Posted by musangfoxking > Jan 28, 2017 01:16 PM | Report Abuse
learnt that buy call war when bullish and put war when bearish! now mkt bearish, y buy call?


Is the market bearish?

We punt the call warrant of a stock, not the overall market anyway.

If the stock is bearish, or at low price, it may be the best time to punt on its call warrant, as the call warrant, of which the value is derived from the mother share, will be low too. When mean reversion takes place, stock price will recover, and as well as the call warrants. And that is when you make money. Of course it depends on whether the share price recovers fast enough before the expiry date of the call warrants.

Posted by stockmanmy > Jan 28, 2017 01:10 PM | Report Abuse
KC
You started this call warrant page and ended with excellent advise is to avoid.
Man is you ghost also you.


I started this thread with this remark,

"Warning: This post is about the “weapon of mass destruction”. It is written for sharing of knowledge, and not to advocate punting of call warrants, unless for just a little bit of fun with small money."

I went on to explain what one should look for if he punts on call warrants.

And you rightfully mentioned that I, "ended with excellent advise is to avoid.

So what do you mean by "Man is you ghost also you."?

Posted by lcwin > Jan 27, 2017 09:48 AM | Report Abuse
Simple General analysis for call warrants
Never pay more than 1 to 3% premium for every month of time value especially as it nears its expiry date.
If gearing is less than 2 don't bother
If not much trading volume don't bother unless you play small.
Warning!
Due to small amount of Warrants usually issued, IB and Buayas knows who is buying, selling and holding
IB and insiders is there trading to screw you
Definitely not for geenhorns!
Most call warrant now are overvalued if you follow my guidelines


Excellent advice.

Posted by DONGFANG > Jan 26, 2017 03:54 PM | Report Abuse
Why AAC38 alone is missing from the table? Just curious as i all in C38

I have included c38 in Table 1. As c39 is trading at a smaller premium and higher gearing, c39 has a better risk and return profile than c38 as shown in amended Figure 1 in the article.

It means it was better to punt on c39 than c38 at those prices then.

Posted by stockmanmy > Jan 26, 2017 03:06 AM | Report Abuse
how much premium for how much gearing and time? I don't care. The one with the highest volume gets my vote.

Posted by Icon8888 > Jan 26, 2017 03:50 AM | Report Abuse
Nope
Should follow KC method of buying based on gearing and premium
You will know the difference when they start moving - some are more sexy some are boring
I am a regular Call Warrants punter, i am basing what I say on my own experience

WHICH METHOD YOU FOLLOW WILL LIKELY MAKE YOU MONEY PUNTING CALL WARRANTS? FOR ME,IT IS CRYSTAL CLEAR.

BUT ONE THING SO SURE, MOST PEOPLE FOLLOW THE FORMER, MAY BE 90%. THAT IS WHY THE OUTCOME FOR THOSE WHO PUNT CALL WARRANTS FOLLOW THE BELOW.

Posted by Jay > Jan 26, 2017 12:47 PM | Report Abuse
investment banks are not dumb, there is a reason why they issue call warrants instead of buying them. statistics have shown that 95% of the time call/put warrants expire out of money

Posted by limml > Jan 26, 2017 09:31 AM | Report Abuse
The Greeks are important but you must be very careful that in a small market like Bursa, some calls or puts may be cornered. Once you are in, you are up against the issuing investment bank.


You are absolutely right. It is a highly uneven play field.

Posted by vcheekeong > Jan 20, 2017 01:25 PM | Report Abuse
Primary aim for share investment is capital appreciation then follow by dividen collection.
If for latter - wrong concept

I used to think like that when I was young and naive.

The "wrong concept" mentioned by you is probably because most retailers possess the mind set of speculation in the stock market, and believe in the greater fool theory, that,

"the price of an object is determined not by its intrinsic value, but rather by irrational beliefs and expectations of market participants. A price can be justified by a rational buyer under the belief that another party is willing to pay an even higher price."

