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The Jakarta Post
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Investing strategies from '€˜Venus'€™

  • Novia D. Rulistia

    The Jakarta Post

Jakarta | Sun, April 20 2014 | 10:25 am
Investing strategies from '€˜Venus'€™ Show me the money: Many women still think that keeping money in savings means they have already made an investment, failing to realize that the value of money placed in savings might depreciate against inflation over time. (JP/Nurhayati)" border="0" height="333" width="500">Show me the money: Many women still think that keeping money in savings means they have already made an investment, failing to realize that the value of money placed in savings might depreciate against inflation over time. (JP/Nurhayati)

When Tara Meilina was still single, she never thought of allocating some of her monthly income for investment.

She mostly spent the money on fun—hanging out with friends, shopping or pampering herself at a beauty salon.

“I would run out of money even before the month ended, and then would ask my mother for a soft loan,” the 34-year-old said.

But when she got married four years ago, Tara started to carefully plan her finances - writing down all of her expenses and searching for every investment opportunity she could get.

She and her husband set up an automatic debit from their account to invest in gold, mutual funds, Islamic bonds and deposits.

“I’m buying gold to save money for the education of my daughter in the future. We decided to invest in gold because its value will keep increasing over the long term,” Tara said.

On mutual funds, she said her husband was usually the one who regularly monitored developments.

The couple also invests in property. After marrying, they bought an apartment in Depok, West Java, for Rp 270 million (US$ 23,622), which they rent out for Rp 2.5 million a month to cover the mortgage payments.

“As an asset, the apartment’s value has increased up to around Rp 300 to 400 million,” Tara said.

Tara does not stop there. She and her husband plan to expand their investments by purchasing a plot of land and opening a franchise that can generate a bug daily cash flow to line the family’s coffers in the future.

“I choose these kinds of investments because I think they are the most feasible,” she said.

Unlike Tara, who started planning after she got married, the pop violinist Maylaffayza said that she started thinking about the importance of investing when she was single.

Originally believing that her savings would be enough to cover all her expenses, the 37-year-old said that her family had to struggle to pay the medical bills for a sick relative.

“My parents didn’t have any investments, and the money that we had in savings was apparently not enough to pay the bills either,” she said.

Maylaffayza said that she realized that she could not only rely on savings and needed to start expanding her financial profile.

“I didn’t know what to do initially until a friend who is also a financial planner told me about the choices that I could make,” Maylaffayza said.

She followed his suggestions and tried to open a certificate of deposit first. When she got married, she started to invest in mutual funds and buy bonds together with her husband.

“Mutual funds were an alien thing to me – I was totally clueless about it. But I started to read business magazines, surf the Internet to find out more about what it was and how it worked,” she said.

“It took a year for me to learn.”

Nothing new: A woman strolls through the Jakarta Stock Exchange. Managing money is nothing new for Indonesian women, who are typically in control of family finances. Investing in equities, however, is another thing. (AFP/Bay Ismoyo)

Show me the money: Many women still think that keeping money in savings means they have already made an investment, failing to realize that the value of money placed in savings might depreciate against inflation over time. (JP/Nurhayati)

When Tara Meilina was still single, she never thought of allocating some of her monthly income for investment.

She mostly spent the money on fun'€”hanging out with friends, shopping or pampering herself at a beauty salon.

'€œI would run out of money even before the month ended, and then would ask my mother for a soft loan,'€ the 34-year-old said.

But when she got married four years ago, Tara started to carefully plan her finances - writing down all of her expenses and searching for every investment opportunity she could get.

She and her husband set up an automatic debit from their account to invest in gold, mutual funds, Islamic bonds and deposits.

'€œI'€™m buying gold to save money for the education of my daughter in the future. We decided to invest in gold because its value will keep increasing over the long term,'€ Tara said.

On mutual funds, she said her husband was usually the one who regularly monitored developments.

The couple also invests in property. After marrying, they bought an apartment in Depok, West Java, for Rp 270 million (US$ 23,622), which they rent out for Rp 2.5 million a month to cover the mortgage payments.

