Investing & venturing in SMEs are higher risk as compared to unit trusts..

I m one of the investors of Midana Capital.. but i only put a little for experiment.. But i m not promoting or share to friends because i think it would be better to try out first..

But as i said u need to allocate only the money that you afford to loss.. this is golden rule in high risk investment..

extremely risky. more risky than buyin individual stocks.
imo, d track record needs to justify for such a high risk. till d data is available, i dun think its wise to invest in it. if really wan, only the money that ones afford to loss

It just a small amount that I put in..

The amount that i allocate for high risk investment..

Well, I came across this company in a financial talk organized by Money Compass..

The articles are published in the Money Compass..

They described the condition how the investments make money from, so I just try out with the smallest investment..

I am always open to any investments as long as I have done the due diligence.. but then again, dont let greed take over so be conservative and to only reinvest once only when it succeed once..

The company aims to bring in new projects in future, so i am not rushing for putting so much.. haha...

AGAIN, only put what you afford to loss.. This norm is important.. so i discounted the investment from my net worth.. haha...

Well, frankly speaking, i haven't decided to choose Midana Capital Inc yet, However i do have own study before i assigned the investment rights to them. Factors are:

1. Midana Capital mainly doing project in China, and if would given a chance to invest in China who wouldn't want? but i don't have the proper channel except Midana Capital Inc do have have through VIE "Variable Interest Structure" something like that.

2. i browse other companies yet, they do not spell out any exits strategy and their charges are extremely fuhhh and wondering if i have RM 10,000 whether can i join their elite platform boh?

3. Midana spell out exit strategy and if the company delay their listing , in the agreement they spell out what will be the term upon it? perhaps like giving extra dividends, or buy back options with either original price or extra percentage per annum. (This is informed to me by their executive and my friend aware about the same info and even written in black and white agreement) Well, i need to check with my lawyer friend first on final stage before proceed because they said the agreement is valid by Malaysia lawyer.

4. Entry level not high - I think for example their new project Ftibe pun only cost me around RM 12,000 - RM 13,000 for me to own a 10,000 unit share of the company.

5. So far they have few SMEs investment made in China and i think only 1 in Singapore. And so far the industry they invested in is risk calculated and is my appetite to invest in but that is earlier stage which i do not know about Equity Crowdfunding yet.

6. My last view is, is yes of course i would appreciate others comment for example like unit trust. I am not against it, but my housemate invest in it last 2 years and he lost few hundred dollar      furthermore, looking back at the rate of return VS Malaysia economy inflation + GST + increment of cost.

Looking at this point makes me wonder even i am getting my money at 4% - 5% per annum through fixed deposit pun lose money in the long run. Since i am still young, i should start making a wise decision on investment jor.   

Equity Crowdfunding, UT, SPAC, Private Equity etc all are permutation of a common strategy... pooling of resources among like minded individual for common gains.

The devil is in the detail. Of these, UT is the most highly regulated by the authority to protect the consumer.

SPAC and Private Equities are now regulated by Sec-Com albeit more loosely than UT.

Equity Crowdfunding is the new kid in town, highly unregulated at the moment, but Sec-Com is eyeing it now. Enter at your own risk. It is as secure as Pegasus or Geneva Gold.

I often say this... all these unregulated scheme are not illegal per-se, cuma it is unregulated. You can still make money. But if SH1T Hits the fan, you have no recourse. So, if you invest RM 2.6M into the scheme and your net-worth is RM 2.6Billion, no problem.

If your net worth is RM 1Million and you invest RM 250K i.e., one quarter of it into an unregulated scheme... your balls are made of adamantium.

Xuzen

SmartInvestor01 already invested. Me is still understanding the principal behind and on the way i would say. hehe

I am risk averse wan lar... I will not touch these unregulated schemes, Private equities and SPAC also I'll take a rain-cheque.

Xuzen

this is very similar to what RHB-OSK is offering..

http://www.theborneopost.com/2014/08/06/rh...tuation-fund-2/

Ai yoh, too bad it is in KL..

Hopefully one day there would be the same event in Kuching here..

Looks very interesting..

wow, looks like equity crowdfunding getting more exposure in Malaysia huh..shud go for more info.