SARA 1 Malaysia

Government has come out with this AMANAH SAHAM scheme where it will help low income group to increase their income...
NAJIB said that under SARA 1 Malaysia,5k investment will generate monthly income of rm138 and loan will be provided if we have no capital for this investment.
even after loan repayment,it will still generate rm50 per month.

138x12= 1,656
1656 out of 5000 equal to 33.12% p.a!!

but there is no guarantee of 33.12%...
we can see the T&C at the bottom of those ads...
nevertheless, it will still be a good investment for those low income group...
historically show that Amanah Saham Malaysia and Amanah Saham Wawasan 2020 generate more than 6% p.a.

so i do believe this SARA 1 Malaysia will not be worse than the previous amanah saham...
some more, government supporting this SARA 1 Malaysia with 100 million...



For more info:
click here

Insurance

No matter who you are and where you are...
This is one of the most important thing in our life...
There is always a risk that ACCIDENT or some extraordinary incident that might cause HUGE damage to us...
That's why we have to transfer the risk to other party...
We pay a premium to a company for a coverage due to those incident and they will pay $$ to us to cover the damage or loss...

But what should we insure???
how much should we insure???
how long should we insure???

Not many of us know about these...
many are blind folded by their agent who taking care their own pocket more than the client's!!!

Besides that, Not many agents even go through the whole insurance agreement and explain it to his/her clients...

life insurance is a must if you have dependent...
but it doesn't necessary to be whole life...
term and investment link policy might provide more effective protection...
its depend on how long do you need to "cover" your dependents who is ur wife or ur children...
For me,life insurance will be a NO if me and my wife are already 60-70, financial dependent and all my kids are adult!!!
Dont over INSURED!!!

For me and my wife,
Personal accident,illnesses and medical insurance are always a MUST
and it is also a MUST to everyone who may get hurt and need medical treatment!!!
so get what you need and dont over insured...

Saving plan is good plan for education fund purpose...
but not really a wise choice for those who are already 50 and above, financial stable and all kids are adult...
BUT many AGENTS tend to push saving plan to almost everyone...
where most of the time,
its is not a NEED for their clients....

TAKE CARE YOUR CLIENTS FIRST!!!
NOT YOUR POCKET!!!

Lastly,
sad to say that independent financial adviser is not workable in Malaysia yet...
most of the "financial planner" in Malaysia come with the conflict of interest with their clients...

i think agents have to know the ethic of their conduct...
wish there will be more and more people know how to plan and manage their financial...

Current Stock Market

look around the stock markets...
volatility and uncertainty increased these few weeks...
US and EU stock market having huge volatility and hence leads to very uncertain move in ASIA's markets.

Economic data shows some -ve signal...
manufacturing data heading south...
most of the PMI of the G7 is around 50 and many below 50 which mean contraction...

Cash holding of my portfolio has been increased to around 60% which is a very comfortable level of mine...
equity holdings consist of CCK,HIRO,WELLCAL,CSCENIC,UCHITEC and GTRONIC.

waiting for the mega sales in the near future...
i predict that KLCI will be below or around 1400 when i reach Malaysia in the mid OCT..

Financial Education~start from the base..

how is our INFLATION now a days?

a friend of mine asked a question about official inflation and unofficial kl inflation...
somehow, those number released by government might not be that accurate...
official inflation of malaysia is around 2-4% annually...
thats the official inflation..

but is it the real rate??
how much our roti canai cost today??
or lets us see the main cost of every prices in the town...

RON97 has increased from rm2.30 last december to rm 2.90 today!!
how about sugar??has been increased 2 times in a short period..

that's why some analyst said that our unofficial inflation tend to be around 8-10% annually...

we have to really make sure our annual income grow greater than the 10%...
btw,medical cost tend to increase 10-15% annually...
how "safe" is your money in the BANK?

it is a must for everyone to manage their finance asap and as good as possible...
dont let inflation eat up your wealth...

Intelligent Investor by Graham

this is a great book where every investor must read at least 3 times!!!
this book teach us how to be a "safe" investor...
thats mean you have earn a reasonable return with the lowest cost and lowest risk...

some "aggressive" investor always think that 15% p.a is not enough!!!
bare in mind...any return above reasonable range will come with extreme risk...
you must know how to manage these risks before you try to attempt above REASONABLE return!!

market sentiment and reaction change time to time...
some aggressive method which had helped to stay more than 15% last time might not work this time and in the future...
**sometimes blue chip tend to outperform small cap but not ALWAYS...
**sometimes DIVIDEND stock tend to outperform GROW stock with low dividend...
**sometimes low PE tend to outperform high PE...

so you must know the when and how to use all the investing method SAFELY!!!
get yourself good safety margin...
SAFETY margin doesn't mean all about the price you pay for the stock...

