MONEY MOVES MALAYSIA

How Insurance Can Mislead You Into Expecting Financial Returns You May Never Get You can watch it in the YouTube video below to get the info being shared in this blog: Is Insurance an Investment? The Truth You Need to Know Insurance is a crucial financial tool, but is it an investment? The short answer—No, it’s not! However, many people believe otherwise due to how some policies are marketed. In this article, we’ll break down why insurance is not an investment, examine different insurance plans, and discuss whether Investment-Linked Plans (ILPs) are truly beneficial. Understanding Insurance: Protection, Not Profit Insurance is designed to manage risk, not to grow wealth. When you purchase an insurance policy, you pay a premium, and in return, the insurance company promises financial coverage in case of an accident, illness, or death. Insurance is meant to serve as a financial safety net. If you don’t make a claim, that’s actually a good thing—it means nothing bad happened. However, if ...

Protecting Your Retirement Against Inflation in Malaysia’s Economy The effect of inflation to retirement fund In Malaysia, many people are waking up to a harsh reality: inflation is eating away at their retirement savings , leaving them with much less than they had anticipated. What many don't realize, however, is that this problem has deeper roots—roots that stem from a lack of financial education and poor decision-making . For years, the Employees Provident Fund (EPF) has been the cornerstone of retirement savings for Malaysians, but in the face of inflation, the value of money saved in EPF has significantly diminished, making it less effective in securing a comfortable retirement. This issue is compounded by inflation , which not only erodes the purchasing power of money but also contributes to the rising costs of living. Together, they form a perfect storm, leaving many Malaysians vulnerable to a retirement disaster. How to beat inflation in Malaysia The content of this blog i...

Debt: A Tool for the Rich, a Trap for the Poor? Debt: A tool for the rich Introduction We've all heard the saying, ‘Debt is bad’. But is it always true? While it's often demonized, debt can be a powerful tool when used wisely. In fact, many wealthy individuals leverage debt to accelerate their wealth accumulation. So, why does it seem like debt is a trap for the poor? Let's dive into the nuances of debt and how it can be used to your advantage. Leverage: The Power of Other People's Money One of the most powerful tools used by the wealthy is leverage. Simply put, leverage is the use of borrowed money to increase potential returns. Imagine you want to buy a house worth RM500,000. Instead of saving up the entire amount, you could take out a mortgage of RM400,000 and use your own savings of RM100,000 as a down payment. If the property value appreciates by 10% over the next year, you'll gain RM50,000. But since you only invested RM100,000 of your own money, your return o...