If one is investing, in contrast with speculating, he should embrace this right concept as postulated by John Burr Williams in his Theory of Investment Value, that,

"the intrinsic value of a company was equal to the present value of its future dividends."

Posted by limyok123 > Jan 20, 2017 07:31 AM | Report Abuse
l am a newbie here but why is there no overlapping at all in high dividend stock pick in the article 10 Top Dividend Stocks in Malaysia (25/12/2016) and the selections here?

The question should be, why should there be?

If everybody follows somebody,the result of doing the same thing is average at best. How could somebody's return be above average?

Posted by kai8994 > Jan 19, 2017 03:53 PM | Report Abuse
Pintaras was a very good selection indeed. Despite having a tough FY2016, the management was still committed to give out dividends, in fact it was higher than previous year somemore.


Exactly. Pintaras has had a lot of problems in 2016 in one big project and may have suffered losses. However, due to its strong balance sheet, and stable earnings and cash flows in the past,dividends were not cut, but increased.

Posted by king36 > Jan 19, 2017 02:21 PM | Report Abuse
KC - a good one again
You talked about -EV once can u give me the thread again?


Is this you are interested in?

http://klse.i3investor.com/blogs/kcchongnz/49016.jsp

Thank you very much for all the motivating comments here; Calvin Tan, Jon Choivo, 3iii, Chong Chin Meow, RonnieKimLondon, stockraider, BLee, ghoku, and ckkhen, not forgetting the "consistent" comments of stockmanny.

I appreciate very much.

Posted by 10bagger10 > Jan 16, 2017 11:35 AM | Report Abuse
Dear master kcchongnz,
need your advice, i had bought a lot of complet (Complete logistic berhad), but share price hardly move @ pe around 5.5. can give me some advise?

Don't know much about Complete. May be because it hardly gives any dividend. Without dividend, how do investors know the company really makes money?

Or maybe the earnings are very erratic and volatile.

Posted by Jay > Jan 16, 2017 11:17 AM | Report Abuse
high dividend yield stocks are often generalised with stable ones when in reality it may not be. especially some stocks which only pay 1 or 2 years of high dividend/dividend is expected to fall in line with earnings
dividend depends on that year's earnings and cashflow while price movement depends on market expectations on the company. good companies' price will rebound at least to the level before adjusted for dividend after ex while others the market will just let it slide, then at most will be like taking money from your left pocket to put into the right pocket

Excellent comment. Thanks jay.

Posted by R3D3 > Jan 16, 2017 11:08 AM | Report Abuse
Chong: I can tell story of this girlfriend who has been doing Amway for 10 years. She worked hard, made good money. Not too long ago, she invested her hard earn money in the stock. Not exactly sure if it was 2013 or 2014. Last year, she exprsessed her disappointment with her decision to invest in Amway and regretted listening to her peers that Amway was paying good dividends and that whatever dividends she has received, could not cover her losses in her investment.


Excellent example. Thank you.

Posted by ckkhen > Jan 16, 2017 10:04 AM | Report Abuse
Old world stocks like Dlady, HEIM, Carlsbg, Panamy, Uplant, Pbank, BAT, Nestle are good dividend stocks. If they are bought 10 or more years ago, they would ahve made you very rich, not only in terms of dividends but capital appreciation. Increasing Dividends = increasing share prices (Dr Neoh Soon Kean).
Question now is: can we unearth potential stocks to follow above examples. Padini? HaiO? Scientx? Magni? Ptaras? Kmloong? ...?
Or wait for opportunities in the old world stocks?
Over to you , KC.

ckkhen,
For the old world stocks, values are presented normally during market down turn. It is hard to find good dividend stocks during normal time for high extra-ordinary return. But during bad time, buy as much as possible when their stock prices are beaten down.

