Setting up Your Own Business – an Exciting New Business Form

Thinking of becoming your own boss?  What form will it take – sole proprietorship? Sdn Bhd?  Each has its pros and cons. The former is cheaper to maintain with less administrative work – no need for company secretary, SSM rules, annual accounts and audits – but the risk of the business will be introduced into your personal assets.

In 2012, a third option which combines the flexibility of the sole proprietorship with the ringfencing of risks of the Sdn Bhd was gazetted.  The Limited Liability Partnership (“LLP”) has arrived on Malaysian shores.  Continue reading “Setting up Your Own Business – an Exciting New Business Form”


Want to Retire Now. Can You? Check Here

Friends whinge they have to keep working, put up with bosses from hell, fickle clients, unreasonable deadlines, uncommitted staff, etc, etc. These are professionals at the top of their game, earning big bucks with money in the bank and more than one property to their names. So throw in the letter. Hell, no! We can’t afford to! Commitments!

Rather than arguing back and forth, I decided to come up with a quick calculation for people to see if they can retire, now.

Continue reading “Want to Retire Now. Can You? Check Here”

Should EPF Raise the Withdrawal Age to 60?

What happens if:

  • I retire at 55 because that’s my company’s retirement age
  • I had planned to retire at 55 all this while
  • I lose my job at 50+ and every company I apply to says I am too old. Succession plan, you know.
  • My family is plagued by hereditary illnesses and based on my family history, I don’t expect to live past 60.

Continue reading “Should EPF Raise the Withdrawal Age to 60?”

Should You Buy Unit Trusts?

I was prompted to write this article because I came across someone’s post on linkedin to advertise his unit trust. “Potential return of 12-16% compared to average of 4-6% for EPF.”

The key word here is potential. When agents sell unit trust, they will appeal to your greed on higher return compared to EPF or FDs. It is inappropriate to compare unit trust return with EPF or fixed deposit. They have different risk profiles! Potential return can also be potential loss.

The more suitable proxy is whether you can generate similar or higher returns by investing yourself in shares or retail bonds than the fund managers after deducting their fees and transaction costs.

Continue reading “Should You Buy Unit Trusts?”

It’s all about the bonds

Did you know that you can make a whole lot more from bonds than from shares?  This applies to people with bad intentions too.  People who want to “take money out” from the company they want to, er, exploit.  And, it is much more difficult to trace and  definitively prove the wrong-doing.  After all, the argument of willing buyer willing seller can always be relied upon.

So, how can this daylight shenanigan be perpetrated?

Continue reading “It’s all about the bonds”