUT how potential it is? it is all depends...
China is a known black horse, many ppl aiming to earn big money following china boom. So, is this australia fund better or china fund better? :)
as said, china is black horse, if he run out and take over US's status, then close eyes oso know it should give much much return compare to australia. BUT higher return normally comes together with higher risk. What if the black horse still takes years to shine? what if the black horse will have a crisis before it shine? china properties, especially at those big city, is damn expensive, although US properties crisis did help to cut down its price, but it is still expensive, will it collapse like US? who know?
:)
as mentioned above, the australia dynamic fund ranked top 5 since it launch, where is the china/hongkong market fund performance during these few months? below is the list:-
Fund Name Total Return
(%)
1 PSA30F 16.7503
2 PFECTF 15.9583
3 PBADF 15.6093
4 PSEASF 15.3926
5 PBADBF 14.7541 --> australia dynamic
6 PIX 14.3382
7 PGF 13.3969
8 PEF 13.0532
9 PRSEC 13.0526
10 PIF 12.9942
11 PBAEF 12.8313
12 PBCPEF 12.6805
13 PBGF 12.6411
14 PBIEF 12.5710
15 PFEPRF 12.4196
16 PBIASSF 12.3873
17 PFES 12.2753 --> far east select
18 PIOF 12.1908
19 PFEDF 12.1268 --> far east dividen
20 PSF 11.9913
21 PFETIF 11.9240
22 PIDF 11.6622
23 PBEPEF 11.6447
24 PBIAEF 11.5515
25 PIOGF 11.5190
26 PRSF 11.2400
27 PAIF 11.2313
28 PIADF 11.1626
29 PIEF 11.1563
30 PCSF 11.1492 --> china select
31 PITTIKAL 10.9449
32 PAGF 10.7922
33 PDSF 10.7445
34 PBCAEF 10.3931
35 PSSF 10.1000
36 PFSF 10.0735
37 PISEF 9.7277
38 PCTF 9.6787
39 PBBF 8.7760
40 PBF 8.5175
41 PISSF 8.4689
42 PIBF 8.3298
43 PSMALLCAP 7.9379
44 PBAREIF 7.1833
45 PCIF 7.0111
46 PISTF 6.7917
47 PIABF 6.7773
48 PFEBF 6.6983
49 PGSF 6.6558
50 PGBF 4.8338
worth diversifying to australia and NZ
ReplyDeleteboth are relatively mature economies with stable government. if i were to invest, is purely onto diversification. I'm still not familiar with their market. Except the big mining corps, australia doesn't seem to have a big famous global companies that i fancy of
I prefer equity investment
ReplyDelete