Which futures market are you in?

Btw
The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months.

Guess I can related cause I know about call options.

What's future markets? Mind to elobrate ...

Stitchy®

CI futures,cpo is a bit volatile for me,the risk of my account getting wiped out in the price fluctuation of the cpo market is high,so i decided to stay away from it temporary.

what about loan stocks?

buying something in the future with the current price.A great place to trade,since our local stock market is equivalent to poo.

http://www.investopedia.com/university/futures/futures1.asp

In Malaysian context:
Loan stock is a loan to a company ,normally interest bearing,either convertible into mother shares on maturity(convertible loan stock),or fully redeemable by the borrower company (unconvertible loan stock).This instrument will not become worthless as long as the mother share is listed and there is a ready market.

Warrants were formerly known as TSR(Transferable subscription rights).There r two types,one is issued by the company and is known as warrants per se.The other one is issue by a third party and is known as call warrants.Warrants and call warrants r actually a call option which give the holder rights to subscribe to the mother share at the strike price. Warrants and call warrants can be in or out of money ,if out of money,it will expire worthless.

This post has been edited by lklatmy: Feb 14 2006, 11:28 AM

so loan stocks are like bonds?





i dont understand this part

Yes,but ith added flavour of convertability to mother shares.

If you hold 1000 units of Telekom CA(Call Warrant),you can excercise to subscribe 1000 units of Telekom shares at strike price of Rm9.21.

This post has been edited by lklatmy: Feb 14 2006, 11:45 AM

but most of the people brought warrants because it is cheap,compared to the mother shares.

I heard that hardly anyone convert warrants into mother shares.

thats what i think of the warrants

The determining factor is whether the warrant is in or out of the money.A lot of the warrants are actually exercised in Malaysian market.

Just to add,if a person is holding the mother share and the if the warrant premium together with the strike price is lower than the price of the mother share,then,oppotunity for arbitraging exist .This happens quite often in Malaysian mkt.

anyone heard of DrStevenLee?
claim that his Power System can achieve ROI 250% annually, in stock market?
250% is very tempting...
what do you all think?

local stock market?

i doubt,especially nowadays

If he can get 250% annually, why would he waste his time teaching anyone or do anything else?? Think about this carefully.

Dreamer

For those who invested in PM Far-East Select Fund, here's a good news I guess.

http://www.publicmutual.com.my/article.aspx?id=5144

Stitchy®

one can earn more by teaching than trading himself lol

He might be talking about 250% ROI by selling his 'Power System' rather than for you to gain 250%. then the statement make sense

CI futures in Malaysia. Does CI refer to the KLCI index?
How many percent do you allocate pertrade/position?
As I know the commision for futures contract is Rm60 correct?

If he can do that successfully with track record and all. Hedge funds in the world will fight to take him under their payroll. Imagine 6% of 10billion would be his management fees.

Good for you dreamer....for putting the housing and home loan right. Our car loans are like hire purchase, its higher interest than equivalent home loan.


Stock market: Very very volatile. Have to have guts and control. You can lose lots and lots of money very fast. And you need to be very knowledgeable, have time and interest in stocks. Downfall will be if you get too greedy and take unnessary risks. put in what you are prepared to lose. Also, you need lotsa cash.

Unit trust: Volatile, but less so than stock market. Good thing is you don't have to micromanage, but the fund managers get paid......whether you make money or not. This is why there are so many in the market. 2004 was ok, but 2005 was generally down. Need cash.

Money market: Available now with easing of monetary policies. Must have interest in global economics and keep very up to date with worldwide happenings daily. Probably as volatile as Unit Trusts. Also need cash.

Futures: Forget this if you don't have "real" money. This is generally a rich people play. Volatile

Goods (etc antiquities, watches, paintings): If you have cash and good eye, this is potentially very rewarding. Tip is to buy low and find bargains. Can sometimes be a sure profit, as long as you have a good eye for it. Have to have cash.

Property: I recommend this one strongly. Can rent out, can stay, can wait and sell. Many rich people earn their "real" money with this. Tip is LOCATION. You can't go wrong if you remember this. Also, try look for bargains lah. Quite stable. No need to save enough to buy one.....just enough to pay downpayment and rest, get bank loan.....rates are very good still. Lock in when you can, before it gets higher.

Fixed deposit: You're not dumb. It is liquid, very stable.....almost guaranteed returns. Being liquid can be life saving...so I advise you to keep some in this.

Life Insurance: Returns are limited in a sense that you won't see any returns till you're old. Withdraw early and you will sure loose. But it gives you 2 things.....insurance(don't ever neglect this esp if you're married) and tax deductability (this is the main reason I bought LI in the first place). Another recommendation by me.

minolta

That's a very comprehensive and thorough description.

Stitchy®

Can you explain the "tax deductability" aspect further?

I am not familiar with Malaysian tax issues pertaining to insurance. I know that over here in Canada, insurance premiums are not tax deductable but one of the benefits is that when you die and the life insurance is paid out to the beneficiaries that unlike almost all other financial instruments it will not be considered taxable income to your estate or to those it was paid to. How about Malaysia?

CI futures or kloffe in short,yes...CI is the composite index

1%-3%...not much

RM50

stock market very very volatile?
the market moves slightly faster than a garbage truck reversing,and i think the second half of the description fits into the futures section.

and the futures's description fit into the money market..forex?

futures is volatile,but not as volatile as forex

This post has been edited by mobiusone: Feb 15 2006, 09:33 AM

With effect from Y/A 2005(year of assessment) onwards, relief for Life insurance premium AND contributions to approved funds (eg EPF) shall be Rm 6,000 per annum.

Proceeds from life insurance,afaik,is not liable to income tax but is subject to estate duty.Pls correct me if i'm wrong.