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Tycoon Koon tells his side of story about his stocks
Monday, 16 May 2016
Lower volume: Koon may restrict his buying of stocks to less than 5 so that it would need no disclosures.
PETALING JAYA: Savvy investor and philantropist Koon Yew Yin reasoned that his age, wealth and ability to pick the right stocks have contributed to his late disclosures in dealing with his shares becoming an issue.
The 83-year old former civil engineer, who has a large following among retail investors, also alluded that he failed to disclose his buying and selling of shares on time to the company because of the cumbersome system of reporting share transactions on a daily basis.
“The main problem is that I have too much money which is why I need to buy above 5%. I am too good at buying shares (which has got him a lot of followers). But when I say it like that, it sounds like a bad word,” says Koon when asked on his late disclosures in shares he buys and sells.
Koon has been in the spotlight lately for untimely disclosures on companies such as VS Industry Bhd, Latitude Tree Holdings Bhd and Focus Lumber Bhd.
According to the regulations, a substantial shareholder must notify the company within seven days of any changes in his or her shareholding.
However, Koon’s disclosures were late by between two weeks to up to two months. This has caused a stir among his followers on social media who are of the view that Koon should have made timely disclosures for them to decide on their portfolio.
Going forward, Koon indicated that he might restrict his buying of stocks to less than 5% so that it would need no disclosures.
In his blog, Koon explained in detail the reasons for his delay in notifying the company.
Koon said that he needed to fill up Form 29A & B which required details such as the number of shares and the date he bought or sold. Moreover, the buying or selling price frequently changes. To report the price he has to work out the average price that he traded on the whole day.
He has margin accounts with six brokers and his total margin loan amount is RM150mil.
“My average daily trading exceeds RM1mil and the number of shares I buy and sell every day is quite a lot,” said Koon in his blog. Koon has many trading accounts and simply gives instructions to his remisiers to buy or sell at a certain price.
“A few times I made the mistake of instructing one remisier to sell in the morning the same share that I instructed another remisier to buy in the afternoon. In fact, the authorities had reprimanded my remisers who were involved in these transactions that might seem to mislead investors. Those were honest mistakes,” he said in his blog.
As a result of the above difficulties, Koon said he had timed his disclosures on his dealings with shares until he had sold enough to own less than 5% of the total issued shares of the company.
Following this, he just needed to fill up one form to state that he has ceased to be a substantial shareholder without the requirement of stating the dates and the prices that he sold.
Koon, who founded IJM Corp, Gamuda Bhd and Mudajaya Group Bhd, has a large following among retail investors on his investments in stocks.
Among investors, Koon is seen as a sort of “hero” who understands the market well. His stock picks are followed closely by most in the investing community.
Koon assures his followers that he has no intention to mislead people to lose money.
“I have never recommend readers to buy any share if I am selling. As you know, I have written many articles about Latitude, VS and Lii Hen which have gone up a few hundred per cent over the last 2 years. If you have followed my recommendations, you would have made a huge profit. Of course, if you were too greedy and did not sell, you cannot blame me,” he said.
An observer who is familiar with Bursa’s reporting procedure, acknowledges that it is a tedious process to report dealings in shares for substantial shareholders.
“Even if a substantial shareholder managed to sell only 5,000 shares a day, he would have to make the filing with Bursa. He will have to file with Bursa no matter how little he managed to buy or sell on a daily basis. This becomes difficult especially when the company is illiquid and the substantial shareholder can sell a low volume of shares in one day and yet have to make an announcement,” said the observer.
In Latitude Tree, for example, a company which Koon was previously a substantial shareholder, average daily trading volume is under 100,000 shares. This means that it would have been very difficult for Koon to dispose of the amount he wanted.
Koon’s untimely disclosures came to the forefront when VS Industry announced to Bursa on May 4 that Koon was no longer a substantial shareholder after having sold in the market a staggering 44.08 million shares between March 18 and April 11.
The announcement was only made on May 4, which was seven weeks later.
