Posted by stockoperator > 2014-06-07 01:12 | Report Abuse

Managing Risks???? Well...Margin of safety is not Only price...

1. Managing own funds like managing other people money; That is MOS.
2. Monitor the turnover of portfolio. Don't be a trader; This is MOS as well.
3. Make use of Dollar Cost averaging, you can only invest once in a year.
4. Make use of Piotroski score, ensure the reasonable price we pay is not due to fundamental changes; MOS also.
5. Will Only consider Buy if price consolidates at least few years while earning expands; That is Margin of Safety;
6. Easy to understand Business; A very common Business is alright; A more familiar Name is much Better; Good Business itself is a margin of safety;
7. Profit has never drop 3 years in a row; recession proof; Margin of safety right?
8. Dollar cost Averaging itself is a Margin of Safety;
9. Mentality of investment of at least 10 years as risks will be smoothed out and good business prevails. That is Margin of Safety.
10. Keep some cash. Keeping cash itself is investment. You may park in low risk mutual funds. That is margin of safety.
11. Dividend yields 3-5% will lower your cost of Holding each year; Make sure you receive dividend for 10 years; MOS also right?
12. Don't fancy High growth spectacular company; Surely this is MOS right?
13. Leader in the Sector Not by revenue or profit size But by profit margin or ROE, that is economy moat. Very lean and focused operation.
14. Mentally prepared for the worse and ALWAYS KNOW WHAT TO DO. CONSCIOUS.
15. If you are Not at peace and Happy at investing, there is something Wrong. Find out!
16. Healthy check on debt level, cash flow, receivables that is all working capital requirements;
17. Good Business Practice and Honest management;
18. Holding on with capital gains as your margin of safety;
19. Understanding your Business with confidence is MAKE OR BREAK. The most risky investment is Not knowing your Business;
20. Even though the list above is Long, well actually it is doing NOTHING as Margin of Safety will Only getting stronger as time pass....

Posted by waiming > 2014-06-07 09:43 | Report Abuse

Good one, TQ

Posted by stockraider > 2014-06-07 13:35 | Report Abuse

My comment...on stockoperator article....although I think is good.
But I ponder....what stock will fulfill & satisfy items 1 to 20 as listed ?

Raider think....almost none practically based on current environment loh.....!!

Posted by stockoperator > 2014-06-07 14:16 | Report Abuse

Dear Raider, it is Not a criteria or qualification. IT IS mentality.

Posted by tbm65 > 2015-01-14 18:02 | Report Abuse

http://www.safalniveshak.com/smart-people-investing-five-habits-of-highly-successful-investors/

dont steal this author hard work.

Posted by Intelligent Investor > 2015-01-14 19:16 | Report Abuse

Hi tbm65,

I never steal.

Please take note on the reference sections.

Posted by NoPainNoGain > 2015-01-15 12:13 | Report Abuse

Good reading.Thanks a lot.