BRILLIANT 3 MINUTE MANAGEMENT COURSE

• Lesson 1

A man is getting into the shower just as his wife is finishing her shower, when the doorbell rings. The wife quickly wraps herself in a towel and runs downstairs. When she opens the door, there stands Bob, the next-door neighbour. Before she says a word, Bob says, "I'll give you R 800 to drop that towel."After thinking for a moment, the woman drops her towel and stands naked in front of Bob.

After a few seconds, Bob hands her R 800 and leaves.

The woman wraps back up in the towel and goes back upstairs. When she gets to the bathroom, her husband asks, "Who was that?""It was Bob the next door neighbour," she replies."Great!" the husband says, "did he say anything about the R 800 he owes me?"

*Moral of the story*

If you share critical information pertaining to credit and risk with your shareholders in time, you may be in a position to prevent avoidable exposure.

• Lesson 2

A priest offered a Nun a lift.

She got in and crossed her legs, forcing her gown to reveal a leg.

The priest nearly had an accident.After controlling the car, he stealthily slid his hand up her leg.

The nun said, "Father, remember Psalm 129?"

The priest removed his hand. But, changing gears, he let his hand slide up her leg again.

The nun once again said, "Father, remember Psalm 129?"

The priest apologised "Sorry sister but the flesh is weak."

Arriving at the convent, the nun went on her way.

On his arrival at the church, the priest rushed to look up Psalm 129. It said, "Go forth and seek, further up, you will find glory."

*Moral of the story*

If you are not well informed in your job, you might miss a great opportunity.

• Lesson 3

A sales rep, an administration clerk, and the manager are walking to lunch when they find an antique oil lamp.

They rub it and a Genie comes out. The Genie says, "I'll give each of you just one wish.""Me first! Me first!" says the admin clerk. "I want to be in the Bahamas , driving a speedboat, without a care in the world."

Puff! She's gone.

"Me next! Me next!" says the sales rep. "I want to be in Hawaii , relaxing on the beach with my personal masseuse, an endless supply of Pina Coladas and the love of my life."

Puff! He's gone."

OK, you're up," the Genie says to the manager. The manager says, "I want those two back in the office after lunch."

*Moral of the story*

Always let your boss have the first say.

• Lesson 4

An eagle was sitting on a tree resting, doing nothing.

A small rabbit saw the eagle and asked him, "Can I also sit like you and do nothing?"

The eagle answered: "Sure, why not."

So, the rabbit sat on the ground below the eagle and rested. All of a sudden, a fox appeared, jumped on the rabbit and ate it.

*Moral of the story*

To be sitting and doing nothing, you must be sitting very, very high up!!!!!!!!!!!!

• Lesson 5

A turkey was chatting with a bull. "I would love to be able to get to the top of that tree," sighed the turkey, "but I haven't got the energy." "Well, why don't you nibble on some of my droppings?" replied the bull.

"They're packed with nutrients." The turkey pecked at a lump of dung, and found it actually gave him enough strength to reach the lowest branch of the tree.

The next day, after eating some more dung, he reached the second branch.

Finally after a fourth night, the turkey was proudly perched at the top of the tree. He was promptly spotted by a farmer, who shot him out of the tree.

*Moral of the story*

Bullsh!t might get you to the top, but it won't keep you there.

• Lesson 6

A little bird was flying south for the winter. It was so cold the bird froze and fell to the ground into a large field. While he was lying there, a cow came by and dropped some dung on him.

As the frozen bird lay there in the pile of cow dung, he began to realize how warm he was. The dung was actually thawing him out!

He lay there all warm and happy, and soon began to sing for joy. A passing cat heard the bird singing and came to investigate.

Following the sound, the cat discovered the bird under the pile of cow dung and promptly dug him out and ate him.

*Moral of the story*

(1) Not everyone who sh!ts on you is your enemy.

(2) Not everyone who gets you out of sh!t is your friend.

(3) And when you're in deep sh!t, it's best to keep your mouth shut!

This ends the 3-minute management course

給辛苦的上班族分享 !!