Last week, Koon had emerged as a substantial shareholder in Focus Lumber. However, disclosure was only made on May 9, with filings showing that Koon had acquired a 6.71% stake, representing 6.93 million shares, in the Sabah-based hardwood manufacturer on April 11 at an undisclosed price.
In the case of Latitude Tree, Koon who was a major shareholder with a 5.01% stake, only gave notice of his disposals in January, two months later. Based on filings on Jan 11 this year, he acquired, disposed and transferred Latitude shares between Nov 16 and 23.
On a moral note, Koon said that after having given more than 300 scholarships to help poor students to complete their tertiary education, fewer than 10 scholarship recipients had come to thank him.
“The remaining students continue to complain that the amount I gave them is not sufficient. That is human nature,” he said.
He added that he had pledged to donate RM50mil to the Penang government to build student hostels. All the architectural and engineering plans are being approved and tenders will be called soon.
“I have written in my will that all my remaining assets will be for charity to help poor people after I die,” he said.
http://www.thestar.com.my/business/business-news/2016/05/16/koon-tells-his-side-of-story/
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Discussions
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Only Koon Koon can give excuse to sell Char kuew teow without kuew teow. He can char you.
2016-05-16 17:07
Lihen, FLHB and all furniture stocks doing well today.
the Jedi will show you who is powerful.
2016-05-16 17:11
I monitor Koon Koon recommend buy. Now -28.05%
http://klse.i3investor.com/servlets/pfs/53120.jsp
Posted by Desa20201956 > May 16, 2016 05:11 PM | Report Abuse
Lihen, FLHB and all furniture stocks doing well today.
the Jedi will show you who is powerful
2016-05-16 17:15
@stockmanmy, you are truly loyal Koon supporter. Indeed not all his counters are bad particularly after OTB becomes his advisor. But the question is his action that contradicts what he has communicated. Haha
2016-05-16 17:59
Quote" "A few times I made the mistake of instructing one remisier to sell in the morning the same share that I instructed another remisier to buy in the afternoon. In fact, the authorities had reprimanded my remisiers who were involved in these transactions that might seem to mislead investors. Those were honest mistakes."
Sounds fishy indeed.
2016-05-16 18:14
ha....
men of the crowd,
the country needs men of innovation
you all men of the mobs will remain always poor.
2016-05-16 19:05
Koon will koon when he sees what he likes but like everyone else he is not going to koon when he sells.
grow up kids. Be a man.
2016-05-16 19:13
who posted here in VS 1.30 to 1.40 that big boy is selling. He got to be selling, he has to sell. Better watch out.....I did that.
2016-05-16 19:14
Lol this stockmanmy. Interesting fella. People will grow up once SC rewards Koon for his contribution. :D
2016-05-16 19:16
Koon can afford any amount of fine.
make sure you kids can pay for your own contra loss.
2016-05-16 19:19
“The main problem is that I have too much money”, says mr.koon.
My average daily trading exceeds RM1mil… if you are small fish and naïve type,
You cannot blame me,” he said.
Eh…this is Malaysia tycoon, you know….I am Malaysia boleh type…you don’t blame me, if you lose your money…. I am a very rich you know…… nobody can argue with me, he said….
Wow.wow…..macam power ranger ninja already !!!!!....that’s right “sebiji macam power ranjer trademark”….
Wow, even billionaires warren buffet also scare to say those words...
2016-05-16 20:02
if this old fox can give such crap reasoning..
dont be suprised, the fox will continue play cheating the poor retail investors...
2016-05-16 20:05
How much is his net worth? Nowadays, only multibillionaires (in usd) r considered real rich.
Posted by rainbowyen > May 16, 2016 08:02 PM | Report Abuse
“The main problem is that I have too much money”, says mr.koon.
My average daily trading exceeds RM1mil… if you are small fish and naïve type,
You cannot blame me,” he said.
2016-05-16 20:11
http://www.forbes.com/malaysia-billionaires/gallery
I don't see his name in that list.
