Unit Trusts

[krikering]

Hi All, appreciate your time. Have just been upgraded into wealth banking with UOB as have an UOB One Account with them.

I am looking more towards less risky and more liquid kind of investments where the obstacles to withdrawing the principal amount is not too large thus stocks and Endowment Plans/ILPs, etc., personally feel that they are not suitable for me.

I do consider T-Bills and FDs, etc. suitable as they are lower risk, but frankly speaking the interest rates cannot beat inflation.

The Personal Wealth Executive (soon to be a Relationship Manager) who served me recommended me 2 Unit Trusts (as below)

https://www.uob.com.sg/personal/inv...dXlANbAThc1mFW9vnaKVH5c2Ff6UQ7HRoCQqIQAvD_BwE

They are the United Income Fund (50% Bonds 50% Equity) thus less risk but lesser returns and also, the United Growth Fund (100% Equity). They have a one-time fee of 3%, that means I put in @$20,000 as the amount then I will be charged $600 fee as they will be manning the portfolio on my behalf and updating me every few month on the progress.

Am aware that if I open an account with the likes of Endowus and Philip Capital, the charge is much lower but I will be manning the portfolio myself and to be honest I am not very savvy with investments. Thus, I foresee myself being inaccurate in selecting the portfolio and reading the market trends, etc. myself.

Thus, just to seek an honest opinion if you guys think that is a good choice for individuals to take up the above 2 Unit Trusts (either one or even both of them) with UOB?

 

[reddevil0728]

Hi All, appreciate your time. Have just been upgraded into wealth banking with UOB as have an UOB One Account with them.

I am looking more towards less risky and more liquid kind of investments where the obstacles to withdrawing the principal amount is not too large thus stocks and Endowment Plans/ILPs, etc., personally feel that they are not suitable for me.

I do consider T-Bills and FDs, etc. suitable as they are lower risk, but frankly speaking the interest rates cannot beat inflation.

The Personal Wealth Executive (soon to be a Relationship Manager) who served me recommended me 2 Unit Trusts (as below)

https://www.uob.com.sg/personal/inv...dXlANbAThc1mFW9vnaKVH5c2Ff6UQ7HRoCQqIQAvD_BwE

They are the United Income Fund (50% Bonds 50% Equity) thus less risk but lesser returns and also, the United Growth Fund (100% Equity). They have a one-time fee of 3%, that means I put in @$20,000 as the amount then I will be charged $600 fee as they will be manning the portfolio on my behalf and updating me every few month on the progress.

Am aware that if I open an account with the likes of Endowus and Philip Capital, the charge is much lower but I will be manning the portfolio myself and to be honest I am not very savvy with investments. Thus, I foresee myself being inaccurate in selecting the portfolio and reading the market trends, etc. myself.

Thus, just to seek an honest opinion if you guys think that is a good choice for individuals to take up the above 2 Unit Trusts (either one or even both of them) with UOB?

You know what’s ETF?

 

[DevilPlate]

Hi All, appreciate your time. Have just been upgraded into wealth banking with UOB as have an UOB One Account with them.

I am looking more towards less risky and more liquid kind of investments where the obstacles to withdrawing the principal amount is not too large thus stocks and Endowment Plans/ILPs, etc., personally feel that they are not suitable for me.

I do consider T-Bills and FDs, etc. suitable as they are lower risk, but frankly speaking the interest rates cannot beat inflation.

The Personal Wealth Executive (soon to be a Relationship Manager) who served me recommended me 2 Unit Trusts (as below)

https://www.uob.com.sg/personal/inv...dXlANbAThc1mFW9vnaKVH5c2Ff6UQ7HRoCQqIQAvD_BwE

They are the United Income Fund (50% Bonds 50% Equity) thus less risk but lesser returns and also, the United Growth Fund (100% Equity). They have a one-time fee of 3%, that means I put in @$20,000 as the amount then I will be charged $600 fee as they will be manning the portfolio on my behalf and updating me every few month on the progress.

