Grab the Chance - Incentive for Fresh Bursa Market Investor

You can now have more reasons to expand your investment portfolio and trade more with the new trading incentives that will take effect on 1 March 2018.

1) Stamp duty waiver on shares of mid and small cap companies traded on Bursa Malaysia, effective 1 March 2018 for a period of three years

Stamp duty on shares of mid and small cap companies will be waived effective 1st March 2018 until 28th February 2021.

The stamp duty exemption will be applicable to companies listed on Bursa Malaysia Securities with a market capitalization ranging between RM200 million and RM2 billion as at 31 December 2017 for eligibility in 2018. For eligibility in 2019 onwards, the companies will be based on their market capitalization as at 31 December 2018. The list of companies will be static until the annual review.

Download the list of mid and small cap companies eligible for stamp duty exemption here

2) Fee waiver on trading and clearing fees for six months

        Below are the criteria to be eligible for the waiver:

· Eligible to first time individual investors who open a CDS account from 1st March 2018 to 31st August 2018- want to know how to open account? click HERE 

· No other CDS account has been opened before (including closed account) (No other account at any bank or closed account )

· Applicable to new investor’s trading within waiver period (1st March 2018 – 31st August 2018)

· Eligible to direct individual accounts only - want to know the different of direct and indirect? click HERE

Source : BursaMarketPlace

What is Fund Market

Fund Market is a marketplace which enable investors to invest in financial products (funds) that is well- managed by professional fund managers. By buying into the fund, investors are able to get access to different types of financial instruments which are pooled into a fund to create a diversified portfolio, with only small amount of capital required (as small as RM1000). This means riding on the capabilities & experience of the skilled fund managers which they takes years to build or gain, to invest and make money from the financial markets.

There are few types of Fund available in the Market which Malaysian /foreigners residing in Malaysia are available to access:-

1. Malaysia Financial Instrumental  –Including Equity fund , Derivative fund ,syariah/ Islamic fund , ETF fund ,Bonds fund,money market fund and etc

2. Foreign Market – Common one including, Asia fund, Asia ex japan fund,europe fund ,china greater fund and etc

Pros and Cons investing in Fund market

Pros	Cons
ü Professionally managed	RISKY when you don’t know the fees
ü Provide income	Less transparency in portfolio holdings
ü Liquidity - Easy to enter and exit	Pricing ,calculate once day/ week
ü Diversification – reduce concentration risk	No control over the Fund
ü Tax-free on capital gain
ü Wide range of product selection based on risk appetite

What do you do in Fund Market?

Typically, a fund would invest in companies (stocks) with good and solid fundamental. Like how Warren  Buffett does, the world most successful investors of all time, the secret to getting a better return on investment is to buy a stock with huge intrinsic value, hold and ride on it. Most of the time, Fund would invest for a longer term period and hence target for long term capital appreciation instead of short term gain which may involves higher cost if trades frequently.

Fund is categorized into six types, for example, Equity, Derivative/commodity, Index fund, Bond fund and money market fund. Each fund would have different investment strategies and objectives such as to dividend funds, growth, conservative, specific geographical area, hedging purpose and etc.

How do you get into Fund market?

You will need a financial planner for it regardless which fund you are invest into. To engage a financial planner, you can walk into any commercial banks but most of the time the respective banks will only sell and market their in-house funds. Alternatively, you can always approach me (comment/email me) to understand how to invest into it.

How can you understand better about the fund market?

First of all, you can always consult your financial planner to help you to understand more about it. Other than that , there are plenty of free Websites where you can access the information easily. You can also access to some of the free Apps in your Smartphone. Please do let me know if you notice any good Apps via the feedback form so I could add into the table below and share it to everyone. J 

Websites	SmartPhone Application
www.eunittrust.com.my
www.Investing.com	Investing(Android)(IOS)
www.fundsupermart.com	FSM Mobile (Android)(IOS)
Broker Webside / Report (MBB , CIMB , RHB & ETC)

In summary, Fund market is one of the platforms which gives you access to many kinds of investment products and invest with hassle-free and low entry capital.

Always remember the scariest weapon to destroy our wealth is not accident, not currency weakening, not war but is inflation. As inflation will slowly wipe off our wealth and our purchasing power slowly.

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