Why is Historic Pricing method used for the Cash Fund?
By using the Historical Pricing method, there will be NO lag time when you place a unit trust buy order using Cash Fund or switch your Cash Fund into another unit trust. This would means that the unit trust you wish to buy or switch-buy will be transacted on the same day if the buy or switch order is placed before 3pm on any business day. Return to Top Q: From the prospectus, “Investors should note that realisation of Units of the Fund may be limited by the total number of Units to be realised on any Dealing Day and may not exceed 10% of the total number of Units for the Fund realised on any Dealing Day, such limitation to be applied pro rata to all Holders of the Fund.” Can you explain a bit on this? A: This is a standard clause in most of the funds. The clause is put in to ensure the liquidity of the fund is not adversely affected by a sudden huge redemption volume. But should it happen, we will manually pro-rate the investors’ redemption orders.
