View Poll Results: which would u do? ( hypothetical half mil hangin round )

Voters
9. You may not vote on this poll
  • withdraw half an go to macau

    4 44.44%
  • 10 grand a year isnt worth the hassle - leave it in the bank on monthly time deposit

    1 11.11%
  • stick 200 grand into one of these funds

    4 44.44%

HSBC funds?

Closed Thread
  1. #1

    Join Date
    Sep 2012
    Posts
    1,756

    HSBC funds?

    im a bit bored by banks way prefer things with wheels.. hsbc financial advisor calls me up - seems my credit card has earned about 800$ in grocery vouchers... I just select pay the entire thing every month so hardly ever look at the statement anyways....

    almost couldnt be bothered but he called on the day that my old card was reject an then i remembered they had sent me a new one.. that dint work cos I hadn registered it or something- so he said come see him an hed sort it with out queing up..

    anyways he starts yabbering on.. about how I could get 5% interest, altho 5% of sweet FA is still sweet FA...

    anyways this is what he wants to peddle.. ( copyied an pasted )

    bond fund - Allianz US high yield , expected interest 7.5-8% from track record

    balanced fund - JPM Multi income , expected 4.5 - 5% with the potential growth of capital which is expected to be higher than the bond fund because of the stock portion of the portfolio.


    ---------------------------------> i might have say 200,000 with no immediate plan other than leave it in the bank... which he looked in tears when I said..

    i mean it gonna be like HK$ 10000 a year or somehting -- whats the risk? cos the payoff is TINY

    what should I do


  2. #2

    Join Date
    Jan 2011
    Posts
    16

    well, look, you gotta ask yourself, what you could do better with the 200,000 you have in the bank.

    think about what you want in a year, 5 and 10 before you start investing in anything.

    i'm not trying to tell you to do it or not do it. but seriously think about your goals first. once you've answered that question, then we can proceed to the choices.

    thanks

    cite: personal experiences


  3. #3

    Join Date
    Sep 2008
    Posts
    3,677

    Beside the goal the risk level should also been known, e.g. how much can you accept to loose. And what yield do you expect?


  4. #4

    Join Date
    Mar 2007
    Location
    Gold Coast Marina
    Posts
    17,934

    How much are you willing to lose? If your 200k is spare, then sure, look around for something better to do with it. But I tend to agree, most returns these days are pathetic and even a small risk of loss of capital may not be worth the yields they are giving. My money's been sitting in the bank for the last 2 years ... before being "invested" in my company (which has a great return but an equally great risk LOL).

    My rule of thumb is never say yes to anything someone tries to sell you. Only do things you find out about for yourself. Only because people selling financial products are usually doing it for a reason, and your retirement is not the reason!


  5. #5

    Join Date
    Mar 2012
    Posts
    4,821

    Don't forget that HSBC will probably take ~3-4% of your money up front as commission.

    In my experience, managed funds, especially bought through retail banks, are a mugs' game. You're much better buying individual stocks or ETFs.


  6. #6

    Join Date
    Aug 2012
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    Location Location
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    1,201
    Quote Originally Posted by Gruntfuttock:
    Don't forget that HSBC will probably take ~3-4% of your money up front as commission.

    In my experience, managed funds, especially bought through retail banks, are a mugs' game. You're much better buying individual stocks or ETFs.
    Quite. Not long ago HSBC pushed me some Asian bond fund product. Upon inspection I found it had 3% subscription fee and 1% annual management fee.

    I found out two days later there is an Asian bond ETF on the HK stock exchange with management fees of less than half that.

  7. #7

    Join Date
    Sep 2012
    Posts
    1,756

    appreciated i dont have a fortune squirrelled away - believe me I am sad too!

    but jus watched this,, and it scares me ( cos I know nuffink about banking!! )



    thinkin maybe i should convert my sterling into somethin else?

    ( i got a meagre GBP 4O or 50 K max saved )

    ( twins on way - dont see me leaving HK for another 5-10 years now!! )


  8. #8

    Join Date
    Aug 2009
    Posts
    2,711

    uh buying a bond fund right when the bond bull run is ending and the bond vigilantes are lurking behind the corner? not a good idea in my view (and just shows how the muppet advisors at HSBC are useless.

    did he even tell you about the bond market when he peddled that paper to you?


  9. #9

    Join Date
    May 2005
    Location
    Hong Kong
    Posts
    157

    With the kind of crap they gave in basic banking services, i wont have fate on their funds.


  10. #10

    Join Date
    Jul 2013
    Location
    Soon to be HK
    Posts
    71

    *** first off I will disclose that I worked in the financial service industry for many years, not as an adviser, as a programmer but I did get to know the goings on rather well***

    I echo MovingIn07's comment "generally" look with sceptascism at anything someone is trying to sell you. A good question to ask is: do you have money in these stocks/bonds/mutual fund/options..... by law they are bound to disclose this.

    With that said of course there are some good advisers/brokers out there but you generally find them via word of mouth, rather than at a bank branch.

    Something to really think about when dealing with bank tellers come financial advisers is; the financial services industry can be very prosperous and young guns rise through the ranks rather quickly if they are good at what they do. So if you adviser is sitting in a bank branch on minimum wage....... I'll let you work it out!

    I hope that helps.



    Cheers
    Shaun