Am aware that if I open an account with the likes of Endowus and Philip Capital, the charge is much lower but I will be manning the portfolio myself and to be honest I am not very savvy with investments. Thus, I foresee myself being inaccurate in selecting the portfolio and reading the market trends, etc. myself.

Thus, just to seek an honest opinion if you guys think that is a good choice for individuals to take up the above 2 Unit Trusts (either one or even both of them) with UOB?

3% sales charge damn ex sia…..nego to 1-2%?
Today still got banks charge simi 3%

 

[limster]

Based on your post, you don't seem to understand Endowus. Which means either
(i) you tried to read the plentiful materials on Endowus website but still don't understand.
(ii) you didn't bother /not interested to read up on Endowus

my honest opinion is that if you are unable to, or don't want to acquire the knowledge to understand and manage your own investments, then you have no choice but to pay someone to do it for you.

my other honest opinion is that as a UOB shareholder collecting big dividends every year, I need UOB customers who are willing to pay UOB to manage their money, otherwise, where is my UOB dividend coming from?

 

[sohguanh]

3% sales charge damn ex sia…..nego to 1-2%?
Today still got banks charge simi 3%

During my times before FSMOne is born and Endowus still in mother womb waiting to be made, banks charge 5% and is the norm of those era!

 

[sohguanh]

Hi All, appreciate your time. Have just been upgraded into wealth banking with UOB as have an UOB One Account with them.

I am looking more towards less risky and more liquid kind of investments where the obstacles to withdrawing the principal amount is not too large thus stocks and Endowment Plans/ILPs, etc., personally feel that they are not suitable for me.

I do consider T-Bills and FDs, etc. suitable as they are lower risk, but frankly speaking the interest rates cannot beat inflation.

The Personal Wealth Executive (soon to be a Relationship Manager) who served me recommended me 2 Unit Trusts (as below)

https://www.uob.com.sg/personal/inv...dXlANbAThc1mFW9vnaKVH5c2Ff6UQ7HRoCQqIQAvD_BwE

They are the United Income Fund (50% Bonds 50% Equity) thus less risk but lesser returns and also, the United Growth Fund (100% Equity). They have a one-time fee of 3%, that means I put in @$20,000 as the amount then I will be charged $600 fee as they will be manning the portfolio on my behalf and updating me every few month on the progress.

Am aware that if I open an account with the likes of Endowus and Philip Capital, the charge is much lower but I will be manning the portfolio myself and to be honest I am not very savvy with investments. Thus, I foresee myself being inaccurate in selecting the portfolio and reading the market trends, etc. myself.

Thus, just to seek an honest opinion if you guys think that is a good choice for individuals to take up the above 2 Unit Trusts (either one or even both of them) with UOB?

If you cannot mann yourself then pay others to do it it is that simple. Just like our boss don't want to do so employ workers to help him do logic and in return he pay us a salary.

To your questions those two funds can also be DIY yourself and buy via uobtmrw? Only difference is you need monitor yourself instead. But you say you cannot monitor then yes pay fees then.

My experience with UOBAM funds are mixed. United SGD , United E-Commerce , United Durable , United Growth etc.

 

[DevilPlate]

During my times before FSMOne is born and Endowus still in mother womb waiting to be made, banks charge 5% and is the norm of those era!

Last time ETF not popular mah.

Actually last time sales charge to buy 3% and then 2% to sell
Thats why many dabble SG stocks instead or simply whack condos better whahaha

 

[DevilPlate]

If you cannot mann yourself then pay others to do it it is that simple. Just like our boss don't want to do so employ workers to help him do logic and in return he pay us a salary.

To your questions those two funds can also be DIY yourself and buy via uobtmrw? Only difference is you need monitor yourself instead. But you say you cannot monitor then yes pay fees then.

My experience with UOBAM funds are mixed. United SGD , United E-Commerce , United Durable , United Growth etc.

Actually duno whats there to monitor also……

Maybe thats their strategy to earn more fees.
Help u monitor and recommend to switch funds every few years and earn 3% …..rinse and repeat? Lol

 

[sohguanh]

Last time ETF not popular mah.