In normal time, I tend to focus on the later category. You can still find many good buys there. If you check back the list of dividends stocks I have given you every month, you should see they provide you with very good return so far.

My opinion is, stay invested. The market is not at euphoria, and we can miss good opportunity by waiting.

"80 percent of success is just showing up?" Woody Allen

Posted by R3D3 > Jan 16, 2017 10:07 AM | Report Abuse
Chong: Needless to say, I wasn't focusing on you or your abilities. That was a general comment on personal observation.
Have you not seen someone buying a stock, assuming that the xxx dividend a stock gave last year, would be repeated the following year? And based on the xxx dividend, they formulate their yield and declare their stock is a great investment? How many times have you seen such investment crash and burned? I have seen far too many examples of 'Berjaya Toto' type of 'dividend investments' fail.
Also, I do have to say, the reply in CAPS is not pleasant reading.


The capital letters were used to differentiate your comments and my reply. Since you didn't like them (I can't control what you think), I will suit you and use small letters.

I would like to see your examples of bad dividend stocks you were talking to add to my list.

As I have said, you have to use a price at the point of time when using investing in dividend strategy, to make a decision on if the dividend yield at that price is good to invest or not.

If not, how else do you make decision?

Posted by R3D3 > Jan 16, 2017 09:36 AM | Report Abuse
Chong: It would have been much better if you had focus on the risk of dividend investing.

ME: DIVIDEND INVESTING IS ACTUALLY A LOW RISK STRATEGY COMPARED TO OTHER STRATEGY, ESPECIALLY APA ITU DYNAMIC INVESTING, "PIVOTAL MOMENT CONCEPT" AND ALL THAT JEST.

Dividends, are largely determined by the company board of directors and is influenced by the company profitability. No money, no honey. Hence, dividends is not a constant factor.

ME:NOTHING IS CONSTANT IN INVESTING. BUT IT IS MORE PREDICTABLE FOR SOME COMPANIES, THEN OTHER PREDICTIONS.

* eg. how many people make many assumptions that their dividends is cast in stone?

ME: THAT IS WRONG. NOTHING IS CAST IN STONE, FOR ANYTHING IN INVESTING, NOT ONLY DIVIDEND.

The dividend yield is determined by two variables which are not constant. The price of the stock is not constant and neither is the dividend.

ME: DIVIDEND IS A LITTLE MORE PREDICTABLE FOR COMPANIES WITH CONSISTENT EARNINGS AND CASH FLOWS. THERE ARE SOME STOCKS HAVING THAT CHARACTERISTICS.

PRICE IS OF COURSE NOT CONSTANT. IN FACT, IT CHANGES EVERY MINUTE.

HOWEVER, WE HAVE TO MAKE A DECISION ON WHAT IS THE DIVIDEND YIELD AT A POINT OF TIME WHEN WE ARE CONSIDERING TO INVEST WITH DIVIDEND INVESTING STRATEGY; I.E. AT THE TIME OF A CERTAIN PRICE, AND HENCE THE DIVIDEND YIELD. IF THAT PRICE GIVES A HIGH DIVIDEND YIELD, MAY BE GOOD TO INVEST, AND VICE VERSA.

Posted by Bruce88 > Jan 16, 2017 09:03 AM | Report Abuse
This article had given a very BAD impression of "Div investing"
KC should use his knowledge & experience to show readers what is a "Good div investing".


This article reminds one not to blindly invest using any strategy, including dividend investing. The underlying message is in the last part of the article,


" Does it mean that investing in high dividend stock is a myth? Not at all. On the contrary, I found it is one of the best investing strategies to obtain consistent long-term return with less risk.

This is provided investors have a check list of how and what to look for to separate the chaff from the wheat. That will be the next topic of discussions."

Posted by mike90 > Jan 11, 2017 10:34 PM | Report Abuse

Wow, all exporters, how if USD weakening?
Do you practise portfolio diversification?



