Top Countries Malaysians can Invest In (Other than US)

追加: 2026-05-14

[00:00:00]Let me ask you something. If most of your money is in the US market, do you actually feel diversified? Because for a long time, the strategy was simple. Just buy the US S&P 500 and just hold it. And to be fair, that approach worked for a long time, where the US is still home to the world's largest companies. But today, there's a hidden problem. The top 10 companies alone already make up nearly 40% of the entire index. So even if you think you are actually diversified, you are actually heavily exposed to just a handful of tech giants. And with geopolitical risk rising, that kind of concentration can backfire fast. Even the IMF has warned that shocks in one region can easily spill over across global markets. So you don't need to leave the US. Just don't stop there. You see, if something hits the US market, it hits your portfolio as well. So, if everything you own drops at the same time, like in back in 2022 when the Mac 7 stocks dropped more than 20% after the Fed started tightening, that's when people panic and sell at the worst moment. But when you zoom out, look at where they are today. Most of them are easily way above their 2021 pick. Now, of course, it's almost impossible to predict where the market will go next.

[00:01:18]But that's exactly why geographical diversification matters. You can't control what the market does next, but you can control how exposed you are to one single market. So, what you buy matters, but how everything moves together matters even more. And if you're totally new to the market, no problem. The US is still where most of the world's biggest companies are. Think Apple, Microsoft, and Nvidia. When they move, the global markets move with them.

[00:01:44]So, that's why the US stays as a backbone for most people's portfolio.

[00:01:48]And for most investors, ETFs are arguably the easiest entry point to gain US market exposure. Instead of picking individual stocks one by one, which can involve much higher risk for the portfolio. So, here's how I do it.

[00:02:00]Instead of guessing what to buy on the Mumu app, I go into the ETF section and I look at the broad index ETFs like S&P 500 or the NASDAQ based funds. And from there, go to the ETF profile to look for the ETF document and then look into their fun fact sheet. And this is where I can understand what they actually hold. how concentrated it is and whether it fits into my investment portfolio.

[00:02:21]And here's something important for you to understand. Even when the world feels very uncertain, it doesn't always mean the market will collapse. So if you look at the S&P 500, which deliver an average annual return of what almost 11% for the last seven decades, they often recovered even during periods of war or even geopolitical conflict. And in many cases, it ended up higher after one year. So the lesson here is to just stick to a tried and tested strategy like the S&P 500. And honestly, one of the worst thing you can do in a volatile market is just reacting to it. You buy when it's going up and you panic and sell when it drops and in the end basically you are just chasing the market instead of understanding it. And that's why the US stays. But it shouldn't be everything. Now just a quick sidetrack before we move on to the other countries. You should also know that diversification is not just about geography. It's also about asset types and this is where different types of ETFs all come in. For example, bond ETFs can help provide stability, especially during market uncertainty. And then gold and silver ETFs are often used as a hedge against inflation, especially when currencies weaken or prices started rising. And the idea here is very simple. You don't just want different countries. You also want different drivers of return. And once you start doing this, you might realize something.

[00:03:43]It can start to feel like you are managing multiple projects all at the same time. One for the US, one for the Asian market, and maybe another for different asset types. And that's where many investors get stuck. Not because they don't understand diversification, but because the execution becomes messy.

[00:04:00]And that is why having the right platform matters. With Mumu Malaysia, you can access different markets from the same account, including the US, Hong Kong, Singapore, and many more. And on top of that, you can also explore different types of ETFs from bonds to commodities to alternative assets all within one place. Now, with geopolitical risk rising, this could potentially be a good timing for us to shift focus towards the Asia market. But before we go into specific markets, there's one important question. Why Asia? If you notice, businesses around the world are starting to reposition themselves into regions that are more stable and predictable. And a very big part of that is driven by the semiconductor industry.