GRAHAM says...
we have to look after the quality of the earning, financial position and risk...
then for the pricing part...
low PE and Price to book value...to make sure we dont overpaid the stock!!
***use average number to get a better view on all the variables...average to help us to exclude the seasonal affect and give better picture how the company perform...

feel glad that my investment policy adopt most of the SAFETY precaution step...
its help to keep myself away from those DANGEROUS bomb...

at the end...
find yourself the best suit and safest way of investing for yourself...
happy investing...

How to get wiser in ur Investment??

1)Learnt from you losses~~
No pain no gain...sometime its really works!!
learn a lesson every time u loss you $$ in investment...

2)Stay away from the "Market"!!
equity is kinda volatile...
it will go up and down...
investors have to stay calm and dont get into the sentiment!!!

3)Do follow TIPs!!!
there is no free lunch in the world...
do your homework...
train you trading and analysis skill...

for those who might say...
i dont like investment!!!
saving will do~~~

you going to "loss" you $$ while ur sleeping!!
INFLATION going to eat all your $$ in BANKs...

you have no reason to panic in equity investment...
more than 50% of KLCI's company gain profit every year....
while 60% out of it pay dividend which is higher than FD....

you can pick up the company easily...
DO you homework and start your investment ASAP!!
kambateh...

Correction of KLCI

its has been a week of correction where our KLCI come to 1526
time for some trader to get into the market again...
there is always some minor and major correction during the bull run...
we are having 2 years bull run since march 2009 until now...
we should have some major correction now...

still sticking with my own investment...
not gonna do some big trade...
dont buy in just to trade!!!
invest ur money!!

received 2 DIV payment this month...
waiting to see whether GTRONIC will pay out div in feb...
how can get some extra angpow ba...wakkakaka
total DIV received so far~~around RM180
gogogo....

lets build a nest egg which can support our living...
i wan to be financial independent before 35...
million net worth before 45 ah..
then i can enjoy my life with my family...especially my wife...

How PAY a SAGA FL easily?

1.3 Standard M/T RM37,998
1.3 Standard A/T RM40,998
1.3 Executive M/T RM40,698
1.3 Executive A/T RM43,298

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Let us take the Manual for executive which cost us RM40k...
pay down payment of RM5k...
take up car loan of RM35k with 2.75% for 7 years...
each month we have to pay around RM500++
this will cost us RM6k per year!!

i always plan to let my $$ work harder for me...
so i will build a investment portfolio to pay for the monthly prepayment for my car..
same as what i planned last time for the PTPTN prepayment...

we can easily find a STOCK which pay consistent div of 8%...
example: 4 top REITs listed in bursa...one of my holding~WELLCALL pay more than 8%..
Annual dividend of RM6k by a Dividend Yield of 8% need a total of RM75k in the portfolio...

with my current portfolio...
20k as the start up of this plan...
i just have to invest RM500 into my portfolio for the rest of 5 years...
and get an average return of 15% p.a...
i will be able to get RM80k at the end of the 5th year...

for better comparison...
i will buy the SAGA FL by 2012 after i graduated and start working...
my portfolio grew 1 year dy...so left 4 years...
i pay the SAGA FL by my own salary at 1st and let the portfolio grow...
after 4 years...i can let my RM80k portfolio to pay for the car...
thats mean,i PAY the whole new SAGA FL in 4 years with monthly repayment of RM500++ ONLY!!!
does this sound good??

at that time,
i can choose to let my portfolio grow at the 15% and i pay myself....OR
i let my investment grow slower at around 7% after i took the 8% DIV out for the repayment...

i can even let the portfolio pay for my mortgage!!!
i let it grow until the annual dividend reach rm15k to rm20k...