2016-05-16 20:17
So he is too good at buying stocks but doesnt know his average price or size as he buys and sells a lot>>>>this is his statement....well that is beyond belief...as 1) with the size he trades for sure he can afford a bloomberg trade screen to put his positions in...that will calculate his average price on the spot 2) dealing with 6 brokers is no excuse as every broker will give him at the end of the day the size he traded, against which price....they have to right as the trades have to settle T+3 or whatever it is here...only thing to do then is get the 6 together at the end of the day...takes you 5 minutes max then you know...3).For a DVP he needs to know exactly how much money he needs to put up in case of a buy or will receive in case of a sell.......to calculate your position it takes a minute...number of shares you own then divide by total outstanding number of shares of the respective company......So it all sounds very dodgy to me...I think (personal opinion) he wants to avoid that other guys run positions on the back of his directional trades.....he wants to keep it all quiet till he is done buying or selling in a company ( better for his average price)......I worked for over 22 years with the best traders in the world....wake them up at 3 am in the nite they will tell you their average price and size behind the dot...if he is that good as he claims then he should know.......Reporting so late frequently is a cardinal sin and if the Regulator would have done their job properly in the past they at least would have fined him massively and ban him for a period of time or for good.....what he says just doesnt make sense! He should be banned......its dodgy trading......hire a guy for 5 k a month if you can't fill in a form a 12 year old can fill in.......
16/05/2016 20:02
2016-05-16 20:20
Blog: Tycoon Koon tells his side of story about his stocks
MG9231
Testing
Sifu MG (Machine Gun) 9231 is testing his weapon here
You all better watch out!
2016-05-16 21:18
Watch out, Mr Koon, you are very rich now, where else Ajib Khor is hard up for money to plug his $55 billions 1MDB loan .
Your activities of buying and selling of the same counters in such a frequency and short period of holding them might be considered as "TRADING" and not "iNVESTMENT" as far as our Income Tax Law is concerned. your current investment gain suppose to be free of tax might view differently by IRB as Trading activities and subject to income tax plus heavy penalty. I hope you better rectify with your accountant. Or else, your gain might have to pay lots of tax to our "SAPUMAN AJIB KHOR" Don't Play-play.
2016-05-16 21:22
He filed almost 2 mths late for Vs. Denda heavy lol like that!
DAP_bagus Posted by cinapeh > May 16, 2016 10:49 AM | Report Abuse
under section 69M of the companies act 1965 the penalty for non compliance with substantial shareholding disclosure within the prescribed 7 days period is MYR 1 million ,with a default penalty of MYR 50,000.00 per day
16/05/2016 13:57
2016-05-16 21:49
jilakak, is that the way to manage the reporting needs? why cannot use one broker to buy certain stock and others broker others stocks? This is not difficult to manage, right? Even using various broker the portfolio is real time, just add up oni, kenot arr?
2016-05-16 21:52
Koon has a problem only faced by the super rich......
You critics have no chance to have this problem.
2016-05-16 21:59
Tksw,many brokers, many many hands to help push up & down, no good ka? Ikan bilis can drool over such machinery lol... legal kan?
2016-05-16 22:05
mr.koon, says, his age, his money and his ability to pick the right stocks have contributed to his late disclosures… .
“The main problem is that I have too much money and damp very rich which is why I need to buy above 5%...Next time, i may restrict buying stocks less than 5%, so that I don’t need disclosures to SC..
Walau eh…. Trying to teach us how to skip fill up the form if buying less than 5%.... thank you mr.koon.
2016-05-16 22:14
Stockmanmy, uhhh what type of problem duper rich have?
heheheh... got money very d gud la! can kautim a lot of ppl. If can earn 500% per counter, few millions penalty is nothing la! ;) Consider donation can or not???
2016-05-16 22:15
Walau eh… mr. koon damp very rich man in Malaysia…..should enter Guinness book of records...Aku rasa ada peluang untuk dia ini masuk dalam pencalonan dalam buku “Guinness book of records”.
“The smartest investor in Malaysia”.
2016-05-16 22:29
They so active promoting ka?
