For a long while, almost all Malaysian investors had only the opportunity to buy into the local stock market or local unit trust funds.
But as I had mentioned elsewhere on my blog, the mantra now is to go global and there are quite a number of attractive global funds to look at.
When you diversify into global equity funds, there is a good chance that you can make money simply because there is always a stock market somewhere on the planet that’s bullish – regardless of the direction that the Bursa Malaysia is heading.
The Malaysian stock market is only so big. Or, to put it another way, only this small. And most unit trust funds buy almost exclusively into the Malaysian stock market. That’s not very inspiring to know.
So effectively, many Malaysian investors are putting 95% or even all of their money into the local stock market.
When your money is in the local stock market, it means you are exposed to the ups and downs of the Malaysian economy every day.
Is it logical to do this if you want to save for your retirement or wealth preservation and creation? Just think about it.
So what’s the alternative? Let me repeat what I’ve written earlier: look at some of the global funds available from our local Unit Trust companies.
Study them. I’m sure you’ll find one that you’ll like. Then, go seek out your financial planning consultant to get more advice before you make an informed decision and plonking your money down.
Go ahead, just do it….