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UOB Regular Investment Scheme which is also known as Monthly Investment Plan ("MIP"), a disciplined approach to investing. It helps you to take small and steady steps towards building your investment portfolio and achieving your financial goals.
Invest from RM1,000^.
^For selected funds only.
Flexibility to increase or decrease your monthly investment amount as you wish+.
Sign up as UOB Wealth Banking customer with a minimum of RM150,000 qualifying assets under management in deposits, bancassurance and/or investments with us. Terms and conditions apply.
This publication is for general information and general circulation only and does not have any regard to the specific investment objectives, financial situation and particular needs of any specific person. This publication shall not be regarded as an offer, recommendation, solicitation or advice to buy or sell any investment product and shall not be transmitted, disclosed, copied or relied upon by any person for whatever purpose. Any description of investment products is qualified in its entirety by the terms and conditions of the investment product and if applicable, the prospectus or constituting document of the investment product. Nothing in this document constitutes accounting, legal, regulatory, tax, financial or other advice. If in doubt, you should consult your own professional advisers about issues discussed herein.
The information contained in this publication, including any data, projections and underlying assumptions, are based on certain assumptions, management forecasts and analysis of known information and reflects prevailing conditions as of the date of publication, all of which are subject to change at any time without notice. Although every reasonable care has been taken to ensure the accuracy and objectivity of the information contained in this publication, United Overseas Bank (Malaysia) Bhd. (“UOB Malaysia”) and its employees make no representation or warranty of any kind, express, implied or statutory, and shall not be responsible or liable for its completeness or accuracy. As such, UOB Malaysia and its employees accept no liability for any error, inaccuracy, omission or any consequence or any loss/damage howsoever suffered by any person, arising from any reliance by any person on the views expressed or information in this publication.
This advertisement has not been reviewed by the Securities Commission Malaysia.
+Subject to the terms and conditions of Governing Unit Trust Services.
Start investing through small and regular contributions, and reinvest any gains you receive. Through the compounding effect, your original capital will grow over the years, as the illustration below shows.
Value | Yearly gain | |
---|---|---|
Today | RM1,000 | - |
In 1 Year | RM1,060 | RM60 |
In 2 Year | RM1,123.60 | RM63.60 |
In 3 Year | RM1,191.02 | RM67.42 |
If you invest RM1,000 today, you will have RM1,060 in one year, assuming a rate of return of 6% per annum. Rather than withdraw the RM60 gained, you reinvest it for another year.
Assuming the same rate of return of 6%, your investment amount of RM1,060, will grow to RM1,123.60 by the end of the second year, and nearly RM1,200 by the third year.
The key to tapping on the power of compounding is to start investing early. The earlier you begin, the more time you will have to enjoy its effects.
Note: The above is for illustration purposes only. Investment returns are not guaranteed. Investments in unit trusts involve risks, including the possible loss of the principle amount invested.
It's all about time in the market, not timing the market
Many investors believe that they can "time that market" - getting in before the prices rise, and getting out just before the prices fall.
Anticipating these market rises and the falls can be extremely difficult and stressful for the investor, which is why MIP may be a preferred approach as compared to taking the risk to "time the market".
Illustration of the benefits of dollar-cost averaging
Month | Dollar-Cost Averaging | One Lump Sum | ||||
Amount | Unit Price | No. of Units | Amount | Unit Price | No. of Units | |
January | RM1,000 | RM50 | 20 | RM5,000 | RM50 | RM100 |
February | RM1,000 | RM10 | 100 | - | - | - |
March | RM1,000 | RM100 | 10 | - | - | - |
April | RM1,000 | RM75 | 13 | - | - | - |
May | RM1,000 | RM20 | 50 | - | - | - |
Total amount invested | RM5,000 | RM5,000 | ||||
Total units purchased | 193 | 100 | ||||
Average price paid per unit | RM26 | RM50 | ||||
If market price falls to RM10 in June |
Loss of RM3,070 |
Loss of RM4,000 (RM1,000 - RM5,000) |
||||
If market price falls to RM30 in June | Gain of RM790 (RM5,790 - RM5,000) |
Loss of RM2,000 (RM3,000 - RM5,000) |
If the unit price falls to RM10 in June, you would have realised a smaller loss with dollar-cost averaging than if you had invested a lump sum in January.
On the other hand, if the unit price rises to RM30 in June, you would have made a gain with dollar-cost averaging compared to suffering a loss with a lump-sum investment.
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