Tuesday, January 15, 2013

Money Not Enough #1

Five years pass after my first exposure in the stock market. Year 2003, life changed, I have more debts now than years before. Paying my debts totaling RM2.3K monthly came from car, house and credit card! This left behind RM1.2K for my expenses (deducting insurance payment, petrol, tolls, household usage, utilities bills, foods and some personal spending) and saving (can I save?)!

My investment values now turn even worse than five years before from RM5.5K now stood at RM3K. TANCO now 20cts and MULPHA now 40cts. I was hopeless, stock market really killing me. There is no use for long term investment. It has been five years but what I see now? The values of the shares going down and not going up! For newbie or ordinary investor, I will not going to lost such big money by selling out the shares. The only way is to hope for it to raises back to the price where I buy previously which in this case TANCO RM1.9x and MULPHA 1.3x.

I started to look for alternative side income. I started to join direct sales, become insurance agent and unit trust agent. From this business I generate a monthly income of RM1.5K. I was satisfied with the income as part timer. At least I have room for breathe now for my expenses (if any) and saving. During initial stage as unit trust agent, I have been attending training, seminar and talks about market. I slowly understand but not really in full on how the overall market trend works. The training or seminar is about general market and funds knowledge, marketing, motivation and products. Most of the time when approaching my clients I follow what my senior advise - when market up BUY, when market down BUY or switch to low risk funds or bonds. Well, this is the way we earn commission.

There is one training I attended that totally change my view at the stock market. The presenter said “Why we need fund manager to take care of our client investment? If we invest by our self, this will be dangerous for us as we did not know when the stock is going up or down and which price is the best price to buy and sell. The fund manager are the only professional licensed and trained individual who know and able to look after your investment.” With this statement I am asking myself, can I be a fund manager? 

I asking my senior for clues and they said it is not an easy path. You need to be a CFA (Certified Financial Analyst) or have at least 2 years in financial industry and finally need to sit for exam of few modules from Securities Malaysia before get certified. My face was splash with cold water. How can I afford to forgo my current job and start fresh in financial industry? I will not even afford to live with that!

To be continue...

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