Jessicca8 smart ways to blow your bonus: Invest
December 5th 2006 04:00
Extracted and compiled from CLEO magazine 2006
If you are already debt-free (good for you!), then maybe now is a good time for you to think about investing any excess cash you have (except those savings!)
Women with a few thousand dollars to spare have several options when it comes to investing their money, but the most popular – and largely, most convenient – is a well-managed mutual fund. According to Standard & Poor’s Fund Services, retail mutual funds in Malaysia gained 3.58% in the third quarter of 2006. This might be happening lots in any country at this moment.
Generally, you can open an account with a minimum if what the bank needs to start a mutual fund, but in order to realise the complete benefit of mutual funds, you should also opt to make repeated regular investments every month by making a deduction from your current account until you reach your target principal investment sum.
If you’d like to try something a little more exciting (read: Risky), you may also want to consider investing in commodities. High oil prices are driving up the price of palm oil (of which Malaysia is the world’s biggest exporter), an ingredient of bio-diesel. And rubber prices have gone up by 67% in the past year too.
But if you’re averse to risk, then look into government securities, which offer returns of between 3.5 – 4%. The two popular government securities available are Malaysian Government Securities (MGS) and Government Investment Issues GII), MGS have maturities of up to 10 years and can be bought from Bank Negara. The GII have maturities from 1 – 5 years, with interest payments made on a semi-annual basis. Some shorter-term investments are Bank Negara Malaysia Bills (BNB) and Malaysian Treasury Bills (MTB).
The price of government bonds is influenced by Bank Negara Malaysia’s price list published monthly, as well as the prevailing supply and demand for the bond, Malaysians who are interested to know more about bonds please visit www.bnm.gov.my
Personal note:
Although today’s article is more prone to Malaysian investment as it was compiled from the recent research in Malaysia. Everyone who is interested in investment should look into individual’s country’s potential bond or stable shares you can go into and use this as a guideline to target and plan your investment.
Remember, as the article has said earlier, investments are actually excess cash available after you sided out your savings and debts.
Women with a few thousand dollars to spare have several options when it comes to investing their money, but the most popular – and largely, most convenient – is a well-managed mutual fund. According to Standard & Poor’s Fund Services, retail mutual funds in Malaysia gained 3.58% in the third quarter of 2006. This might be happening lots in any country at this moment.
Generally, you can open an account with a minimum if what the bank needs to start a mutual fund, but in order to realise the complete benefit of mutual funds, you should also opt to make repeated regular investments every month by making a deduction from your current account until you reach your target principal investment sum.
If you’d like to try something a little more exciting (read: Risky), you may also want to consider investing in commodities. High oil prices are driving up the price of palm oil (of which Malaysia is the world’s biggest exporter), an ingredient of bio-diesel. And rubber prices have gone up by 67% in the past year too.
But if you’re averse to risk, then look into government securities, which offer returns of between 3.5 – 4%. The two popular government securities available are Malaysian Government Securities (MGS) and Government Investment Issues GII), MGS have maturities of up to 10 years and can be bought from Bank Negara. The GII have maturities from 1 – 5 years, with interest payments made on a semi-annual basis. Some shorter-term investments are Bank Negara Malaysia Bills (BNB) and Malaysian Treasury Bills (MTB).
The price of government bonds is influenced by Bank Negara Malaysia’s price list published monthly, as well as the prevailing supply and demand for the bond, Malaysians who are interested to know more about bonds please visit www.bnm.gov.my
Personal note:
Although today’s article is more prone to Malaysian investment as it was compiled from the recent research in Malaysia. Everyone who is interested in investment should look into individual’s country’s potential bond or stable shares you can go into and use this as a guideline to target and plan your investment.
Remember, as the article has said earlier, investments are actually excess cash available after you sided out your savings and debts.
| 19 |
| Vote |
Subscribe to this blog
