Being a Malaysian, I realized that it is really hard to invest online. Firstly, there are many online investment scams and the Malaysian law is rather strict when it comes to investing online. This guide is created to share some lights especially with investing online for Malaysian.
Understanding online investment in Malaysia
There are many (and I seriously mean many) online investment platforms in Malaysia. Do a search for "investing online for Malaysian" and you will be greeted with this familiar sight.
There are pretty much 26.9 million search results which is pretty crazy. And of course, I'm thankful for you landing on this post of mine. I'm truly humbled!
What is online investing in Malaysia?
Instead of getting a broker and buying stocks from the share market in Malaysia, you invest your money on one or more trading platforms. In this case, it means that your buying and trading will be done in the online world, with the help of the Internet.
Is online investing in Malaysia safe?
Everything has risks and the same goes to investing online for Malaysians. You should pay even more attention for online investing because every transaction happens online—thus, the risk of scam is way much higher.
How to know if the online investment platform is a scam?
Typically, I would look at their payout mechanism and the number of feedback they have in the online world.
The access to Internet allows us to find the deepest lies (in this case, scam) by these online trading platforms. You can use Google by searching using the advanced search "online investment platform" + "scam". You may also search for "online investment platform" on Facebook or Twitter to determine the legibility of the platform.
Another way is to understand the earnings mechanism. Always remember that when it comes to online investment for Malaysian, too good to be true is a God-given sign to 'run away'.
What is the best platform for online investing for Malaysian?
My personal favorite is eToro (a social trading and multi asset brokerage company that has registered offices in Cyprus, Israel and the United Kingdom).
Apart from being a reputable online trading platform, I choose eToro because of it's deposit mechanics. Once you verify yourself with a scanned copy of your utility or credit card bills, you can start trading as low as with a deposit of USD $200. In other words, it's around RM 1,000.00 after the conversion.
For those of you who wants to try out online investing without spending money, you can also use eToro virtual training where you are given $100,000 credit to familiarize yourself with the platform. Of course, it is just a demo version and thus, no real money transaction will occur (and you don't have to deposit a single dollar).
Here's a screenshot I've taken just moments ago.
As you can see, I invested (virtually) in stocks and I made the most money investing in cryptocurrency. There's where I made a profit of $54,562.82 (I was given $100,000 worth of virtual currency to test out the demo).
How to start investing on eToro? A simple guide for online investing for Malaysians.
Firstly, you need to create a free account on eToro (click here to sign up). The process involves performing a detailed verification and this includes updating your profile, answering a few questions and finally, uploading a copy of your utility bill (to prove that you are real). The verification could take up to 5 days but mine was approved within two hours.
Once your account is verified, the next step is to perform a deposit. Deposit varies based on your nationality and as a Malaysian, I'm required to deposit a minimum of USD $200 to start an account.
On eToro account or dashboard, click on the blue button on the left (Deposit Funds) and you can choose the type of payment method using the drop down button.
Investing online for Malaysian and make money? Is that possible?
Lastly, the most important question to date. How can you make money by investing online in Malaysia?
While there is no easy way to make money online, the framework to success is rather simple using Warrent Buffett strategy.
Want to make money in online investment? Always remember to buy when people sell, and sell when people starts buying. Do this often enough and you will be making more money than you can imagine (with minimum or no losses at all).
Are you ready to start online investing in Malaysia?
I hope that you will find some jewels in this guide on online investing for Malaysian.
Are you an online investor? Leave a comment below and tell me what you think.