Quote of the Week:

“Don’t follow the herd – it may be heading to the slaughterhouse”

The herd instinct is extremely powerful in Malaysia. Both local retail and foreign retail investors fall prey to it. Tracking investor sentiment is extremely profitable, if you remember that happy masses precede crashes. Bubbles come and go in Asia and more so in Malaysia on a regular basis.

Know when to get off by monitoring volatility, small cap stock e.g. penny stocks, the ratio of foreign fund money flowing in and out.

- Ajay Kapur-