1. Investment in Shares
2. Investment in Bonds
3. Investment in Residential Home
4. Investment in Unit Trust
5. Investment in Savings Account
5.1. Definition: Accounts maintained by retail financial institutions that pay interest but cannot be used directly as money.
5.1.1. There are three types of Savings Account:
5.1.1.1. 1. Individual saving account
5.1.1.2. 2. Joint saving account
5.1.1.3. 3. Saving account for associations, societies and clubs
5.1.2. Opening Savings Account necessary because:
5.1.2.1. 1. Provide a safe place to store your money
5.1.2.2. 2. Provide you with FDIC insurance
5.1.2.3. 3. Allow you to earn interest
5.1.3. What is interest on Saving Account?
5.1.3.1. - Interest will be calculated on the account's outstanding balance at end of each day.
5.1.3.2. - Interest will also be credited to the account every 6 months, that is on 30th June and 31st December each year.
5.1.3.3. - Formula:
5.1.3.4. Interest amount = Principal x Time x Rate
5.1.4. Advantages of Saving Account
5.1.4.1. 1. Most basic account
5.1.4.2. 2. Simple Procedures
5.1.4.3. 3. Low initial deposit to open an account
5.1.5. Disadvantages of Saving Account
5.1.5.1. 1. Low returns - Neglible
5.1.5.2. 2. There will be a trouble to withdraw money
5.1.5.3. 3. A charge of RM 8 annual fees for all banks in Malaysia for ATM card service