reksadana pendapatan tetap
03 Jul 2023

Looking for a Relatively Stable Investment? Try This Mutual

Everyone wants an investment that has low risk and provides consistent returns. However, in reality, there is no investment instrument that is completely stable. If you want to achieve relatively stable returns, it is worth considering investing in a Fixed Income Mutual Fund (RDPT).

Compared to Balanced Funds and Equity Funds, this mutual fund is relatively stable due to its attractive returns and even higher than the average interest rate of deposit.

Want to know more about RDPT? Read on for a detailed explanation.

What is a Fixed Income Mutual Fund?

You might still be wondering about Mutual Funds. Essentially, a Mutual Fund is an investment instrument managed directly by an Investment Manager. In other words, it is a system that pools funds from investors to be managed in order to generate additional value.

So, what does RDPT mean? Fixed Income Mutual Fund or RDPT is one of the Mutual Fund products that manages investor funds through fixed instruments such as Bonds and Money Market instruments. The majority of investor funds are invested in Bonds, while the remainder is allocated to the Money Market.

Although it is called "Fixed Income," this Mutual Fund can still experience fluctuations in value. However, it is considered relatively stable because its fluctuation rate is limited. When compared to Equity Funds, the investment value of RDPT is much more stable.

Therefore, many investors are interested in investing their funds in RDPT. In reality, RDPT is more suitable for investors with conservative and moderate risk profiles. These two types of investors typically seek stable investment values as they are not ready to face high risks.

RDPT can also be a suitable choice for those who want to make short-term investments (less than 1 year). If you want to maximize your profits, it is recommended to consider medium-term investments, which typically range from 3 to 5 years.

Benefits of Investing in a Fixed Income Mutual Fund

Before investing in RDPT, it's important to understand its advantages. In addition to offering relatively stable returns, RDPT has other attractive benefits. Here's a detailed explanation:

●       Quick Fund Withdrawal Process

Similar to Money Market Funds, RDPT can be a suitable option for emergency funds. This investment offers a quick fund withdrawal process. Typically, the process takes around 4 to 5 business days from the date of Unit Redemption. With this advantage, you don't have to wait long to access your investment funds. Compared to Time Deposits, RDPT withdrawals are faster as they can be done at any time without waiting for maturity dates.

●       High Flexibility

RDPT investments can be bought or sold at any time according to your preference. You can choose to sell a portion or all of your units with ease. This means you can liquidate your investment as needed for emergencies.

●       Attractive Returns

You won't be disappointed when choosing RDPT as an investment option because this type of Mutual Fund offers relatively stable returns. Not only that, the returns offered are quite attractive and even higher than the average interest rates of Time Deposits. Generally, RDPT products offer returns ranging from 6% to 10% per year. This value is higher than the returns offered by Money Market Funds.

●       Guaranteed Security and Overseen by the OJK

Mutual Funds are legal and safe investment instruments. All fund management activities conducted by the Investment Manager are guaranteed for their security. The government, through the Financial Services Authority (OJK), has implemented policies and supervision of these investment activities.

●       Managed Directly by Investment Managers

When investing in Mutual Funds, you don't have to worry about developing strategies or monitoring market conditions regularly. The Investment Manager will make every effort to improve the performance of the Mutual Fund. As an investor, you simply need to wait for the results and choose the right timing to sell your units. To maximize your profits, choose a Mutual Fund with a good track record. You can assess its performance progress through the portfolio provided by the Investment Manager.

●       Transparent System

The management of investor funds is conducted transparently, allowing you to monitor where the funds are invested. The Investment Manager will provide regular reports on this information to every investor.

After reading about the advantages of Fixed Income Mutual Funds, are you starting to become interested in using them as an investment instrument? Before starting your investment in RDPT, it's important to understand the risks involved.

Investment Risks in RDPT to Be Aware of

Fortunately, RDPT is considered a low-risk investment. You don't need to worry excessively, but it's important to be aware of the risks. Want to know what the risks are? Here's an explanation:

●       Delay in Investment Withdrawal

Delay in the withdrawal of investment funds from RDPT usually occurs when the Investment Manager faces difficulties in preparing cash for investors who are making redemptions. This can be due to an increased number of investors requesting withdrawals at the same time. However, this risk is not severe as the Investment Manager will eventually make the payment, albeit with some additional time.

●       Losses are Not Governtment Guaranteed

Unlike banking products, RDPT and other types of Mutual Funds are capital market products. Therefore, any losses incurred while investing in Mutual Funds are not guaranteed by the government. That's why it's important to be cautious when selecting an Investment Manager. Research their track record beforehand to avoid this risk.

●       Decrease in Net Asset Value (NAV)

Although this type of Mutual Fund is referred to as "Fixed Income," it does not mean that the investment value remains completely stable at all times. While it tends to be stable, there can be a decrease in the Net Asset Value (NAV). This risk can occur due to several reasons, including:

  • Decreased performance of the Investment Manager's company
  • Uncertain economic and political changes that affect investment value
  • Inflation or fluctuations in benchmark interest rates due to economic downturns
  • Catastrophic natural disasters that affect the country's economy

Manajer Investment Manager Errors

●       Investment Managers Errors

Investment Managers can make mistakes in managing investor funds. This risk is more common in newly established Investment Manager companies that may lack experience. Incompetent Investment Managers can cause significant losses for investors. They may also default on their obligations as agreed upon in the contract, leading to a reduction in investment value over time.

Despite having some risks, RDPT is still a viable choice because its risk level is relatively low. To avoid losses, make sure to select a professional Investment Manager with experience in the investment industry.

DBS Treasures: The Right Choice for Mutual Fund Investment

Now you can easily and safely invest with DBS Treasures. Not only does it provide investment products, but DBS Treasures also helps you achieve solid financial goals for the future.

Here are several advantages you will gain by joining DBS Treasures:

●       Professionally Managed Investment Products

The available mutual fund products are managed by professional Investment Managers who have experience in optimizing mutual fund performance to generate maximum returns.

●       Investment Guidance and Information

If you lack time to research market conditions, there's no need to worry because DBS Treasures provides up-to-date information on investment opportunities and market analysis from experienced financial experts. 

●       Easy Diversification

There are various investment product options available, allowing you to diversify your portfolio. By allocating funds to different investment products, you can minimize risks.

●       Easy, Convenient, and Efficient

Through the digibank by DBS Application, you can easily and efficiently perform various investment transactions. The application enables you to create a Single Investor Identification Number, buy, sell mutual funds, and even switch investments..

Joining DBS Treasures will simplify your investment activities. You'll receive the latest market analysis and investment opportunities from a team of financial experts that have been tailored to your risk profile and portfolio. This curated information is customized using advanced technology such as Artificial Intelligence/Machine Learning (AI-ML).

You will also be provided with tailored solutions for investment (Grow) and insurance (Protect). This will assist you in making the right investment decisions at the right time, according to your preferences.

So, what are you waiting for? Start investing in Fixed Income Mutual Funds with DBS Treasures. For more information, please click here.