收到一位朋友的电邮分享了一个这样的故事。

大學剛畢業的時候，某電視公司請我去主持個特別節目，那節目的導播看我文章不錯，又要我兼編劇。 可是當節目做完，領酬勞的時候，導播不但不給我編劇費，還扣我一半的主持費。 他把收據交給我說： 『你簽收一千六，但我只能給你八百，因為節目透支了。』 我當時沒吭聲，照簽了，心想 【君子報仇，十年不晚。】

後來那導播又找我，我還 【照樣】幫他做了幾次。 最後一次，他沒扣我錢，變得對我很客氣， 因為那時我被電視公司的新聞部看上， 一下子成為了電視記者兼新聞主播。 我們後來常在公司遇到，他每次笑得都有點尷尬。 我曾經想去告他一狀，可是正如高中那位同學所說，沒有他我能有今天嗎？ 如果我當初不忍下一口氣，又能繼續獲得主持的機會嗎？ 機會是他給的，他是我的貴人，他已經知錯，我何必去報復呢？

後來我到了美國留學。 有一天，一位已經就業的同學對我抱怨他的美國老闆 【吃】 他，不但給他很少的薪水，而且故意拖延他的綠卡（美國居留權）申請。 我當時對他說： 『這麼壞的老闆，不做也罷。但你豈能白幹了這麼久，總要多學一點，再跳槽，所以你要偷偷學。』 他聽了我的話，不但每天加班，留下來背那些商業文書的寫法。 甚至連怎麼修理影印機，都跟在工人旁邊記筆記，以便有一天自己出去創業，能夠省點修理費。

隔了半年，我問他是不是打算跳槽了？ 他居然一笑：『不用！我的老闆現在對我刮目相看，又升官，又加薪，而且綠卡也馬上下來了，老闆還問我為什麼態度一百八十度轉變，變得那麼積極呢？』 他心裏的不平不見了，他作了『報復』，只是換了一種方法，而且他自我檢討，當年其實是他自己不努力。

大概前五年吧！ 我遇到個有意思的事。 一位老友突然猛學算命，由生辰八字、紫薇斗數、姓名學到占星術，沒一樣不研究。 他學算命，當然不是覺得算命靈驗，而是想證明算命是騙人的東西。 原因是有一位非常著名的大師為他算命，算他活不到四十七， 他發誓，非打爛那大師的招牌不可。 你猜怎樣？ 他愈學愈怕，因為他發現自己算自己，也確實活不長。 這時候，他改了，他跑去做慈善，說： 『反正活不久了，好好運用剩下的歲月，做點有意義的事。』 他很積極地投入，人人都說他變了，由一個焦躁勢利的小人，變成敦厚慈愛的君子。 不知不覺，他過了四十七、過了四十八，而今已經五十三，紅光滿面、生氣勃勃，比誰都活利健康。 「你可以去砸那大師的招牌了！」 我有一天開他玩笑。 他眼一亮，回問我： 『為什麼？』 又笑笑： 『要不是那人警告我，照我以前的個性，確實四十七歲非犯心臟病不可，他沒有不準啊！』 各位朋友！

你喜歡逞強鬥狠嗎？

你總是心有不平嗎？

你有 【此仇不報非君子】 的憤恨嗎？

一點心得 你要知道， 【敵人、仇人】… 都可以 【激發】你的 【潛能】 ，成為你的【貴人】。 你也要知道，許多怨仇、不平，其實問題都出在你自己。 你更要知道，這世間最好的 『報復』，就是運用那股不平之氣， 使自己邁向成功，以那成功和 【成功之後的胸懷】， 對待你當年的敵人，且把敵人變成朋友。 當 『冤冤相報何時了』的 【雙贏】 ， 能成為 【相逢一笑泯恩仇】的 【雙贏】 。 不是人生最大的成功嗎？ 如果你是正確的，你的世界就是正確的。

Jimat dan Senang Kira

Kerajaan Malaysia mengumumkan pengenalan Mekanisme Penggenapan kepada 5 sen terdekat untuk semua pembayaran yang dibuat di kaunter pembayaran berkuat kuasa sepenuhnya pada 1 April 2008.

Mekanisme Penggenapan ini diterima pakai untuk jumlah keseluruhan bil dan bukan bagi setiap unit barangan. Dalam pelaksanaan Mekanisme Penggenapan ini, jumlah keseluruhan bil, yang berakhir dengan 1, 2, 6 dan 7 sen akan diturunkan kepada 5 sen yang terdekat, manakala 3, 4, 8 dan 9 sen akan dinaikkan kepada 5 sen yang terdekat.Pelaksanaan Mekanisme Penggenapan ini memberikan faedah kepada peniaga dan pelanggan.

