Posted by probability > 2016-12-12 15:53 | Report Abuse

Glad to see KC presenting a new approach where the benefits of FA would slowly come to the 'common sense'...he he..i like it.

But let us hope this kinda common sense...is not so 'common'' ;)

Posted by YiStock > 2016-12-12 16:00 | Report Abuse

95% of business start up failed in the first 5 years in operation.

Posted by YiStock > 2016-12-12 16:00 | Report Abuse

All start with business sense

Posted by optimus9199 > 2016-12-12 16:52 | Report Abuse

Thanks KC for wonderful article, really encouraging to read that piece.

I have a question : If a stock with positive FCF and ROIC but quarterly results made a few lesser profits, how do you react to this situation?

Posted by yfchong > 2016-12-12 16:54 | Report Abuse

Thumbs up..... without deep pocket how to survive. Leh .....

Posted by yfchong > 2016-12-12 16:56 | Report Abuse

Business means 生 意

Posted by BoPoint > 2016-12-12 17:00 | Report Abuse

As we've pointed way earlier, KCCHONG has done a wonderful job in value-ing a company in terms of its past financial strength. By writing this article, he substantiated his weaknesses in identifying business opportunity. One way of looking at business sense is to forgo all financial highlights, but look at its business models, industry and macro trends. That would be on top of all the FA's homework as recommended by KCCHONG in this article.

Coldeye has noticed how Bursa is getting difficult to make money esp by merely looking into FA like the way KCCHONG has done. He'd changed his ways to look into business growth, which is like what we've said: models, industry and macro trends. But bear in mind, we're saying that this 'business sense' is a supplement of what KCCHONG fails to see, but not a single indicator of investing decision. It needs to be on top of all FA work, which is exactly what KCCHONG is preaching.

Posted by 3iii > 2016-12-12 17:35 | Report Abuse

Once again, thank you KCChong for sharing an insightful article on common sense (also known as business sense.)

Posted by PlsGiveBonus > 2016-12-12 17:37 | Report Abuse

Success cannot be reproduced
Because it is a competitive world
A proven success will be followed by thousands of greedy participant, will there be all the winners or there is all losers but one winner?

Posted by PlsGiveBonus > 2016-12-12 17:40 | Report Abuse

FA TA business sense is trying to reproduce the same success, if the success can be easily reproduced, we should follow it blindly.

Posted by Ooi Teik Bee > 2016-12-12 17:40 | Report Abuse

I had acknowledged that my "Stock pick in 2016 competition" is not good, Stockmanmy had criticized a lot on me. He said my strategy is not good in 2016. I am not diversified and he has a diversified portfolio.

@stockmanmy
Your remarks on me !!

Choose high risk stock.
Not diversified portfolio.
Do not know how to select stock.

I am just a lay man in the street, I choose the stocks base on my stock selection criteria.

The below are stockmanmy's pick and Ooi Teik Bee's pick based on the closing price on 29/4/2016.

Let us check the performance on 9/12/2016.

Bornoil 0.15 X 14,000 = 2100
CBIP - 2.25 X 900 = 2025
Ekovest - 1.42 X 1500 = 2130
Ecoworld - 1.29 X 1500 = 1935
Taan - 4.79 X 200 = 958
Jtiasa - 1.35 x 700 = 945
Total capital = 10093

Actual performance on 9/12/2016
Bornoil 0.155 X 14,000 = 2170
CBIP - 1.95 X 900 = 1755
Ekovest - 2.33 X 1500 = 3495
Ecoworld - 1.37 X 1500 = 2055
Taan - 3.77 X 240 = 904.8 (1 for 5 BI)
Jtiasa - 1.34 x 700 = 938
Total capital = 11317.8
Total gain = +1224.8 or +12.13%

My pick
Gamuda-WE - 0.995 X 4,000 = 3,980
Gadang - 2.08 X 600 = 1,248
Gkent - 1.71 X 800 = 1,368
Kimlun-WA - 0.705 X 1,600 = 1,128
Pohuat-WB - 0.675 X 2,000 = 1,350
WTK - 1.20 X 1,000 = 1,200
Total capital = 10,274

Actual performance on 9/12/2016
Gamuda-WE - 1.18 X 4,000 = 4,720
Gadang - 0.91 X 1500 = 1,365 (1 split into 2 and 1 for 4 BI)
Gadang-WB - 0.245 x 300 = 73.5 (Free WB)
Gkent - 2.92 X 1000 = 2,920 (1 for 4 BI)
Kimlun-WA - 0.685 X 1,600 = 1,096
Pohuat-WB - 0.70 X 2,000 = 1,400
WTK - 1.01 X 1,000 = 1,010
Total capital = 12,584.50
Total gain = +2,310.50 or +22.49%

Summary
stockmanmy gain +1224.8 or +12.13%
OTB - Gain +2,310.50 or +22.49%

Thank you.
Ooi

Posted by 3iii > 2016-12-12 17:51 |

Post removed.Why?

Posted by stockmanmy > 2016-12-12 19:16 | Report Abuse

KC...your own words.