[00:04:42]Especially with a continuous rise of AI, demand for chips has exploded. And now we are facing memory chip shortages which are likely to continue through 2027. And that's why companies are all moving more of their supply chains all into Asia. And you can see this through capital flows. More FDI is moving into Asia especially like Singapore, Indonesia, Vietnam and Malaysia driven by data centers, manufacturing and also supply chain expansion. And if you look at the broader market performance indices like Japan's Nikki index, Korea's Cosby Py and also Taiwan's Taiwan exchange, they have all shown strong momentum in recent years. And on the other hand, if you look further up the value chain, they are dominating the higherend segments. For example, Korea leads in high bandwidth memory HBM which is critical for AI computing. Taiwan through companies like TSMC dominates advanced chip manufacturing while Japan they play a key role in materials and precision components. And when you further zoom into Southeast Asia, countries like our country Malaysia and Singapore are benefiting from the mid to lower end of the supply chain. Think assembly, testing and packaging. And even locally, you can see it more data centers, more industrial parks and even more foreign companies setting up over here. And that's not random. That is heavy investments coming in. So when you add Asian equities into your portfolio, you are not just adding another market.

[00:06:08]You are adding a completely different component that could hedge your downside risk or even drive your portfolio further. And that's where Hong Kong and China comes in. But before we go further, there's one thing we as investors should all know about the classification of China shares. Chinese companies can actually be listed in different places. And that's why you will hear terms like a shares and h shares. So instead of getting too technical, let me simplify it for you. A shares are companies listed inside mainland China such as CLTO Mai and also Mia. And that is what we call the onshore market. And they are all traded in Run Mimpi and can only be traded by residents of the people's republic of China PRC or to be simple the Chinese. And H shares on the other hand are the same type of Chinese companies but listed in Hong Kong stock exchange which is also known as the offshore market. For example, Xiaomi, Hotmmart and also BYD are all listed over there. And unlike a shares, there are no restrictions to who can trade and invest in the H shares. So in simple terms, A shares are China from the inside while H shares are China through a global lens. Let's start with Hong Kong. Hong Kong plays a very specific role. It sits right between China and global investors. A lot of Chinese companies choose to list there mainly because it gives them access to international capital and for us it makes things much easier as well. You don't have to deal with the mainland market directly, but you can still get exposure to China and it's also the largest offshore ramen hub in the world.

[00:07:43]There's around 1 trillion ramen sitting outside of China in Hong Kong and a big chunk of global remi transactions actually goes through it. So this is not just a small regional market. There's a lot of global money flowing all through here and that's also why the market tends to be quite liquid. big institutions are active which makes it easier to get in and also get out and the system itself is more familiar compared to mainland China. It's more transparent and also easier to navigate, especially for international investors like you and I. So for most people, Hong Kong is usually where they start when they want to look into the China market.

[00:08:20]It's not perfect, but it's the most straightforward entry point. And China, China itself is a totally different story. investing in China through Hong Kong and investing directly in China's domestic market. Both of these they are not the same thing. A big part of this comes down to how each market is structured. Hong Kong tends to be more concentrated in large internet platforms along with traditional sectors like banks, property, utilities and energy as well. Meanwhile, the mainland Asia market is much broader with exposure across different parts of the economy and also supply chains. So right from the start, the composition between these two is totally different as well. So when you invest through Hong Kong, you are looking at Chinese companies that are more exposed to global capital and these are usually larger, more established firms and their prices move with global sentiment. But when you look at the domestic Asia market, the behavior is different. It reflects what's happening inside China more directly. Things like domestic demand, policy changes and local economic cycles tend to play a bigger role here. And because of that, the market doesn't always move in sync with the global markets. There are periods where global markets are weak, but China's domestic market is moving on its own cycle. So when people say I am investing in China, the first question is actually which version of China? And from a portfolio perspective, this difference matters. It gives you exposure to a different set of drivers. something you don't really get when from the US or just any other developed markets. So naturally, the next question is how you can actually get exposure to this. A shares give you direct access to China's domestic economy, but they are not always the easiest for international investors like you and I. And that's where Hong Kong becomes practical. Instead of going straight into the mainland market, many investors choose to gain exposure through Hong Kong listed ETFs. It's simpler, more accessible, and also more familiar to navigate. You can think of Hong Kong as your entry point. Allows you to get exposure in a more structured way without adding too much complexity at the start. And for most investors, especially beginners, this approach tends to be much easier to manage. And if you're still unsure about the China market, this is where Mumu AI can help.