BTW,
monthly additional capital will increase from year to year after i get promotion and other side income...
scenario 1:
same plan as above but i double up my monthly additional capital to rm1k~rm12k p.a
and let it grow ofr 10 years...i will have RM324k!!
at that time 8% div of my portfolio will give a monthly outflow of RM2.16k...
i can purchase a house worth RM360k without down-payment...
with mortgage charge 6% interest and pay for 30 years!!!
thats mean i pay the HOUSE for only 10 years!!!

scenario 2:
my wife and I earn an average of RM8k monthly for the 10 years or even 20 years...
we bought the car(repayment RM500) and house (repayment RM2.16k)
we used 33.25% of our household income...(still consider healthy in term of our finance position)
then we allocate 25% into the investment portfolio...which is 2k...
RM3.36k leftover for living expenses and other expenses should be enough to live above the water ba....
1k for all the insurances...2.36k for F&B + utilities...

then after 10 years our portfolio will have a value of RM568k!!!
8% dividend of 568k is RM45k p.a....
or RM3.8k monthly...
15 years??
value of RM 733k
20 years??
value of RM 1.5mil...

i'm 24 this year...i can be a millionaire when i'm 44 years old...
"EVERYONE can be a millionaire if you know how to plan and manage your finance"

Stock Market Lesson~

Learnt few more lesson this few months...
the "bull" side...

need to enhance my investment strategy...

1) holding period need to be long enough...
wait for the undervalue counter to be valued at the fair price...
missed Dialog,Hiro and media...

2) Buy low at its low PE level...
its depend on which type of company you are investing on...
some has high PE range while others might be low...

3) Buy fundamental and hold until its fading off...
stay with the fundamental!!


never goes wrong too far with these method...
lastly...
i'm still more toward the dividend company...
exposure myself to little volatility...
GTRONIC~tech stock...depending on the economic alot...

Different view of Investment...

meet up with an uncle today...
main purpose of the meet up was to discuss more detail T&C for his son home tuition...
end up we have 75% talking about investment and career sharing...

Mr.tan dont use technical cuz its a decision made by the computer...
but he dont 100% in fundamental too...
he will trade for the micro trend of the counter...
Momentum trading style...

he thought me the stop win and stop loss...
how one get greed...
and yet...
he ask me try to get into antique..
try to make it a hobby and invest on it...
he currently invest in GEMS stone...
more confirm appreciation...
less monitor needed...
good return...
gems can be found around the world from the price of ten bucks to thousands...

in my mind...
GEMS do not have the clear market yet...
not liquid...
hard to justify the quality...

equity still my best choice where its a liquid market...
low entry cost...1 lot only equal with 100 share...which might cost you less that Rm100!!
transparency is there...at least we can get more info about those company...
equity provide more sustainable return...
regardless on the trend of the market...its still grow...
as long as the business grow!!

but he said something very important!!
investment in equity need us to have good judgement and the gut!!!

hmmm...
learn something from him today...
get some useful info...

OSK investment challenge

downloaded the cert dy...
conclusion,
good way to expose to the practical stock investment...
but for me,its a good way to test myself in the short term trading...
day trading/short term trader is not my way...
its need huge capital, more skill, more energy and time...
kinda satisfy with the result~distinction cert...

this year portfolio target >15%!!!

Every men should know this!!

As the head of the family,Men should know how to manage their finance better!
how to manage their money...
money is not everything but without money...
almost everything is nothing...

its almost the same as the risk...
we cant avoid it...
but we can manage it...

1st choice to put ur money??
simple 1 time saving+reinvestment

5% simple interest only pay u a 1.3k plus for ur 20 years deposit of 500!
while 10% simple interest will pay u 3.3k plus...
how many instrument u know that can provide u more than 5% with reinvestment??

**dont event think to put ur money into the FD!!its too LOW!
its can only provide u simple interest!!
or you're smarter abit u can do the compound interest urself...
reinvest all the interest gain...

2nd choice...
consistent saving + reinvestment

we can get a 33k
this is how the annuity and compound interest work together!!!


here is my plan...
i'm 23 this year..still have 33 years to go...
main target for myself...
additional 6k each year and...
an average of 10% return for 33 years...
so i will have a retirement nest egg of 1.7mil...

after that...
10% return of 1.7 mil will be 170k which is 14.17k each months for my living...
an inflation of 4% will make the 14.17k in 33 years time worth 4k of today money!!
4k each month for debt free and no financial burden person,
it can be consider "enough" ba...
i can spend rm133 each day...
how many starbuck coffee i can drink each day??around 10 la...
how many big mac set large i can eat each day??around 11 set la...

is it ok??
i'm kinda ok for that...
i believe i will be able to save more once i get into working society!!
save more than 500 each month...

