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Salam alaikum and a very good day to the lecturer and all students today our group is going to present our assignment entitled the importance and current issues of investment and retirement planning these days due to different reasons like work uncertainties a fast-paced life and tall expansion rates financial planning is the most important aspect to understand

A person’s current and future income potential analyzing future financial must be dynamic to address the ever-changing market environment and the changing needs of the individual financial planning is important for every individual as it not only helps to achieve current and future goals but also to deal with unforeseen emergencies in life as well so the topics

That were chosen by our group are investment planning and retirement planning investment planning is the most important component of financial planning investment planning begins with identifying goals and objectives the most common investments are cash stocks bonds gold and real estate wise investment can actually improve our financial life and help us to

Help enough funds to achieve our dreams therefore a good investment plan is necessary in order to secure our future financially besides retirement is also a hot topic of discussion in real life as it affects everyone retirees are one of the most important groups for malaysia’s dynamics as the country is experiencing an increasing aging population according to

The malaysian bureau of statistics people age 65 or older are expected to make up more than 7 percent of the population this year the objectives and purpose of investment and retirement plannings are as such it is the security of our family in financial terms where one should invest in safe forms of investment for example money market are safer than in the bond

Market the second one in order to earn a higher income we need to invest in riskier types of investments to get higher returns from them investors need to analyze their risk return ratio carefully and invest accordingly in suitable asset classes to enjoy maximus returns therefore good investment planning is very important the third one investors who wish to

Realize capital gain should invest in securities for the longer term and investors also may choose investments as an option to minimize taxes as part of its investment strategy and the last one many investments are liquid meaning they can be easily converted into cash as the first step of investment planning it is suggested that we should start saving regardless

Of how much our salary is we must not spend it all and save for our retirement and enforcing emergencies individuals need to be aware of their current financial situation so that they have an idea of their income and expenses after getting an overview of the current financial situation you need to analyze your financial needs and goals to understand what you want

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To achieve to begin goal setting in capital planning we need to identify both our short-term and long-term goals each financial need or goal would be reflected in the determination of investment duration for instance short-term less than one year medium term one to five years and long term more than five years let’s say one is buying a house which requires a big

Investment therefore that person should be financially capable of making such a big investment analyzing a person’s risk profile is an important part of financial planning because the asset allocation in a portfolio depends critically on it each asset class is associated with different risks such as market risk credit risk liquidity risk and interest rate risk

Therefore we should know our risk tolerance because some risks cannot be ignored after setting our goals and risk tolerance the next step in investment planning is to create a savings portfolio which may include many types of investments such as stocks gold bonds time deposits and etc the next step is learn about investment options available in the financial

Market and combat the returns and risks associated with them we can develop our asset allocation strategy in investment planning after we have determined the risk return portfolio and the most important step in investment planning is the implementation of the portfolio plan the investor’s goal and situations should be reviewed once a year to determine if there

Are any significant changes and to determine if the investment is consistent with the investors goals now we go to the importance of investment planning investment planning will be useful if anything happens to the working member in the family then the other members of the family will be financially secured by the investment managing income efficiently will help

The person to manage other expenditures tax payments and etc investment planning helps in understanding about our current financial situation it becomes easy for an individual to evaluate investment or retirement plan by having financial understanding in terms of savings funds can be easily taken out from those highly liquid investments in the case of emergency

The savings recreated by investment very much useful during difficult times for example death of the working individual in the family affects the standard of living to a great stance that time the investment made by the working person becomes useful source of income of the family there are few reasons of why retirement planning is important in our life it provides

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Better well-being due to lower levels of stress cash issues are a major source of extent cash related thrust is associated to physical conditions such as diabetes heart disease cerebral pain headaches and dejected rest not as it with that cash stresses can cause uneasiness and sadness victimizing you to of peace of intellect to appreciate your life nowadays so

Taking steps to urge your retirement plan on track is a vital step in your monetary and physical wellness research also showed that about half of all current retirees are not resigned by choice most were laid off or constrained to take off their employments and a little number had to take off work freshly to care for a sick or maturing parent or companion

Retirement planning also is important for individuals who are at the same time supporting their children and one or both guardians and it also helps to avoid running out of cash in retirement therefore retirement planning is important since it can assist you to maintain a strategic distance from running out of cash in retirement many reasons that prevent a

Person from planning for retirement and investment most malaysians are aware of the importance of both but do not know the benefits they will gain from them some believe that it is too early to think about retirement planning when one is young moreover the middle age generation assumes that the epf is good enough to finance their retirement well some studies

Indicate that financial knowledge can help individuals better plan for their lives in retirement the kovite 19 widespread has disturbed malaysia’s economy clearing out over 800 000 individuals jobless when businesses went beneath whereas surviving laborers got and pay cuts numerous malaysians as well as in other nations endure an uncertain future as individuals

Picked to pull back their investments funds to create closest mates around 80 percent of speculators in malaysia have went through more time considering their monetary prosperity and rearranging their individual funds since the onset of the kovit 19 widespread this caused greater issues within the future particularly post-retirement the effect of kovite 19 can

Be seen in the unemployment rate which shoot up in may 2020 to 5.3 and amazing increment from 3.3 recorded amid the same time in 2019 the b40 populates is still struggling to outlive these impacts depicting their defenselessness to financial stance arise within the taken a toll of leaving the mounting monetary commitments it is recommended that one must not touch

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Their retirement reserve unless completely vital such as employees providence fund epf amana sahambo binputra asb or other private retirement plans all these reserve plans should be treated as a last choice as a retirement finance must be kept partitioned from one’s crisis rise of funds but as we malaysians know aila story is one of the finance withdrawal options

From a person’s current savings account in epf presented by government planning to ease the money related burden of epf individuals to meet their essential month-to-month needs amid the pandemic the effect of the widespread in malaysia gets to be more apparent in people’s retirement plan inquire about famous that 20 percent of non-retired individuals think they

Will resign afterward within the wake of provide 19 whereas 50 think they will still resign at the same age and 30 percent think they will resign prior added as a good news to fellow malaysians recently in 2021 the government slowly moved towards a new norm by easing the movement control order mco where many have indeed returned to work amid what looks to be

Better times during than during the street lockdown in previous year ask for conclusion a proper investment planning can help us in making smart investment if we do not have time to do our own investment planning we can take plan of financial planner they will help us in making our investment portfolio according to our risk taking appetite and current financial

Condition retirement planning is an essential part of our financial wellness achieving your retirement goals takes a proactive approach if you start planning for retirement early the better of your retirement will be in the future by clarifying your expenses prioritize your goals and build a portfolio of assets can help in sustaining a long and fruitful retirement

Period a positive attitude towards retirement planning would enable individuals to achieve adequate retirement income and relax gold clarity is the strongest factor that influence the retirement planning behavior which shows they have a clear vision of how life is when they retire so that’s all for today thank you very much

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RETIREMENT AND INVESTMENT PLANNING#2021 #uitm #infofgraphic By The Journey of Life