fresh grad investments

[larry]

Dear all,

I am a fresh graduate at 27 which is very old. I am trained in the sciences and have little training in monetary investments. Now I realized if I don't get started now, I would possibly end up very poor or even broke in old age. May I know how do I get started? I searched around online but there are too many investment companies e.g. phillipscapital, optionxpress. Read books by adam khoo too but is abit confused about all the stuffs on investments stocks, ETF, index funds.

My goal is to continue my career in research science and will be taking a passive approach on investments, hopefully to get 5-7% returns per annum. I wonder what could be the best way to get started? Thank you.

Originally Posted by larry

Dear all,

I am a fresh graduate at 27 which is very old. I am trained in the sciences and have little training in monetary investments. Now I realized if I don't get started now, I would possibly end up very poor or even broke in old age. May I know how do I get started? I searched around online but there are too many investment companies e.g. phillipscapital, optionxpress. Read books by adam khoo too but is abit confused about all the stuffs on investments stocks, ETF, index funds.

My goal is to continue my career in research science and will be taking a passive approach on investments, hopefully to get 5-7% returns per annum. I wonder what could be the best way to get started? Thank you.

Aim not to lose money first.

So many people around me had to pay "school fees" in the learning process....

Simple tip for you: buy some good stocks (e.g. Singtel, Starhub, Sembcorp, Keppel) when their prices are depressed (coming soon!).

Originally Posted by larry

Dear all,

I am a fresh graduate at 27 which is very old. I am trained in the sciences and have little training in monetary investments. Now I realized if I don't get started now, I would possibly end up very poor or even broke in old age. May I know how do I get started? I searched around online but there are too many investment companies e.g. phillipscapital, optionxpress. Read books by adam khoo too but is abit confused about all the stuffs on investments stocks, ETF, index funds.

My goal is to continue my career in research science and will be taking a passive approach on investments, hopefully to get 5-7% returns per annum. I wonder what could be the best way to get started? Thank you.

Rule #1 - Never ask for investment advice online, 80% garbage 15% generic statement that mean nothing 5% useful. Worst thing is you can't tell which is which.

Originally Posted by Unregistered

Rule #1 - Never ask for investment advice online, 80% garbage 15% generic statement that mean nothing 5% useful. Worst thing is you can't tell which is which.

Yup. Best is to consult with a "financial consultant". Pay him and he'll give you the best advice ever.

Originally Posted by larry

My goal is to continue my career in research science and will be taking a passive approach on investments, hopefully to get 5-7% returns per annum. I wonder what could be the best way to get started? Thank you.

With the equities and currency markets in turmoil, and banks paying less than 1% interest per annum for your deposits, where do you get "5-7% returns per annum" besides an HDB resale flat in a mature estate, which's price is sure to go up according to the government.

[paymemore]

i'm just like u, armed with an engineering degree. but not too old to start investing. i entered into the finance sector and learnt plenty of stuffs.

the only person who can grow your wealth is you yourself. Read up on articles, SGX - Singapore Exchange Ltd is a good place to start. if u want to go for high risk, trade forex and read up forex articles. if you wan to go slow, buy a few unit trust funds and read up about funds. it's ok to pay sch fees, and u will end up learning stuffs tat's never taught in text books.

[larry]

Thanks for all the kind advice. One thing if I want to start out, should I go to some financial planner or wealth management company so as to draw up an investor profile or something? I am intrigued by this ETF which I read, its low costs albeit with investment risks and is preferred by investors who are looking it in long-term.

Originally Posted by larry

Thanks for all the kind advice. One thing if I want to start out, should I go to some financial planner or wealth management company so as to draw up an investor profile or something? I am intrigued by this ETF which I read, its low costs albeit with investment risks and is preferred by investors who are looking it in long-term.

Things are nowhere as simple as you think. There are many financial professionals as well as affluent uncles and aunties who pursue investment as a life long study, participate in the markets for decades or manage monies daily for a living and they still haven't reach a consensus on how best to invest.

That's because investment is more art than science and individuals will have different beliefs, experience, guiding philosophy and strategies in profiting from the market.

Anyone who comes to you with straight forward absolute "rules" is either inexperienced in the markets or spouting sound bites that he has no understanding of. Some of the soundbites widely spouted as "truths" include:

- risk level is highest for derivaties followed by equities followed by corporate bonds
followed by soverigns

- XXX instrument is for long term, YYY instrument is for short term

- Hang around brokers, bankers etc. for inside info

- Buy & hold is the best

- Trade with the trend

- Trade against the trend

- Buy stocks with PER or PBR or any other valuation metric below a threshold

- Blue chips are the best

- Higher dividend yield is good

- XXX technical indicator is the best

- Buy this country, but that coutnry, buy this industry, buy that industry etc.

- Don't sell during downturn because you are long term investor

- Leverage is good

- Leverage is bad

My only advice to you is this, read up as many different books & articles on the subject as you can. Talk to as many experienced people as you can. Talk to professional advisors if you want, but don't be in a hurry to buy their products.

Once you have at least minimal awareness of the different schools of thought out there, put some money you can afford to lose and try out those that seem to appeal to you. Do not hesitate to explore other strategies if your chosen way does not work at first.

With luck, you might be able to figure out a fairly consistent investment strategy that is unique to you in less than 10 years.

Originally Posted by Unregistered

Yup. Best is to consult with a "financial consultant". Pay him and he'll give you the best advice ever.

Thats one of the worse advice ever...

Never trust your money in any one, all those so call experts out there may not even know more than you. You have a degree, go read up and learn. I learn financial management from books and the internet. Experience is most important, test your methods in actual markets, share and discuss ideas with like minded. Once you get the hang of it, its not that difficult to tell which are good advice and bad advice.