FD nowdays never mean for profit gaining investment.

it is used to put your emergency fund so that you can withdraw it anytime ... and if you not using it, you can gain the interest.

2 different things ...

FD never for investment ... i put 10k in SCB, 9 months later only give me 150 ... 150 is a lot ?

FD is our emergency funds, and instead put in normal saving account, we put in FD so we can withdraw easily in case we need it ... and we can get back 100% ... in case we not using it, we can earn some interest.

compare UT which is for investment, the return is much higher then FD but the risk of losing also higher ... means when we need it for emergency, the duration to get it back is 10 working days, and we might not get back 100% due to processing fees and economy.

conclusion, you need both ... let said you now have 50k, 20k put in FD, 30k for investment ... this is a good financial planning.

This post has been edited by Ken: Mar 9 2010, 02:35 PM