Ramjade,

1) That means you did not shop around and find out which money changer has the best rate.

2) You actually did some research here

3) If you did not read, how do you know you got the right answer??

A) Wrong answer.

B) Maybe...

<<I invested in the fixed price funds hence zero charges. >>

Wrong answer.. You DO NOT KNOW since you did not read the prospectus.

A) The charges could always be deducted from the dividend

B) They could deduct a fixed amount when you sell.

<<You still haven't posted your views regarding my statement>>

I had answered your question. Why tell someone to invest in XYZ when you could not bother to do a bit of research on ASx and money changer to begin with??

US stock and US REIT required a lot more reading and research. You would not spend the time and effort to study ASx and money changer to begin with. So, why should YOU invest in US stock and US REIT?? You are guaranteed to fail.

Dreamer

From another perspective, in fact greed is gud

There, you said it yourself, money changer gives better rates than banks. Hence why do I need to open a foreign currency account when I can just exchange it at money changer? Better value for money. Both doesn't generate interest. Even if fca generates interest. It is negligible.

You did not answer my question about physical cash /fca not generating interest /dividend. Since you asked people to keep cold hard cash, you didn't answer what happen if the house were to burnt down or A burglar came in and took all that cash away.

A. Could but they didnt. Well, I counted the dividend yearly in my mother's book, there is not a single sen missing. Just to see how much they give and whether it tally with what's being posted in the forum.

B. Again could but they didnt. How I know? Ask those people who withdraw recently. Hansel, some guy who withdrawal few months back. If they deducted a fix charge, it sure would be in the forum. But I didn't come across anything of that sort unlike the FD thread where a missing 0.05% would invoke a massive outcry in the depositer.

They have a reputation to protect. >19 years of reputation. Imagine if they were to do such shady things, it will be in the news. And they did state on the website, ASX DOES NOT HAVE gst. Dividends from ASX are not taxable until 2017 if I am not mistaken. I did ask the counter staff. Any charges incur before placement , charges of dividends and upon removal. They told me no charges.

Yes I know I will fail because I haven't read up about US stocks. That's why I am not willing to put my money in there yet. I haven't learn the Malaysian stock market yet. What more the US stock market. One step at a time.

This post has been edited by Ramjade: Sep 10 2015, 07:26 AM

Say in sep2009, u have rm200k cash n put half in each RM's FD(4% int) n USD's FD(1% int, USD/MYR=3.6). And now after 6 years, u decided to convert the USD to MYR at 4.3, guess what, they give the same returns. I am assuming the USD's FD at 1% or could it be higher/lower due to QE?

This post has been edited by MGM: Sep 10 2015, 07:44 AM


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Ramjade,

1) Which money changer has the best rate??

A) Wrong answer. They did charged an ANNUAL MAINTENANCE FEE. It is in the prospectus. I provided the link for the prospectus for you. You CHOOSE not to read and verify.

<<If they deducted a fix charge, it sure would be in the forum.>>

B) You were on a thread with a lot of DUMMIES. See your answer in (A). How many people in that thread did actually read the prospectus and know the answer in (A)??

I asked you a SPECIFIC QUESTION?

What is the ANNUAL MAINTENANCE FEE for ASx?? I did not ask about charges or taxes. Do you KNOW the DIFFERENCE??

`<< You did not answer my question about physical cash /fca not generating interest /dividend. Since you asked people to keep cold hard cash, you didn't answer what happen if the house were to burnt down or A burglar came in and took all that cash away.>>

I had answered your question.

<<Yes I know I will fail because I haven't read up about US stocks. That's why I am not willing to put my money in there yet.>>

You had answered your own question too.

It takes TIMES and EFFORT to study and invest. If people want to invest in something, they better spend the TIME and EFFORT. It takes TIME and EFFORT to go beyond holding foreign currency.

What is MY POINT?