How do you know whether USD will be strengthened or weaken in the future?

Have you heard of financial risk management such as hedging using forward, futures and options and other derivatives?

No diversification?

Focus Lumber: the manufacturing and sale of plywood, veneer and laminated veneer lumber

Fibon:the formulation, manufacturing and sales of polymer matrix fiber composite materials and products for the Electrical, Electronic, Petrochemical and Automotive industries.

FAVCO: Manufacturing of cranes

Latitude: Manufacturing of furnitures

Magni: Manufacturing of garments


Aren't they having different kind of business?

Posted by popo92 > Jan 11, 2017 09:47 PM | Report Abuse
Dear KC, thanks for your genuine comments. Unfortunately because of my current job, i often requested to predict the big picture before it happens. I could say Brexit and donald trump victory is expected within my expectations but often, the stock market and currency volatile cannot be predicted. What i am really trying to ask is that what will you react when macro factors are not on your side? Let say we all know the storm is coming eventually but we all do not have any idea when it will comes. What will you do in the storm? Will you stay aside temporary (selling stocks with negative factors and monitor the impact of the storm) or will you wait for the storm past and do nothing but believe everything will eventually past?


I would say you were the very few who had predicted correctly the outcome of Brexit and Donald Trump. Well, in any prediction about the future, thee will surely be some who would be right.

Take for example, during the second Board saga when Hwa Tai was trading at RM150, and many others in tens of ringgit, you should know the storm is coming, and it be be furious. I would have long gone hiding.

The same is for the dotcom bubble when a startup with little revenue and losses were selling at Billion USD market.

But not now. Nothing is that euphoric yet. There are still plenty of good companies selling at cheap prices. The storm will come, but it could be beautiful sunlight for days before the storm comes. So I won't hide in the house but enjoy my golf.

Posted by popo92 > Jan 11, 2017 09:06 AM | Report Abuse
these stocks are pick very well especially in terms of the magic formula ev/ebit and roic . however, it might expose itself with weaker usd in the year end... but there's chance to boost up by tppa which i think highly chance succeed. I hold few stocks of out 5 myself and i am mentally hesitate for upcoming changes. I hope these macro factors won't affect them but highly unlikely.. KC, would you share some of your thoughts?

How would you know "it might expose itself with weaker usd in the year end"?

How many of you expected Brexit last year?

How many of you expect the stock market still doing well after Brexit last year?

How many people gave chance to Donald Trump to win last year?

How many people expect the US market still doing well after Trump won?

Posted by valuelurker > Jan 11, 2017 10:26 AM | Report Abuse
Old man, you mask it behind the 'Magic Formula' but come on who are you trying to blindside, old clueless uncles and aunties again?

ME: I AM JUST CURIOUS ABOUT YOUR BRINGING UP. DID YOU PARENTS TEACH YOU ABOUT MANNERS? AREN'T YOUR PARENTS "OLD"?

BLINDSIDE "OLD" CLUELESS UNCLES AND AUNTIES AGAIN? WHEN WAS THE FIRST TIME? HOW IS IT "BLINDSIDING" UNCLES AND AUNTIES? FOR WHAT PURPOSE?

As I said earlier, you are taking a bet on one and only one direction...its pure export theme first (and we all know its going to be played/is currently being played - how else to unlock the intrinsic value), then only Magic Formula

ME: EXPORT THEME? YEAH LAH, MOSTLY EXPORT STOCKS. DIDN'T REALIZE IT. BUT WHAT IS WRONG IF THEY ARE ALL EXPORT STOCKS? MUST BE LOCAL STOCKS? SHOW ME SOME HIGH MAGIC FORMULA LOCAL STOCKS PLEASE!

OH, CAN UNLOCK EXPORT STOCKS AH? GOOD WHAT. SO WHAT IS WRONG IF IT IS SO?


Of course, on the balance of probabilities (Lord Denning god bless his soul), it would be the correct play since US are raising rates etc etc but history has shown, things can change...