Para peniaga akan dapat mengurangkan kos pengendalian manakala bagi para pelanggan, pembayaran akan dapat dibuat dengan lebih cepat dan lebih mudah.Jadual di bawah menggambarkan bagaimana Mekanisme Penggenapan dilaksanakan:

History of Unit Trusts

Malaysia introduced the unit trust concept relatively early compared to its Asian neighbours, when, in 1959, a unit trust was first established by a company called Malayan Unit Trust Ltd.
The unit trust industry in Malaysia has therefore a history of more than four (4) decades. The development of this industry can be presented in chronological order as follows:

The Development of Unit Trusts

• The Formative Years: 1959 -1979
  The first two decades in the history of the unit trust industry were characterised by slow growth in the sales of units and a lack of public interest in the new investment product. Only five unit trust management companies were established, with a total of 18 funds introduced over that period. The industry was regulated by several parties including the Registrar of Companies, The Public Trustee of Malaysia, Bank Negara Malaysia and the Ministry of Domestic Trade and Consumer Affairs.
  The 1970s also witnessed the emergence of state government sponsored unit trusts, in response to the Federal Government's call to mobilise domestic household savings.

• The Period from 1980 to 1990
  This period marks the entry of government participation in the Unit Trust Industry and the formation of a Committee to regulate the unit trust industry, called the Informal Committee for Unit Trust Funds, comprising representatives from the Registrar of Companies (ROC), the Public Trustee of Malaysia, Bank Negara Malaysia (BNM) and the Capital Issues Committee (CIC).
  The 1980s marked a significant development in the history of the industry when the Skim Amanah Saham Nasional (ASN) was launched by Permodalan Nasional Berhad (PNB) in 1981. Despite only 11 funds being launched during this period, the total units subscribed by the public swelled to an unprecedented level because of the overwhelming response to ASN.
  The 1980s also witnessed the emergence of more unit trust management companies, which were subsidiaries of financial institutions. Their participation facilitated the marketing and distribution of unit trusts through bank's branch network which widened investor reach.
  The Period from 1991 to 1999
  This period witnessed the fastest growth of the unit trust industry in terms of the number of new management companies established, and funds under management. The centralisation of industry regulation, with the establishment of the Securities Commission on 1 March 1993, coupled with the implementation of the Securities Commission (Unit Trust Scheme) Regulations in 1996 and extensive marketing strategies adopted by the ASN and ASB (Amanah Saham Bumiputera), played key roles in making unit trusts household products in Malaysia. Consequently, the total asset value of funds under management grew more than threefold from RM15.72 billion at the end of 1992 to RM59.95 billion at the end of 1996. The period also saw greater product innovation and deregulation of the industry.
  Although the pace of growth of local unit trust funds has moderated since the financial crisis of 1997-1998, it has nevertheless maintained its upward trend.

• The Period from 2000 to current
  In 2005 the unit trust industry experienced another year of strong growth which saw the net asset value of managed funds capitalising 14.2% of Bursa Malaysia’s market at RM98.5 billion at the end of 2005. Further, the liberalisation of overseas investment rules (such as the increase in overseas investment limit from 10% to 30%) by Bank Negara Malaysia has seen unit trust management companies launching numerous offshore funds or realigning investment strategies of domestic funds to invest offshore up to the permitted limit which resulted in the launch of 10 offshore funds with an intended overseas investment exposure of more than 50%. As at the third quarter of 2006 the number of offshore funds with an intended overseas investment exposure of more than 50% is 38 which is clear evidence of the continued interest by the investing public for a better slice of the overseas market.
  

Public Mutual emerged as the biggest winner for the 5th consecutive year at The Edge-Lipper Malaysia Fund Awards 2008

Public Bank’s wholly-owned subsidiary, Public Mutual emerged for the fifth consecutive year as the biggest winner at The Edge-Lipper Malaysia Fund Awards 2008 by winning 8 of the 20 awards, including the Lipper award for Best Equity Group for 3 years category.
Public Mutual’s Chairman Tan Sri Dato’ Sri Dr. Teh Hong Piow said that he is very proud that Public Mutual continues to win the most number of awards at this year’s The Edge-Lipper Malaysia Fund Awards. “The icing of the cake is this is the fifth straight time that we have done it,” he added.
He attributed the company’s success to its effective investment strategies. He also thanked the fundholders for their confidence and support.
The awards were presented by Y.Bhg Dato’ Zarinah Anwar, Chairman of the Securities Commission Malaysia to Public Mutual’s Chief Executive Officer, Yeoh Kim Hong and the investment team during the award presentation ceremony which was held on 26 February 2008 at the Hilton Kuala Lumpur Hotel.
The 8 awards won by Public Mutual are:

