Market Optimism Archives - Page 4 of 7

Acquisition of Dividend Giant Stock: Challenger Technologies (SGX: 573)

Posted on March 22, 2019 Written by Dr Tee (Ein55)

Based on Ein55 Giant Detector, out of about 800 stocks, there are only 6 dividend giant stocks in Singapore. Unfortunately, 1 of the dividend giant stocks, Challenger Technologies (SGX: 573), is being acquired recently, will be delisted from Singapore stock market.

Challenger Technologies is not a REIT nor blue chip stock, but it has strong earning growth with stable positive operating cashflow, able to pay consistent dividend each year (more than 5% dividend yield) over the past 10 years. Due to weak stock market sentiment, Challenger Technologies has been trading at low Optimism level (<25%) over the past 2 years, providing a golden opportunity for major shareholder (Loo family in partnership with Digileap Capital) to acquire at low price of $0.56/share, which is a premium of about 20% compared with average low optimism price of $0.48/share (when homework on Challenger Technologies was assigned to Ein55 coaching class in Feb 2017) over the past 2 years. The timing of acquisition is ideal as Challenger Technologies has low trading volume with little public float, even with offer price of $0.56/share, it is still consider undervalue.

Over the past 10 years, Challenger Technologies has grown more than 5 times in share prices (from initial low of $0.10/share to more than $0.50/share), an ideal growth stock for buy and hold for tremendous capital gains, as well as collecting more than 5% dividend yield yearly as bonus (13% dividend yield if bought in year 2008 during global financial crisis). Most investors may position dividend as the No 1 objective for dividend stock investing. In fact, the hidden treasure of dividend stock is with the enormous capital gains (rise in share prices over the years) as other investors have to pay higher prices each year to exchange for this money-making machine which pay $5 for every $100 investment. Challenger Technologies is an excellent example of dividend giant stock which is suitable for both passive income and also capital gains.

Investors have been given at least 2 years to consider Challenger Technologies but the response has been weak, partly because the stock is not a typical trading stock with high volatility. In total, there are 86 giant dividend stocks in the world major stock markets. After delisting of Challenger Technologies, there are still another 5 dividend giant stocks from Singapore waiting for us, do not miss these limited opportunities, especially when they are trading at low optimism price with high dividend yield (>10%) one day during the global financial crisis while business is still strong to make money consistently each year.

Interested readers may sign up for free 4hr stock investment course by Dr Tee to learn the right way of dividend stock investing, as well as timing for entry and exit, through 10 personalized investing strategies. Register Here: www.ein55.com

Dr Tee Investment Course (Stock, Property, Commodity, Forex, Bond)

Filed Under: Market Optimism, Stock Market, Stocks A-Z

Cigarette Stock – Unhealthy Business for Investment

Posted on January 13, 2019 Written by Dr Tee (Ein55)

With increasing health conscious and anti-smoking campaigns since young, tobacco / cigarette companies may not have bright future for investing. Percentage of smokers in populations of most countries (including US, Japan, Europe, Singapore, etc) are declining over the past decade with higher taxes (expenses) by local government, resulting in lower earning of tobacco / cigarette companies, therefore weaker share prices.

Philip Morris (NYSE: PM), owner of Marlboro Cigarette, is a crisis giant stock at low optimism (<25%), a low quality investing opportunity induced by declining earning over the past 5 years. Parent company of Philip Morris is Altria Group (NYSE: MO), also a crisis giant stock at low optimism but having much stronger fundamental, therefore a better choice for cigarette stock investing.

British American Tobacco (Bursa: 4261), owner of Lucky Strike cigarette, was a value investing stock in the past but with declining business and share prices, it may not be not suitable for long term investing again despite a low optimism share price.

“Buy Low Sell High” is an universal secret of making money in stocks, main condition is the business has to be strong and sustainable, then each price correction is an opportunity to buy at discounted price. However, “Buy Low” may “Get Lower”, “Buy Cheap” may “Go Bankrupt”, if buying crisis stock with high debt, declining business (earning, cash flow, asset values, etc). So, do not fall into value trap by blindly “Buy Low”. Integration with Fundamental Analysis (FA) is required.