ME; CORRECT PLAY AH? SO WHAT IS WRONG? THINGS CAN CHANGE? WHAT CHANGE? CHANGE SO WHAT?


In the mean time, try not to count your eggs before they hatch, old man, you dont see me trumpeting my returns do you, and half of the ideas havent even materialised

ME; PLEASE READ THE ARTICLE AGAIN AND AGAIN. WHAT IS THE PURPOSE OF THIS ARTICLE? IS IT ABOUT SHARING ABOUT MAGIC FORMULA INVESTING, OR TRUMPING ABOUT RETURNS OF THIS NEW PORTFOLIO?

WHERE IS THE PART OF THE ARTICLE WHICH SHOWS, OR TALK ABOUT, THE RETURN OF THIS 2017 I3INVESTOR STOCK PICK?

YOU GOT SOMETHING TO TRUMPETING ABOUT? REALLY AH?

Posted by stockmanmy > Jan 9, 2017 11:13 AM | Report Abuse
-the greatest player in Malaysia , someone vastly richer than KYY , told me.....the way to play the stock market is to charge first when you see people charging ......eat shit if you see people want to eat shit.....and charge out when it is time to charge out.
The crowd makes the market....play with them, make use of them.
Be brave.


Oh, that is the way you "play" the stock market. My advice is keep it to yourself, rather than trying to "teach" others.

Ever wonder why 90% of retail investors lost money?

Posted by stockmanmy > Jan 9, 2017 09:35 AM | Report Abuse
Its called round hole to round peg.


It is more like people eat shit you eat shit too.

Posted by SALAM > Jan 9, 2017 08:56 AM | Report Abuse
KC never bragged about his wealth. He only promotes FVI to newbies for their long term wealth creation, for their old age. BUT..FVI are more written and practised by orang putih for the more matured and established markets. Orang putih are different breed, different culture. Orang Asia esp the Yellow skin talks more of business sense.. How???


One of the secrets of success in investing is to stay away from the crowd. If you do the same thing as all others do, how can you get better result than others?

Posted by donfollowblindly > Jan 8, 2017 03:00 PM | Report Abuse
But this KC Chong very boastful mah with so call high return when no documentary proof he actually own the shares he promoted. Like I can say Public Bank is a good to own since listing with very high return, do you have evidence I own it?


Four years ago, Tan Kean Wei asked me to share my portfolio of shares I had then. I told him what I owned, and written numerous analysis and reports explaining why I own them. It is nothing about plucking any stock from the sky.

Apa lu mau lagi?

Actually the sharing here is about how FVI can provide you with extra-ordinary return, with the examples of portfolios after portfolios of stocks written and published four years ago. I advocate you to embark with this FVI to build long-term wealth.

It is never about me, whether how much money I have/have not made, although I do encourage you to learn FVI from me.

It is your choice.

Posted by mike90 > Jan 8, 2017 10:33 PM | Report Abuse
Satisfactory long term return is? 8-10% per annum?

The bank fixed deposit rate is about 3.5%. If you invest in the stock market with the risks you are taking, you should earn a risk premium. A 6.5% risk premium would be a reasonable expectation, and hence a return of 10% a year is good.

Say if you start saving RM1000 a month, and invest with a return of 10%, after 30 years doing it religiously, you would have about RM2m.

If you can get a return like what Water Schloss get of 21.3% over 30 years, you would have RM18.4m.

Posted by mike90 > Jan 8, 2017 10:17 PM | Report Abuse
KC, do you mind to expose, do your portfolio over RM1M?
TQ.


Sorry, i don't like to tell the whole world how much I have, or how little I have.

In all my articles about return, it is about the satisfactory long-term return basing on the fundamental value investing through my own experience. It is not about how rich I am, or how poor I am.