Public Mutual Berhad: Best Equity Group Award, 3 Years

PB Fixed Income Fund
Bond Malaysian Ringgit, 5 years

PB Growth Fund
Best Equity Malaysia Fund, 5 years

Public SmallCap Fund
Best Equity Malaysia Small and Mid Caps Fund, 5 years

PB Balanced Fund
Best Mixed Asset Malaysian Ringgit Balanced Fund, 5 years

Public Ittikal Fund
Best Equity Malaysia Fund, 5 years

Best Equity Malaysia Fund, 10 years

Public Bond Fund
Best Bond Malaysian Ringgit Fund, 10 years

AvoidBoss

世界每天都在改变，人生难免会碰上意外与不测。

人生無常，發生意外，往往令人措手不及，經濟頓時足襟見肘。

請放心，购买意外保險，絕對是您可靠的選擇。

Balanced Funds: A Safer Approach To Investing In Volatile Markets

In times of volatile market movements, it is a challenge for some investors to keep their emotions in check. When markets are in a strong rally, our herd instinct compels us to join the crowd and ride with the upside. But when markets correct, we are prone to sell out in panic. Yet, the wisest thing for investors to do at such times may be to remain calm and maintain a focused approach for their investments. Keeping an investment portfolio that is invested across different asset classes is a sound and effective strategy to ride through periods of adverse market movements.
Stock markets are volatile by nature and as illustrated in recent weeks, extended periods of rising share prices can often be interrupted by sudden bouts of consolidation. In such times, investors with moderate risk profiles should consider holding a balanced fund which is invested in both equities and bonds in near equal proportions. Balanced funds aim to provide income and capital growth over the medium to long term period by adopting a balanced asset allocation approach - 40% to 60% of the fund's Net Asset Value (NAV) is invested in equities while the balance is invested in debt securities and liquid assets. In comparison, equity funds generally have asset allocations of 85% or more in equities and the balance in fixed income securities and liquid assets.
The main benefits of investing in balanced funds are:
1. More Stable Returns: The overall portfolio risk of a balanced fund is reduced because the returns of equity and bond investments are generally not positively correlated. The potentially higher but more volatile returns from equity investments are moderated by the fund's investment in bonds. As a result, the returns of a balanced fund should be less volatile than a conventional equity fund.
2. Rebalancing: Another benefit of balanced funds is that in times of rising markets these funds "automatically" rebalance the portfolio by taking profits on equity investments which have appreciated and rebalancing the portfolio to its original equity: bond asset allocation of 60:40. Thanks to this rebalancing process, the unit trust investor need not worry about when to take profits on their investment.
3. Capital growth: A balanced fund will allow the investor to participate in the long term capital growth of equity markets because a sizable portion of up to 60% of the fund is invested in equities.
In conclusion, balanced funds are suitable for medium to long term investors with conservative to moderate risk reward temperament with a preference for receiving income and a respectable measure of capital growth. Investing in a balanced fund helps unit trust investors stay focused on achieving their long term investment goals without requiring them to evaluate the prevailing market cycle. Once they have selected a well-managed balanced fund in line with their risk profiles and investment objectives, they can be assured that the managers of the fund will take the necessary steps to rebalance the fund on a regular basis.

Q : Which is a better investment ~ stock market shares or unit trust ?

A : When you invest in unit trust, you gain the expertise of full-time professional fund managers. Their investment decisions are based on extensive research, market analysis and vigilant monitoring of the economic and market enviroments. If you invest on your own, you can waste countless hours doing your own research.
Unit trust funds are less risky than investing directly in the stock market. You reduce your risk by spreading your money over a diversified portfolio of assets, which typically includes securities in different companies, sectors, countries or regions.
A unit trust scheme offers you a simple, convenient and time-saving method of investing. You rid yourself of the unnecessary paperwork that come swith managing your own stocks and shares.
The minimum initial investment amount in most unit trusts is relatively low, making them more affordable than direct investment in securities.

