A Financial Beginner’s Guide: 5 Cool Tips To Invest In Malaysia Without Big Risks


Everyone hates losing money, maybe that’s why many people fear to invest the little cash they have. The majority of these people like keeping their funds safe in a bank account that probably earns them fixed interests every year. However, sometimes a savings bank account can become a financial suicide since they yield low-interest rates. So, what are the best ways to gain the highest return on your money without a high risk around Malaysia? This financial beginner’s guide provides five handy tips for safe and risk-free investments worth taking the leap.


#1 Control Inflation

Many times inflation can stop your long-term financial goals, such as retirement or paying school fees for a child, from becoming possible. Or, it can make your long-term goals such a stressful experience to bear. Rather than keeping all your cash in the bank, it’s better to invest in other ways to maximize its purchasing power. Many people like investing a portion of their money in stock funds to keep up with inflation. Even though stocks often fluctuate unexpectedly, they offer the highest potential returns which in turn tackle inflation.


#2 Diversify More

Instead of relying on your own business to earn a living, you can invest in a broad range of investment instruments to minimize unnecessary risks. Buying share of funds belonging to a real estate, stock, bonds, and commodities is the best way to grow your money. This strategy can also protect your assets from any potential risk. At least, this way, in case an investment doesn’t bring you money, you’ll still benefit from others that are doing well. When investing, always remember the golden rule: “Do not put all your eggs in the same basket.” Diversify your options instead!


#3 Beware of Investment Scams

The famous adage that says, “If something sounds too good to be true, it probably is” is very true even in the investment world. If you come across a new investment vehicle promising you high returns within a short time, be vigilant not to fall for a scam. Awareness will also help you save time by prioritizing more on other important stuff that can  turbo-charge your income potential. Also, before closing a deal with any financial institution, check whether there are hidden charges within that may squander away your money. Making sure your money is protected and safe from scams and theft should be your top priority in every investment you choose.


#4 Choose Agents Carefully

Some people like having agents to invest money on their behalf for a small share made from each investment. The same thing works even in the stock market. Some people choose to engage a stock broker in analyzing the best stocks for them. Because charges vary considerably, it’s wise to first compare agents based on their competence and experience to nail a promising deal.


#5 And Finally, Invest In Small Amounts

Although there’s no restriction for you to invest any sum of cash to accumulate funds, it’s important you start small. Investing in small amounts allows you to gain confidence as you learn and stops you from rushing into anything. Start by buying substantial investments that have performed well in the past 5-10 years, and devote to buying in small portions regularly. Work with your financial consultant or broker to find you safe and risk-free investments that would yield high returns in the end.


In summary, no matter which investment vehicle you choose, it should at least have a long-term benefit. Doing this minimizes the risk of losing all your money while making sure your cash gains much higher returns on each investment. There are many ways to invest in Malaysia—unit trust, dividend-paying stocks, and bonds are some potential areas worth investigating. You can consult your financial adviser to find the best investment plan in Malaysia that can grow your money more without much greater risk. After you’ve decided which funds to invest, follow the cool tips laid in this guide to grow your money as you keep it as safe as possible.

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