For example, the fund has no investment exposure in US or Swiss bank deposits, and it has nearly 15% exposure in daily liquid assets and over 20% in weekly liquid assets, which exceed Singapore regulatory requirements. As of
Sep 20, 2023, the Fund has a 7-day annualized yield of 5.31% (net of fees, based on 5-decimal NAV 7 business day return), and it has not experienced any single-day NAV loss since its inception in July 2022.
mr_cashcow : I have used $CSOP USD Money Market Fund (SGXZ96797238.MF)$ as a way to park idle USD while waiting for opportunities to strike, it is a good way to earn back some fees from trades. The T+0 settlement arrangement is really the best because that means you won't lose precious time waiting for funds to arrive before buying any securities. Cash plus have really become an essential part of my investment strategy
Question time: What are some of the difficulties & challenges face when managing such a complex & diverse fund?
Dadacai : Hi, I have a suggestion that I hope CSOP can consider seriously. Can the daily NAV be published in a more user-friendly format, like a table form as what Fullerton does? Having to use the graph to locate the NAV for a particular date takes more than a few seconds. Time is money. I understand graphical representation may be preferred for seeing the trend but there are times when we want to see the exact figures. You can have both the graph and the table.
I have the following questions:
1) What kind of derivative financial instruments does CSOP use for this money market fund and do they expose the fund to higher risks?
2) What is your view of the USD-SGD exchange rate in the next one year?
@phady05@zoopy@Apoh@104334532l@104530156@snoopy123@Moo Top
sg-guru : Thank you for the great product (CSOP USD MMF) to tap on the higher interest rate of safe US gov bonds and tbills, without going thru all the paper work and admin to apply as a retail investor.
The CSOP US MMF also offers me great liquidity as and when I need it for investment in US (dominated) stocks.
One disadvantage is the currency risk, if I have short-medium term need for SGD. It will be great if you have a product that can take care of the currency hedging.
Cheers!
Thy GoD : I'm still rather new to everything but I've been using the $CSOP USD Money Market Fund (SGXZ96797238.MF)$ to get a little bit of return while waiting for better market opportunities.
Ngl I was surprised to see how well it reflected FD rated and the quick redemption/subscriptions rlly mixed well with the autosave feature on moomoo.
A question I would ask is:
What are some key factors that influence the management of the fund.
费北敬 : Using $CSOP USD Money Market Fund (SGXZ96797238.MF)$ to park idle USD at the same time selling an put Option to earn extra premiun to earn more interest . I like this MMF as it is more flexible than puting money in FD ( can withdraw anytime ).
Pufferfish Enjoyer : CSOP has been an amazing place to park my cash that would otherwise just be sitting there and doing nothing. It is also good for monies that you are about to spend within the next few weeks or months(travelling money etc..) to earn a little something, just remember to withdraw a week early for payments.
Question: When the fed decides to lower interest rates, for example in the US, would this fund be able to buy tbills and bonds from the EU for example, if they have not lowered their interest rate yet.
Let's say, for example, if the US suddenly dropped interest rates overnight to 3% due to some sort of recession, and EU interest rates remain high due to increased inflation. Would CSOP buy EU tbills instead?
P.S. Hope I get the points and coupon :)
Hallasan : T-0 settlement is really a high plus for the CSOP USD money market fund. Especially for retail investors with lower liquidity and wish for greater flexibility in terms of managing our money.
What are the challenges the fund face in managing the funds to earn a higher return for the investors? Especially in current uncertain market
102466045 : I hope they could have money market fund in hkd
cola1010 : CSOP provides a variety of benefits to investors. CSOP's money market funds offer competitive returns, liquidity, and diversity, while its ETF solutions meet the needs of a wide range of investors. CSOP provides useful market data, maintains outstanding fund performance, and prioritises investor support. In terms of future expansion, CSOP intends to innovate its product offerings, enter new markets, react to regulatory changes, and perhaps improve returns in various interest rate conditions. Overall, CSOP is a reliable alternative for investors looking for expert asset management and growth potential.
Question:
1) Can you provide more details on the CSOP USD Money Market Fund's 7-day annualised yield and how it's calculated? Are there any more performance metrics or key indicators that investors should keep an eye on?
2) What specific measures does CSOP use to manage risk while aiming to generate competitive returns in its CSOP USD Money Market Fund, particularly in the current economic situation with shifting interest rates?
ZnWC : Moo_Rich has already explained the strength of investing in $CSOP USD Money Market Fund (SGXZ96797238.MF)$ (CSOP USD MMF). Indeed the mutual fund has so far given me positive return daily and the flexibility in term of liquidity. Based on T+0 day redemption. I can invest in other assets immediately upon redeem and use the fund as leverage to trade options. I can also withdraw the cash after T+2 days.
Like all mutual fund, CSOP USD MMF has risks and the concern is redemption can be halted if adnormal activity is found such as "bank run" although it is relatively safe compared to the other mutual funds.
The fund portfolio which constitutes of top 5 counterparts: US treasury, Shanghai Pudong development bank, industrial and commercial bank of china, Citi bank international and Chiyu bank has exposure to US and China economy. Here are my questions:
1) What are the risks involved in CSOP USD MMF under the US-China tension when the portfolio has exposure to US and China banks?
2) China banks are reducing interest rate to stimulate the economy slowdown. How will the China economy slowdown impact the performance of the fund and the return?
3) The fund gives an average 7-days yield of 5.34%. How is this yield compared to current fixed deposit in Singapore banks which is currently at 3.5-3.75% interest rate pa? How do we estimate the fund yield in term of return rate per annum?
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