年末，工作人請問問自己──是雞還是豬？

有一天，一隻雞和一頭豬去逛街，在路上遇到有人賣美式早餐（基本形款是兩個蛋 + 培根+ 麵包+ 咖啡），每份售價是一美元。雞看了，覺得很便宜啊！轉頭問豬，豬卻說很貴很貴！

為什么？

分別在於，雞一天下一個蛋，兩天生產兩個蛋，就足夠應付一份美式早餐的需求，毫髮無損。
豬可不一樣了，一片片的培根，卻是豬賠了老命換來的，跟下蛋的雞比起來，豬當然覺得美式早餐很貴啊！

其實，故事要表達的，是企業里兩種員工的心態，雞提供勞務換取所需，但是不賣命，這樣的員工是屬於 "Contribution "（貢獻）類的打工型（通是中下階層員工）。豬則是屬於"Commitment "（承諾）一類，就是為了公司好，命賣掉也在所不惜的死忠型（多半是高階主管）。

公司里，如果員工都是雞，就會有流動性高、無法長期經營、應付激烈競爭的問題；假如豬太多，很容易造成內鬥嚴重、沒有活力，到頭來變成一灘死水，無法創造新局。

所以，每家企業必須找出正確、適當的豬和雞的比例，才能應付生存的挑戰。

＊以上為城邦出版集團雜誌專欄文章

KLCI surges past 1,000 points to hit 6 1/2-year high

Malaysia's key stock index surged past the 1,000 psychological barrier Tuesday to hit a 6 1/2-year high on renewed interest from foreign and local funds.
The Kuala Lumpur Composite Index of 100 blue chips rose 1 percent to 1,003.28, the highest close since March 2000.
Dealers said the market may strengthen over the next few days as institutional funds appeared to be snapping up stocks in potentially high earnings growth sectors such as construction and plantation.
Among the biggest movers, plantation firm KL Kepong soared 4.8 percent to 13.10 ringgit and IOI Corp. was up 2.2 percent at 18.40.
Conglomerate YTL Corp. gained 3.7 percent at 5.65 ringgit, MMC Corp. surged 8.9 percent to 3.66 after it landed a project in Saudi Arabia and Malaysia Airlines rose 5.7 percent to 3.70.

