Time is precious, or we like to say ‘Masa itu Emas’. That’s right, you don’t have enough hours to take away from your job of earning RM30.00 to RM50.00 an hour because you are so busy spending all your time on your job that earns you RM30.00 to RM50.00 per hour. So you can’t put your time aside. But do you know what’s worse? Putting your investment plans aside!
Did you know that investing doesn’t mean you have to be glued to the screen 24/7 looking at every single price change…that’s just crazy. You just need to review the portfolio and your plans every once in a while, typically, when there’s a big change in the market. To put it simply, be a long-term investor. Here are some pointers to help you if you’re busy with your full-time job.
Blue Chips & Dividends
Blue-chip stocks are usually large companies with excellent reputations. They are usually large conglomerates, well-established and financially sound companies that have operated for many years and have
adependable earning, often sometimes paying dividends to investors.
In Bursa Malaysia, the stocks that are on the FBMKLCI index are defined as the Blue-chip in the market. Here’s a full list
So why Blue-chip stocks? Well certainly being well-established and financially sound plays a big part when it comes to investing for the long-term, which means that you will worry less about the company winding-up or facing any troubles that could drastically affect its stock price.
Apart from that, some Blue-chip stocks give you annual dividend payments of around 6% to 8% which is better than a savings or fixed deposit account. So rather than leaving your funds idle in your bank account or in a low-return fixed-deposit, why not try the stock market?
Going for ETFs
Exchange Traded Funds
/ɪksˈtʃeɪndʒ/ /treɪd/ /ˈfʌndz/
A type of security that tracks an index, sector, commodity, or other securities to mirror the performance of the index that it tracks. ETFs are unique as they can be traded like a common stock on the stock exchange and also experience price changes throughout the day as they are bought and sold.
Having an ETF helps you further diversify your portfolio, as you are virtually investing in different markets, various sectors or commodities. Diversifying your portfolio helps you to not put all your eggs into one basket, which creates more risk on your portfolio and capital. It is always important to not have your portfolio be too heavily weighted towards a single company or a sector.
ETFs are often compared to Unit Trusts, where both products hold a basket of assets. However, ETFs provide you with an advantage over Unit Trusts as they are tradeable on the market which makes it more liquid for you to sell ETFs in any time of need. It is also lower in cost, in comparison to the management fee in unit trust funds as you only pay a very low brokerage fee, depending on the broker you are using (M+ Online offers brokerage fee for as low as 0.05%*)
More on ETFs:
Or you can join our Back to Basics 2021: Webinar Series on the 18th June 2021 at 8.00 PM to learn what ETFs are
A Beginner’s Guide to ETFs: Your key to a wider range of asset classes
Read Research Materials
If you don’t have time to select stocks, you may take advantage of the research materials provided by licensed brokers. These materials come with both a summary and detailed report on how a particular index or stock is performing and also its potential growth. By relying on a licensed and legitimate source, you will be able to make better decisions of the stocks to put into your portfolio.
To view research reports from M+ Online you can visit:
There are definitely more methods or products suitable for the busy bees in the market. You may have to spare some time to find your footing in the initial stages, but once you find your method of investing and your risk/reward appetite, it will no longer be time-consuming, but rather on the contrary, rewarding. So start today, because the best time to start investing was yesterday.