FA practitioner with Business Sense....all good stuffs come to FA practitioner with good business sense.


What my Dynamic Investing is all about. That a good buy is one with a good business, good people and good numbers IN THAT ORDER.


That FA and TA alone cannot help anyone holding on to Gadang and Choo Bee tight tight from the peak price.

Posted by Benjamin_8888 > 2016-12-12 19:16 | Report Abuse

Thank you KC for sharing

Posted by stockmanmy > 2016-12-12 19:21 | Report Abuse

From the annals of Dynamic Investing.


http://klse.i3investor.com/blogs/stockman/110801.jsp

Posted by VenFx > 2016-12-12 19:24 | Report Abuse

Got ball to compete with me or OTB sir , then only talk.

Posted by VenFx > 2016-12-12 19:26 | Report Abuse

Stockmanmy, choose your weapon pls.

Posted by stockmanmy > 2016-12-12 19:27 | Report Abuse

enough said....The criticisms dated early part of this year were directed at your 2016 Competition Portfolio which you now or earlier acknowledge is no good.

so, what is your problem?



Posted by Ooi Teik Bee > Dec 12, 2016 05:40 PM | Report Abuse

I had acknowledged that my "Stock pick in 2016 competition" is not good

Posted by VenFx > 2016-12-12 19:28 | Report Abuse

This is not a gentleman manner shall behave like.

Posted by stockmanmy > 2016-12-12 19:29 | Report Abuse

ven


Why don't you do some research and come up with better performance measurements taking into account risks, beta and alpha , then we talk?

Posted by Ooi Teik Bee > 2016-12-12 19:33 |

Post removed.Why?

Posted by stockmanmy > 2016-12-12 19:33 | Report Abuse

ven


OTB refers to my posts / criticism early part of this year when I saw his portfolio and gave my negative comments.....


I am not the one keep repeating long forgotten stuffs....old stuffs.

That OTB elephant or what?

Posted by Intelligent Investor > 2016-12-12 19:41 | Report Abuse

Investment is most intelligent when it is most business-like

Posted by VenFx > 2016-12-12 19:45 | Report Abuse

Stickmanmy, I'm foresee u as the next big Threat In i3, u are a lot nasty and mean than the bastard before.
Don't trying to play smart by twisting others words, u will be regret.

Posted by VenFx > 2016-12-12 19:47 | Report Abuse

Mr . Koon, this Stockmanmy is perfectly a mean person. Luckily he is not as wise as he thought he is.
We shall see.

Posted by Ooi Teik Bee > 2016-12-12 19:56 |

Post removed.Why?

Posted by CharlesT > 2016-12-12 19:56 | Report Abuse

Bro venfx,so fast found a new lover?dont forget calvin pls....

Posted by VenFx > 2016-12-12 19:59 | Report Abuse

Charles bro, Calvin is juz amateur who love to tell his friction story .Everyone know heis level by now anyway.

Great to see u here bro.

Posted by R3D3 > 2016-12-12 21:09 | Report Abuse

So mych ego all around. For what? Sigh.

Posted by kcchongnz > 2016-12-12 21:16 | Report Abuse

Posted by stockmanmy > Dec 12, 2016 07:21 PM | Report Abuse
From the annals of Dynamic Investing.
http://klse.i3investor.com/blogs/stockman/110801.jsp


I read what you are talking about your "Dynamic investing" below. It is more like pon lang pa investing to me.


"I call it Dynamic Investing. I can also call it KYY investing . Its the way forward in the investing jungle. He made it but how? KYY is a practitioner of Dynamic Investing invented by KYY. I am the St Paul, the Mengtze spreading the message that can save the world .........the retail investor world."

Posted by VenFx > 2016-12-12 21:23 |

Post removed.Why?

Posted by rchi > 2016-12-12 21:40 | Report Abuse

This mummy may be trying to catch Kyy attention n hope to get something frm him.
Fyi,Kyy only recognise champions of i3 stock competitions.
So go join n stop talking more crap....hahaha.

Posted by Ooi Teik Bee > 2016-12-12 21:42 | Report Abuse

I like to repeat ..... an accountant talks with facts and figures.
So far stockmanmy never show any fact and figure. He only bullshiting in I3 to show his qualification.
He has no record to show how good he is.
If yes, please show us. We cannot learn anything from him except "bullshit" only.
Thank you.

Posted by VenFx > 2016-12-12 21:45 | Report Abuse

As icon8888 said before, Desa2020 aka Stickmanmy is a trouble maker.

Posted by mike90 > 2016-12-12 22:12 | Report Abuse

Anyone on Latitude, price still stuck at RM5 level?

Posted by chonghai > 2016-12-12 23:12 | Report Abuse

A lot of people can come up with Business Ideas/Sense or Hypothesis. A tough question will be how do we measure the effectiveness of these ?
FA is the answer. FA will allow us to gauge the result of all these. FA is a measurement of the result of implementation and execution of all these business ideas/plans.

