Frequently Asked Questions

Unit Trust

What are the Fees and Charges?

There are ZERO transaction fees (e.g. no sales charge, switching fees) and ZERO ongoing fees (e.g. no platform fees) when you transact Unit Trust online via POEMS. Learn more about zero fees .

We understand that some of our customers value the convenience of investing anytime and anywhere online through POEMS. However, we also understand that some customers prefer having face-to-face meetings with an advisor to provide them financial advisory services and/or monitor their portfolios. Hence apart from POEMS online, we also have our offline services to provide these financial advisory services to those who need it. A fee may be levied as these advisors are able to provide professional advice that is tailored for your individual investment needs.

How do I transfer-in my holdings maintained with other distributors or banks?

You may transfer in your holdings to enjoy ZERO transaction fees (e.g. no sales charge, switching fees) and ZERO ongoing fees (e.g. no platform fees) when you transact Unit Trust online via POEMS.

Also, be rewarded up to $1,000* when you transfer in your holdings to us!

For more information regarding transfers-in, please refer to our Transfer-in page.

How do I opt-in for SMART Park/Money Market Fund (Excess Funds Facility)?

Phillip’s Excess Funds Management Facility, also known as SMART Park, allows you to park your money while waiting for investment opportunities. The excess funds will be invested on a discretionary basis into Phillip Money Market Fund.

Opt-In on POEMS

If you would like to opt-in online using another device, kindly follow this path to opt-in:
Login -> Acct Mgmt (Account Management tab) -> Stocks tab -> Online Forms -> Excess Fund Authorization

Alternatively, you may contact your Financial Advisor or our call centre at 6531 1555 for more assistance.

What is Customer Knowledge Assessment (CKA) and how does it affect me?

CKA is a mandatory declaration if you wish to invest unit trust online through POEMS. Starting 1st January 2012, the Monetary Authority of Singapore (MAS) has made it compulsory for distributors to document your declaration on having the relevant knowledge or experience in understanding the risks and features of Unit Trusts.

Find out more about CKA.

Who can invest in unit trusts?

An individual who is:

  • Above 18 years of age; and
  • Non-U.S. Citizens and non-U.S. Residents

Is eligible to invest in unit trusts.

How are the Performance Returns and Annualised Performance Returns of funds derived?

Performance Returns are derived based on the past NAV of the fund. It expresses the total returns you would have achieved on your principal investment had you been invested in the fund for that period of time.

For example, the 3 Year Return of a fund will be derived from the difference between the latest NAV and the NAV of the fund 3 years ago. If the latest NAV of a fund is SGD1.848 and the NAV of the same fund 3 years ago is SGD1.725, then the Performance Return is:

This means that the total returns you would have gained on your principal investment, had you been invested since 3 years ago, is 7.13%.

The Annualised Performance Returns expresses the annualised (yearly) returns on your principal investment had you been invested in the fund for that period of time. It only applies for periods of more than 1 year (i.e. there is no annualised performance return for periods of 1 week, 1 month, 3 months etc.)

What is the meaning of (Acc) or (Dis) which is sometimes seen in the names of some funds?

“Acc” and “Dis” are abbreviations of the words “Accumulation” and “Distribution”, which denote classes of the fund.

Accumulation funds do not distribute dividends. Instead, all income and interest attributable to this Class will be accumulated and reflected in the price (NAV) of the units of the Class.

Distribution funds distribute dividends either by cash payout or by reinvesting back into the fund. For transactions with Phillip, where distributions are in the form of cash, they will be re-invested to the same fund by default. The dividends will be reinvested in the form of additional units in your relevant holdings.

If you prefer to have your dividends paid out in cash, you may choose the dividend payout option in POEMS 2.0 when you subscribe for the fund online. If you do not wish to transact through POEMS 2.0 or wish to change your existing dividend options, please fill in this form.
Dividend Instruction Form U61

For more questions on dividends, please see the below FAQ section “Dividends”.

How do I make payment for my unit trust purchases?