Actually last time sales charge to buy 3% and then 2% to sell
Thats why many dabble SG stocks instead or simply whack condos better whahaha

It is not ETF not popular it is don't have in Spore. I talking about 90s.

 

[sohguanh]

Actually duno whats there to monitor also……

Maybe thats their strategy to earn more fees.
Help u monitor and recommend to switch funds every few years and earn 3% …..rinse and repeat? Lol

I would think for HNW customers they should propose something that is not for general retail public kind of investment. It has to be different to justify the status. For OP those funds we also can buy leh just we monitor ourselves.

So make me think OP status not big enough for them to suggest something more unique and special.

 

[DevilPlate]

It is not ETF not popular it is don't have in Spore. I talking about 90s.

I think have liao like SPY etc….just that many of us duno about it whahaha

 

[sohguanh]

I think have liao like SPY etc….just that many of us duno about it whahaha

I meant to say have in Spore broker apps oops that time no mobile only browser internet era selling not we go outside of Spore buy.

And also US lost decade start around 2000 - 2010 so interest sure damn low like now China lost decade so many complaints cannot make monies.

 

[DevilPlate]

I meant to say have in Spore broker apps oops that time no mobile only browser internet era selling not we go outside of Spore buy.

My time actually call broker to buy/sell…..no DIY internet yet lor
i think Poems was one of the pioneer to have DIY internet and charge lower fees

 

[sohguanh]

My time actually call broker to buy/sell…..no DIY internet yet lor
i think Poems was one of the pioneer to have DIY internet and charge lower fees

For a while I am using that and see SGX stocks price on TV Teletext. That time where got talk buy US stocks and ETF? Dun have lah.

 

[DevilPlate]

For a while I am using that and see SGX stocks price on TV Teletext. That time where got talk buy US stocks and ETF? Dun have lah.

I believe have one…..maybe we all peasants no access to it lar.
Hearsay from my seniors they can trade Nippon stocks also leh last time.

 

[sohguanh]

I believe have one…..maybe we all peasants no access to it lar.
Hearsay from my seniors they can trade Nippon stocks also leh last time.

Nippon and HK yes but not US I am sure. It may only be available for those special HNW not normal retail public

 

[Mephist0pheLes]

Hi All, appreciate your time. Have just been upgraded into wealth banking with UOB as have an UOB One Account with them.

I am looking more towards less risky and more liquid kind of investments where the obstacles to withdrawing the principal amount is not too large thus stocks and Endowment Plans/ILPs, etc., personally feel that they are not suitable for me.

I do consider T-Bills and FDs, etc. suitable as they are lower risk, but frankly speaking the interest rates cannot beat inflation.

The Personal Wealth Executive (soon to be a Relationship Manager) who served me recommended me 2 Unit Trusts (as below)

https://www.uob.com.sg/personal/inv...dXlANbAThc1mFW9vnaKVH5c2Ff6UQ7HRoCQqIQAvD_BwE

They are the United Income Fund (50% Bonds 50% Equity) thus less risk but lesser returns and also, the United Growth Fund (100% Equity). They have a one-time fee of 3%, that means I put in @$20,000 as the amount then I will be charged $600 fee as they will be manning the portfolio on my behalf and updating me every few month on the progress.

Am aware that if I open an account with the likes of Endowus and Philip Capital, the charge is much lower but I will be manning the portfolio myself and to be honest I am not very savvy with investments. Thus, I foresee myself being inaccurate in selecting the portfolio and reading the market trends, etc. myself.

Thus, just to seek an honest opinion if you guys think that is a good choice for individuals to take up the above 2 Unit Trusts (either one or even both of them) with UOB?

A 3% sale charge is basically daylight robbery, pls dont be an idiot and give away your money for free.

u also seems to have a few misconceptions
1. u assume your RM is savvy about investments, but i can assure you that he is not. he is simply selling you the few investment products carried by UOB which will earn him and the bank a very healthy sales charge and recurring fees.
2. you can easily replicate whatever funds they are trying to sell you using ETFs at a much lower cost. if u r too lazy to find the relevant funds yourself, jus pay your nieces and nephews who has o-level qualification $100, im sure they can find it for you - yes, it's that easy.
3. even if for some strange reason you don't want to invest via ETFs, Endowus most likely offers the underlying funds at a much cheaper cost also.
4. And you don't need to read the market. almost nobody can read market movements, incl. your RM.