Posted by donfollowblindly > Jan 8, 2017 03:42 PM | Report Abuse
Because he also good at attacking others through his blogs. If he is Buddhist this is called karma.


Show please!

But make sure you understand what is deliberating about n issue, and what is personal attack.

Posted by donfollowblindly > Oct 15, 2016 10:16 PM | Report Abuse
Agree. Condemning is his motive. KC also a lot of Holland counters. Pls refer to my past posts. If he is really good he must be very rich and no need to beg people "joining his course for a fee" in his numerous blogs.


Wow, I didn't know you follow so blindly that the way you write also mimic so closely to your idol.

By the way, I have told you before I have never invested in the Amsterdam Stock market before.

Posted by rchi > Jan 8, 2017 12:27 PM | Report Abuse
Coldeye put it best.
A stock has 2 engines,one is its fundamentals and the other is market sentinment.Get it right and you would outperform.
For me,fa alone is never enough.

Posted by rchi > Jan 8, 2017 12:30 PM | Report Abuse
After all that is being said,i do respect KC for his unselfish and generous sharing of his knowledge.I3 is fortunate to have you KC Chong.


rchi,

Thank you very much.

Posted by donfollowblindly > Jan 5, 2017 04:54 AM | Report Abuse
kcchong 42? No wonder KYY said kcchong only good at wanting to sell his investment product but not doing well to make money. KYY is proven very rich but how rich is KC who keep trumpet his co called high return investing?


Everybody's needs and wants are different; some like it to be very rich, but some are happy just to do good to the society by teaching some valuable knowledge.

Posted by Penang_lang > Jan 8, 2017 09:19 PM | Report Abuse
I see Chong Khong Soong and Chong Ik Poh name in top 30 Pintaras 2016 AR shareholders but both not KC Chong. So you are bluffing MG9231.
Posted by MG9231 > Jan 8, 2017 09:04 PM | Report Abuse
I can see KC's name in Pintaras why others can't? This shows KC “有料到“，he preaches what he said.


Penang lang, I see MG as a man of full of happiness, wisdom, humility and good humour too.

Posted by John Lu > Jan 8, 2017 02:07 PM | Report Abuse
KC are good in theory but not all can be executed.
纸上谈兵 is very easy.

Posted by paperplane2016 > Jan 8, 2017 08:47 PM | Report Abuse
John Lu made q good point there. I support his view

Posted by stockraider > Jan 8, 2017 03:03 PM | Report Abuse
KC OK,
HIS RETURN DOCUMENTED MAH....DIFFICULT TO CHEAT LOH....!!

Posted by donfollowblindly > Jan 8, 2017 02:52 PM | Report Abuse
Ask him to name 1 ctr where we can find his name in annual report. Is it Fibon, FL Bhd, Favco, Magni, Latitude or what?


Another demonstration of "great" IQ. Which elite school/u you were trained from?

Posted by donfollowblindly > Jan 8, 2017 02:46 PM | Report Abuse
Agree. If he really that good he should be richer than KYY.


Wow, excellent logic. Where did you acquire your level of EQ?

Posted by stockmanmy > Jan 8, 2017 11:17 AM | Report Abuse
I guess, if one intend to hold the same share for 5 years or more, the more accounting jargon the better.
But, is this what people do?
Do people hold a share for 5 years or more or just days and weeks and at most one or two quarters?
After a few days or a few weeks or a few quarters at the most, how do you feel holding the stock?
These are very relevant questions.


That answers your previous question; most people like you hold shares just a few days, and follow your apa itu "pivotal moment", lose money. Those who invest for long term as shown by my documented proof, make good compounded annual return.

Like that also still can't see, or fathom.

