Hi there, you will need to have a holding period of at least 2 years, as early redemption makes it costly for you as an investor. Preferably, you should have a holding power of at least 5 years or more as that allows you to ride out the market cycles.
Do read the prospectus and consider if the fund's asset allocation fits your profile, as well as how this fund would fit into your overall long term investment objective/strategy. It's 70% BBB- bonds and 30% equities, which is considered relatively conservative, however, a market downturn will still have an adverse impact on the portfolio.
One thing is not to be drawn in purely by the yield, as I have seen funds which pay high dividends, but with significant capital loss over time. I would rather have a fund pay a sustainable dividend and either preserve or slowly grow my capital.
Generally, I would give some time for the fund to prove itself before I go in. There was another fund house in SG (I won't say which) which launched an SG focused bond fund and had to wind it up in slightly over a year due to a number of factors. If you want to, you can take a look at the fund manager profiles, Goh Soo May and Bryan Lim, both from LGI which is the asset management arm of OCBC, to get an idea of their investment methodology and track record.
Hi there, you will need to have a holding period of at least 2 years, as early redemption makes it costly for you as an investor. Preferably, you should have a holding power of at least 5 years or more as that allows you to ride out the market cycles.
Do read the prospectus and consider if the fund's asset allocation fits your profile, as well as how this fund would fit into your overall long term investment objective/strategy. It's 70% BBB- bonds and 30% equities, which is considered relatively conservative, however, a market downturn will still have an adverse impact on the portfolio.
One thing is not to be drawn in purely by the yield, as I have seen funds which pay high dividends, but with significant capital loss over time. I would rather have a fund pay a sustainable dividend and either preserve or slowly grow my capital.
Generally, I would give some time for the fund to prove itself before I go in. There was another fund house in SG (I won't say which) which launched an SG focused bond fund and had to wind it up in slightly over a year due to a number of factors. If you want to, you can take a look at the fund manager profiles, Goh Soo May and Bryan Lim, both from LGI which is the asset management arm of OCBC, to get an idea of their investment methodology and track record.