Why Gold and Silver? Why Online Store?

Are you first time gold and silver buyers? Why don't you invest in these popular metals? If you did so, you have had a wonderful investing experience after 2008 global financial crisis. But, do you really understand these metals? Were they really precious (especially now)?

Traditionally, gold and silver were one form of exchange. Because of the invention of fiat money, they were being turned into some short of "back-up" currency, in case our fiat money system go burst. It's natural when things go wrong, gold and silver tends to appreciate in value. In other words, people hold precious metals to preserve the value of their assets.

3 Reasons Why Gold and Silver...

1. Still hot in demand, especially by emerging affluent Chinese. Traditionally, Chinese loves gold. They bought it for events such as new born baby, new year, wedding and even funeral ceremony.
2. Strengthening USD ??? Yes. It's a correct reason also. Why? Because of news that US going to stop QE3, USD is strengthening so much. But, we must not forget that Europe is still printing money. Then, how about Japan who jump into the bandwagon of money printing?
3. Simply for portfolio diversifying purpose. As a rule of thumb, 10% of our investment portfolio should allocate to precious metals like gold and silver. When everything goes haywire, precious metals tends to react reversely positive.

Alternative Distributing Channel...

Other than the commonly seen channel like banks and goldsmiths, have you ever think about online purchase? Why?

1. Normally, it's cheaper because it does not need to open a shop and employ security guard.
2. Convenient. You can view and select with the pleasure of your time, comfortably at home.
3. Safe delivery. It's depend. But, I will feel safer if it delivers to my doorstep, instead of going to purchase at goldsmith. Do you know someone might be following you?

Of course, some of you may skeptical about the reliability of the online store. You may try it with small purchase first (test the water before diving in). On this matter, one of the most popular online store in town was SilverMalaysia.com which already features in major dailies with wide media coverage. You may open an account, then explore further.

* Finance Malaysia Blog DO NOT holds any form of liabilities regarding the recommendations. Investors are advised to read and understand the terms and condition thoroughly.

Update: Gold Price Outlook (May 2013)

Would you cut loss? Would you cost averaging? Or, would you accumulate at current level? These are a few questions from Gold investors since March 2013. What a difficult questions to answer... Here is our view on gold prices currently:

Our answer is to cost averaging or accumulate now, and hold it at least until September 2013. Why? Let's read on...

Lately, there is some good signs which favors gold prices in the short term:

1. Federal Reserve chairman signaled records stimulus will continue until economy improves.
2. Physical gold demand has surged after mid-April drops, especially from Asian consumers and central banks.
3. US debt ceiling issue will be discussed again in September 2013, in which congressman will most likely to increase again, thus, printing more money.

If you're a technical guy, then let's look at the chart above.

A 'Double Bottom' pattern was formed and gold prices may rebound very soon. It will be a gain of almost 8% if it surges towards 1,500 level. That may not sound sexy, but, what if this occurs in June alone? One month 8% gain enough for you? Anyway, if we look at the chances of gold prices going up versus going down, which side got more potential?

Finance Malaysia blog is only giving all of you readers to have a good discussions here. Any comment?

Maybank Silver Investment Account

After the successful launching of Gold Investment account, Maybank had come out with another innovative option for mass market --- Silver Investment Account. This would be part of its portfolio of precious materials being offered to consumers. Yes, Maybank was the 1st bank in Malaysia to offer a silver investment passbook account, allowing deposits and withdrawals in silver at a daily price in ringgit at any of its branches nationwide.

How about the return? Of course, it all depend on the silver price fluctuations. For ease of recording and maintenance, all the transactions would be recorded in the customer's passbook. It's simple, transparent and affordable.

More about "Silver Investment Account"

Who can apply?

• Individuals aged 18 years and above
• Joint account - maximum 4 persons

Key Features of Maybank Silver Investment Account:

Benefits:

• A great way to increase the degree of portfolio diversification
• A better security against inflating economies
• It is convenient to manage your investment with your passbook
• Start right away with an affordable initial purchase

Why affordable?

Let's take the silver selling price of RM2.93 per gram (as at 9th July 2012) multiply with minimum 20 grams, it only cost you RM58.60 to kick-start your silver investment portfolio. Please add-in one off RM10 stamp duty to open the account.

Finance Malaysia Blog thinks that this is a very innovative products being offered to investors to diversify their investment portfolio to include silver as another asset class. This type of account brings us the ease of investment, forget about the hassle of trading silver. Happy investing!!!

Source: Maybank website

Want to know more about the tricks and strategy of Silver Investing in Malaysia, click here for the Silver Investment eBook...