He also recommend buying VS again. koonyewyin.com/2016/05/06/why-i-am-starting-to-buy-back-vs-industry/
2016-05-16 22:41
“A few times I made the mistake of instructing one remisier to sell in the morning the same share that I instructed another remisier to buy in the afternoon”
“Sell in the morning, then buy in the afternoon”...mr.koon says…
Is this your new golden rule for share selection, mr. koon? thank you...
2016-05-17 00:18
buy lah... impossible ah koon will sell at break-even mah... of course need sell higher than buy price. wink*
2016-05-17 00:28
Wink * wink *, good advise! Hmmm and if he has already earned > 500%, pls calculate for us his break even price?
2016-05-17 00:41
Koon should sponsor bursa auto filing , that way he can trade as much as he likes without having to worry about manual submission.
2016-05-17 00:51
enjoy ur life Mr Koon, don't buy stock anymore, go vacation, travel all the world, write something inspired people, make people touching...teaching how to invest instead of ask ppl buy this & that, then sendiri curi sell sell sell...later only let ppl know lioa, only pusing pusing pusing ur word, bla bla this & that....trust need to build like build a ROME in many years, but trust can destroy in just a second when u dishonest...
don't like now...make whole world hate u, if see u feel want to throw busuk egg or stone to u...
this is my advise to u...I won't blame u anymore...since ur buy call when price at high make me a huge loss...as this is the market...I admit I loss to u...u clever...u got strategy...I don't have, I just only have a trust on u...that's it my loss...
2016-05-17 10:13
i4investor. You asked Uncle Koon not to buy stock anymore? You must be kidding. Without buying and selling stock, his life would become miserable. We certainly can't feel the role of being God and Demon. He does very well in trading stock and he would keep doing it until end of his life. How he can resist from not involving in stock market? Go vacation is not his cup of tea la...Never expect an old man would change his mind..Haha
2016-05-17 10:37
Now, Media has awarded him a new title " Tycoon". Fine for not obeying the law..sup sup sui la. He is so enjoying now. Go for vacation? Nobody notice and nobody call you tycoon anymore..Haha.
2016-05-17 10:43
nobody can stop the old fox from investment in stocks but shud play by the rules
did Warrent buffet breaks investment rules in US or anywhere?
2016-05-17 10:45
Rules meant to be observed for an orderly market. No excuses such as grandmother laying eggs. You break the rules you have to face the music. A thief or robber can maintain that he stole to feed his hungry children but as he broke the rule he has to pay. Throw the book at this old fox. Full stop
2016-05-17 13:23
One of Koon's victims in Mudajaya. We hope Johnny Cash could brief us more so that we shall have less or no victims in future.
2016-05-18 08:42
Haha @up_down & @pputeh & johnny cash is right. The rules are there to be followed. If one want to make excuse about cannot do the administrative tasks, might as well one make money somewhere else.
There are always people to be conned la Koon. Koon should look at the bright side. Bwahaha
2016-05-18 09:03
@stockmanmy, Haha I don't care if he can pay any amount of fines. I want actions to be taken against people like him. At least there is something done by the authorities for Ramsey Koon Bolton here. Haha. Some of his followers deserves the loss as it is their mistake following blindly. I don't like hypocrites like Koon. That's all.
LOL! You are the kid here kid stockmanmy. I never contra and I will never follow anyone's recommendation unless the stock is already in my radar. I only trust my own research and homework. You can still follow your idol Koon if you want. At least from what I see you are following Liihen and FLBHD which are good FA counters. But if you followed his previous counters like Xinquan or Jtiasa, hahaha then you deserves it. :D
2016-05-18 09:08
gambling money cannot be used to feed children, thru scholarship. unblessed money
2016-05-18 09:30
easy answer why, court justice are for middle income and low income earners to press down their civil rights.....u guys should play rome total war and u will understand it well on how to rule public/people, those who pay taxes to the government will never be prosecuted especially the top 1%, happens all over the world, infact they are praised for their good deeds and its a fact.....
2016-05-18 11:54
Mr Koon was once a contruction taikoh,now he has become a stock market tycoon.Again he deserve it
2016-05-18 15:25
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