'€œAs an asset, the apartment'€™s value has increased up to around Rp 300 to 400 million,'€ Tara said.

Tara does not stop there. She and her husband plan to expand their investments by purchasing a plot of land and opening a franchise that can generate a bug daily cash flow to line the family'€™s coffers in the future.

'€œI choose these kinds of investments because I think they are the most feasible,'€ she said.

Unlike Tara, who started planning after she got married, the pop violinist Maylaffayza said that she started thinking about the importance of investing when she was single.

Originally believing that her savings would be enough to cover all her expenses, the 37-year-old said that her family had to struggle to pay the medical bills for a sick relative.

'€œMy parents didn'€™t have any investments, and the money that we had in savings was apparently not enough to pay the bills either,'€ she said.

Maylaffayza said that she realized that she could not only rely on savings and needed to start expanding her financial profile.

'€œI didn'€™t know what to do initially until a friend who is also a financial planner told me about the choices that I could make,'€ Maylaffayza said.

She followed his suggestions and tried to open a certificate of deposit first. When she got married, she started to invest in mutual funds and buy bonds together with her husband.

'€œMutual funds were an alien thing to me '€“ I was totally clueless about it. But I started to read business magazines, surf the Internet to find out more about what it was and how it worked,'€ she said.

'€œIt took a year for me to learn.'€

Nothing new: A woman strolls through the Jakarta Stock Exchange. Managing money is nothing new for Indonesian women, who are typically in control of family finances. Investing in equities, however, is another thing. (AFP/Bay Ismoyo)Nothing new: A woman strolls through the Jakarta Stock Exchange. Managing money is nothing new for Indonesian women, who are typically in control of family finances. Investing in equities, however, is another thing. (AFP/Bay Ismoyo)
As she gained more knowledge, she gradually invested in mutual funds'€”starting from the less risky fixed-income mutual funds to moderate balanced funds.

The objective of a fixed-income mutual fund is to provide a steady cash flow through funds that are invested primarily in government and corporate debt.

A balanced fund'€™s objective, meanwhile, is to provide a mix of safety, income and capital appreciation by investing in fixed income and equities.

However, Maylaffayza said that she found that managing her investments and her music was overwhelming, so she decided to use a financial planner.

With proper investment knowledge, Maylaffayza plans to move towards riskier investments.

'€œI'€™m still afraid of investing my money in equities,'€ she says. '€œI need to understand about the national economy first,'€ she said.

According to Airvin Hardani from Gayatri Kapital Indonesia, women usually choose to put their money in places that are not as dynamic as the stock market.

'€œThe types of investments that are favored by women are mostly the ones that can give them financial certainty. Real assets, like property or gold, and some types of financial assets like bonds or mutual funds have become their choices,'€ he said.

However, housewife Meliza Musa Rusli said there were many women nowadays who put their money in the stock market because of the influence of their surroundings.

'€œWomen are greatly influenced by their in determining their investment preferences,'€ she said, adding that many of her friends who were housewives invested in equities because they had more time to monitor developments.

'€œThere are still assumptions that women don'€™t like high-risk investments, but I guess it all depends on the priorities of the women,'€ Meliza said.


Spending money is easy, but investing money is another story. It takes multiple steps to start and needs a commitment to keep growing. Here are some tips for newbie investors:

Do'€™s:
'€¢ Eliminate debt to maintain financial balance
'€¢ Prepare emergency funds, such as insurance, to avoid withdrawls
'€¢ Invest idle funds
'€¢ Consult with financial planners and learn from books, magazines and the Internet
'€¢ Choose the reliable securities companies listed on the IDX

Don'€™t'€™s

'€¢ Don'€™t believe sellers who promise to be able to give hefty rewards with minimum capital
'€¢ Avoid sellers who keep forcing you to buy their products
'€¢ Don'€™t withdraw your investment money too often '€” let it grow.

Source from Gayatri Kapital Indonesia and the IDX

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