Buy a stock implies being a business partner. If uncomfortable in supporting “unhealthy” businesses (eg. tobacco, gambling, alcoholic drinks, etc), there are many other healthy businesses (eg. healthcare / hospital stocks) for stock investment.

Learn from Dr Tee in free 4hr stock investment course for public on various healthy businesses of giant stocks. Register Here: www.ein55.com

Filed Under: Market Optimism, Stock Market Tagged: cigarette stock

High Probability Investing with Optimism Strategies

Posted on July 3, 2018 Written by Dr Tee (Ein55)

When most people feel that it is the best time of economy and stock market, then the chances of stock market crash or global financial crisis would be high. Let’s look back the past market peaks in years 2000 (before dot com bubble) and 2007 (before subprime crisis), the market crashes always happened after an euphoric stock market with support of bullish global economy.

Feeling is qualitative (correct in principle or direction but not measurable), may not be suitable for stock investing. A better way is to apply a quantitative method of High Probability Investing with Optimism Strategies. Currently over 75% Optimism for US and world stock market, probability of downside (75%) is more than upside (25%). When we play a poker card game with possible numbers between 1-10, when your opponent has card No 7, your chance of winning (from possible No 1-10) is not high as the chance of getting No 8-10 is only 30% (3/10).

Even a player may not know what is exactly the No of next card, one could apply probability over several chances (not having only one chance to win all or lose all), the winning rate would improve accordingly with larger number of trials. This is how most insurance stocks and casino stocks could have rising share prices over longer term, supported by a profitable business with a game of probability, even future is uncertain.

This is the same for investing, even one may not know exactly when a market could reach a peak or crash eventually, if one could master these successful factors of success, high probability investing could be achieved:

1) Diversify over 10 giant stocks with strong business fundamental

2) Buy low optimism stocks aligned to level 1 (stock), level 2 (sector), level 3 (country) and level 4 (world). Sell when optimism is high.

3) Follow market trend in actions of entry and exit

4) Mind control: be fearful when others are greedy, be greedy when others are fearful

5) Money management: allocate fund with unique investing clocks for cash, stock, property, commodity, forex, bond, etc.

Even we may not know exactly when the global stock market may crash (no one could do so unless the person predicts everyday that “today market would crash”), we could understand that the remaining days of bull market are limited, exit strategies are crucial now unless the stocks on hold are defensive growth stocks for long term investing.

Don’t apply “Hope Strategy”, buying a stock and hoping for the best outcome. Use Probability Strategy instead, making the right decisions aligned with high probability factors mentioned above.

Learn from Dr Tee FREE 4hr stock investment course in Singapore on High Probability Investing with Optimism Strategies + FA (Fundamental Analysis) + TA (Technical Analysis) + PA (Personal Analysis). Take Action to Register: www.ein55.com

If you are busy or living outside Singapore, sign up for video course (75% discount, only $25): https://www.investingnote.com/store/products/discover-giant-stocks-value-investing-strategies

Filed Under: Market Optimism, Stock Market Tagged: high probability investing

YangZiJiang Stock Review – Sample Ein55 Analysis

Posted on June 29, 2018 Written by Dr Tee (Ein55)

All Ein55 graduates are trained for a simple trading/investing system of Optimism + FA + TA. Here is a sample application on YangZiJiang stock review based on a request by a forum member, sharing for pure educational purpose, not a personal financial advice.

Stock = YangZiJiang (SGX: BS6.SI)

Current Price = S$0.90 (28 Jun 2018)

Optimism (long term) = 39% (below Ein55 “intrinsic value” of $1.13 but still above buying zone of 25% Optimism).

Optimism (mid term) = 22%.

FA (Fundamental Analysis) = 4.5 point (out of max 8 points for a super giant), average performance.

TA (Technical Analysis) = Down-Down-Down (sharp falling knife from short term to mid term to long term), potential for short term shorting but must know how to setup with entry/exit signal.