There are 3 ways in which you can make a payment:

  1. Via bank ATM/internet banking facility:
    • Electronic Payment for Shares (EPS) – Lump Sum Payment
      (preferred option); or
    • GIRO , if you have applied for it. (Not applicable for Cash Management Accounts)
  2. Via cheque payment:
    • Send us a cheque with payee "Phillip Securities Pte Ltd (PSPL)"; or
    • Cheque deposit is available at Phillip Investor Centres from Monday to Friday, 9.00am to 6.00pm (except public holidays). For same day processing, please drop your cheques at the designated box on 6th floor @ Raffles City Tower by 3pm
  3. Via Bank Internet Banking service:
    • Make payment via the Bill Payment function
      • Participating banks: POSB/DBS, UOB, OCBC, MayBank, Standard Chartered Bank, Citibank
      • Simply enter the full 7 digits of your trading account number.
        If your account has less than 7 digits, please enter the relevant number of zeros before your account number e.g. trading account
        “12345” to be entered as “0012345”

      Note: It usually takes 2-3 working days for us to receive your payment. For Citibank bill payment, it will take 5-7 working days.

*Note:

  • EPS - Lump Sum Payment should be done by 9pm on T (Transaction) day.
  • For existing DBS/POSB GIRO applicants with Phillip Securities, deduction will be carried out on T + 1 day after 3.00 pm.
  • Online Bill Payment via internet banking should be performed on T day.
  • All cheques/cash payments must reach cashier latest by 5pm on T+2 day.
  • Investment Account (Margin/Custodian/PCMA) customers should ensure that there are sufficient funds in their accounts before submitting orders.
  • Before the use of CPF-OA money to trade, please ensure that a standing instruction with your CPF investment bank is signed and CPF Investment account Number submitted to Phillip Securities.
  • Phillip Securities Pte Ltd reserve the right to force sell any outstanding purchases. Any losses incurred shall be borne by customers

When will my unit trust orders be transacted?

The cut-off time is 3pm on standard dealing days. If your order is submitted after 3pm or submitted on a non-dealing day (e.g. fund holiday, public holiday), the order will be processed on the next dealing day. Examples of non-dealing days include weekends and public holidays of the fund’s country of origin.

Since price (NAV) displayed is for the last dealing date, what is the NAV on the date that I have transacted?

Net Asset Value is the market value of the fund’s total assets, plus income, less expenses.

Since the NAV of a fund needs to be calculated, it will be announced by the fund houses after 2 dealing days. Hence the NAV displayed is always back dated. The NAV at which you have transacted will be made known to you within 2 dealing days.

When will I receive my money after I have sold my unit trust holdings?

For cash holdings, settlement will be up to T + 7 business days.
For CPF/SRS (IA Status) holdings, settlement will be T + 5 business days.

Will I receive dividends?

Some funds distribute dividends while some funds do not. Funds that distribute dividends either do so in cash value or units. Dividends issued in cash value can be paid out and credited to your account.* If you do not opt for a payout option, the dividends will be re-invested by default.

Dividends that are issued in units will not be received in cash. In this situation, if you require a cash payout, you may sell some or all of these units depending on your requirements.

The declaration of distribution is at the sole discretion of the Fund Manager and is not guaranteed.

* If you opt for the dividend payout option, dividends will be credited according to the fund source of the investment. For example, paid out dividends for investments under the CPFIS will be credited back to your CPF account.

When will I receive dividends?

If a fund declares dividends, there will be a cut-off date (i.e. the “Ex-Date”) where all units purchased on or before the date will be entitled to the dividends. The dividends will then be processed by the fund house on or after the “Payment Date” which is usually after the Ex-Date.

If you have opted for the dividend payout option for distribution class cash funds, dividends will be credited into your Phillip account about 10 working days from the Payment Date announced by the fund house.

If your dividends are to be reinvested, the dividend amount will be used to purchase more units of the existing fund, at the NAV of the fund on the Ex-Date.

What is a Regular Savings Plan (RSP)?

A Regular Savings Plan is a service that we provide where a fixed amount of funds (decided by you) will be invested into unit trusts every month or quarter. There is no lock-in period for your investment and the plan will end whenever you terminate it. The funds will be GIRO-ed from your bank account or CPF account, depending on the fund source of your investment.

At Phillip, RSP is available for more than 500 funds and across Cash, SRS, and CPF investments. Find out more about RSP .

Is an initial investment required before I can subscribe to RSP?

Some funds require an initial investment before you can subscribe to RSP. Whether a fund requires initial investment will be stated in the fund information.

Am I able to change my RSP subscription amount?

You will be able to change your RSP subscription amount as long as the minimum holding amount is maintained. To check the relevant amount, go to the fund information of the subscribed fund and look under Investment Amount.

