馃攳
INVEST: HOW TO INVEST IN MALAYSIA WITH LITTLE MONEY ONLY RM1000! [Subtitles Available] - YouTube
Channel: Mr Money TV
[0]
Hi, I'm mr. Money
[1]
today I want to share with you how you
can start investing with just 1000 ringgit
[13]
so what can you invest with 1000 ringgit?
[16]
because 1000 you cannot do much right? for now
[18]
just 1000 ringgit ah, put it in the petty
cash box at home
[22]
1000 only ah, maybe put in bank?
[28]
unit trust
[29]
something that can generate more profit and
has a high ROI for myself
[35]
property, maybe i can rent a room for the
like deposit and stuff
[39]
maybe put in the Fixed deposit
[42]
hmm probably the highest return one
[47]
invest TOTO is the best
[49]
personally in my believe there are 2 kind
of investment
[52]
the first kind,
[53]
that requires you active management and more
of your attention
[57]
and the second kind,
[58]
that is more passive and requires less of
your attention
[62]
today i will share with you 5 kinds of investment
[65]
and i will share with you its pros and its
cons
[69]
number 1, the stock market,
[71]
what is investing in stock?
[73]
investing in a stock basically means, you
own a company
[76]
This gives you an equal share of the company's
asset
[80]
And also when the company's operation is making
profits they will give it back to you in the
[85]
form of dividends
[88]
So there are two ways of earning in the stock
market number one through
[94]
Dividends from the company's profit number
two through the capital growth of the company
[99]
stock value
[101]
The benefits of stock is, you can add potentially
high return.
[104]
For example, Nestle Malaysia has grown
[107]
116 percent in stock value over the last five
years
[111]
It is also fairly liquid as you can just sell
off the stock on the KLSE board
[116]
Anytime as you wish as long as there are buyers
[120]
However, the downside is the price can be
quite volatile
[124]
There's no guarantee that the stock is going
to go up in price or go down under and the
[129]
price can
[130]
can fluctuate quite alot within a day, a month,
or a year
[135]
Secondly trading in the stock market also
requires you to have some basic knowledge
[140]
in Financials
[141]
you need to be able to understand Financial
report at least little bit
[146]
or maybe technical chart reading
[149]
So if you do not know any of those and you're
just buying based on what people say
[154]
It is not too different from gambling
[160]
however, if you are willing to spend time
to study about the stock and learn
[165]
this can be quite a good investment both short
term and
[171]
Long term and it may give you significant
gains
[175]
Number two REITS, real estate investment trusts.
[179]
What is it, basically?
[181]
It is a property management company the buys
property with the public's money
[186]
Manage the property and make money from it
[188]
The profits, after minus-ing the management
fees and related costs will be redistributed
[195]
Back to the shareholders via dividends.
[198]
The benefits of REITs are number one
[202]
You can participate in the property market
with a very low cost
[206]
number two, It is very liquid
[209]
It means you can cash out anytime as you wish
because it is traded on the KL stock exchange
[215]
number three
[216]
Generally every year you would get a dividend
of about 5% to 8% return
[223]
the downside is however, the price of REITS
is more volatile compared to owning a physical
[228]
property and
[230]
The dividends it is not guaranteed by the
property management company.
[235]
So how can you start investing in REITS?
[238]
Basically REITS is traded on the KL Stock
Exchange.
[241]
So as long as you have a CDS account you can
invest in REITS
[246]
number three
[247]
ETF
[248]
ETF is basically
[250]
Exchange-traded fund, it is a type of security
product the tracks stock index, commodity
[257]
or a bundle of assets
[263]
To put it in simple terms, they basically
put a bunch of product together
[267]
cut it into one small piece and sell it to
you
[271]
Example the FTSE KLCI tracks the 30 largest
company
[276]
that are listed on KL composite index
[279]
Wow. So does it mean that when I buy FTSE KLCI
[283]
Means I just bought the 30 largest company
that are listed on KL composite index.
[289]
Yep.
[290]
You're right
[291]
So the performance of ETF would directly mirror
the performance of its underlying assets
[297]
So what is the benefit of ETF?
[299]
number one, diversification?
[302]
Because owning just one unit of ETF means
that you own a bunch of other assets
[306]
number two, it is highly liquid
[308]
So you can easily cash out on the KL stock
exchange
[312]
Number three,
[313]
its performance directly reflects the performance
of its underlying asset
[318]
Number four,
[320]
it has a much lower Management fee compared
to unit trust
[324]
number four
[326]
Unit Trust, so just like REITS and ETF is
also a product the bundles a bunch of assets
[332]
together and
[334]
cut it down to a small piece and sell to you
[337]
the difference with ETF is however
[339]
The fund manager of a unit trust fund will
have to actively manage the fund
[345]
according to the objective and
[347]
Strategy that is laid out in the fund prospectus
[351]
Although these leads to a higher management
fee and service charges compared to ETF
[355]
But the fund manager will actively manage
the fund
[359]
This means the fund manager have to actively
select and pick the right
[363]
securities to maximize the returns of the
fund
[367]
Theoretically it will be able to minimize
loss and maximize gain even when the market
[372]
is volatile
[374]
This essentially means that you are investing
in the team's ability to manage the fund for
[379]
you
[380]
This is like hiring a fund manager for yourself.
[383]
If the fund management team manages it well
you will get
[387]
good returns,
[389]
an example of a well-managed fund will be
Kananga growth fund which has shown an annualized
[395]
return of
[396]
15% over the last 10 years this means essentially
it has given you 15 percent
[402]
returns per year over the last 10 years
[405]
now, you know why you are paying the management
fee for
[409]
However on the downside is if a fund is not
well managed.
[412]
You may get less return or even negative returns
[418]
finally
[419]
P2p loan.
[420]
What is p2p loan?
[422]
Basically, it means peer-to-peer loan
[425]
It basically means that, you are lending your
money to people
[428]
Companies such as funding Society provides
businesses with a crowdfunding platform
[433]
through a peer-to-peer financing solution
[436]
Basically, you lend your money to businesses
to expand their business and they pay you
[441]
back interest
[442]
However, it is not guaranteed that you can
get your money back
[447]
But if it's all good, you may get up to 10
percent return hence choose wisely
[454]
So these are the five types of investment
that you can start investing today with just
[459]
one thousand ringgit
[460]
If you enjoyed this video and find it beneficial,
please share it with your friends
[467]
Because you can change lives by spreading
money education
[471]
Also, don't forget to like my Facebook page
and subscribe to my youtube channel and change
[477]
your life with more money education
[481]
Till then I'll see you next week
Most Recent Videos:
You can go back to the homepage right here: Homepage