Public Mutual (Fund Performance Chart And Calculation) - PART 1

Let’s begin with the basic, what investor have to pay when they purchase unit trust/mutual fund from Public Mutual?

Upon the purchase of units of the funds by investor, a service charge of 6.5% (equity/balanced/dividend) while 0.25% (bond/money market) is deducted from your initial investment. For Public Mutual does not impose any repurchase charge on the sale of fund units by investor.

Other charges involved are for switching and transfer transactions. (Mutual Gold member free of charge)

The rest of the fees such as management/trustee fee, etc.. are all calculated and could be obtained from Accountants’ Report in prospectus. That’s the reason why investor should read to understand more. But if you don’t, can always ask agent. Management/trustee fee is calculated and accrued daily, and payable monthly to the Manager/Trustees. There’s where the source of income come from for Fund Manager and Trustees. So don’t worry, obviously they’ll try their best to make sure the fund performs.

I think many have been mislead to think that the profit still need to deduct any other management fee. To make simple, investor only need to pay service charge.

Example 1
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Public Asia Ittikal Fund (PAIF)

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At 18/12/06, NAV price is RM0.2987.

Amount Paid : RM 5,860.00
Sales Charge (6.49%): RM 357.21
Amount Invested : RM 5,502.79

Price (RM) : 0.2511
Units : 21,914.73
Total Cum Cost (RM) : 5,860.00
Avg Cost Per Unit (RM) : 0.2674

At 19/06/07, NAV price is RM0.2987.

Units : 21,914.73
Price (RM) : 0.2987
Amount Redeemed/Repurchase (RM) : 6,545.93
Profit = RM6545.93 - RM5860
= RM685.93

Simple Estimate Return : 11.71%

This is true if there’s no additional investment or any distribution reinvestment/unit slip etc (any transaction between both dates).

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If you used Public Mutual(fund performance graph):

Simple Estimate Return : 18.96 - 6.49 = 12.47%

I’m not sure why there’s a difference of 0.76% using graph and calculation. This is probably due to the management/trustee, etc fees not yet deducted. Cause I’m not sure how the graph at Public Mutual website is compute.

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Example 2
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Public Far-East Balanced Fund (PFEBF)

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At 05/03/07, NAV price is RM0.2232.

Amount Paid : RM 5,500.00
Sales Charge (6.5%): RM 335.51
Amount Invested : RM 5,164.49

Price (RM) : 0.2232
Units : 23,138.41
Total Cum Cost (RM) : 5,500.00
Avg Cost Per Unit (RM) : 0.2377

But because of promotional period (offer 1% free units):

Units : 23,138.41 + 1% = 23,369.79
Total Cum Cost (RM) : 5,500.00
Avg Cost Per Unit (RM) : 5,500 / 23,138.41 = 0.2353

At 12/07/07, NAV price is RM0.2524.

Units : 23,369.79
Price (RM) : 0.2524
Amount Redeemed/Repurchase (RM) : 5,898.53
Profit = RM5,898.53 - RM5500
= RM398.53

Simple Estimate Return : 7.25%

This is true if there’s no additional investment or any distribution reinvestment/unit slip etc (any transaction between both dates).

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If you used Public Mutual(fund performance graph):

Simple Estimate Return : 13.08 - 6.5 = 6.58%

I’m not sure why there’s a difference of 0.67% using graph and calculation. This is probably due to the management/trustee, etc fees not yet deducted. Cause I’m not sure how the graph at Public Mutual website is compute.

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