 

[krikering]

A 3% sale charge is basically daylight robbery, pls dont be an idiot and give away your money for free.

u also seems to have a few misconceptions
1. u assume your RM is savvy about investments, but i can assure you that he is not. he is simply selling you the few investment products carried by UOB which will earn him and the bank a very healthy sales charge and recurring fees.
2. you can easily replicate whatever funds they are trying to sell you using ETFs at a much lower cost. if u r too lazy to find the relevant funds yourself, jus pay your nieces and nephews who has o-level qualification $100, im sure they can find it for you - yes, it's that easy.
3. even if for some strange reason you don't want to invest via ETFs, Endowus most likely offers the underlying funds at a much cheaper cost also.
4. And you don't need to read the market. almost nobody can read market movements, incl. your RM.

Appreciate yours and everyones' insight above. Just to state a few aspects using a capital amount of e.g $20,000.

1.) 3% charge is one-time charge so if I pay $600 (if I invest $20,000), it will be the only charge I will incur throughout the entire duration where UOB holds my $20,000.

Unless, if in the scenario the fund underperformed and is negative returns (lower than 0%) then I will lose money on my $20,000.

2.) In addition, the RM said that there will be no recurring charge.

Unless they might deduct it from the interest earned in those funds e.g returns is 6% then they straightaway take 3% but the RM confirmed that there is no recurring charge but simply a one-time charge of $600 at the beginning ($20,000 × 3%)


3.) But you are correct in the sense that it is similar to ETFs.

What the RMs explained was that both these Unit Trusts are a portfolio, and the Fund Managers will buy different 10 different shares (which makes up the portfolio) to seek to try to generate a positive % return on the capital amount ($20,000).

4.) 1 reason why I considered the Unit Trusts was simply to the fact they have a shorter time horizon compared to ILPs and Endowment/Annuity Plans.

Those plans will require the capital to be locked in for at least around 8 years or so to break even. At least for the plans that I was introduced to by the Singlife, Tokyo Marine and AIA agents.

Thus, I never took it up. Was close to taking an ILP with Tokio Marine (Tokio Marine Gold Pro) but in the end did not do so.

5.) I did pondered buying ETFs on my own, but tbh it is difficult to for me to know which stocks to exactly buy.

Am aware that ETFs fluctuation is much lesser compared to stocks, but nevertheless you will still need to monitor it every now and then.

If I invest in ETFs myself, I may possibly not know how to choose on my own.

6.) In conclusion, perhaps I will consider buying Unit Trusts or similar plans from Endowus, etc. e.g Endowus Cash Smart Portfolio which charges a lesser interest %. Hope it will be lesser than 3%.

Am aware that there are a few EDMWers who have bought the above portfolio.

Warm Regards

 

[Mephist0pheLes]

Appreciate yours and everyones' insight above. Just to state a few aspects using a capital amount of e.g $20,000.

1.) 3% charge is one-time charge so if I pay $600 (if I invest $20,000), it will be the only charge I will incur throughout the entire duration where UOB holds my $20,000.

Unless, if in the scenario the fund underperformed and is negative returns (lower than 0%) then I will lose money on my $20,000.

2.) In addition, the RM said that there will be no recurring charge.

Unless they might deduct it from the interest earned in those funds e.g returns is 6% then they straightaway take 3% but the RM confirmed that there is no recurring charge but simply a one-time charge of $600 at the beginning ($20,000 × 3%)


3.) But you are correct in the sense that it is similar to ETFs.

What the RMs explained was that both these Unit Trusts are a portfolio, and the Fund Managers will buy different 10 different shares (which makes up the portfolio) to seek to try to generate a positive % return on the capital amount ($20,000).

4.) 1 reason why I considered the Unit Trusts was simply to the fact they have a shorter time horizon compared to ILPs and Endowment/Annuity Plans.

