How Long It Takes To Switch Mutual Funds?!

Posted by Kris | Thursday, August 18, 2011 | | 0 comments »

Since the market is very volatile and bias to the downside, a lot of people are cashing out from the mutual funds or just do some switching. So the major question is how long does it take or when the switching will take effect once you initiated it . If you do manually through an agent, the answer will be when the receptionist at the Public Mutual starts to key in the request into the database :P

So if you want to be fast and do-it-yourself, just do it online. Here are the Public Mutual rules regarding switching transactions.

Switching transacted before 4:00 pm on any business day will be processed based on the closing NAV per unit of the same business day whilst switching transacted after 4:00 pm on any business day will be processed based on NAV per unit of the next business day.

•Switching for foreign funds transacted during non-business days of the funds will be processed based on pricing determined at the close of the next business day when both the Switch From and Switch To funds are opened for trading. 

•Public Mutual reserves the right to reject any switching request that it regards as disruptive to efficient portfolio management; or if deemed by Public Mutual to be contrary to the best interest of the fund. Switching requests which are rejected by Public Mutual would be treated as a redemption of units from a fund and a rejection of application to purchase units in the intended fund. As such, unitholders will receive payment of redemption proceeds in the event of a rejection in switching requests. 

•For full switching, please advise the bank to cancel your Direct Debit Authorization immediately. 

•Successful switching transactions will be processed within 2 business days. 

•Please contact our Hotline 03-6207 5000 should you require further information.