lastly...
investment defined as..
"a current commitment for future usage"

Sukuk 1Malaysia 2010

another bond issued by our government...
these are the bonds available in the market for us to purchase personally...
this is a good instrument to balance up our investment portfolio...
5% return is definitely higher than the FD rate in this coming 3 years!!!
i'm thinking to liquidate 1 of my FD placement for this bond...
what i wish to have is the continuously bond issuance...
so i can keep my matured 1st sukuk (coming in 2011) rolling with another 3 years sukuk in the future...

some might ask...
"any risk involve??"

answer for normal people will be..
"NO...this bond is backed by the government!!unless our country bankrupt!!"
its quite impossible to happen...

but for finance people...
"yes..there still some risk~~inflation risk!!"
but so far malaysia inflation rate in the range of 2-4...
so its still outperform the historical inflation rate...

good news is...
this time...
not need to queue long long dy....
wakakakka

PTPTN

我们很多都会动用到这个家伙！
有人说最好还是不要借它，
不要在还没毕业就背上债务。
但是很多是为了减轻父母的负担而借了这个PTPTN。
去年PTPTN把利息减低到1％就让这PTPTN成为一个很好的工具了。

需要借到它的朋友们，
你们可以敢敢的去借吧。
最重要是不要浪费在不必要的地方！

借了PTPTN的朋友，
你们赚反了！
你们根本就不会亏的！
你们的Cost of Borrowing就那么的1％，
PTPTN要你们的就是那1％！
Inflation基本上是在４％左右。
PTPTN还是亏了3％。
而我们可以享受＂大＂的１０k，
然后还PTPTN＂小＂的１０k加上１％。
好划算啊！

今天在走路回来的路上想到了一个还不错的repayment计划！
就拿我现在的AdvanceDiploma来做个例子！
２年里我们大概会拿了PTPTN的１０k。

第一要点，
不要太快一次还完整个PTPTN。
我们可以好好的利用今时的＂大＂１０K
我们越慢还清我们越赚哦！
inflation会把日后的１０k变小
也代表着我们以后还给PTPTN的１０k也变小了。

第二点，
1％的利息太低了，
不会造成一个负担！

Repayment计划：

还没踏入社会就可以开始，
AdvanceDiploma大概会用我们的7-8K，
那么我们就有extra的2K。
*年轻人可以在空闲时做些PartTime赚点生活费，
PTPTN就只拿来还学费吧！

每年把这１K投资在REITs，
只要求每年的８％股息！
*这个投资是拿来还PTPTN！
不需要看它的价钱，只看它是否可以提供那８％的Cashflow！
Malaysia的REITs的DividendYield是在8-13％，
所以那8％是很容易找的！
REITs的股价是比较stable比起其它的股！
REITs是以Dividend为主！（高过FD）
REITs的Tax比其它股更低（其它股是有25％tax的）


２年里你就有２k的REITs基金！
把PTPTN的repayment拉到１０年吧！（越长越好哦）
那么平均每年要还1K左右吧！
一个月大概RM90吧！

出来做工后每个月就开始还这RM90，
然后每个月EXTRA拿200放进REITs基金。
所有的Divedend请放回进REITs基金！
让复利，时间，钱为你工作！


５年后，
你会有大概18K的REITs基金，
８％的Dividend就有1。48K＞＞每个月是RM123
你就可以用这REITs基金每年的dividend来还这PTPTN了。
接下来的５年就可以把这PTPTN的债务放在枕头下了。

然而你还会有了一个REITs基金每年给你RM1.48K哦，
之后你还是可以把这REITs基金扩大到它可以养你哦！
再让你看看那笔数吧！
如果你以后想要的生活每个月需要RM3K（不包债务啊）。
RM３k的生活应该就很不错了吧！
天天可以喝Starbuck了。
你就要需要RM360K的REITs基金。
然后再把这REITs基金的DividendYield要求定在10％，
以之前计划一样，每个月RM２００ONLY！！
你在２２岁踏入社会后的28年后的５０岁就可以摇脚了！
这还没算你的房地产，EPF，其它股票投资，保险与等等！！
财务自由就那么的简单哦！
如果你28年的平均月收入是RM5K，
那么这RM200就只是那么的一点点啊！

