Hello,

Few question hope you all could help. Im a final year student. With my hard work of savings and investing in Unit trust, I was able to accumulate 20K +. Now i wanna try stock investing. I am willing to burn maximum RM2k in worst case scenario. My question:

1) RM 1500 - RM 2000 is sufficient for stock investing?

2) During my info search, i found out that there is a less riskier method for beginner in stock investing. He said to create your own Index tracker. Thus your performance will follow the movement of KLCI. Below is what he said:

"kalau yg rasa2 nak kurang risiko, boleh cuba skill berangan jadi fund manager ni. ataupun indeks tracking fund korang sendiri.

shortlistkan 5 saham indeks komponen.

satu saham, satu sektor.

pastikan saham yg anda pegang ada holding oleh fund2 besar e.g. epf, tbg. haji, LTAT etc.

entry di low risk hi-probability.

exit guna trailing stop.

insya allah 20-30% setahun boleh dapat.

yg menariknya pasal method ni ialah return anda akan berkadaran dgn KLSE.

jadi kalau malas tgk chart individual kaunter, tgk FBM KLCI pun dah boleh." - lovebattery

So can anyone explain more on the above method? does we simply invest in any KLCI Component stock (at the right timing) like listed in http://www.klstock.com/klci-component-stocks.php ?

5% per annum only in stock?
Open a trading account first, then later u can decide what shares u wanna go for.

Here is the broker comparison by i3investor
http://klse.i3investor.com/jsp/hti/brokers.jsp

When u have decided, just go to any broker you prefer and they'll handle it for you. I opened with Malacca Security (Mplus Online) for it's low brokerage fee and free CDS account (to whom open before 31 Dec 2012 )

You'll get at RM1.05