Malaysians Share How They Are Taking Advantage Of The Weak Ringgit Right Now
From investing in gold and stocks, to freelancing and earning passive incomes.
By Laila Zain
1. Earn in USD, spend in RM
One of the most effective ways to take advantage of the weak ringgit is by earning income in stronger currencies like USD or Euro.
With the exchange rate working in your favour, earning in foreign currencies can result in higher returns when converted back into ringgit.
Platforms like Upwork, We Work Remotely, and Fiverr offer opportunities for Malaysians to freelance in many different roles. These include copywriters, content writers, graphic designers, video editors, social media content creators, translators, transcribers, and more.
"I like to bid for easy jobs on sites like Upwork, such as writing blog posts and e-books. One blog post that is around 100-300 words could fetch around USD30, give or take. That's around RM140 for 20 minutes of work.
"Of course, if you're just starting out, you may have to drop your prices as you build your portfolio on the site. But eventually, you'll find long-term clients who are happy to fix a price. It's worth it when you convert currencies."
- Amelia, 38, content writer
2. Generate passive income online
Building passive income streams through online channels can be a lucrative way to capitalise on the weak ringgit. Creating digital products such as e-books, online courses, or software applications allows individuals to earn recurring revenue without the need for active involvement once the product is developed and marketed.
Additionally, participating in affiliate marketing programmes or monetising a blog or YouTube channel through advertising and sponsored content can generate passive income streams over time.
International affiliate programmes that are worth checking out include Rakuten Advertising, CJ Affiliate, and PartnerStack. You'll get a percentage of the sales, which are in USD, making it more lucrative than focusing on local affiliate partners.
By leveraging the power of the Internet, you can create scalable sources of income that are not limited by geographical boundaries.
"I monetised my blog by signing up for Google AdSense. My minimum payment threshold was USD100 and I would usually reach that every two weeks to once a month, depending on how much effort I put into my blog (and whether I got a lot of pageviews).
"I feel like it's pretty passive. Even when I don't update my blog, people still come to it and I get a cheque in the mail every few weeks. RM400 isn't that much, but it honestly feels like free money, so why not."
- Ninja Housewife, 37, part-time blogger
3. Invest in precious metals
Gold is seen as a safe way to hedge against inflation, because its price tends to rise when the cost of living increases. Over the last five decades, investors have witnessed significant increases in gold prices concurrent with declines in the stock market.
Both gold and silver tend to hold their value when traditional currencies weaken. If you invest in gold, do remember that it should only be one part of your investment portfolio, as a safeguard rather than a means to grow your wealth.
"I bought some gold wafers around 10 years ago, spent RM4,000 in total. To be honest, the return rate is not high, but it did increase. I see it as a bonus for my future self. Good to have in case of anything."
- Justin, 38, sales
4. Take advantage of low-cost index funds
Investing in low-cost index funds denominated in foreign currencies, such as USD or SGD, can be a prudent strategy for Malaysians looking to diversify their investment holdings.
Index funds offer exposure to a broad range of stocks or bonds, providing a hassle-free way to capitalise on the growth potential of international markets, while mitigating the impact of currency fluctuations on investment returns.
"I'm converting all savings to SGD as a defensive play. Also, buying more Singapore dividend stocks 'cause the dividend is not taxed. Especially Singapore banking stocks like DBS and OCBC.
"US stocks dividend is taxed like 25-35% (I can't remember the rate). So it's not 'taking advantage' per se, just being defensive to protect the value of money."
- Ronn, 39, GM
