Sunday, September 30, 2012

How many way to invest in Gold?

If you want to invest in Gold, at least there are three ways.

First, you buy a real Gold Bar. However, the problem is it's too heavy and difficult to move around. Another problem is you need to find ways to part it or keep it in safe place. (and to buy insurance just in case of theft protection)

The other way, you can go to bank to save the Gold, they will give you password account to record down how many grams of Gold you invest. For example, you can go to local bank (Maybank, CIMB or Public Bank) to open Gold Investment Account:

The above 2 methods are mean for those who want to buy Gold for medium to long term. However, if you would like to trade Gold (Buy and Sell in short to medium term) then you may opt for SPDR Gold Share. This is similar to ETF (Exchange Trust Funds) or people call this SPDR Gold Trust, the fund which invested into Gold. For Asian, I recommend to invest in Hong Kong SPDR Gold Shares under the code 2840.

For details of 2840, you may visit the below link, go through their frequent ask question, they are very informative :

Friday, September 14, 2012

What to invest in?

I always receive question from client about what to invest in. One of the simple method I always tell them, invest in “best” company, that should be the direction for all investors. Many investors get the direction wrong, then after few years, only realized they had in the wrong path. Then another question will come... how you know which company is “best”?

Today, we can build a business if you want. Many business will end up losing money, in order words, to build a successful business is not easy. Stock market is a place where it provide investors a platform to buy a successful business, but you need to know the way how to pick the good company.

One of the way how to pick a great company is look for company that can create value or income. Those company use fund from investors to create value to people, produce healthy product or provide service to improve quality of life.

The other way to look for it, look at your personal monthly expenses, I believe cost of living is take up about 50% of your income. Just go through and find out which item involve monthly charges, it's a necessity, you may not able to cut it even if you want to. For me, there are few items, one of them is hand phone bills.  

According to statistic, average Malaysian spend about RM150 for post paid customer and RM50 for prepaid customer every month. Some people even carry with them two hand phone, especially smart phone become a trend now. Beside the hand phone company, Telco service provider are making good money every month!

Last, remember the direction is to think as the owner of the business, if not, you will not enjoy the process of become a millionaire after few years. Don't regret later and say “if I never sold the X stocks certain year ago, I will become a millionaire today!    (refer to my blog: Long Term Investors)
Note: In addition to my disclaimer clause in my blog, I hereby confirm I have bought Telco services provider Maxis and Digi shares few years ago and with intention to accumulate more shares in next few years)