Posted by stockmanmy > Jan 8, 2017 11:12 AM | Report Abuse
let's say
You have ROIC, enterprise value, cash flows, EBITA, ROI, ROCE, cash balances, alpha, beta, omega, cost of capital, Du Pont formula, eps, PE, NTA, gearing,
The more rules, the tighter the rules, the likelihood is a portfolio of the same characteristics. Does it make one fat and lazy and a false sense of security based on a mumbo jumpo of accounting jargons?
and what are the implications of a portfolio based on accounting jargons? and their limitations?
what are necessary and sufficient tools in the tool box?
and if everybody uses the same tools to arrive at the same conclusions, what is the value of such conclusions?


An accountant thinks ROIC, ROCE, cash balance. PE etc as accountant jargons? It really confirmed my suspicions.

Does everybody uses this "accounting jargons"? Or more like following rumours and stock touting in internet?

The main reason why 90% of retail investors lose money, for me, is undoubtedly the later as promoted by you.

Posted by stockmanmy > Jan 8, 2017 10:46 AM | Report Abuse
FA like rice
You need enough to survive
Too much makes one fat and lazy
TA like vitamin
You need a little bit to perform at optimum
Too much is poison to the body.
Rudimentary knowledge of FA and TA enough to thrive in the stock market jungle.


Show documented proof please, rather than talk 3 talk 4.

stockmanmy,

Never thought that you treat accounting as "exact science". Even as an engineer, I don't even treat engineering as an exact science.

We don't need to be Buffett, as a multi-billionaire. No one needs to be a Buffett to be successful in investing. All he needs is to follow some of his principles in investing, and make decent return over long term.

a person can be rich for various reasons, not necessary from prowess in investing. Drug dealers, politicians, Ah Longs, stock market syndicates and manipulators etc. are all very rich too.

If you say someone is so rich from investing from the proper way, you have to show records how his calls were, the prices of those calls in published forums etc to show proofs that one really got rich from prowess in investing, not how much money he has in the bank account.

The CFA guy failed in investing, as I have said, is probably not because he had too much investing knowledge, but rather could be like you, worship of some stock gods and follow blindly, most probably following the advice of using huge margin finance.

Posted by stockmanmy > Jan 8, 2017 09:08 AM | Report Abuse
kc
someone posted here stock market is 1% about what is bought and 99% about behaviour. ....and I agree. Never a more true statement.


So someone's statement here is more true than proven successful methods by super investors like Warren Buffett, Water Schloss, Seth Klarman, Mohnish Pabarai, and all these people below who had made super extra-ordinary return from investing in the stock market.

http://klse.i3investor.com/blogs/kcchongnz/105247.jsp

Not forgetting our Dr. Neoh Soon Kean, Cold eye etc.

Incredible, unbelievable!!! Some more from the mount of an accountant?

Posted by stockmanmy > Jan 8, 2017 08:27 AM | Report Abuse
kc
if all academicians agree on efficient market theory , stock market is certainly not badminton.
the shuttlecock only reacts to the forces acting on it,
the stock prices react to human decisions and human decisions in turn reacts to other human decisions.
I am forced to say, a record of superior returns is meaningless as each day is a new day.


An accountant is "forced to say" that guessing on what the next course of action the players in the market, hue number of them, will react to be the better investing strategy, rather than relying on proven records on how the company has been performing, whether the business has been making money or not, how the management has/has not created shareholder values all these years?

Weird, isn't it? Looks like there is a failure of the training you have gone through, if really you are an accountant.

Posted by stockmanmy > Jan 7, 2017 07:22 PM | Report Abuse
a record of superior returns is meaningless as each day is a new day.


Each time stockmanmy plays badminton with Lee Chong Wei. He would say,

"each day is a new day", and he would beat Lee Chong Wei tomorrow.

Can't imagine an accountant simply shoots without thinking.

Posted by paperplane2016 > Jan 6, 2017 12:11 AM | Report Abuse
Kcchongnz, it is unfair to show only few years track record.
To be honest, any Dom dick harry can make money pass few years.

Me:
"any Dom dick harry can make money pass few years"?