[00:10:35]For example, instead of doing research all by yourself, you can ask questions like, "What are the main drivers of the China stock market right now?" Or if you want to know about specific A shares ETFs, you can ask what ETFs gives exposure to the China A shares. Anyways, beyond China, there's one more Asian market that's quite different to say the least. It's more about stability and that's where the Singapore market comes in. Singapore earns its place in the portfolio because it brings a very different mix compared to any other market. It's much more income focused and over the past decade it has consistently delivered relatively high dividend yields compared to many other markets. And if you look at the straits time index STI, it tracks the top 30 company listed on the Singapore exchange. And a lot of these are established businesses, banks, real estate and also infrastructure players.

[00:11:25]And yes, they are not high growth names unlike Nvidia or Tesla, but they tend to be more consistent. And Singapore has also positioned itself as a regional financial hub connecting capital flows across Asia especially into Southeast Asia's growing economies and also all the tech ecosystems. So when you look at Singapore we are not just looking at the domestic market you're also looking at its role within the region and that's what makes it useful in a particular portfolio. It helps sort of balance things out especially when growth markets become much more volatile.

[00:11:58]returns matter, but if your portfolio swings too much, it's very hard to stick with it long-term, especially for starters. So, this is where Singapore shines. Now, when it comes to all things ETFs, really don't over complicate it.

[00:12:11]Most people do, and this is where Mumu fits naturally into the process. Instead of randomly picking ETFs, you can start from Mumu ETF pages. But if you want to go deeper, you can always use the ETF filter tool based on your own criteria that are much more aligned with your financial goals and also your risk tolerance. And there are more than 50 filters available to fine-tune your search. Whether it's a specific sector, performance level, or risk tolerance, you can select what best suits your needs. For example, if you're looking for Hong Kong stable income index ETFs, you can quickly narrow them down using the screener. And after entering the screener, select create screener. Choose Hong Kong market and apply filters such as benchmark, you can choose HSI, AUM, asset under management, you can choose more than 2,000 M and analyze return.

[00:12:56]Let's say for the last one year, you choose more than 10%. And after setting the criteria, click done to get a list of ETFs that meet your requirements. And once you have narrowed down all your options, you can then compare shortlisted ETFs side by side based on their historical performance. And Mumu allows you to compare up to six symbols at once, including their quotes, long-term performance, expense ratio, top 10 holdings, risk, and many more.

[00:13:20]And since you already here, I've actually put everything together in a very simple table for you. And finally, once you have made your decision, you can of course proceed to execute your trade. Click on the trade button. And for order type, I will put a limit order type. So I can buy at a specific price.

[00:13:34]And then for session I will leave it as RTH plus pre and post market which basically covers all the possible trading hours and time in force I usually will choose GTC or good till cancel so that I can just leave my order open and just really let it fill it by itself. And after confirming every detail you can click buy, review the trade and then just confirm it. Now for long-term investors you may already be very familiar with DCA or dollar cost averaging. This is an approach where consistency matters more than timing.

[00:14:04]And that's where RSP or their regular savings plan can be very useful as it allows you to invest a fixed amount and without trying to predict the perfect entry point. So this is how you can set it up on the Momu app. Go to the markets tab and then look for RSP. Click on create plan and then just set up your recurring investment system. For example, if you want to invest in S&P 500 or VO ETF regularly, search for VO and then insert the investment amount you want to invest each month and make sure there's enough money in your account so that it can help you invest automatically based on the frequency chosen. And in this way, you can reduce emotional investing and average your cost over time. So, if you zoom out, the takeaway here is actually quite simple.

[00:14:45]Markets don't move together forever.

[00:14:47]Different regions perform at different times. And that's exactly what creates opportunity. And this is why diversification matters now more than ever. Not because we can predict what's going to happen, but because we can build a portfolio that is prepared for it. And if you look at the bigger picture, a lot of the long-term momentum is gradually shifting towards Asia. Not overnight, but through supply chains, capital flows, and the growth of new industries. So don't just chase the next hot market. Instead, position yourself for where things are heading, not where they have already gone. You don't need to own everything. You just need the right mix. If you still do not have a Mumu account yet, sign up now for an account by using my exclusive code z11 to unlock extra reward. Thanks for watching.