Strategy = Do not qualify Ein55 “giant stock” criteria, may not consider for long term investing. A cyclic stock in nature, moderate dividend, possible to buy low sell high, applying mid-term trading strategies but probability of success may be limited. For short term trading, possible to short (strong bearish trend) but need to wait for right entry signal.

Possible actions = wait for investor (till 25% Optimism is reached) and trader (till trend is reversed from bearish to bullish). Decision making is personality based, it is possible for investor to ignore, mid-term trader to wait to buy while short-term trader to wait til short, all are valid actions if aligned to individual.

This is the most simplified Ein55 investing/trading system, Ein55 graduates are trained to make a decision (Buy / Hold / Sell / Wait / Shorting) with quick glance of Optimism + FA + TA.

For more in-depth YangZiJiang stock review, one may need to integrate with L2 (sector – shipping for YangZiJiang, Baltic Dry Index, etc), L3 (country – Singapore / China indices for comparison with YangZiJiang) and L4 (world – economy / stock) indicators, understanding the interactions of all investment market: stock, property, bond, forex, commodity and economy, aligning with own unique personality (from short term trading to long term investing) and investment goals with strategies (investing for income or capital gains or both), consideration of political economy, PA (Personal Analysis), etc, through 55 Ein55 investing styles.

For general public, if you are from Singapore, feel free to sign up for free 4 hours investment course by Dr Tee to learn Optimism + FA + TA + PA. Register in www.ein55.com.

For those who are from overseas (outside Singapore) or too busy to attend the free course, you may sign up for Ein55 video course by Dr Tee (different content from free 4hr course, focus more on giant stocks with Fundamental Analysis). Register Here: https://www.investingnote.com/store/products/discover-giant-stocks-value-investing-strategies

Filed Under: Fundamental Analysis, Market Optimism, Stock Market, Stocks A-Z, Technical Analysis Tagged: yangzijiang, YangZiJiang Stock Review

Ein55 Law of Stock Market Motion

Posted on March 12, 2018 Written by Dr Tee (Ein55)

Share price is a 3-dimensional movement, governed by Ein55 Law of Stock Market Motion:

Optimism = PA = TA – FA, [gap between price and value]
TA = FA + PA
z = f (FA, PA), function of FA and PA

where PA = Personal Analysis, TA = Technical Analysis, FA = Fundamental Analysis

It means share price (TA) which is the vertical Z-axis, is a function of X-axis which is business Fundamental Analysis (FA: strong or weak) and Y-axis (depth direction of roller coaster) which is market emotions with Personal Analysis (PA: greed or fear). Both the FA and PA could contribute to up and down in share prices (TA), main contributors to the Law of Stock Market Motion.

Ein55 Law of Stock Market Motion simply means that both market emotions and macroeconomy / business strength contribute to movement in stock market. Based on probability, a company which has consistent good performance in business will likely to perform well in stock prices over a longer term. Similarly, when there is an unexpected bad news or unpredictable outcome which results in stock market fear, the share price is likely to fall down. In the real world of stock market, both fundamental (FA) and emotions (PA) will be combined to form an unique condition of stock market on different day, therefore creating different share prices each day, hour or even minute.

When we buy a stock at low optimism, it means we buy when the gap between share price and value is the large, an undervalue stock with price below value. When we sell a stock at high optimism, it means the share price is much more than value, an overpriced stock.

Learn the Law of Stock Market Motion from Dr Tee FREE stock investment course to understand how the share prices could move up and down in the stock market.

Filed Under: Fundamental Analysis, Market Optimism, Personal Analysis, Stock Market, Technical Analysis Tagged: Law of Stock Market

Stock Market Gravity: Heaven – Earth – Hell

Posted on February 10, 2018 Written by Dr Tee (Ein55)

Stock market gravity force controls the global stock markets. The high volatility of global stock market last week is comparable with the time in year 2011 when US losing AAA credit rating. If we were not amazed by upward strength of US stock market over the last 1 year, we should not be surprised as well how it drops with similar strength but in reversed way.

