Sometimes, the focus can be “Invest for stable returns,” not always for HUGE potential. 

This is something close to my heart and I have written about it a few times. Stop fooling ourselves that internet related startups trying to solve a real world issue must keep losing lots of money for potential earnings in future. Those investors who invest in all these could have invested in something better actually. Consider this, some startups have lost hundreds of millions for a few years. This is the reason why funds, especially those statutory ones must be very careful. You are not a venture capitalist and you should not try to be one. By the way, even if the startups receive lots of funds, it may still fail, ok. Here’s an article cbinsights.com about it. In brief, even the most experienced venture capitalists may still fail to identify startups that would DEFINITELY be successful. Let’s look at an article in TheStar about EPF’s views about investing in technology stocks.
This is the reason why I agree with EPF’s deputy chief executive of strategy division, Tunku Alizakri Alias who said, “We’re also looking at those companies that will be around for the next 20 or 30 years to ensure the savings of contributors is going to be protected. The EPF, will therefore, be very careful in investing in any stocks or companies and take into consideration the risk profile.” (Seriously, how many of us here would want to invest in a technology stock which keeps losing money and thus having our EPF declaring lower dividends for many years? The higher the risk, the higher the returns? The many failures in the technology corporate world would tell us that this is not always true. A venture capitalist may find one winner out of 10 different investments. EPF does not and should NOT have that luxury. Many of our senior Malaysians may not be able to withstand such shocks.) Here’s an article why: Malaysia: 42 percent senior citizens have zero savings 
I had a long chat with my insurance agent this evening. She explained to me the plans that I have bought and shared with me the importance of having sufficient protection since my wife is not working. I told her that protection from insurance should be started from young. In fact perhaps it should be separated from what we are trying to do with other investments that we do. Property investment for example would definitely be different when we are younger or older but insurance is compulsory regardless. In fact the earlier we are protected, the lower the risk that we may lose all that we have gained over the years and having to restart from zero. I think both of us are thinking along the lines of protecting what we have for a very long time. Quite similar to what statutory funds must always do. Briefly, EPF should be investing for stable returns, not for POTENTIAL of huge returns and thus taking unnecessary risks. Cheers.
written on 2 Aug 2017
Next suggested article: Unpredictable life, why plan?