Posted by John Lu > 2016-12-12 23:16 | Report Abuse

Kcchongz, dont be so long winded. Just buy Hibiscus tomorrow 9am


John Lu
481 posts
Posted by John Lu > Dec 12, 2016 10:50 PM | Report Abuse X

10 reason buy Hibiscus
1) Opec and non Opec agreed to cut oil production (6 mths)
2) After 6 month, I believe they will cut more
3) Hisbiscus 3000 bpd now
4) Target 10000 bpd
5) Hibiscus cost at below 19
6) Management target to reduce the cost to below 15 pb
7) Oil price now 54 pb
8) Company continue 2Q profit
9) Free debt company
10) Last tranches pp at 29c

BUY!

Posted by chonghai > 2016-12-12 23:22 | Report Abuse

Is FA perfect ? No. To be exact there is no perfect method. Using FA will cause one to miss out on Google, Tesla and MYEG.
Is missing out on these companies an issue ? No. There are other companies that can generate good returns. We don't have to swing at every pitch.
Can FA weed out all the lousy companies ? Again no. But FA can reduce the possibilities of lousy companies getting into our portfolio and if we apply adequate diversification there is no problem at all.

Posted by stockmanmy > 2016-12-13 00:56 | Report Abuse

KC


It is not PLP that my current portfolio is heavily focused on CSC Steel, and exports like Lihen, Focus Lumber, Latitude . It is Dynamic Investing at its best. Earlier in the year, I was into diversification, now, my Dynamic Investing model suggest I go full focus on CSC and exports.

Posted by stockmanmy > 2016-12-13 01:11 | Report Abuse

KC

those wanting a bit more diversification can pick up AeonCredit., enormous potential here.

Posted by malaysiaku > 2016-12-13 01:13 | Report Abuse

FA, memang perfect...kalau pelabur saham betul-betul faham bagaimana FA berfungsi dan tahu bagaimana sesuatu business itu dijalankan, sudah pasti akan mendapatkan keputusan yang memuaskan...macam "margin of safety", perlu ada untuk semua stok dalam portfolio....bukan sahaja dapat protect kita punya kapital, malah dapat mengurangkan risiko kalau berlaku kejatuhan saham di bursa atau pasaran dunia...memang tak boleh dinafikan, FA sangat berguna dan asas penting dalam pelaburan saham......

Posted by malaysiaku > 2016-12-13 01:30 | Report Abuse

siapa cakap FA akan terlepas pandang Google, tesla, myeg? FA boleh digunakan untuk semua sector industri.... yang penting, pelabur mesti betul-betul faham industri yang dilaburkan.... aliran wang tunai, laporan kewangan, permintaan semasa dari pengguna/industri adalah antara ciri-ciri, yang perlu difahami dalam FA....

Posted by malaysiaku > 2016-12-13 01:47 | Report Abuse

AeonCredit, ada risiko yang tinggi sebab "margin of safety", dah tak ada....risiko tanggung sendiri...chase high, sudah pasti risiko pun tinggi...semua ini asas FA..

Posted by stockmanmy > 2016-12-13 02:20 | Report Abuse

AeonCr, the micro finance king of Malysia will surprise everyone living in NZ.

Posted by Icon8888 > 2016-12-13 08:32 | Report Abuse

Give this article a Like, even though I am an earning guy instead of cash flow

Posted by Icon8888 > 2016-12-13 08:44 | Report Abuse

stockmanmy, you have some novel ideas when come to punting the market. At the beginning of 2016, I gave you benefit of doubts for the various concepts promulgated by you (must have conviction, etc). But end of 2016 is near, and your picks are not doing well (among others, Chin Well, Kein Hin, etc).

Now you are promoting Dynamic Investing and Business Sense. I am skeptical until you show everybody that you can make money in 2017.

Talk no use lah, must make money. This is the stock market, not university

Last but not least, Best wish to you ,me and everybody else for 2017

------------------------
stockmanmy KC...your own words.


FA practitioner with Business Sense....all good stuffs come to FA practitioner with good business sense.


What my Dynamic Investing is all about. That a good buy is one with a good business, good people and good numbers IN THAT ORDER.


That FA and TA alone cannot help anyone holding on to Gadang and Choo Bee tight tight from the peak price.

Posted by Icon8888 > 2016-12-13 08:46 | Report Abuse

dear 3iii, what you insisted are not wrong. Unfortunately whatever stocks that fulfil those criterias will not come cheap. Difficult to make money buying them

Posted by Icon8888 > 2016-12-13 08:54 | Report Abuse

stockmanmy,

for me, KYY concept is good enough. No need to cook up all kind of fancy stuffs to try to augment it. The key is to get the future EPS (fast forward 6 to 12 months) right. You can achieve that, you can make money.

Posted by mike90 > 2016-12-13 08:56 | Report Abuse

Future eps just expectation, nt necessary can achieve.

Posted by datuk > 2016-12-13 09:49 | Report Abuse

Amidst the unpredictable elements inherited in the ocean of stock investment, FA is still one of the good compass available that could guiding us to the ultimate destination : making sound return in the long term compared to other asset class........ Bravo KC !!!