Really ah? Below was what I said in this article,

"Total drop of the broad KLSE index was 10.5% from beginning of 2014 to end of 2016."

Or look at the 2016 i3investors stock pick challenge, how many people make money? How many people makes any excess return over risk free rate?

If you have other statistics, please show.


"How about showing some track records of at least 10years or even 97,98? Then you can maybe say your results proven that value investing works."

Me: I will do that soon.


Even so, 20years track records doesn't make your theory truth. To have your theory proven, you need whole universal data, since day ,one stock mkt started in whole world. So did you have tht?

Me: Yeah kah? Have you done any academic research before or not, and understand what is significant results?


"Even my university professor with PhD also won't make a comments like value investing works. He will just say based on this and that ,for particular timeframe it works......OK?"

Me: That is the problem. Most academicians believe in random walk theory, and the efficient market hypothesis. They don't believe in any investing strategy which can earn extra-ordinary return from the stock market. i hope you understood what you have learned in University.

Posted by valuelurker > Jan 5, 2017 10:08 AM | Report Abuse
Old man chong, dont pick on mathematically and conceptually weak posters who have posted months ago, but choosing instead to remove my comment on your 2017 stock pick, a very valid one as is usual
So again - you preach and state that diversification is the only free lunch in the world (even as recently?? as when you were attacking old man koon in your defense, now dont get me wrong, im not even close on his side, just ask the flbhd people), and yet in your 2017 picks, you choose only 5, and all in one sector - exports.
So tell us, which is which or are you another false prophet that preaches one thing, and does another


Is this the comment you are talking that I have removed it?

valuelurker has left a new comment on portfolio "Stock Pick 2017 - kcchongnz":
I have never believed in 'diversification the only free lunch in the world' because why in hell would you invest in your 6th or 7th or 8th best idea - we all know dilution gives rise to average returns.
But I didnt know you believed in it too...

For your information, I have no power to remove any comment in i3investor. Also for your information, I have never even flagged a single comment in i3investor.

Your comment is actually a good comment, as Warren Buffet used to say the same thing. However,please note that there is only one Warren buffet in this world.

There is no right or wrong in this, whether to have a focus portfolio, or a diversified one. A few investors, including Warren advocate focus portfolio, but few know he has a very diversified portfolio of businesses. Most other super investors such as Walter Schloss, Joel Greenblatt, Pete Lynch, Mohnish Pabarai etc. have very diversified portfolio of investments.

My only 5 stocks in 2017 stock picks only export stocks?

"are you another false prophet that preaches one thing, and does another"

Oh, I didn't realize that there are all export stocks at all. But definitely your perception of diversification is different from mine. It is okay as everyone has his own opinion.

Isn't 5 stocks good enough for RM100,000 investment layout?

Posted by John Lu > Jan 5, 2017 08:44 AM | Report Abuse
Haha...my name appear in the article. Famous liao
See my 2017 stock pick 2 days 5% profit. Haha

Congrats for your fast profit.

Please note that I used your previous comment to give me a good opportunity to present my articles in i3investor posted in 2014 to show documentary proof that FVI works as demanded.

We do have different opinions on many things, but as long as we don't get into personal attack, it is okay. Isn't it?

Posted by 稻田·* 粒粒芳香 > Jan 5, 2017 08:47 AM | Report Abuse
One "auto correction" spotted
Certainly. Akan dating >>>>>> Certainly. Akan DATANG

Thanks, corrected.

Akan "dating" for those in love. Akan "Datang" for my next article on FVI.

Rose,

Thank you very much for your comment.I have removed that offensive statement.

My apology.

Happy new year to you too, Calvin

Excellent analysis and excellent commentary. Keep up with your good work, which is very useful for the general investing community.

"Investing is not easy, anyone who thinks it is easy is stupid." Charles Munger

“Investing should be more like watching paint dry or watching grass grows. If you want excitement, take $800 and go to Las Vegas.”
– Paul Samuelson