US and global stock market is still at high optimism. High optimism means share price is a bonus, a market could not sustain at high optimism for too long, it has to correct down near to its fair value which is like a stock market gravity. Sometimes it may over-correct, going to low optimism region which is a discounted price.

Remember Ein55 Style #7: Heaven & Earth. It is similar to life, usually we experience a cycle of 3 stages: Heaven – Earth – Hell. A person could not be at Heaven stage (smooth life, successes, winning, etc) all the time, sometimes we may feel like Hell (down, depressed, failure, etc), although most of the time we are on Earth with daily lives (regular routines). Similar to Earth Gravity, value of stock market gravity will pull down high optimism prices, bringing up the low optimism prices.

When one is at Heaven of stock market, don’t assume we are a winner all the time, learning to sell high, so that the burden is less when it is due to fall down again to Earth one day. Similarly when one is at Hell of stock market, as long as can endure through the tough time, there will be chance to go up again if there is enough cash and able to take actions to buy low when most people is suffering.

Sir Isaac Newton discovered the Law of Gravity (famous story of apple falling on his head) but he could not apply in the world of stock market, losing lots of money in South Sea Bubble. Stock market is not designed for smart people. Stock market is for one which can find strong business as value stock, wait patiently to buy low, overcome greed to sell high. A big winner in stock usually is lonely because few people would do the same way.

Learn from Dr Tee on the law of stock market gravity with optimism.

Filed Under: Market Optimism, Market Outlook, Stock Market Tagged: Stock Market Gravity

Top 10 Global Blue Chip Stocks – Dream Team Portfolio

Posted on November 2, 2017 Written by Dr Tee (Ein55)

There are over 40,000 stocks in the world, a smart investor has to carefully choose Top 10 global blue chip stocks aligned with own unique personality as investment portfolio to grow the wealth.

A smart investor should form a dream team portfolio with global Top 10 stocks for both passive incomes and capital gains. Let’s learn step-by-step with a portfolio of 10 global blue chip stocks with strong fundamentals in 8 growing sectors (Bank, Property, REIT, F&B, Casino, Consumer, Oil & Gas, ETF), applying Ein55 Optimism as investment clock, waiting patiently to buy low in global financial crisis and sell high in bullish stock market for tremendous potential return. These Top 10 blue chip stocks are diversified over 4 countries: 4 from Singapore, 3 from USA, 2 from Hong Kong, 1 from Malaysia. Strength and opportunities for each stock and suggested strategies will be explained.

Stock investment is not just what to buy, the mastery of investment clock is crucial, knowing when to buy and sell to maximize the profit. In general, Buy when Optimism <25%, Hold or Wait when Optimism 25-75%, Sell when Optimism >75% (see sample Ein55 Optimism in Figure below).

(#1) ICBC (Hong Kong, HKEx: 1398), Industrial and Commercial Bank of China

Defender / Midfielder Strategies: For long term investing, collect stable dividend payment as passive income with China and Temasek protection. Maximize dividend yield when buying stock at low optimism. For medium term trading, apply Ein55 Optimism to buy low sell high every few years for quicker capital gains.

ICBC is the largest bank in China and also the whole world (based on current share price and valuation). The business with stable growing fundamental is supported by strong economy in China with large population. Temasek is a major shareholder, providing stability to the share prices, an additional shield of defense for investors. With increasing US and global central bank interest rates, the outlook for banking and finance stocks are positive as the net interest margin (NIM) will help the global banks to grow in earnings until the next global financial crisis.

Current Ein55 Optimism of ICBC is high at 78% (see Figure above), in addition to hold for stable 6% dividend yield, an investor also has an option to sell the stock first, buying back when share price drops to below 25% Optimism in future, aiming to maximize the dividend yield. Since global stock market is at high optimism, an investor has to take note of the signals of global financial crisis which would affect the global banking and finance stocks significantly. Crisis is an opportunity if an investor knows when to buy a strong fundamental stock at price with low Ein55 Optimism.

