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 investing in index fund

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TSmapeyeo1
post Sep 13 2016, 12:29 PM, updated 10y ago

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Hey, im new here , just wanna ask whether i can invest in index fund such as Vanguard or Fidelity from msia and if yes how to do it? im going to start work probably next year and i dont wanna waste my money in bank
xuzen
post Sep 13 2016, 12:32 PM

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QUOTE(mapeyeo1 @ Sep 13 2016, 12:29 PM)
Hey, im new here , just wanna ask whether i can invest in index fund such as Vanguard or Fidelity from msia and if yes how to do it? im going to start work probably next year and i dont wanna waste my money in bank
*
Currently, there is no mechanism to invest directly from Malaysia into the index fund you mentioned above.

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LostAndFound
post Sep 13 2016, 12:33 PM

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Tumpang thread, are there local index funds to invest in?
T231H
post Sep 13 2016, 12:34 PM

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saw this in the star paper few days back....
Sunday, 11 September 2016
Investing in ETFs in Malaysia

http://www.thestar.com.my/business/busines...fs-in-malaysia/
TSmapeyeo1
post Sep 13 2016, 12:41 PM

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i read a post titled "Public Mutual, PM/PB series fund" and there was a user named wankongyew commenting there was no true index fund in msia. That was in 2009, so is his statement still true now 2016?
MUM
post Sep 13 2016, 12:45 PM

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QUOTE(mapeyeo1 @ Sep 13 2016, 12:41 PM)
i read a post titled "Public Mutual, PM/PB series fund" and there was a user named wankongyew commenting there was no true index fund in msia. That was in 2009, so is his statement still true now 2016?
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read post # 4?
any truth to it?
Hapeng
post Sep 13 2016, 01:19 PM

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There are no local index funds worth investing in in Malaysia. I'd suggest getting a foreign broking account and investing in the US ones.
zacknistelrooy
post Sep 13 2016, 01:36 PM

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QUOTE(mapeyeo1 @ Sep 13 2016, 12:29 PM)
Hey, im new here , just wanna ask whether i can invest in index fund such as Vanguard or Fidelity from msia and if yes how to do it? im going to start work probably next year and i dont wanna waste my money in bank
*
CIMB I trade allow you to buy index funds in US but due to the cost, that might not be that feasible unless it is not small volumes.

This post has been edited by zacknistelrooy: Sep 13 2016, 01:37 PM
wongmunkeong
post Sep 13 2016, 04:28 PM

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IF U want to go an extra step:

Open an a/c with TDAmeritrade Asia (located in SG) and it is very cost effective - even the dividends aren't charged the "handling fees" like those charged by iTrade & HLeB

Note - not saying the local brokers aren't worthwhile.
Just stating for the extra initial hassle AND new funding, TDAmeritrade Asia may be more worthwhile depending on one's usage. I have accounts in all 3 brokerages sweat.gif ("graduating" from one to another ma)

Note 2 - i opened my a/c online + email only, then funded via MY bank transfer to TDAmeritrade US.

Note 3 - TDAmeritrade Asia's heldesk is very patient & clear on "how to" for me - and i tend to ask lots of Qs before executing, to make sure things go smoothly tongue.gif

This post has been edited by wongmunkeong: Sep 13 2016, 04:28 PM
heavensea
post Sep 13 2016, 09:57 PM

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No, you can't.
icemanfx
post Sep 13 2016, 10:54 PM

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ETF is the benchmark and charges is lower than mutual funds, local funds manager is unlikely to introduce soon.


troller2
post Sep 14 2016, 02:23 AM

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Why pay extra fees for an index fund?
Invest straight into the index, S&P, Dow, etc through your broker.

