Public Dividend Select Fund

Source of Statistics: http://www.publicmutual.com.my/

Name of Fund: Public Dividend Select Fund, Category of Fund: Equity Fund, Launch Date: 03 May 2005, Investor’s Risk Profile: Moderate.

Since the stock market of Malaysia (Esp. KLCI) has been climbing up recently, most of the funds launched by Public Mutual have drastically increased in it’s Total Returns. Public Divident Select Fund(PDSF) is one of the fund that would give the best returns to it’s investors. And the best thing is that PDSF is one of the most steady/stable fund from Public Mutual. It invests in the stocks which have the potential to offer attractive dividend yields.

From the graph shown above, the annual return of PDSF is 19.33%. Such return rate is much higher than the interest rate of fix deposit (I.e. about 3.8% per annum). On the other hand, the total returns from 1st Jun 2006 - 18 Nov 2006 (I.e. 4 months and 18 days) has recorded as 11.94%.

Another reason for such excellent performance of PDSF is because it invests mainly in the blue-chip stocks. Blue-chip stocks are comparatively more steady or stable. As we all know, blue-chip stocks are those stocks which are generally increased the most recently and hence pushed up the KLCI. Among the selection stocks are Maxis, Genting, YTL Power, Maybank, Public Bank, IOI Corp, Telekom, Malakoff, PLUS, Top Glove, Nestle, F&N and etc.

Anyway, the investors (Esp. for those intended to start invest in Stock Market) should take concern about the profit-taking activities which may happen anytime and consider if the currently market has almost reached the optimum level.