ICBC is a bank blue chip stock, cyclic in nature due to volatile China / Hong Kong stock market and economic cycles. Therefore, besides being a “Defender” stock (dividends only), it may also be considered as a “Striker” (capital gains only) or “Midfielder” (capital gains and dividends) for trading in medium term, following trends to long or short, gaining from average 65% profit from medium-term volatility of share prices with cyclic investing every 2-3 years.

(#2) Berkshire Hathaway Class-B (US, NYSE: BRK.B)

Midfielder Strategy: High-growth fund for capital gains with Warren Buffett wisdom when buying at low optimism

Warren Buffett is the richest investor in the world. Berkshire Hathaway represents an average performance of Buffett’s investment portfolio. Berkshire Class-A stock is very expensive, approaching $300,000 for 1 share, mainly suitable for high net worth individuals or big funds with long term investment strategies as the stock did not pay dividend, there was no change in number of shares, all the retained earnings for decades are accumulated and reflected in its growing share prices. Berkshire Class-B stock is a more affordable option for retail investors, pro-rated at 1/1500 price of the Class-A stock, below $200 / share currently.

Berkshire Class-B allows an easy way for retail investor to diversify over a portfolio of strong fundamental stocks owned by Warren Buffett. Despite Berkshire is a growth giant stock, it is still susceptible to systematic risk of economy cycle. During global financial crisis in 2008-2009, Berkshire share price was halved due to excessive market fear. An investor who follows Ein55 Optimism to buy below 25% Optimism, the current share price has gone up by 3 times, currently at high optimism of 79% (see Figure above).

As an investor, one has 3 possible options for investing in Berkshire stock. Firstly, assuming a buy & hold long term strategy, one may continue to hold the stock despite at high optimism but using the strong fundamental to overcome the next global financial crisis. This option is only suitable for those who have strong investor mindset, bought the share at low optimism price last time. Secondly, an investor may adopt cyclic investing approach, selling Berkshire stock first, buying back at <25% Optimism in future. This option is suitable for those investors who know how to integrate trading and economy cycle investing into overall strategy. Finally, a smart investor has the choice of buying better stocks than Warren Buffett, i.e. focusing on a few best component stocks of Berkshire to achieve higher growth than Berkshire but still enjoying the protection by Warren Buffett as a major shareholder of these few stocks.

The remaining 8 of the Top 10 blue chip stocks in dream team portfolio with key summary of strategies and Ein55 Optimism Investment Clock can be found here (30 pages eBook). Click to Download FREE eBook #1 by Dr Tee: “Global Top 10 Stocks – Dream Team Portfolio” (latest version of eBook with complete guide of What to Buy, When to Buy, When to Sell).

In the same eBook Download link, reader will get another FREE eBook #2 by Dr Tee: “Global Market Outlook” covers comprehensive investment topics: Stock, Property, Commodity, Forex, Bond and Political Economy. Past readers have benefited from the analysis. Learn to position for each market crisis and opportunity with Ein55 Optimism Strategies.

Table of Contents (eBook: Global Stock Market Outlook)

Mass Market Sentiment Survey
Review of Global Stock Markets
US Market Outlook (Economy, Stock, Property, Commodity, Bond, USD)
Regional Market Outlook (Europe, China, Hong Kong)
Singapore Market Outlook (Stock & Property)
Conclusions and Recommendations

The safest time to buy a stock is when everyone is afraid the sky will fall while the business of blue chip stock is still operating normally with consistent performance. This could be a rare opportunity to buy during a crisis; we should learn how to take this advantage to truly buy low sell high.

When Optimism Strategies are combined with Fundamental Analysis (value investing & growth investing), Technical Analysis (support / resistance / trends), and Personal Analysis (mind control of greed and fear), it is very powerful as one can take the right action (Buy, Hold, Sell, Wait or Short) at the right time aligning with his own personality.

The unique Optimism Strategy developed by Dr Tee provides a special advantage to know which investment (stock, forex, property, commodity, bond, etc.) to buy safely, when to buy, when to sell, including the option of long term holding. So far over 20,000 attendees have benefited from Dr Tee high-quality free courses to the public. Take action now to invest in your financial knowledge, starting your journey towards financial freedom.

