07 Jul Brainstorming 6 July 2009
Salam to my dear Consultants.
Did we have our family day on 27 – 28 June ?..To be or not to be.. Guess it was not meant to be. Towards the Friday (26 June) only 10 families could attend. We didn’t pursue the family day and plus felt a little guilt that our fellow consultants had issues – son admitted at hospital, mom’s too, dad unwell, then maid issues, wedding issues and not forgetting rising AH1N1 cases. So in the end, yours truly called the day off (off course after consulting the rest).
I’m not gonna give up that easily. Our next attempt for family day shall be on 8 August 2009 at Ulu Langat. I’ve identified a nice, family friendly and cost-friendly place. Updates on that soon.
The JUST leaders are preparing a mid-year coaching session. Previous years we had mid-year Goal Setting. This time its different and more personalized. The sessions will be conducted in smaller groups (under resepective AM) with immediate focus on 2H of 2009. This is almost compulsory for all consultants who wish for meaningful income form UT biz and desires career development or career change as soon as possible. The sessions tentatively will run beginning 18 July.
So, what did we discussed on 6 July 2009 during brainstorming ? Read on..
Attendees : hafiz, aisha, aznita, syed ali, raimy, nazri, zamshary, juliana, arif, farah, baila, hasimah & jaslinah.
a) TRAINING Session
Our upcoming training session as follows :
. Date : 11 July 2009 (time 9.30am – 12.30pm) : SALES DIALOGUE & PRESENTATION
. Date : 18 July 2009 (time 9.30am – 12.30pm) : MUTUAL FUNDS – PMB vs OTHERS
. All trainings will be conducted at PMB Cheras, Training Block (new) level 2.
. Committee : nazri, zamshary, hazah & jas
Jas : punctuality .. punctuality .. punctuality “kenapa selalu cikgu kena tunggu anak murid” ?
b) JUST “P2” Session
The July 2009 “peluh-peluh” get-together will be at Pusat Komersial Komuniti Bandar Tun Razak (drive towards HUKM, near LRT bandar Tun Razak). We manage to book a 6-8pm session but only for some of the dates. Hope that our part-timers can join the fun !
29 July 2009 : 4 – 8pm (2+1 courts)
c) JUST Family Day
As mentioned above.
d) JUST Caring Day
. Commitee : julianna, aznita & jas
2. Market Chat
We discussed about “Ponzie schemes” – get-rich-quick schemes. The latest one being about Madoff’s prison sentence.
Madoff managed more than USD60b funds under his “privilege” scheme, very much like many Malaysia-get-rich-schemes, whereby you have to be introduced by certain people to get into the system. Those invested are considered “elite” and close friends of the “Ring Leader”. In Malaysia, many claim to be involved in forex trading (having a “system” which enables them to beat the FX “international” market and making profits from the risky FX trading.. others claim having access to buying gold “cheaper” .. latest i heard diamonds too). Well, for Madoff they decided to offer “realistic returns” of 1% per month, every month (not 10% not 20% per month). At only 1% per month gradually, and surely – the scheme did not attract the regulators initially but slowly became popular until even hedge funds were involved. Then again Madoff was said to be very IT-savvy, being amongst the pioneer in incorporating IT system into this type of business. But all the while, the biz model imitate a pyramid system of getting more people involved and those with funds that can stay invested for a long, long term were their prime target – charity foundations, retirement monies, family trust funds etc. In addition, being “charming” and “looking important and a distinguish gentleman (cigar)” and “CONfident” like many other ponzies.
Jas : The profession as a Unit Trust Consultant involves advisory and educating your investors, so please do share this information and do express concern for those involved in such schemes.
Market Chat also discussed the trend in Financial Planning in Malaysia. This follows a recent seminar attended by Jas, Shima & Din organised by KMDC. We were enlightened by the session but at the end of the session were surprised of some facts which we feel misinformed the audience at the seminar. Some that we can share follows :
. Many ut companies , do not provide ready platform for investors to have access to Valuation Reports. We at PMB are lucky that the company has many channels for such report, including latest Online Report that investors can have access to. That way, he/she am accessible to valuation as frequent as they need. Alternative channels – customer service, Telemutual (even over weekends, transaction can be executed via telephone recording) and interim reports mailed to them.
Jas : I do not know if investors really wud check their UT portfolio valuation “daily” – kindof ridiculous to do that. We should periodically (monthly) check valuations and ad-hoc-ally check when significant market movements happen. I think its the case of wanting everything, but having too much information, you may loose objectiveness and focus of real reason and benefits of UT investment ie. medium to long term. Investors should learn to relax, act calmly and not over react. They should also invest in “companies” with proven track record and which have position themselves well in the UT industry.
. the service charges for investment (cash) 5.5% is high. The alternative is a platform which offers 1% per annum, but subjected to minimum 5 years period and minimum RM100,000 investment amount. No mention of any penalty (i think they have) if redeem earlier than 5 years.
. to be a financial planner, the better, maybe smarter route is via unit trust biz then evolve to fee based comprehensive financial plans design, then to solution provider using many other financial products. This way UTC/FP’er able promote many services and products to the same client. Better for long-term relationship and less effort to find new clients in long run. The alternative, wud be to be a Product Specialist, focusing in only one area of FP and promoting it to as many clients possible.
Jas : FREE Seminars are never actually FREE – there’s always a catch somewhere. So attend with open mind, take what’s good and flush out what’s not relevant.
3. PM Berhad
• nil updates
4. Sharing session
• Juliana on DDI (following DDI talk by GAM Planiandy of Klang Branch) – good for those looking for stable income, also good for new UTC.
. Syed on closing DDI of RM3,000 per month via Financial Plans – education, retirement, car down payment.
. Jas : on marketing UT – Back to Basics :
> UT for medium to long-term period (5 to 30 years)
> average return (ROI) per year ranges 4 – 12% with potential profits beyond the range during “unexpected events” such as year 2007 and depends on underlying asset class.
Ok. till the next time, dah ganti puasa ?