Where and how can I make fast money? BY JOYCE CHUAH

by **Cals** Mon 10 Feb 2014, 10:22

Published: Monday February 10, 2014 MYT 8:10:00 AM
Updated: Monday February 10, 2014 MYT 8:29:28 AM
Where and how can I make fast money?
BY JOYCE CHUAH - CEO OF SUCCESS CONCEPTS LIFE PLANNERS
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There are no fast ways to make money but there are slow and sure ways that work.
I HAVE often been asked this question by young working adults: “Where and how can I make fast money?”

My usualreply comes in the form of another question:“Are you also willing to lose it as fast too?”

Making ‘fast’money doesn’t last.Think about it.

How many times do gamblers put backtheir winnings into the gambling table only to find that they lose everything they have won and more?

Even if it isn’tlost on the same day,over time, gambling is a zero-sum game.

There is no difference in trading or speculating on risky investment instruments if you are not trained to do the job or you are not doing this on a full-time basis.

Think about the last time you made good money from a stock investment – what was the next thing you did?

Plough everything back and maybe more into another stock tip? If you are not careful, after each “winning investment”, the capital invested into the next instrument becomes larger and larger until a bad move wipes away everything including profits from earlierinvestments.

There are no fast ways to make money but there are slow and sure ways that work.

Investing in a portfolio with the right asset allocation foryour age and life goals is a great way to start.

Check that your portfolio has a right balance between liquid and illiquid assets.
Owning too many illiquid assets (e.g. real estate) can put you or your beneficiaries in a cash-tight
situation which can be financially draining on you in times ofslowerdemand forsuch assets or when borrowing costs escalate, assuming your asset is leveraged.

Annually reallocate the profits you make from your plan. Don’t plough them back into the same instrument.

Place them into an asset class which is under-allocated or utilise the profits to average down on otherinvestments you know eventually will make a come-back.

Some of my retired clients use them to fund their annual holidays!

If you’re still wondering where you can begin as an investor, begin by having an investment plan.

Don’t go bungee jumping when you’re notsure if your heart (and money) can take it.

Discuss this with your financial planner first and stay patient with your plan.