Learn 10 Strategies of Stock Trading & Value Investing (股市投资策略)

1) Master Buy Low Sell High for all investment markets (stock, property, commodity, forex, bond) (买低卖高：股票、房地产、商品、外汇、债券)

2) Profit in bearish and bullish markets, understanding the true impact of US Interest Rate Hike, Bullish Global Economy, Oil & Gas Crisis (环球经济)

3) Long-term investing strategies to outperform portfolio return of Temasek, Li Ka-Shing, Warren Buffett, major stock indices/ETF and other funds (长期投资策略)

4) High-probability Shorting techniques for short term traders to profit from falling stock market while others are losing money or doing nothing (短期卖空技巧)

5) Generate consistent Passive Income with REITS and real property with knowhow of high dividend blue chip stocks and property market cycles (房地产信托股的被动收入)

6) Methods of Spring Cleaning for own stock portfolio to eliminate junk stocks without any hope (股票大扫除)

7) Time for Global Financial Crisis to buy blue chip stocks on sale (危机也是良机)

8) What to buy (blue chip stocks screening), When to buy/sell (buy low sell how), How much to buy/sell (risk management): (股票三部曲：买何股？何时买卖？买卖多少？)

9) Fundamental Analysis (FA) + Technical Analysis (TA) + Personal Analysis (PA), integrated with unique Optimism Strategy by Dr Tee (乐观指数：三法一体)

10) Global Stock Market Outlook: emerging opportunities with high potential in Singapore, US, China & Hong Kong stock markets (环球股票市场展望：新美中港，股票良机)

3 BONUSES for Dr Tee Workshop Attendees:

Bonus for Readers: Dr Tee Investment Forum with over 6000 members (Private Group)

(Please click “JOIN” with link above and wait for Admin approval of membership)

Market Outlook (stocks, properties, bonds, forex, commodities, macroeconomy, etc)
市场展望 (股票、房地产、债券、外汇、商品、宏观经济等)
Optimism/ Fundamental / Technical / Personal Analyses
（乐观指数 / 基本分析 / 技术分析 / 个人分析）
Investment risks & opportunities （投资风险及机遇）
Dr Tee graduates events and activities updates （Dr Tee学员活动最新消息）

Click here to join future Dr Tee (Ein55) investment courses: www.ein55.com

Filed Under: Market Optimism, Market Outlook, Stock Market, Stocks A-Z Tagged: Blue Chip Stocks, dream team, top 10 stocks

Investing Strategies for US Stock Markets (S&P, Dow Jones, Nasdaq, Russell) at Historical Peaks

Posted on October 4, 2017 Written by Dr Tee (Ein55)

Ein55 Newsletter No 075 - image - Market Peak 2

US major stock market indices (S&P 500, Dow Jones Index, Nasdaq, Russel 2000) set new record of historical high again with 8^th quarterly gains in a row. The earlier nuclear “crisis” has set a nice market correction for short term traders to buy low and sell high now.

US and most global stock markets (including Singapore) are still under a bull market but mainly suitable for shorter term trading due to moderate high market optimism. Despite at historical high stock prices, long term Optimism for US stock market is about 81%, still have room for further growth, although it is limited by probability.

One has to know own’s personality (trader or investor), designing the right trading plan or investing strategy for the current stock market. The US market is ideal for short term trading, buy high sell higher, especially after breaking 2500 points for S&P 500.

Singapore STI is still supported above 3200 points with Optimism about 48%, getting stagnant over the past few months. With global stock markets are still at relatively high optimism, market risks are getting higher but there are still opportunities for everyone but need to align with own personalities:

1) Short Term Traders: Buy High Sell Higher (Duration: weeks)

– entering after each break out of high resistance but not hesitating to exit when the signal is reversed

2) Medium Term Traders: Buy Low Sell High (Duration: months)

– buying after intermediate correction, focusing on bullish mid-term stock markets

3) Long Term Investors: Sell High Buy Low (Duration: years)

– selling stocks on hold at high optimism with declining bullishness, waiting to buy low during the next global financial crisis.