Those plans will require the capital to be locked in for at least around 8 years or so to break even. At least for the plans that I was introduced to by the Singlife, Tokyo Marine and AIA agents.

Thus, I never took it up. Was close to taking an ILP with Tokio Marine (Tokio Marine Gold Pro) but in the end did not do so.

5.) I did pondered buying ETFs on my own, but tbh it is difficult to for me to know which stocks to exactly buy.

Am aware that ETFs fluctuation is much lesser compared to stocks, but nevertheless you will still need to monitor it every now and then.

If I invest in ETFs myself, I may possibly not know how to choose on my own.

6.) In conclusion, perhaps I will consider buying Unit Trusts or similar plans from Endowus, etc. e.g Endowus Cash Smart Portfolio which charges a lesser interest %. Hope it will be lesser than 3%.

Am aware that there are a few EDMWers who have bought the above portfolio.

Warm Regards

1/2. That's just a play of words that RM likes to do to mislead their clients. There's no way a bank will sell you anything without recurring fee. And a simple google search on "United Income Fund" proves that. What they meant is that the initial charge will be paid directly by you up front, and the RECURRING fees will be DEDUCTED FROM YOUR INVESTED PROCEEDS. In other words, you are still paying for it, jus indirectly. It's a stupid trick meant for tricking ppl who don't do their homework and just take RM words for it.

5. Don't use stocks and ETFs interchangeably, they mean different things. And there's is literately a list of ETFs owned by the United Income Fund (i didnt search for the other fund, but I'm pretty sure the info is just a 30 second search away). It's a stupidly redundant basket of overlapping ETFs with the sole purpose of making it seem complicated for uninformed investors. If a 50% equity 50% bond portfolio is your desired allocation, you just need ONE global equity ETF plus ONE global bond ETF.

And lastly, investing is not about knowing what to do in response to market movements, its about having the discipline and mental fortitude to not do anything and let your investment grow through the ups and downs.

 

[rizhal]

Appreciate yours and everyones' insight above. Just to state a few aspects using a capital amount of e.g $20,000.

1.) 3% charge is one-time charge so if I pay $600 (if I invest $20,000), it will be the only charge I will incur throughout the entire duration where UOB holds my $20,000.

Unless, if in the scenario the fund underperformed and is negative returns (lower than 0%) then I will lose money on my $20,000.

2.) In addition, the RM said that there will be no recurring charge.

Unless they might deduct it from the interest earned in those funds e.g returns is 6% then they straightaway take 3% but the RM confirmed that there is no recurring charge but simply a one-time charge of $600 at the beginning ($20,000 × 3%)


3.) But you are correct in the sense that it is similar to ETFs.

What the RMs explained was that both these Unit Trusts are a portfolio, and the Fund Managers will buy different 10 different shares (which makes up the portfolio) to seek to try to generate a positive % return on the capital amount ($20,000).

4.) 1 reason why I considered the Unit Trusts was simply to the fact they have a shorter time horizon compared to ILPs and Endowment/Annuity Plans.

Those plans will require the capital to be locked in for at least around 8 years or so to break even. At least for the plans that I was introduced to by the Singlife, Tokyo Marine and AIA agents.

Thus, I never took it up. Was close to taking an ILP with Tokio Marine (Tokio Marine Gold Pro) but in the end did not do so.

5.) I did pondered buying ETFs on my own, but tbh it is difficult to for me to know which stocks to exactly buy.

Am aware that ETFs fluctuation is much lesser compared to stocks, but nevertheless you will still need to monitor it every now and then.

If I invest in ETFs myself, I may possibly not know how to choose on my own.

6.) In conclusion, perhaps I will consider buying Unit Trusts or similar plans from Endowus, etc. e.g Endowus Cash Smart Portfolio which charges a lesser interest %. Hope it will be lesser than 3%.

Am aware that there are a few EDMWers who have bought the above portfolio.

Warm Regards

I think it is better for you to carry out point 6, let the professional do for you at a cost you are comfortable with.

Peace of mind is priceless.