Withdrawing KWSP to buy gold ?

This is a response for Peraduan “Pengeluaran KWSP untuk Membeli Emas” from Hasbullah Pit.

Introduction on gold

I think everybody knows gold is valuable and expensive. Everybody knows that gold is limited and the shiny gold bar often exists in pirate stories or bank robbery movies, or things like that. What they don’t know is that they can invest in gold too, not just in stocks or forex (foreign currency exchange).

In this entry I want to share some information regarding gold. Many people don’t know that the riches spend their money to buy gold and keep them as investment. This is because gold generally doesn’t change in value and volume but the buying and selling price might go up and down a little. This depends on the market itself.

Can we withdraw money from KWSP to buy gold ?

Enough of the introduction, let’s get back to the point. From my point of view, KWSP should allow us to withdraw some of our money (if not all) to buy gold. The reason is simple. It’s a good investment. Straight and simple. There are a few reasons we can withdraw money from KWSP and for that you can refer that here at KWSP website.

One of the reasons is making investment but there are certain rules that needs to comply before you can withdraw your money to make investment. It’s quite a long list but I’ll try to make it simple. Breaking it to simple parts, first you must adhere the conditions of withdrawals for investment and you must be eligible for it. And you can only invest at the appointed fund managers only. Here’s the checklist and the links to KWSP site for further information.

  1. Member’s investment guide
  2. Conditions for withdrawal
  3. How to make withdrawal
  4. Appointed fund management institutes

I already checked the appointed fund management list but I’m not sure if there’s any related fund managers that you can invest your money into gold investment. There’s Public Mutual which is quite famous unit trust in Malaysia.

The one offering gold related investment is OSK-UOB UNIT TRUST but currently it has ended. Anyway, you can check it out [ here ].

Is it a good time to invest in gold ?

Well, from my point of view, then the answer is YES !!. If you look at Public Bank website, you can see the gold price now in Malaysia is under RM100 per gram. You can check Public Bank website or the image below.


And if you want to know how the graph for the gold value in the market, you can take a look at the graph below and you can do your own assumption and market prediction.


I’m interested..any links I should check out ?

There’s a few links that I would recommend for further reading if you to know more on gold. Please feel free to check it out.

Last but not least, gold doesn’t fluctuate like the currency. So it’s good for long term investments and doesn’t decrease in value or quantity.