China Related Unit Trusts – Realising capital gains

The Shanghai Composite Index rose 38.5% since the start of this year to 4,480.46 points (4 May 2015). This was a spectacular run. I bought into two funds with exposure to China:

  1. First State Bridge Fund (Balanced fund, Asia Pacific excl Japan)
  2. First State Regional China (Equity fund, Greater China)

These funds too had run up. I then redeemed parts of the funds to just take out capital gains and leaving behind the initial principal sums invested.

Details of transactions are highlighted below.

  1. First State Bridge Fund

Bought on 23 April 2008 at Net Asset Value $1.3859

Date Trx Units NAV ($) Amount ($)
22-Apr-13 Sell 3,400 1.4808 5,035
3-Jun-14 Sell 2,000 1.5011 3,002
3-Sep-14 Sell 2,000 1.5559 3,112
9-Feb-15 Sell 1,500 1.6345 2,452
27-Apr-15 Sell 1,000 1.6591 1,659
Capital Gains realised 15,260

Price gain = 19.7% over 7 years

  1. First State Regional China Fund

Bought between 18 July 2012 and 7 March 2013
Average cost of $2.0567

Date Trx Units NAV ($) Amount ($)
3-Jun-14 Sell 2,000 2.5110 5,022
16-Sep-14 Sell 1,000 2.6197 2,620
27-Apr-15 Sell 1,000 3.1252 3,125
Capital Gains realised 10,767

Price gain = 51.9% over 2-3 years

The First State Regional China Fund did very well. Price gains were 51.9% over 2-3 years. Price gains for First State Bridge Fund were 19.7% over 7 years. First State Bridge Fund has bonds in it besides equity and therefore less spectacular than First State Regional China Fund.

The capital gains made of about $26,000 came in handy to sponsor some of my overseas trips during the years.

Copyright © 2015, limkimtong for Living Investment

The material presented is intended to be general and written in layman’s language as much as it is possible. The author shall not be liable for any direct or consequential loss arising from any use of material written. Please seek professional advice from your financial advisor or financial institutions on material written covering financial matters.

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