You can change it in your POEMS account via Acct Mgmt > Regular Savings Plan (RSP) > Change Plan (under Unit Trust RSP). A notice is required 30 business days in advance before the change is to take effect. No charges will be imposed for changes made.

How do I set up a GIRO linkage for my RSP?

Please fill in the GIRO form and return it to us. It will take 4-5 weeks for GIRO linkage to be successful. In some cases where the bank rejects the application for e.g. if signature does not match, the linkage might take longer to be successful.

GIRO Form

When will my RSP be transacted?

The transaction date for RSP is the 7th of the month. If the 7 th of the month is a non-business day, the RSP will be transacted on the next business day. The NAV will be that of the transaction date.

GIRO deductions from your bank will be done on the 6th of the month.

What will happen if I have insufficient money in my bank account/CPF for GIRO deductions for RSP?

For RSP cash, there will be no penalty. However, RSP may be terminated after 3 consecutive unsuccessful deductions.

For RSP CPF, a penalty charge may be imposed by the CPF bank. RSP CPF may be terminated after 3 consecutive unsuccessful deductions.

What will happen to my unit holdings after my RSP GIRO payments has been stopped?

If your holdings are at or above the minimum holding amount or minimum units that is required by the Fund Manager, your holdings will remain unchanged. You may retain them as a long-term investment.

If your holdings are below the minimum holding amount or minimum units that is required by the Fund Manager, you will be requested to redeem your holdings. If you wish to retain your holdings in this case, you may purchase more units to fulfil the minimum holding amount or minimum units and continue your investment.

What will happen if my RSP fund is temporarily suspended or closed to subscriptions?

Subsequent RSP will be stopped until the fund is open for subscription. Your existing holdings will remain unchanged unless fund is to be closed.

How do I start RSP again?

If you have had an UT RSP with us in the past, simply start a new RSP plan. Setting up of GIRO linkage again is not required unless your bank information has changed.

If your bank information has changed, please fill in the GIRO Form with your new details.

What is CPF Investment Scheme (CPFIS)?

The CPF Investment Scheme (CPFIS) allows CPF members to invest part of their CPF-OA, SA and/or SRS savings into Unit Trusts.

To invest with CPF-OA or SRS, simply open a CPF/SRS Investment Account with one of the 3 CPF agent banks (DBS/POSB, UOB, or OCBC).

Note: If you want to invest only the monies in your CPF Special Account (CPF-SA), you are not required to open a CPF Investment Account.

What is Supplementary Retirement Scheme (SRS)?

The Supplementary Retirement Scheme otherwise known as the SRS is a voluntary scheme that encourages savings on top of the mandatory CPF amount. The SRS contributions are tax exempted and upon withdrawal after retirement, only 50% of the withdrawn amount is taxable.

SRS members may also invest their SRS savings into investments such as Unit Trusts.

What is a CPF Investment Administrator (CPFIA)?

If you use your CPF account to purchase funds from different fund houses (i.e. non-CPF Investment Administrator), you will incur CPF agent bank charges for each transaction. A CPF Investment Administrator is able to collate your purchases of funds from different fund houses and submit them to CPF collectively. In this case, you will only need to pay for one transaction each time, no matter how many fund houses you purchase from.

Phillip Securities Pte Ltd is a CPF Investment Administrator and we are able to collate your CPF instructions.

Can a CPF investment be converted into a Cash investment?

Below retirement age, a CPF investment cannot be converted into a cash investment. It can only be converted when an investor reaches retirement age and has met the CPF minimum required sum set aside.

What is CPFIS Self-Awareness Questionnaire (SAQ)?

Under enhancements announced by the government in March 2018, the CPF Board has introduced a Self-Awareness Questionnaire (SAQ) as part of the process in opening CPFIS accounts from 1st October 2018. The SAQ is to help CPF members decide whether CPFIS is suitable for them by providing them with feedback on their financial knowledge.

Members can participate in the CPFIS after taking the SAQ, regardless of the results. CPF members who already have a CPFIS account are not required to, but are still strongly encouraged to take the SAQ.

For more details, please refer to the notice .

How can I trade Unit Trust Funds online?

You may trade Unit Trusts online anytime, anywhere through POEMS 2.0 and/or POEMS Mobile 2.0.

Please view the tutorials here.