Are you an EDUCATED person?? Do you WANT to BEHAVE like an EDUCATED person?? If you DO, why do you BEHAVE like a DUMMY?? You can read English. You can read the prospectus. You can do Google search. So, WHY do you rely on OTHERS to check this kind of stuff??

http://www.asnb.com.my/pdf/PRODUK/Master_P..._prospectus.pdf

Check page 93 of this document.

Dreamer

This post has been edited by dreamer101: Sep 10 2015, 07:46 AM

Fixed price fund confused you.
They did charge annual management fee. If they didn't charge, you probably get 1% higher dividend like 7.4% or something instead of 6.4%.

dreamer101, I will answer your question later when I am back home and have read it.

There are so many money changer in town. You tell me how to know the one with best rate? Do you expect me to visit every state and ask their rates?

Your answer was just this


I asked you about your opinion regarding cold hard foreign cash. You say is a better option than holding rm paper. This is cash we are now taking. Not fca, or any foreign investment but physical cash.
I asked you about what happen if there's a fire or a bulgar. You didn't answer that. I said physical cash is not able to generate any interest/dividend. It will forever be say usd1000. It will never become usd1001. So my question again

1. What happen if there's a fire/burglar?
2. I won't talk about ASX here since that will get us no where. But say you have physical rm and you dump it into FD for one year. At the end of 1 year, your rm increases. Now back to your physical usd1000, by keeping it say underneath the mattress, at the end of one year, that usd is still usd1000. It didn't increase at all. Isn't the goal is to ensure it increases somehow? Please comment on it.

Well despite it being 1%, the money still increase by 6.4%. So I will say that's still fair. Your principal didn't decrease.

So they did charged, from your dividend. The Rm1 fixed price gave you the illusion that your principal remain RM1 and didn't decrease, that's why you mistakenly thought that they didn't charge you management fee.

USD virtually has zero interest rate since 2008 or around the max interest rate one may get is 0.25%.

One may be better off with investment in USD asset like stock or treasuries or bonds.
But this subjected to risk of the particular asset that may drop down in value.

This is the dilemma that always facing by investors.
There is no "safe" or "secured" place.

If USD economy doesn't revive back even after then QE and poise to rate hike, we won't see the USD strength like what is happening currently.

Ramjade,

<<There are so many money changer in town. You tell me how to know the one with best rate?>>

Are you trying to tell me that you DO NOT KNOW how to use a phone and call the money changers??

<< But say you have physical rm and you dump it into FD for one year. At the end of 1 year, your rm increases. Now back to your physical usd1000, by keeping it say underneath the mattress, at the end of one year, that usd is still usd1000. It didn't increase at all.>>

Come on..

Is USD 1,000 worth the same amount of RM between the beginning of this year versus now??

Compare this versus exchanging this USD1,000 to RM and keep in FD or ASx??

THINK!!!

The DIFFERENCE between a DUMMY and SMART person is TIME and EFFORT. A SMART person take TIME and EFFORT to do RESEARCH and STUDY before they say anything.

Stupid is stupid does...
- Forrest Gump

Dreamer

Ramjade,

How would you KNOW?? You don't. In order to KNOW, you will need to RESEARCH and STUDY how and what to compare ASx with? What is the proper benchmark??

Dreamer

cherroy,

Maybe yes and maybe no. US economy may not be doing well. But, it may still do better than Malaysia and USD strengthen against RM.

In any case, as an investor, we should not put all our eggs in any ONE basket (country). Then, we do not need to worry which country is doing better at any time.

