For a large part of 2021, the net buyers of the local stock market have been retail investors. Foreign funds are most net sellers with some net buying spree on occasions. Local institutions on the other hand have been a consistent net seller for almost every day since the start of the year. There is a transfer is shareholdings from local institutions to retailers and I am particularly concern with this phenomenon. It goes without saying for the stock market to go up, retail investors strong buying momentum alone is not able to push the index upwards. There must be complementary support by local institutions or foreign funds.
Into the 3rd month of 2021, retail investors participation are still very high although last year many analysts have reckon that post loan moratorium, the stock market would see retail investors participation dwindling. Even in the shortened month of February 2021, in terms of value, local retail investors dominate 36.5% against other categories whilst the volume stands at a whopping 45%. This essentially means out of 10 trades, 4-5 of the trades are conducted by retail investors. I believe there are many reasons why this is happening amongst which :
1. ISinar EPF withdrawal (30% of members withdrew)
2. Investors who enjoyed good returns from the stock market in 2020 is bullish that 2021 would be the same
3. Record opening of accounts in 2020 spilled over to 2021
4. Proliferation of social media and "Gurus" advocating the ease of making money from the stock market
5. Low interest rate environment
6. New breed of investors - fearless millennials
When everyone is talking about the stock market, it is usually a sign of a vibrant & "hot" market.
When everyone is justifying future earnings of companies with lofty valuations, that is a sign of the market overheating.
When everyone is talking about loss making penny stocks and justifying speculating it on the basis that "I know it is not a weak company, but I will get out first", the market is fleshing red signal.
Created by tradeview | Oct 18, 2021
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One of this penny stock is PA. PP with 20% discount then consolidate.
A pump and dump promoted day and night with disguise Live TA teaching by one headless chicken, a liar and a con man. + chicken
You can have a look at PA forum.
2021-03-13 18:50
Resolution Vote in favour Vote Against Results
No. of Shares % No. of Shares %
Ordinary Resolution 1 - Proposed Private Placement of up to 525,529,762 new Ordinary Shares in P.A. Resources Berhad ("PARB") ("Placement Share(s)") representing up to 20% of the total number of Issued Shares of PARB.
522,057,180 100.000000 0 0.000000 Carried
Ordinary Resolution 2 - Proposed Subscriptions of an aggregate of 88,891,000 Placement Shares at an Issue Price of RM0.045 per Placement Share by Datuk Seri Lau Kuan Kam, Wang Sze Yao @ Wang Ming Way and Hoe Thiam Soon, collectively, to be satisfied entirely via cash. 522,057,180 100.000000 0 0.000000 Carried
21:STATUS OF CORPORATE PROPOSALS
On 21 Jun 2019, the Company proposed to undertake a Private Placement of up to 20% of the total number of issue share of PARB to third party Investor(s). A total of 374.1m placement shares with a value of MYR16.9m were issued pursuant to the said proposal. This exercise was completed on 02nd December 2019.
Utilisation of proceeds
Proposed Utilisation: Actual Utilisation
Capital expenditure: 8,350,000: 4,392,000
Working Capital: 8,334,000: 12,370,000
Estimated expenses: 150,000: 150,000
2021-03-13 18:52
I COMPLETELY AGREE with this article, esp. the following 2 lines:
1. "When everyone is justifying future earnings of companies with lofty valuations, that is a sign of the market overheating."
2. "Retail investors with their hard earned money should avoid getting caught up with the penny stock frenzy before it is too late."
Problem is, those penny stocks have flown to become RM1, RM2, RM3 ,RM4, RM5 stocks until retailers can't recognise them as goreng penny stocks anymore.
2021-03-14 17:15
ahbah
to the Pure Land of Prosperity ?
2021-03-13 18:00