Hi, I got a message from Bangkok Bank and don't understand above abbreviations. Can someone explain in plain english?

Dear Bualuang iBanking member

Our new feature in Bualuang iBanking means you can now invest in RMF/LTF with your Bangkok Bank credit card*. Simply register your credit card number with Bualuang iBanking before making a payment, then you won’t miss any investment opportunity.

Remark:

* Excludes AMEX, Corporate Cards, Purchasing Cards, China Union Pay credit cards

* Investments in RMF/LTF can only be made on dates as specified by BBLAM

Sincerely,

Bualuang iBanking

Retirement Mutual Fund and Long Term Equity Fund

Bangkok Bank

Retirement Mutual Fund and Long Term Equity Fund

Bangkok Bank

Thanks Tywais.

I know nothing about funds. What is the advantage to a saving - or fixed account ?

Mutual funds have advantages compared to direct investing in individual securities. These include:

• Increased diversification
• Daily liquidity
• Professional investment management
• Ability to participate in investments that may be available only to larger investors
• Service and convenience
• Government oversight
• Ease of comparison

Mutual funds have disadvantages as well, which include:

• Fees
• Less control over timing of recognition of gains
• Less predictable income
• No opportunity to customize

There are some great tax advantages with the LTF if you are working here in Thailand. The gist is that you can gamble, up to a certain extent, on the government's money if you put 15% of your income into an LTF because if you didn't, they would have taken said money away from you anyway in taxes.

I personally scoff at the RMF's, as do most of the more knowledgeable investors around here. You just don't want your money tied up for that long. But the LTF's are a great "bet" however.

Thanks everone.

This forum has knowledgeable people around here