Dreamer

Money changers are just like a businessman that keeping stocks(currencies), if they got it for cheap, they will give some "discounts" to attract more people. Like in Seremban, the money changer in Jusco are popular on giving people the best rate in town. See see he has another exchange shop with different name that giving bad rate(you sell, you get low balled). 1 good guy and 1 bad guy, so cheap stock get from bad guy and good guy sell it out. At the end of day, that boss of 2 shops make more money than others
Still, there's a sort of mutual agreement among them to have a "price" control.

showtime747 already did 10 yr comparison with SGD some weeks ago.

result is same as yr 6 yr USD, i.e. about the same returns whether rm sgd or usd.

but... here is the diff... the big diff is in the last 1 (ONE) year.

the last 1 year where commodities prices fell very low and 1mbd saga (and others) got hot, nothing resolved till now.

so, dreamer is right:
as we deliberate, usd/rm touched 4.3787 this morning.

those who still think "there is no difference", pls think/calculate again.

but if one knows the big diff but decides not to do anything, that's a diff story.

This post has been edited by AVFAN: Sep 10 2015, 09:57 AM

Anything that will fluctuate, is not wise to keep for long period. As keeping for long period, it will more or less break even. I still have SGD400 that got during rm2.50 from my friend last year.
Worth rm1000 and now worth rm1200(round up). So if I change it now, I earn 20%

nz cut int rate, brazil rating becones junk...

Over the years, I have invested in KLSE unsystematically, I won some and lost some and felt that this is a no win situation. Maybe I have not mastered the tricks like so many of the experts here. Which is why I am comfortably invested in ASX knowing that they consistent gives 6-7% until the recent scares flaring out like wild fire. I am starting to look into asset diversification and corelation(don't want to be caught in the situation where 1 asset gain is canceled out by 1 lost).

I know of a friend who invested in China Stocks over the last ten years. With a intial investment of RM1m in 2005, the value rose to RM5m in 2007, then it came down to RM1m+ after the crisis and dingdong there until this year when it rose to RM4m+. When I told him that 1 bird in hand is better than 2 in the bush, he replied that this time is different. Unfortunately it is now back to RM1m+. If he is to liquidate all now, he will still makes some money (may be 3-4%/pa). May be it is the rollercoaster feeling that he is after.
So this would be considered a long term investment but without appropriate timing of cashing out it is just like a rollercoaster ride.


This post has been edited by MGM: Sep 10 2015, 10:46 AM

The point of diversification of asset is not about making gain, but to "protect" your wealth, or normalise your investment.

Eg.
You have FD, Bonds, stock.
We know these 3 asset class doesn't correlate each other and most of the time have inverse correlation.
When FD low, stock high.
Bond low, stock high
FD low, bond high

But you still diversify into these 3 asset class, as you always have something to compensate in whatever situation, aka your wealth is more "protected", instead of invest all in stock, when stock market plunge, you lose all, or invest all in bond but when bond price dropped time, you lose big.

Concentrate on single asset can be a risky, but if turns out to be good, you win big, if not same magnitude to the loss side.
But. it is up to individual risk preference.
There is no right and wrong.

There are stocks that enable one to hold long term without much sweat as well.
Typically dividend stocks, every year the stock gives your 3-4% dividend, you have "cash in" the return, while still have the same number of shares. 10 years later you have "cash out" 30~40% of the investment made, whether how the stock price roller coaster, you still have the money in the pocket already.

That was my suspicion when I first started my investment journey, hence I avoided the KLSE, but instead put my heart and soul into learning the SGX and some western bourses. I also dived into the ASX. I'm glad I made the right decisions. ASX had given me good returns. I had a good run... and I am ready to 'take profit' now and move-on to other vehicles.

Don't know-lar,... perhaps for starters, ASX is a place to park your money first just like myself when I first started. BUT : times are different today. Just be careful-lar, or put in half only to cut your risk into 2.

If your friend did not collect any divdiends along the way, but had only depended on capital growth, then I feel the loss here. I have purchased funds that, based on NAV is slightly on the losing side now because of currency exchange, but the dividends that I have collected over the years puts me very highly on the winning side....

Furthermore, I always get my divdiends monthly and quarterly, hence enabling me to reinvest quicker back into the mkt place.

Hmm,... lots of talk abt money here,.. not very healthy, huh ?

Edit : correct grammar errors.

This post has been edited by Hansel: Sep 10 2015, 11:59 AM