Learn further on Investing Strategies for US Stock Markets.

Filed Under: Market Optimism, Market Outlook, Stock Market Tagged: Dow Jones Index, Investing Strategies for US Stock Markets, Nasdaq, Russell 2000, S&P 500

Jardine Group and UOB Group with Cross-Holding Stock Network

Posted on March 7, 2017 Written by Dr Tee (Ein55)

Ein55 Newsletter No 059 - 2017-03-07 - Jardine Cross Holding

Company A owns Company B. In return, Company B also owns Company A. This is a complex cross-holding of stock network. Let’s learn how smart investors in Jardine Group and UOB Group, using the complex structure to hide their undervalue gem of stock.

Jardine is a giant group of stocks with nearly 200 years of history for Jardine Matheson Holdings, originally from China/Hong Kong, then having dual stock listing in London and Singapore stock exchanges. Ein55 Graduates have already considered Jardine Group of stocks: Jardine Strategic Holdings (SGX: JSH), Jardine Matheson Holdings (SGX: JMH), Jardine Cycle & Carriage (SGXL C07), Hong Kong Land (SGX: H78) last year when their Optimism levels were still low, share prices have gone up more than 20% since then when the market fear has subsided.

There is an interesting history for the cross-holding structure for Jardine group (image source: seekingalpha). Hong Kong richest person, Mr Li Ka-Shing planned to increase ownership in Hong Kong Land in 1980s, the Jardine group with Keswick family defended their control, forming JSH which owns JMH, in return JMH also owns JSH, very hard for any hostile takeover with this complex share structure.

UOB chairman, Mr Wee Cho Yaw also has a similar cross-holding network of stocks under UOB Group. There is a hidden gem in Wee family stock portfolio. Ein55 Graduates have learned in the last Charity Course (Discounted Asset Stock) on this special stock. The stock structure is so complex that undervalued stock could not be seen easily.

Ein55 Newsletter No 059 - 2017-03-07 - Wee Cho Yaw

Normal investors could only buy at fair price because they don’t know how low is considered low for a share price. Traders would buy at high price, following trend to sell at higher price. Speculators would consider when there is good news with surge of more than 20%, buying at higher price, hoping to sell at highest price. Due to difference in entry prices, their reward / risk ratio will be different.

Ein55 Graduates have learned to buy giant stocks at unfair price with low optimism. For long term investors, some even consider low optimism from level 1 (business), level 2 (sector), level 3 (country) to level 4 (world).

Filed Under: Market Optimism, Stock Market, Stocks A-Z, Value Investing Tagged: jardine, uob, wee chow yaw

What is Investment?

Posted on March 1, 2017 Written by Dr Tee (Ein55)

Ein55 Newsletter No 055 - image - Investment

Investment is to take calculated risk, using special edges (eg. Optimism + FA + TA + PA) to give unfair advantages in winning rate over time, aligning to own personality with independent thinking.

Investment is NOT to copy and paste the methods with stock tips, news and rumours, following herd mentality with hope strategy.

————————————

No one could know what will happen tomorrow. Guessing or hoping is not a reliable strategy for investment. Instead, we should know ourselves first, our unique personality which comprises of many aspects, eg. control of greed and fear, stress management, risk tolerance level, profit target, financial condition, holding power, resources available, etc.

Even if one only masters one weapon, it could give special edge, although it is limited. Eg:

Investor – using FA (Fundamental Analysis) weapon to find strong business
Trader – using TA (Technical Analysis) weapon to ride the trend of prices.

One should bridge between FA & TA:
FA + TA = FATA (发达)

Ideally, we could add 2 more weapons of Optimism + PA (Personal Analysis) to form a personalized strategy for any investment: stock, property, bond, commodity, forex, etc.

Filed Under: Market Optimism, Personal Analysis, Property Market, Stock Market, Technical Analysis Tagged: investment

Learn 10 Strategies of Stock Trading & Value Investing (股市投资策略)

2 Free eBooks by Dr Tee (Click to Download)