Sunday, January 28, 2007
Saturday, January 27, 2007
Look at the chart above, high was at $4.98 on 30 Nov 2006 and drifting down after that. At this price should be quite reasonable to enter/accumulate. I would adopt a hit & run approach to ride on this "bull", probably with a higher load this time round as i must agreed the greed has succumbed me right now...he..he
Friday, January 26, 2007
Buy Price : $3.90
Buy Date : 19 Dec 2003
Closed Price as at 27 Jan 2007 : $4.64
B) Dividend earned + Capital Repayment
C) % return per year
72.15% / 3 = 24.05%
Wah Oooo.... a 24.05% per year, what more do you want to ask for ?? Lets imagine this, if i spend $4 a week betting on 4-digits. One year i will be spending a total sum of $208 and losing it if luck was not on my site. What happen if i merely invest $4000 on BJTOTO and i got a return of 24% equivalent to $960 every year. Does this sound better to you ? This ensure you striking 4-digits every year. You risk your money betting on numbers, whereas I'm "betting" on company that invented the number games.......
Monday, January 22, 2007
Take a look of below live example:-
Stock Name : GUINNESS
Buy Price : $4.50
Buy Date : 20/10/2003
Closed Price As At 19/1/2007 : $6.10
Dividend Payout Table :-
a) Share price appreciation
6.1 – 4.5 = 1.6
b) Total dividend earned
c) % return per annum
(a + b) / 4500 X 100 = 59.88%
59.88% / 3 = 19.96%
Total return per annum is about 19.96%.
Monday, January 15, 2007
Ummmm.. This is my first ever portfolio in my blog of year 2007. Finally, i decide to publish it. Some of the stocks I have been keeping it since year 2002. Take a look, will update from time to time whenever there is a movement. I will try to post a more complete one when i have more time to compile one.
Wednesday, January 3, 2007
1) Rule 72
A simple formula to calculate number of years required for your investment to be doubled.
An investment of $1000 with a return of 10 % interest rate.
--- = 7.2 years
The above scenario requires 7.2 years to double up your investment.
Averaging your investment towards financial freedom
Step 1 - How to save money
(sources from : Rajen Devadason)
“If you want to save more, then having your bank transfer a portion – say, 10% or 20% of your salary to a savings account the moment it hits your main account, is a great way to put saving on autopilot”
Step 2 – Invest intelligently
Concept of investing – when come to investing, an arithmetic anomaly can be harnessed to help build huge wealth over a span of 10, 20, or more years. Often, though not always, the lower the price of a security goes, the safer it is and the greater its value as a potential long term investment.
Step 3 – Investment strategy - DCA
Should meet 6 criteria investment asset before a DCA program is embarked on :-
ii) value of the investment should fluctuate over time
iii) investment time frame should be fairly long. ( 5 to 7 years )
iv) invest at regular intervals (1 a month, 1 a quarter or 1 a year)
v) invest at each of those intervals in equal amount
vi) these regular investments should continue through all kind of market conditions – good, bad and indifferent
Let’s say you have $6000 to invest. You have 3 choices :-
a) you do nothing significant & keep money in FD earning 4% a year.
b) You invest full sum into a unit trust or a security
c) You gradually invest $6000 for 12 months.
Choice a) $240 earned as interest.
Choice b) 6% earned base on the DCA table. An equivalent of $360.
How DCA works
Arithmetic average price = 5.72 / 12 = 0.4767 per unit
True average cost = 6000 / 12633.88 = 0.4749 per unit
Absolute profit = $695.96
Profit percentage gain = 11.6%
Remarks : I have personally tried this on one of the high dividend yielding stock “APOLLO” and it works. Of course the returns are never guaranteed. Nonetheless, I believe doing so could be the smartest resolution you make. The choice is yours. TQ