Bonds can provide good returns, too by YEOH Kiat Seng

A common misconception among most retail investors is that bond investing is only for the very rich, very old or very conservative.
Actually it takes only RM250,000 to invest directly in bonds, while for RM500,000, you can have a bond portfolio managed by professionals.
Not exactly pocket change, but certainly affordable to those who are priority banking clients. Investing in unit trust bond funds of course starts with only RM1,000.
Bonds today are far from being a household investment among retailers, with most Malaysians remaining fixated on equities. As fixed deposits are deemed sufficient for savings needs, bonds are left to straddle the “no man’s land” between the two.
This is quite a shame as bonds hold so much promise in catering to the needs of investors, conservative or otherwise.
Yet its potential remains largely latent, as the penetration of bond ownership among Malaysians, even those with high net worth, remains very low despite the pace at which the bond market has developed.
Bonds work on the principle that by disintermediating banks i.e. bringing borrowers and lenders together and cutting banks out as the middlemen, the spreads that the latter earns are also carved out and shared between the two.
Consequently, the investor earns a higher yield and the borrower enjoys a lower borrowing cost.
This ability to generate a higher yield traded off against a slightly higher risk, accords bonds their biggest appeal. For investors who can afford to hold bonds to maturity, the main risk is credit risk, risk of issuer defaulting on interest or principal payment. This may be higher than that of a bank, although not necessarily always so.
The risk gap between bonds and fixed deposits (FDs) is often not that wide. Historically, the incident of default for A-rated bonds has been insignificant except for a spike in 1998 during the Asian crisis.
Default of AA bonds is extremely rare, while AAA bonds have never defaulted before. Given these favourable odds, credit risk can be reasonably managed with proper selection and monitoring.
In many ways, bonds are very similar to FDs. Both are fixed-income instruments – returns are known in advance if held to maturity. They provide regular income and depending on the bond rating, are able to satisfy the principal protection needs of investors, at least for the conservative part of their portfolio.
In my opinion, bonds are close substitutes for FDs, yet better on several counts. Returns are almost always superior, providing an inflation hedge. Also, investors are able to strive for higher yields by assuming credit or interest rate risks.
FD rate differentiation among banks tends to be fairly low, and even with longer tenures, the yield pick-up is usually not substantial. Further, interest from bonds is tax-free for individuals, unlike FD interest where there is a 5% withholding tax for FDs of more than RM100,000.
Investors who need to borrow money can pledge their bonds as collateral for loans, similar to FDs. The advantage though, is that they can actually make money by doing so via a reverse repo facility, using the proceeds to invest back in bonds and earn a yield higher than borrowing cost. He cannot make such a gain putting the money in FDs.
Bond investors who need to raise funds by selling their bonds will not lose out on interest accrued up to the date of sale, as the interest is built into the selling price. Fixed depositors will, however, lose the bulk of their accrued interest if FDs are uplifted early.
There are, however, some areas aside from credit where bonds are riskier than FDs. Investors who sell their bonds instead of holding them to maturity face interest rate risk i.e. the possibility of the bonds’ value falling when interest rate rises.
This risk has traditionally been manageable given our stable interest rate environment, save for the Asian crisis. Investors who do not sell their bonds will not incur realised losses, but there would be an opportunity loss as they could have obtained higher yields buying the bonds later.
Another risk faced by bond investors is liquidity risk. Because some bonds are not actively traded, there are occasions when investors cannot sell simply because of a lack of demand.
Once again, this risk crops up only if the investor has to sell pre-maturity or if he intends to trade in bonds rather than have a buy-and-hold strategy.
Because there is volatility in bond prices unlike FDs, it is an investment rather than a savings instrument. Just as there is a risk of bond values falling when interest rate rises (or credit quality deteriorates), there is also an opportunity to gain when interest rate falls (or credit quality improves). Investors who can time the market can enhance their return beyond simply earning a yield from holding bonds.
Given the widely shared belief that our interest rates have peaked or are close to peaking, interest rate risk is currently low compared with before. If anything, there is probably a greater likelihood of bond values rising when interest rates start to soften over time.
One can also invest in bonds via unit trusts and discretionary funds. The former’s advantages are that it requires only a small investment for investors to afford diversification and professional management.
The additional risk though is the volatility of returns during periods of massive redemptions. Investing via discretionary bond funds helps overcome this disadvantage, but the minimum investment is higher.
Bonds offer one of the highest returns per unit of risk as one moves up the risk-return curve.
I believe ownership of bonds by individual and corporate investors is likely to grow significantly over time as conservative investors grow increasingly aware of its benefits, while moderate to aggressive investors learn to appreciate that bonds and equities are not mutually exclusive in a portfolio but should co-exist to achieve diversification.

IN this article, CIMB Private Banking YEOH KIAT SENG demystifies bonds and reveals why Malaysian investors, conservative or otherwise, should not shy away from an instrument that has strong potential for good returns.

When There's a WILL...

We all know we should do it but more than 80% of Malaysians over the age of 18 have not written a will. What is more shocking is that more than 80% of parents with children below the age of 18 do not have a will. This means that should anything happen to one or both parents, thier children are not provided for financially. And there is no legal guardian for the children.

COMMON EXCUSES GIVEN FOR NOT WRITING A WILL:

• I'm still young, I'll write it when I'm older.


• My spouse will know what to do.


• I don't have anything of value to leave to my family or I'm not rich so I don't need a will.


• I don't know what to do or who to ask.


• If I write my will, then I'll die faster.


• I don't have time to do one now, maybe later.


• Wills are only for the erderly, the sick or the dying.

WHY DO YOU NEED TO WRITE A WILL?

• To control your property and family after you die.


• Allows you to designate the guardian of your child(ren) after your death.


• Appoint the appropriate person to administer your estate to your beneficiaries.


• If you without a will, it takes long time to sort out your estate and this delay may cause financial hardship on your family members.


• Avoid legal tussles on who has claim on your property and your children.


• Do not assume that if you die without a will, your assets will automatically go to your spouse and children. Your parents and siblings may have a claim too.

WHEN YOU DECIDE TO WRITE A WILL, YOU WILL NEED TO:

• Make a list of all the people you would like to name as beneficiaries.


• Make a list of all your assets - property, bank account, business assets, shares in public listed companies, foreign assets, insurance policies, etc.


• If you have made an earlier will, then you will have to revoke any previous wills.


• Provide directions on your wishes for your funeral - it is not incommon for family members to argue over which religious ceremony should be followed where the members are of different religious denominations.


• Decide whoshould be your executors (If this is an individual, there should be more than one, in the event that he or she dies before you), trustees and witnesses.


