How would you invest?
- Clutch Cargo
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Re: How would you invest?
Tootsfriend wrote: ↑Fri Feb 16, 2024 3:41 pm If I had money, I'd invest it all in a Bar. You could make heaps of $$$$ selling ;50 c beers to cheap charlie e-xpats. My second choice of investing money in Cambodia would be to have a Hair Dressing and Beauty Saloon . Again , lots of money to be made putting paint on sexy girls nails and faces.
Re: How would you invest?
If the funds are not yet in the KOW, also consider the repatriation risk.Grand Barong wrote: ↑Thu Feb 15, 2024 9:09 pm How would you invest $100k or $200k in KOW for cash flow? Bank term deposit? or something else?
Can you send the money back? (The amount is way beyond 10K.)
If you might want to send the money back to an account in another country, ask the bank(s)/MFI(s) in advance what is needed when you want to repatriate the funds.
Certificate of inward transfer or?
Also, is there a risk that KOW could be downgraded, making international transfers more difficult?
- phuketrichard
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Re: How would you invest?
also if ur old an have that kind of cash in a bank, what about when u die?
how easy is for for someone to access ur accounts
Land cant be in ur name so thats not a good place to park ur cash unless u have a Khmer wife and kids
how easy is for for someone to access ur accounts
Land cant be in ur name so thats not a good place to park ur cash unless u have a Khmer wife and kids
In a nation run by swine, all pigs are upward-mobile and the rest of us are fucked until we can put our acts together: not necessarily to win, but mainly to keep from losing completely. HST
- Roryborealis
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Re: How would you invest?
A good reminder to choose banks wisely.khmerhamster wrote: ↑Fri Feb 16, 2024 2:51 pmYes and if you keep as one lump sum and invest it and lose one chunk - you've lost it all.Roryborealis wrote: ↑Fri Feb 16, 2024 12:23 pmI was not assuming a guaranteed rate of return.khmerhamster wrote: ↑Fri Feb 16, 2024 11:22 amHuh? No it won’t. If it you get a guaranteed return rate, having it in one bank or split over 5 banks the return and compound interest will be the same.Roryborealis wrote: ↑Fri Feb 16, 2024 8:06 amSplitting up the money too much (or in the wrong way) can dilute the potential for overall compound interest.ressl wrote: ↑Fri Feb 16, 2024 7:36 am Interesting question. For $200k with a proper interest rate, you can have a very relaxed life here on the interest itself. The problem I see is in the lack of safety mechanisms, so if the Bank or whatever blows up, your money vaporizes as well. Therefore you would need to split up very carefully. However the question remains, if one blows up, is the interest return of the remaining ones high enough to cover this loss in a reasonable amount of time.
Personally I am very conservative when it comes to money and would never, ever go into real estate. But since this bubble has just bursted, this isn't a topic for most any longer anyway.
$1000 for 10 years at 6% compounded returns £1790 (minus tax)
Five sets of $200 for 10 years at 6% compounded returns $358 each (minus tax)
$358 times 5 is $1790
It’s the same final total, but spreading the risk makes more sense.
I was referring more to equities and index funds with returns that vary annually.
There are opportunity costs to be factored in, and I wasn't making the same assumptions.
And by "wrong way," I meant choosing banks that are not insured in case of risk.
Losing even one chunk of your "split" corpus could change the math.
Re: How would you invest?
Please note no financial institution in Cambodia has a deposit guarantee scheme.Roryborealis wrote: ↑Fri Feb 16, 2024 12:23 pm
And by "wrong way," I meant choosing banks that are not insured in case of risk.
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Re: How would you invest?
This.Kammekor wrote: ↑Sun Feb 18, 2024 3:10 pmPlease note no financial institution in Cambodia has a deposit guarantee scheme.Roryborealis wrote: ↑Fri Feb 16, 2024 12:23 pm
And by "wrong way," I meant choosing banks that are not insured in case of risk.
Some people assume that because some banks are part of wider banking groups from other countries that their funds will be safer.
Banks aren't going to guarantee anything more that what is legally required of them in the country they operate. Which in Cambodia is the square root of sod all.
Re: How would you invest?
I read acleda has a blanket insurance for clients deposits safety. But didnt see many details on what exactly that does or protects. Maybe someone else knows more about this.Kammekor wrote: ↑Sun Feb 18, 2024 3:10 pmPlease note no financial institution in Cambodia has a deposit guarantee scheme.Roryborealis wrote: ↑Fri Feb 16, 2024 12:23 pm
And by "wrong way," I meant choosing banks that are not insured in case of risk.
Re: How would you invest?
I think the insurance they carry is for dishonest employees stealing or embezzling funds.Zyzz wrote: ↑Sun Feb 18, 2024 5:13 pmI read acleda has a blanket insurance for clients deposits safety. But didnt see many details on what exactly that does or protects. Maybe someone else knows more about this.Kammekor wrote: ↑Sun Feb 18, 2024 3:10 pmPlease note no financial institution in Cambodia has a deposit guarantee scheme.Roryborealis wrote: ↑Fri Feb 16, 2024 12:23 pm
And by "wrong way," I meant choosing banks that are not insured in case of risk.
Re: How would you invest?
I guess you mean this one:Zyzz wrote: ↑Sun Feb 18, 2024 5:13 pmI read acleda has a blanket insurance for clients deposits safety. But didnt see many details on what exactly that does or protects. Maybe someone else knows more about this.Kammekor wrote: ↑Sun Feb 18, 2024 3:10 pmPlease note no financial institution in Cambodia has a deposit guarantee scheme.Roryborealis wrote: ↑Fri Feb 16, 2024 12:23 pm
And by "wrong way," I meant choosing banks that are not insured in case of risk.
https://www.acledabank.com.kh/kh/eng/ps ... e_facility
It's a guarantee from ACLEDA when a company defaults on a loan which is an insurance one pays for.
ACLEDA has no guarantees for deposits when the bank defaults. They do have all kinds of additional insurances though.
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