Local Share Investment

October 4, 2006 | 9 Comments   

I never invested in local shares before and I never knew how. I do have an account in US to invest in US shares. That was because my company has a benefit share plan for us to purchase our company shares at discounted rates.

Anyway, last Friday, a courier package came and it was from StemLife. The company is going public listed. Cool. 😎 I didn’t read the prospectus, it was as thick as my programming books. I read the form and was tempted to invest. It was a 2 pages form, but the things I have to do, to successfully apply for the shares, is exhausting. I received the package on 29 Sept, the dateline is 5th Oct. Not much time to work with.

Things to do:

1. I have to apply for a CDS account to be able to buy any local shares. Fortunately I know a friend who works in the share trading company. I got her help to get me the CDS account on the same day. 1 obstacle done.

2. I have to make a copy of my IC, front and back on the same page.

3. I have to fill in the form carefully. No liquid paper can be use on the form.

4. I have to get a banker’s cheque. Personal cheques are not allowed. I blog about it yesterday, it was done too.

5. I have to buy two 50sen stamp, one for A envelope and one for B envelope. They will send you back the A envelope with your cheque if it is not successful.

6. I need to send it, it says using Ordinary mail. You can opt to drop it into their office if you are staying in KL. It is really impossible for people outstation to send ordinary mail and reach the destination before date due. I send it using Express Mail, not sure whether they will reject my application. By the way, register mail is a no no because PO box cannot sign when receive. :giggles:

7. Mail it and wait for response. Phew.

Now all I have to sit back and wait for them to tell me if it is successful. By the way, the company will ballot, if you get pick, the shares will be sold to you. If I don’t I need to go back to the bank, to claim back the money.

I just learn that you can do all the above except for number 1, using Internet banking. In order to do that, you need to setup the account first by submitting a physical form. For Maybank, you can use ATM or Internet Banking. Somehow, I don’t know why StemLife was not listed.

It was a great experience though to beat the deadline. If it was from some company that I don’t know, it will probably end up in the bin.

Anyone want to know how to invest in US share?