• Decide on who you and your spouse would like to appoint as your children's legal guardian and ask them to agree to this appoinment. It is an idea to have alternatives, in the event that the first choice is no longer available to carry out the appoinment.

DID YOU KNOW?

• Marriage revokes a will that was excuted prior marriage.


• Conversion to ISLAM revokes a will, the estate is then governed by Syariah Law.


• If you die with no relatives and no will, your estate goes to the Malaysian Government.

TOP 10 Money Rules

• Save your money and get interest. Work to make money at the same time.
• Always have and work towards a financial goal. Adjust your goals as necessary but never abandon them.
• Begin a retirement and investment account now. The earlier you start a long term savings/investment account, the bigger the payoff in the future.
• If you don't have the CASH to pay for it, you can't afford it. Bring able to make the instalment payments doesn't mean you can afford it.
• Money isn't everything and greed is not good.
• Save at least 10% of each and every paycheque. Force yourself to do this. It will pay off in the LONG run.
• A sale in a store is not a sale if you can't afford it.
• Earn some, save some, spend some.
• Spend less than you earn.
• If your outflow exceeds your income, your upkeep will be downfall.

June 2006 Market Review and Outlook

KLCI Continues to Ease with Regional Markets

Commencing the month at 930.4 points, the KLCI fell amidst continued declines in regional markets to its year low of 883.2 points in mid-June. However, a rebound in global and regional markets towards the end of June helped the KLCI to close at 914.7 points for a reduced loss of 1.4% for the month of June 2006.

Regional markets closed on a mixed note as concerns of excessive tightening of U.S. monetary policy by the U.S. Federal Reserve diminished. A rebound on Wall Street caused selected regional markets to stem earlier losses in late June. South East Asian markets generally closed weaker while North Asian markets managed to register marginal gains in June.

On Wall Street, the Dow also eased to near its year low of 10,667.4 points in mid-June on concerns of further interest rate hikes before rebounding to 11,150.2 points, down by a marginal 0.2% for the month. The Nasdaq closed 0.3% lower at 2,172.1 points over the same period.

Malaysia’s export growth slowed to a 9-month low of 6.3% in April from 9.5% in March and 11.9% in 1Q2006 due to slower exports of electronic & electrical and commodity products. Likewise, import growth also eased to 11.4% in April from 14% in March on weaker imports of capital and consumption goods. As a result, Malaysia’s trade surplus narrowed to RM7.2bil in April from RM9.6bil in March. The cumulative trade surplus for the January to April 2006 period of RM33 bil is about the same level as the previous corresponding period in 2005.

Domestic demand remained resilient with consumer loans growth moderating slightly to 17% in May from 18.6% in April as demand for vehicle financing weakened amid uncertainty over the outlook for car prices. The banking system’s overall loans growth remained stable at 8.9% in May on the back of firm demand for corporate loans.

Malaysia’s foreign reserves rose by a bigger margin of RM10.5bil in May to RM289.5bil as at 31st May compared to an increase of RM7.4bil in April. The increase in reserves is attributable to higher repatriation of export earnings and net capital inflows.

The local inflation rate eased to 3.9% in May from 4.6% in April as transport costs rose at a slower pace of 12.4% in May compared to 16.9% in April. However, the inflation rate is expected to remain high in coming months following Tenaga’s hike in electricity rates with effect from 1st June.

On the international front, economic activities in the U.S. show signs of moderating with the U.S. durables goods order growing at the slowest pace in 10 months of 3.3% in May from 10.8% in April following a sharp fall in civilian aircraft orders. However, consumer confidence as measured by the Conference Board rebounded slightly to 105.7 in June from 104.7 in May due to expectations that the business outlook and the job market are likely to improve.

The U.S. inflation rate rose to a 7-month high of 4.2% in May from 3.5% in April due mainly to higher fuel prices while core inflation (excluding food and energy) edged up to a 15-month high of 2.4% from 2.3% over the same period.

The Federal Reserve raised the Federal funds rate for the 17th time by 25 basis points to a 5-year high of 5.25% at the FOMC meeting on 29th June. Although the Federal Reserve stated that economic growth is moderating from its strong pace earlier this year, it noted that some inflationary risks remain and the outlook for interest rate policy will depend on the incoming data.

