Make Your Money Work for You: How to Grow Your Investment Dollars - Original PDF
نویسندگان: Keon Chee, Ben Fok
خلاصه: We belong to the sandwich generation. Our children depend on us, as doour parents. For our children, we are seeing the price of a higher educationrising faster than the rate of inflation. For our parents, we are possiblylooking at hundreds of thousands of dollars in costs for treating majorillnesses they run the risk of contracting. The sandwich generation is beingchewed on at both ends.We are struggling to support ageing parents and pay university tuitionfees for our children. And this is probably the worst situation you can findyourself in — when you have to depend on others to support you in yourretirement years.In the future, you will either have enough money or you will not. If youdon’t, chances are that your neighbour living next door to you will. Peopleliving in Singapore and in Asia overall are getting wealthier and wealthier.In the year 2009, Singapore saw the highest growth in millionairehouseholds, up 35 per cent, followed by 33 per cent for Malaysia, 32 per centfor Slovakia, and 31 per cent for China (2010 Global Wealth Report by TheBoston Consulting Group). Singapore now has the highest concentration ofmillionaire households in the world. And Asia-Pacific, excluding Japan, isexpected to generate millionaires at nearly twice the global rate.It is horrible to retire when you don’t have enough money, and even worseif everyone around you has enough and you can’t even get by. That is whylearning how to invest is so important. For many people, it could make thedifference between a blissful retirement and a painful one.The investment environment has become very diverse in the last fewyears. We are seeing a rise in derivatives and currency trading by the public,commodity prices far outpacing stocks and bonds, hundreds of structuredproducts being made available at any one time and challenging marketconditions with inflation, lower real returns and a subprime crisis that istaking years to clean up. This is why for this third edition, we have added twoIntroductionnew chapters, revamped one chapter and expanded on previous chapters inthe hope of better describing what is out there.To succeed at investing, you need to keep two things in mind. First, youneed to keep abreast of what is happening in the investment markets. Onceyou are armed with the basic knowledge of investing (which we hope youwill gain from this book), knowing what is happening in the markets willbecome not only less strenuous but also an enjoyable pastime. Second,if you have never invested before, you need to take the plunge yourself.There is nothing like direct experience. Only when you handle your ownmoney will you be able to appreciate and understand fully the complexitiessurrounding the money markets. Finally, and most importantly, investingis your responsibility, not anyone else’s. It is neither the government’sresponsibility, nor that of your remisier or financial adviser’s.And when you do succeed, you will probably want to spare a thought forthe less fortunate. Social enterprise and socially responsible investing aretaking root in Singapore and around the world and not a moment too soonas income gaps around Asia have become particularly worrying. Singapore’sAmbassador, Tommy Koh, described “social inequity” as one of Asia’s threebiggest challenges, along with corruption and the environment.Despite headline hogging news about Asia’s booming economies, vastpockets of paralysing poverty remain. Dr. Ifzal Ali, Chief Economist of theAsian Development Bank, estimates that 42 per cent of Chinese live on theequivalent of less than $3 a day. In India, three-quarters of the population(more than 800 million people) survive each day on less than the cost of aStarbucks latte. All told, 60 per cent of all Asians still live in poverty.In the future, you will either have enough money or you will not. Thereare many exciting things you can do today to make sure that you will haveenough — and better still — be able then to spare time and money tohelp othe