Good Advice From PM On EPF Savings And Exercising.
Datuk Seri Abdullah Ahmad Badawi advised the people to be extra careful when investing their Employees Provident Fund (EPF) savings because of the risks involved. The Prime Minister said he could only advice and it was up to the contributors to decide on their investments.
Commenting on a report by Mingguan Malaysia newspaper that about RM600 million in EPF savings invested in unit trusts had incurred losses, he said it was a risk that had to be faced by contributors. "It's their responsibility. They should be careful. They transferred the money from the EPF to unit trusts and suffered losses. That is the risk they took. They cannot blame anyone," he said. Abdullah, who is also Finance Minister, said the loss was probably because the unit trusts they had opted to invest were not viable and had failed.
According to the report, the RM600 million loss involved 80 per cent of contributors who invested their EPF savings in unit trusts and it was due to the fund managers' inability to invest in profitable ventures. So far, 42 fund management institutions are allowed to manage EPF savings on behalf of contributors. Under the scheme, EPF contributors with minimum savings of RM55,000 in Account One can invest some of it through fund management institutions sanctioned by the Finance Ministry.
Abdullah said EPF contributors must remember that their savings in the EPF was to enable them to live comfortably after they had retired. "But if they want to withdraw the money to invest or keep it elsewhere which guarantees higher returns, be careful. That is important," he said.
Abdullah said contributors should think of their future and not make hasty decisions on their EPF savings. "Many people want to withdraw EPF savings for various reasons. The money is theirs, they can do whatever they want but they have to think of what will happen to them later," he said.
Earlier, in his speech, Abdullah urged the people to exercise daily so that they would continue to be healthy, fit and happy. "Try to exercise regularly so that our body can adapt to exercises because through sports we will be fitter and happier," he said.
He said a healthy and fitter society was an important asset to the country because they would be able to help develop the nation. "So, make a promise to ourselves that we will exercise everyday," he added. Abdullah joined the people in aerobic exercise at the community sports.
Commenting on a report by Mingguan Malaysia newspaper that about RM600 million in EPF savings invested in unit trusts had incurred losses, he said it was a risk that had to be faced by contributors. "It's their responsibility. They should be careful. They transferred the money from the EPF to unit trusts and suffered losses. That is the risk they took. They cannot blame anyone," he said. Abdullah, who is also Finance Minister, said the loss was probably because the unit trusts they had opted to invest were not viable and had failed.
According to the report, the RM600 million loss involved 80 per cent of contributors who invested their EPF savings in unit trusts and it was due to the fund managers' inability to invest in profitable ventures. So far, 42 fund management institutions are allowed to manage EPF savings on behalf of contributors. Under the scheme, EPF contributors with minimum savings of RM55,000 in Account One can invest some of it through fund management institutions sanctioned by the Finance Ministry.
Abdullah said EPF contributors must remember that their savings in the EPF was to enable them to live comfortably after they had retired. "But if they want to withdraw the money to invest or keep it elsewhere which guarantees higher returns, be careful. That is important," he said.
Abdullah said contributors should think of their future and not make hasty decisions on their EPF savings. "Many people want to withdraw EPF savings for various reasons. The money is theirs, they can do whatever they want but they have to think of what will happen to them later," he said.
Earlier, in his speech, Abdullah urged the people to exercise daily so that they would continue to be healthy, fit and happy. "Try to exercise regularly so that our body can adapt to exercises because through sports we will be fitter and happier," he said.
He said a healthy and fitter society was an important asset to the country because they would be able to help develop the nation. "So, make a promise to ourselves that we will exercise everyday," he added. Abdullah joined the people in aerobic exercise at the community sports.
posted by The Malaysian. at 8/06/2006 07:49:00 PM
1 Comments:
yeah...advice they should give themselves first. 9MP -- EPF is the biggest investor?!!
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