something all the fellow forumers should know, investment banking bank like OSK-UOB offers the best FD rate so far, for years they juz keet low profile and their market mainly for big corporation. i dunnot know what is the rate after the recent OPR increased, but a month back, the rate for a year was 3.4 %. bear in mind that they prefer high end customers- min deposit is 500k, tats y their % is damn good... if u deposit more than 2mil, 3.9% a year. i knew dis bcoz my boss is banking/depositing money with them. im shocked when i fisrt heard bout dis. if more than 100mil, u can nego for better rate. but then, who has 100mil?? big corps or ultra ultra hi networth individual.
will update the latest FD rate later, once i got the info.

Dear all who is intrested to know further, here ia a bit of explaination.

If a company (or any other entity) wants to raise money, the company has two options: 1) borrow from a commercial bank or 2) issue stock or bonds in the capital markets. In order to take advantage of the capital markets, the company or other entity needs an investment banker. The investment banker buys the company's stocks or bonds and then tries to resell them to interested investors (like mutual funds, pension funds, or individual investors). The process is called underwriting securities. The investment bank gives the issuing company needed funds, and takes on the risk of owning the securities. The investment bank also provides services such as setting up deals between merger and acquisition partners. The investment bank makes money on the later sale of these securities.

A commercial bank on the other hand is in business to do two main things: hold deposits and make loans. The commercial bank creates money by lending out deposits to individuals seeking a loan for some designated purpose (for example, a car loan or a loan to start a small business). The commercial bank also keeps deposits on hand for individuals wishing to use the money to make payments (like a checking account). The commercial bank makes profit by lending out to individuals and other entities and collecting payments from these borrowers for principal and interest. The risk for this activity mainly comes from NPL and cash flow balances. Some banks that the quite lenient in giving out loans facing more risk to those stingy bank.

If we did a little research, investment bank and commercial bank are interlinked. they need each other because of various reasons. being a bullish person myself, im quite positive of the merger between OSK-UOB or Hwang-DBS. Good investment bank, strong commercial bank, add a refreshing flavour to our boring choice. if i indeed have more than 500k, and if i am an extremely conservative person, i'll go and shop around for better FD rate between dis so called the merger of IB & CB.

FD is FD, NID is and investment instrument, so dont be confuse and plz dont talk if dunot know the real facts.
PIDM covers 100% of your deposits until end of 2010, not just 60k. after 2010, need to wait the BNM announcement. - dont gv wrong speculation.
so, we learnt a lot ya from dis forum???

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Added on July 27, 2010, 11:41 amMilesAndMore,

I think that your view is the same as mine. I met with lotsa rich people, they got more than like 20-200mil, more than half of the money they put in FD. for low end people, 10k-50k is consider a lot, but for this rich guys , it is like a hair on the whole head

and im really sick of people that always worry either banks will winding up or not, bankcrupt etc, hell, no need to worry bout that. if still worry, dont borrow money from bank, surrender all ur credit cards, and put money under the pillow. end of the story. be confident, and yes, i really hv confident with malaysia & singapore banks. we are the most politically stable in the region, economically develop, we blend welll with each other, and we are conservative in a sense of accepting influence from outside like US or Europe. Singapore is more open, but deep in their bone, they are like us, almost alike.

This post has been edited by anne1222: Jul 27 2010, 11:48 AM