On the currency front, the U.S. dollar strengthened by 2.8% against the Euro and 4% against the Yen respectively in June on expectations that U.S. interest rates will continue to exceed interest rates in Europe and Japan. The U.S. dollar also appreciated versus other regional currencies amid the recent correction in emerging markets. The Ringgit eased by 1.5% to RM3.69 against the U.S. dollar for the month. Meanwhile, oil prices moved in a trading range around the US$70/brl level in June before ending the month unchanged at US$71/brl.

Stockmarket Outlook
The sharp correction in global and regional financial markets in May and June was triggered by concerns that an overtightening of U.S. monetary policy by the U.S. Federal Reserve could lead to a sharper-than-expected slowdown in the global economy. After making 17th consecutive hikes in interest rates, the U.S. Federal Reserve may be reaching the end of its monetary tightening cycle with a potential pause in interest rates after another potential hike at the 8th August FOMC meeting.

Despite concerns over the effect of tighter monetary policies, global economic growth is still expected to be sustained at between 4% and 5.0% this year compared to 4.8% last year. The anticipated slowdown in U.S. economic growth could be mitigated by the current strengthening of the Japanese and Euroland economies while China continues to grow at a strong pace.

On the regional front, economic growth is expected to moderate in most Asian economies in 2H2006 as global demand for manufactured exports weakens in tandem with the anticipated slowdown in the U.S. economy. However, selected regional economies with a significant domestic sector may be able to mitigate any slowdown in the external environment. On the valuations front, the recent sell-down in regional markets has sufficiently discounted the risk of overtightening by the U.S. Federal Reserve as valuations of selected regional markets have reached fairly attractive levels.

On the local front, Bank Negara is expected to maintain a tightening stance on monetary policy to keep inflationary pressures under control and ensure that real interest rates remain positive. However, the anticipated hikes in domestic interest rates in 2H2006 are expected to be moderate given the prospect of a peaking in U.S. interest rates by August 2006 and the high levels of liquidity in the banking system.

Despite the challenging external environment, Bursa Securities is a defensive market underpinned by fair valuations and reasonably attractive dividend yields. Bursa Securities’ P/E rating of 14.7x 2006 earnings is 17% below the 7-year historical average (1999-2005) of 17.7x. The market is underpinned by a gross dividend yield of 4.5% which compares favorably to Ringgit fixed deposit rates for less than a year’s tenure.

Benefits of Investing in UNIT TRUST

Unit trust funds provide you with a simple, convenient and less time-consuming method of investing in securities compared to investing directly in the stock market or any other eligible market. As an investor you are able to benefit from the expertise of full-time professional fund managers without the need to worry about what kind of securities to buy and when to get in and out of the market. By investing in unit trust funds, you have the opportunity to spread your money over a diversified portfolio of assets which otherwise may not be possible on your own.
In brief, the benefits you will get to enjoy with unit trust investment are:

Professional investment services
Diversification opportunities and minimised risks
Affordability
Convenience
Liquidity

Note: Any investment carries with it an element of risks. Therefore, prior to making an investment, prospective investors should consider the risk factors.

The PRESENT

The Gift that Makes You Happy and Successful at Work and in Life.

by Spencer Johnson

The PRESENT is not the past and it is not the future. The PRESENT is the PRESENT moment. The PRESENT is now!

The Financier QUOTES

There is nothing so comfortable as money, - but nothing so defiling if it be come by unworthily; nothing so comfortable, but nothing so noxious if the mind be allowed to dwell upon it constantly. If a man have enough, let him spend it freely. If he wants it, let him earn it honestly.

Anonymous

With money and wine, you will have many friends, but when you are in trouble, will you see even one?

Chinese proverd

When it comes to money, it's better to do nothing than to do something you don't understand.

Suze Orman

The easier way for your children to learn about money is for you not to have any.

Katharine Whitehorn

Happy New Year

2006

Wealth Accumulation Insurance

Not all of us are born with a silver spoon. Many believe that low and moderate income families cannot afford to save and build wealth. Yet, everyone has the ability to accumulate wealth over time. Through contributions to a retirement program, education investments, and other savings during their working years, most can accumulate six-figure assets. Accumulating wealth is not a mystery. It simply takes time, patience and the following7 steps:

• Think long term and have realistic goals.
• Know your risk appetite.
• Start immediately.
• Invest systematically/regularly.
• Diversify your investments.
• Take advantage of tax reduction strategies.
• Stay on the course.