如果你把RM200换成你的月收入的10％，
那么你50岁时，
REITs基金每个月是会给你RM7，381！！

1Malaysia

又有机会买进一些＂安全＂的投资了。
不爱冒险的朋友，
这是你们的机会哦。

但是这AS１M与之前的ASM和ASW有一点不一样！
ASM和ASW没有任何的费用或管理费。
AS１M里最高可以charge我们１％（NAV）的管理费哦。
所以我们更需考虑它的派息能力！
但相信都是会高过FD。

有兴趣的朋友可以在八月五号买哦。
３０％会被开放先！

还瞒想有买进一些AS１M来稳这我的投资基金。
但是现金有限。。。
惟有等待我的礼物吧。
这礼物可确定我可拥有的AS１M。

很有信心今年可以达到目标！

Susuk Simpanan Rakyat 2009

它终于来了。。。
昨天才收到信说有＄＄收。。。
我才知道这笔＄＄是从那里来的！

这SSR是政府的债券。
５％ quaterly coupon。
３年的期限。
第一次收到政府的＄＄，感觉还不错啊。

虽然很少。。
但是我们都是从少弄到多的吗。。。
相信以后会收到更多的！！

加油吧！

ASM

相信大家都懂这是什么东东吧。
还不是很了解的，可以到这：
http://10persons.blogspot.com/search/label/%E6%8A%95%E8%B5%84%E7%90%86%E8%B4%A2

昨天我们好几位Classmate一起去杀这1６亿的ASM！
幸运的我们都成功杀进！
我知道的有７为同学都有了ASM哦。
感觉还漫不错吗。

放在FD的不动产是跟这时间而贬值的！！
这让那FD的号码是有增加但它的价却下降了！！
如果放在普通的saving更＂jia lat＂！！
３－４％的通货膨胀已经吃了我们的＄＄！

然而ASM是个很好拿来放我们的不动产。
１。ASM的价钱永远都是RM１
＊我们的风险大大的减少了

２。派息历史都在6％以上
＊不管我们如何算都比FD好很多吧！！

放在这里的＄＄都会是我拿来稳着我的投资基金。
我的TOTAL portfolio management的开始。
它也是我的退休基金里的防守护队。

希望这可以让我安全得达到我的目标！

Remaining 1.6 Billion ASM Units Offered To All Malaysians From July 21

KUALA LUMPUR, July 15 (Bernama) -- Permodalan Nasional Bhd (PNB) will be offering the remaining 1.6 billion Amanah Saham Malaysia (ASM) units, including those initially set aside for Bumiputeras, for subscription by all Malaysians from July 21.

PNB president and group chief executive Tan Sri Hamad Kama Piah Che Othman said a maximum investment limit of 20,000 units would be imposed on each account holder for seven days until July 27.

"Thereafter, investors can subscribe for the ASM units without any maximum investment limit depending on the amount of units left. Sales for the additional ASM units are based on a first-come, first-served basis," he told reporters here today.

The 1.6 billion units are part of the 3.33 billion additional ASM units announced by Prime Minister Datuk Seri Najib Tun Razak when launching the 2009 Malaysian Unit Trust Week in Johor Baharu on April 20.

Fuyo...2molo will go get more units with my classmates too..
hope i can get it...

投资计划的调整

有开始存钱给投资用途了。。。
经过２００８的风暴让我真的要很认真的对待投资！
开始了解了故市里的一些东东了！
这让我更成熟了！
翻了几本书了解关于组合管理～portfolio management
外头的fund manager都是靠这组合管理来成功的！
好的组合管理是可以减低很多风险。
我们需要配合股票，基金，债倦和、现金！

除此之外我也开始计划我自己的退休基金。
好让钱与复利为我的退休基金卖命。
这退休基金会纳入股息超过８％以上的投资
我的目标是这退休基金每年有１０％的回报
可以提供每个月RM3，000的收入在我50岁时！
所以我要在我50岁前完成rm360，000的退休基金！
再以１０％的股息就达成了！
这计划需要我每年投入rm2，500就OK了。

另外我会再计划自己的财富基金。
这是会纳入会提供我足够的CAPITAL GAIN的股！
里头的组合就还没计划好。
多是会一些龙头股，成长股，股息股和一些小股。

从最大的scope，
我的总组合会是有CAPITAL GAIN，DIVIDEND GAIN
和一些基金（ASM／ASW／UNIT TRUST）
加其它的instrument（GOLD／FOREX／FUTURE）
但是那是需要更详细的计划！

看来我还有很漫长的投资之路哦！！
为财务自由奋斗！！
我们一起加油吧！！