THIS BLOG IS RELATED TO OBSERVATIONS REGARDING STOCKS TRADED IN MALAYSIA. DISCLAIMER: THE COMPANY ANALYSIS THAT APPEAR IN THIS BLOG IS MERELY FACTS GATHERED FROM DIFFERENT SOURCES AND THE AUTHOR'S PERSONAL VIEW. IT IS NOT A BUY OR SELL RECOMMENDATION. THE AUTHOR DO NOT GUARANTEE THE ACCURACY OF THE FACTS BEING PRESENTED. PLEASE CONSULT YOUR INVESTMENT ADVISORS BEFORE ACTING ON ANY INFORMATION PROVIDED BY THE ANALYSIS ABOVE.
1. Market return @ 10%. Generally, stock market return is 10% every year (based on FBMKLCI total return in the past 5 years). 2. But I target 30%. However, I believe that through good stock picking, it is possible to achieve 30% annual return in the stock market. 3. Start with RM10,000. Since I am not rich, let's build a small portfolio and test whether my strategy works. 4. 1st trade: BUY 14,000 YOCB @ RM0.695. By doing this simulation trading, now my portfolio is RM9730 in YOCB shares, RM270 cash. Reasons why I find this stock attractive will be covered in another post. 5. Grow to RM13,000 by 30-Jun-2014. Since now is 17-July-2013, let's make it simple for next year target at 30-Jun-2014. 6. Final target RM21970 by 30-Jun-2016. The 30% is compounded over 3 years, so the final target is RM21970. 7. Assumptions: i) Brokerage commission is excluded as this is only paper portfolio. ii) Dividend will be included in this portfolio.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....