Tuesday, October 14, 2008

Sold Bursa at RM6.10

Sold my Bursa at RM6.10 that gotten at RM5.75 this morning for a contra gain. Market bounce back strongly, current KLCI added +20.83 points. How long will this market last? will it take another dip later? We will wait and see....

10 comments:

Anonymous said...

I think market rebound due to ease of emotional sentiment and cool down of panic environment. Nevertheless, every investment decision has to back by individual stock and their intrinsic value. Bottom-up strategy should adpot rather than top-down due to extreme volatile and changing business enviroment.

horse said...

"every investment decision has to back by individual stock and their intrinsic value".
This is a very true statement, i agreed with that. Beside it intrinsic value, the earning form the major part of the investment. The earning has to be at least sustainable and the growth prospect is in the increase very year. If once stick to this, he/she will never fail in stock investment.

Anonymous said...

While pick up stocks with undervalue protect safety margin, one have to keep tracking their earning prospect and its sustaintable. That why, once pick particular stock have to follow its every quarter result and keep ourself update with changing marco and micro enviroment. Never too rely on so-call professional fund manager/stock analyst, just act as reference only. Their target price seldom meet and keep changing with only reason they known.

horse said...

in fact you see in every stock broking, their recommendations all not upto bar. Many TP are not met and setting rediculous TP. I presume only super bull run can achieve that. One i really admire is this ICAP, their recommendation is quite good, but too bad it is a pay service. My friend used to subscribe their service but has now terminated. I used to get iCAP write-up from my friend but not anymore. Most recommendations are only come true if it a SELL recommendation. I wonder why bad news are more easily been concurred than the good news. Maybe is the nature of human, when talking about money, human are tend to be extreme sensitive to it. We are just a small fly, having limited resources when come to investment, dividend is the most important element that we should concentrate on rather than punting based on rumours.

Anonymous said...

You can just buy their listed closed end fund, Icap with share price of 1.58, it is fully reflected by its NA of 1.60. The investment strategy is buy stock deep in value, and concentrating on fewer stock and emphaize on ROE rather than EPS and hold utill share price fully value. That is reason why icap revenue and profit realize very low. In fact, we also can replicate their technique, but with bit more agressive in term of turnover to realize short term profit. To be sucessful investor, i believe full time contribution and deliligent homework is utmost priority.

horse said...

icap closed end fund, not my cup of tea. I still prefer dividend stocks. yea, homework is important that no doubt abt it but to build a dividend portfolio, u need time, money and patient. These thing are not overnight. Just imagine many thought that KLSE can actually make one instant millionaire but is not that easy. nothing is free in this world, for one to reach at million club, many experience and patient required is not just simple as say. I see many people brag they make hundred of thousand but only on the winnings not sharing their losess. I was once win hundred of thousand but i lost double of hundred thousand during crisis. I gone through the pain and learn. Today, i see many like me where i was once like them, fresh with the market, eager to make winnings. They make some gain during bull but lose huge when it turn bear, many have stopped and don;t even dare touching, this is real story. Obviously, these green horns haven't get the real taste before.
I see you having holding good value stocks, happy that you are experienced and brave. good one dude.

Anonymous said...

Thank you, i have similar experience as you. I used to play warrant and make quick return. However, due to greed and lack of experience, i lost almost all my wealth due to warrant that out of money and time lapse. It is heart breaking experience that until today still painful. At that time i decided to go to singapore and hope can restart my new life. But, deep in my heart is screaming utill i come across to various finance and investment books that actually teach how investment is serious career and only pathway toward financial independence by make use of money to earn money. Nowadys, i am full time investor that earn money solely by investing in stock market and aim for consistency and sustainbility income.

horse said...

you mean you are full time investor? not working or having any business ?

Anonymous said...

Yes! I'm full time investor, earning income from stock dividend, capital gain , contra etc. As i believe investing is serious business, deserve my full time dedicatioin. My aim for next 10 year is to progress form current financial independent to financial freedom.

horse said...

you have big ambition, in 10 years to achieve financial freedom. This is not an easy task. to do so, you need to have an annualise compounded return of 50% at least. Which mean at least more than 750% return in 10 years time. An uphill task but anyway is good to set high goal, every year you need to reassess your goal whether it meet your target and adjust them from time to time. good luck. haha

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