It's proven that the index has beaten most of the hedge funds in returns.
thesoothsayer
post Sep 14 2016, 07:04 AM

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QUOTE(T231H @ Sep 13 2016, 12:34 PM)
saw this in the star paper few days back....
Sunday, 11 September 2016
Investing in ETFs in Malaysia

http://www.thestar.com.my/business/busines...fs-in-malaysia/
*
If I'm not mistaken, the Malaysian market based ETFs have extremely low volumes. Took a look a few months back and didn't like it.
TSmapeyeo1
post Sep 14 2016, 07:42 AM

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QUOTE(MUM @ Sep 13 2016, 12:45 PM)
read post # 4?
any truth to it?
*
well i researched abit more about etf, it does have the characteristic of index fund, but both are different

TSmapeyeo1
post Sep 14 2016, 07:46 AM

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QUOTE(Hapeng @ Sep 13 2016, 01:19 PM)
There are no local index funds worth investing in in Malaysia. I'd suggest getting a foreign broking account and investing in the US ones.
*
yea, im not investing in msia index fund or whatnot, my main aim is the US, im becoming a passive investor first while i learn the other investments

This post has been edited by mapeyeo1: Sep 14 2016, 07:47 AM
TSmapeyeo1
post Sep 14 2016, 07:49 AM

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QUOTE(wongmunkeong @ Sep 13 2016, 04:28 PM)
IF U want to go an extra step:

Open an a/c with TDAmeritrade Asia (located in SG) and it is very cost effective - even the dividends aren't charged the "handling fees" like those charged by iTrade & HLeB

Note - not saying the local brokers aren't worthwhile.
Just stating for the extra initial hassle AND new funding, TDAmeritrade Asia may be more worthwhile depending on one's usage. I have accounts in all 3 brokerages  sweat.gif ("graduating" from one to another ma)

Note 2 - i opened my a/c online + email only, then funded via MY bank transfer to TDAmeritrade US.

Note 3 - TDAmeritrade Asia's heldesk is very patient & clear on "how to" for me - and i tend to ask lots of Qs before executing, to make sure things go smoothly tongue.gif
*
what did u invest in? index fund or ETF?
TSmapeyeo1
post Sep 14 2016, 07:52 AM

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QUOTE(troller2 @ Sep 14 2016, 02:23 AM)
Why pay extra fees for an index fund?
Invest straight into the index, S&P, Dow, etc through your broker.

It's proven that the index has beaten most of the hedge funds in returns.
*
but if i invest straight into the index, will i have the diversification level as what the index fund provides? and do i need to rebalance my portfolio itself?

yea i know index has beaten most of the hedge funds and mutual funds most of the time after comparing costs, thats why im into passive investing first
wongmunkeong
post Sep 14 2016, 08:44 AM

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QUOTE(mapeyeo1 @ Sep 14 2016, 07:49 AM)
what did u invest in? index fund or ETF?
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U are looking to do passive indexed investing and U are asking such a Q?

Does it matter ETF or Mutual Funds? U do know Vanguard has BOTH types right?

U do know Vanguard is one of the largest provider of indexer funds (mutual funds & ETFs) and is generally the lowest cost provider right?

Does it affect your investing methodology if i bought either or none?

hm... reason of question is fuzzy, thus bestEST answer is still useless

This post has been edited by wongmunkeong: Sep 14 2016, 09:01 AM
klthor
post Sep 14 2016, 11:13 AM

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unless they have office here, else it might be very expensive to invest in overseas fund or stock market.... i was stupid enuff to believe to my friend to invest in aus shares with small amount like RM3k but the fee itself is killing me.... RM300 for the fees, meaning i can only break even when the share rise 20%! so please take note of this TS, unless you have huge fund... else the min charge will eat into your profit.
troller2
post Sep 14 2016, 04:43 PM

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QUOTE(mapeyeo1 @ Sep 14 2016, 07:52 AM)
but if i invest straight into the index, will i have the diversification level as what the index fund provides? and do i need to rebalance my portfolio itself?

yea i know index has beaten most of the hedge funds and mutual funds most of the time after comparing costs, thats why im into passive investing first
*
An index is already a diversification in itself because it consists of many stocks.

You have to diversify yourself into other indices/bonds/ETFs, etc.
Especially the emerging markets, very good return.

The only thing you need to fear is when the market crashes. Sometimes it takes a long time for the market to recover. It's good if you have a stoploss. On where, when and how to place it is a little bit complicated.

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